Superannuation
Superannuation (Super Guarantee)
The compulsory employer contribution rate paid into your super fund on top of your salary.
What it is
Superannuation is Australia's compulsory retirement savings system. Employers must pay a percentage of an eligible employee's ordinary earnings into a super fund on their behalf — the Superannuation Guarantee (SGC). Super is generally preserved (locked) until you reach preservation age and retire.
Who it applies to
Most employees aged 18 and over, and under-18s working more than 30 hours a week, earning any amount from an employer. Some contractors are also covered.
Key figures
- SGC rate
- 12% (final legislated rate, reached 1 July 2025)
- Maximum contributions base (FY2026–27)
- $270,830 per year
- Concessional contributions tax (within the fund)
- 15%
Important limitations
Does not cover preservation age rules, insurance within super, the super co-contribution or low-income super tax offset, or defined benefit funds, which work differently.
Official sources
- Australian Taxation Office (ATO) - Super for individuals and families
- ASIC MoneySmart - How super works
- Australian Taxation Office (ATO) - Contributions caps
Educational information only, not financial advice.