The government co-contribution is paid to individuals who make a personal super contribution and don’t claim a tax deduction.
The co-contribution is paid at 50c of each dollar contributed up to a maximum of $500. To qualify for the maximum co-contribution, you need to contribute $1,000 and have total income below $42,016 1.
Once total income exceeds $42,016 , the co-contribution decreases by 3.333 cents in every dollar paid into super. It cuts out completely when total income reaches $57,016.
1For the purposes of the super co-contribution, total income is assessable income plus reportable fringe benefits plus reportable employer super contributions.
You may be eligible for a super co-contribution, if:
You don’t need to lodge a claim for the co-contribution.
The Australian Tax Office will assess your eligibility once you lodge your Income Tax Return and pay any amount due into your Brighter Super account. The co-contribution doesn’t count towards your taxable income.
The government’s Low Income Super Tax Offset (LISTO) may also help low income earners who make personal super contributions.
There’s lots of unclaimed super floating around and some of it could be yours.
Use our retirement income calculator to get an idea of your future finances.
We run free seminars on a range of topics right across Queensland.