Get the super co-contribution before you miss out
Make a voluntary contribution from your after-tax pay before 30 June 2012 and you could get up to $1,000 from the Australian Government. Make it after that date and you could miss out altogether.
The super co-contribution is an incentive offered by the Australian Government to help you save even more for your retirement.
How does it work?
- Currently, for every $1 you put into your super, so too will the Australian Government up to a maximum of $1,000 each financial year. That’s a 100% reward for your investment!
- To receive the maximum super co-contribution you must have a total annual income of $31,920 or less and meet other eligibility criteria.
- The super co-contribution gradually reduces for annual incomes above $31,920 until it reaches the maximum threshold of $61,920.
How will it change?
From 1 July 2012 the super co-contribution is set to reduce as part of the Australian Government’s reforms to the retirement savings system.
Once the legislation is passed, the Government will contribute 50 cents for every $1 you put into your super, up to a reduced maximum of $500 each financial year. Total annual income thresholds will also change to target lower-income earners.
Note: Super co-contribution reductions will be offset by the introduction of a new superannuation contribution designed to specifically benefit low-income earners. Under the low income superannuation contribution scheme, eligible individuals with an annual income up to $37,000 will receive a refund of their contributions tax up to a maximum of $500.
What contributions count?
All money you put into your LGsuper account from your after-tax pay will count towards the super co-contribution. This includes your 6% standard member contribution, 5% compulsory contribution, or any extra amounts. If you salary sacrifice your contributions or only receive super guarantee contributions, you will need to make an after-tax voluntary contribution in order to receive a co-contribution.
How much could I get?
Our knowledgeable staff can help you work out whether you are eligible for a co-contribution and how much you might receive. Or, see for yourself with our Extra contributions calculator.
How do I go about it?
You don't need to apply. If you are eligible, just ask your payroll area to make regular voluntary contributions from your after-tax pay. The ATO will assess your eligibility from your tax return and the information we give them.
If you prefer, or you can use BPAY to add money directly from your bank account on a once-off or regular basis. To make a BPAY contribution:
- Go to our BPAY Generator where you can generate your unique reference number and find our Biller code. You'll need to select Voluntary contribution and enter your member number.
- Use your bank's internet banking, phone banking or branch to pay the money into your LGsuper account using BPAY and quoting your customer reference number and our Biller code.
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