The superannuation contributions caps for concessional and non-concessional contributions will remain the same for the 2026 financial year. The Superannuation Guarantee Charge (SGC) rate will increase to 12%
Concessional Contributions
From 1 July 2025, concessional contributions will remain at $30,000. In order to claim a tax deduction for a concessional contribution it is important to note that the SCG rate – also known as mandatory employer contributions – are also included in your concessional contributions. For example, if your salary is $100,000, the SGC amount is $12,000, calculated at a rate of 12% ($100,000 × 12%) = $12,000.
Non-Concessional Contributions
Non-concessional contributions will remain at $120,000. The bring-forward arrangement for non-concessional contributions will also remain at $360,000.
A reminder that your total superannuation balance must be below $1.9 million to make non-concessional contributions. This limit has not increased this time.
We note that SGC has increased to 12% which is now at the target range after increasing 0.5% for the last few years. While the newly elected Labor government has expressed aspirations to raise the SGC to 15% it’s still a pipe dream at this stage, with nothing legislated or confirmed.
Disclaimer – The content has been prepared by Redwood Advisory Pty Ltd without taking account of the objectives, financial situation or needs of a particular individual and does not constitute financial product advice. This article should not be considered personal financial advice as it is intended to provide factual information only.
