The co-contributions co-contribution scheme was introduced by the Government to encourage and boost the superannuation (super) savings of low income earning Australians. If you are eligible, you can have your personal contributions matched up to a maximum ‘dollar for dollar’ basis.
Who is eligible?
Employees, the self-employed and small business owners may all qualify for the Co-contribution if all of the following apply:
- your total income is less than $51,813
- you make personal after-tax super contributions to your fund by 30 June
- you earn at least 10 per cent of your total income from paid employment, carrying on a business or both
- you lodge an income tax return for the financial year
- you are less than 71 years of age at the end of the financial year
- you do not have an excess non-concessional contribution during the financial year
- you have not claimed a deduction in relation to the personal contribution
- you do not hold a temporary resident visa at any time during the year.
How much do I need to contribute?
To take advantage of the government’s matching, you can contribute up to $500 into superannuation as a personal after-tax contribution where your total income is less than $36,813. The co-contribution reduces for incomes over this threshold and ceases for incomes above $51,813.
How do I take advantage of this scheme?
For more information talk to your financial adviser or contact our dedicated Client Services Team.