Superannuation Australia
Everything you need to understand your super in Australia — the 12% your employer must pay, the caps on what can go in, and how to keep it all in one place, explained in plain English.
Last updated: July 2026 · Superannuation Guarantee (Administration) Act 1992 · Moneysmart (ASIC) · FY 2026–27
What is Superannuation?
Superannuation is Australia’s compulsory retirement savings system. Your employer must pay 12% of your qualifying earnings into a super fund of your choice — on top of your wage, not out of it — and since 1 July 2026 that payment arrives at the same time as your salary, not quarterly. The money is invested by your fund and locked away (“preserved”) until retirement.
Because super is taxed at just 15% on the way in — usually far below your income tax rate — the government caps how much you can shelter there each year: $32,500 of before-tax (concessional) contributions in 2026–27, including everything your employer pays, and $130,000 of after-tax (non-concessional) contributions. High earners over $250,000 pay an extra 15% on top (Division 293). Between those rules sits most of what a worker actually needs to know — and each piece has its own page below.
Superannuation 2026–27 Key Rates
| Item | Value 2026–27 |
|---|---|
| Super guarantee (employer must pay) | 12% |
| Concessional (before-tax) cap | $32,500/year |
| Non-concessional (after-tax) cap | $130,000/year |
| Tax on concessional contributions | 15% |
| Division 293 extra tax threshold | $250,000 (+15%) |
| Maximum contributions base | $270,830/year |
The maximum contributions base is the salary ceiling above which your employer doesn’t have to pay the 12% — it’s set by formula in the Superannuation Guarantee (Administration) Act as the concessional cap divided by the 12% rate, rounded down to the nearest $10. Employer super above your wage is required by law; if it’s not showing up in your fund, the debt is your employer’s, and it’s worth chasing.
What You’ll Find in This Section
- Super Guarantee Calculator: enter your salary and see exactly what your employer must pay into your super — plus your salary-sacrifice headroom
- Contribution Caps Table: every 2026–27 cap, threshold and tax rate in one verified table
- How to Consolidate Your Super: combine old accounts in minutes through myGov — and what to check before you do
- Complete guide: how superannuation actually works, from payday to retirement, step by step
In this section:
📋 Rates verified — Official sources: Superannuation Guarantee (Administration) Act 1992 · Moneysmart (ASIC) — Super contributions
⚠️ This is general information, not financial, tax or legal advice. KnowMyGovt is an independent service with no affiliation with or endorsement by the ATO, ASIC or the Australian Government, and is not responsible for decisions you make based on it.
