Member Information
Co-contributions
Jump Start Your Super
You may be eligible for the Australian Government's co-contribution initiative. This is a great way to boost your retirement savings. For every $1 of your personal superannuation contribution up to $1,500, the Government will contribute $1.50.
Do you qualify?
To qualify in the 2008/2009 tax year, you will need:
- to make a personal contribution out of after-tax salary to a complying superannuation fund or an RSA
- to have an "assessable income" plus "reportable fringe benefits" of less than $60,342
- to lodge an income tax return for the year of income
- not to hold an eligible temporary resident visa at any time during the year
- to be less than 71 years old at the end of the year of income.
From 1 July 2007, self employed members can qualify for co-contributions.
How much could you get?
Our Super co-contribution calculator can be used to work out the superannuation co-contribution you may be eligible to receive.
Here's how you calculate your co-contribution. The maximum co-contribution of $1,500 will apply to earnings of $30,342 or less. The co-contribution cuts out when your income reaches $60,342 as shown in the table below.
| Assessable income plus reportable fringe benefits |
Maximum co-contribution amount |
| $30,342 or less | $1,500 |
| $32,342 | $1,400 |
| $34,342 | $1,300 |
| $36,342 | $1,200 |
| $38,342 | $1,100 |
| $40,342 | $1,000 |
| $42,342 | $900 |
| $44,342 | $800 |
| $46,342 | $700 |
| $48,342 | $600 |
| $50,342 | $500 |
| $52,342 | $400 |
| $54,342 | $300 |
| $56,342 | $200 |
| $58,342 | $100 |
| $60,342 | $0 |
The above table shows the co-contributions amounts payable for people on a range of incomes, who make eligible personal contributions to superannuation.
The thresholds will be subject to indexation, however under present legislation the maximum co-contribution is fixed at $1,500.
How do you claim?
It’s as easy as pie. You don't even have to apply for the co-contribution. The Tax Office will calculate your entitlement using information from your superannuation fund and tax return.
If you make a voluntary contribution to Accountants Super that is eligible for a co-contribution, the government will make the co-contribution in the following tax year as the amount of the co-contribution is based on information in your tax return. This means that if you make an eligible voluntary contribution in the 2008/2009 tax year, the Government will make the co-contributions in the 2009/2010 year. It will appear on your 2010 annual member statement.
Other considerations
Like your personal contributions, co-contributions will be treated as non-concessional contributions for taxation purposes. This means that they will not be subject to any taxation when paid to the fund, and will not be taxed as an end benefit. The earnings on co-contributions will receive concessional tax treatment like any other earnings in your superannuation fund.
Personal contributions and co-contributions must be preserved in the fund, which means they can generally be accessed only when you reach your preservation age, or satisfy other grounds for releasing your benefit.
Therefore, if you earn less than $60,342 this tax year, you have a great opportunity to increase your superannuation savings with some welcome help from the government!
For more information
Further information is available through the ATO's website.