Give your super a boost by adding a little extra before you get paid (also known as Salary Sacrifice)


Adding on top of what your employer pays could make thousands of dollars difference down the track and you could even enjoy some tax benefits.

It’s a win/win situation and means more money for future you!
This amount is generally taxed at 15% and likely to be less than your normal income tax rate.

Note: If your annual income is more than $250,000 (including before-tax super contributions), you might pay extra tax on these contributions – check the ATO’s website for more details.

Your first home, made faster

The Government’s First Home Super Saver (FHSS) scheme can help you save a deposit for your first home faster, all without touching your existing super. With the FHSS, you can make extra contributions on top of the super your employer pays.

Pitching in is easy, here’s how:

Things you should know


Want some tax back?

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The government limits how much you can contribute before-tax. If you contribute too much, you may have to pay extra tax. These limits are known as contribution caps.
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The caps for 2021-22 financial year on before-tax contributions for any age is $27,500 per year (including Superannuation Guarantee contributions made by your employer).1 If you want to know the details, visit rest.com.au/super/understanding-super/facts-and-figures  or visit the ATO’s website for more information.
 

Catch up your contributions

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From 1 July 2019, if your total super balance is less than $500,000 on 30 June of the previous financial year, you may be able to contribute over this cap by using any unused cap. This is called a ‘carry forward’ contribution’. You can use the carry forward unused amounts from 1 July 2018, for up to five years.
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For example, if you make a before-tax contribution of $20,000 in 2018-19, 2019-20 and 2020-21, this means you’ll have an unused cap amount of $15,000 for those financial years. Assuming you are eligible, then in 2021-22 you’ll be able to make a carry forward before-tax contribution totalling up to $42,500 (the cap of $27,500 plus the unused $15,000 from your previous year’s caps combined). Any carry forward amounts you accrue will expire if you don’t use them after five years.
 
You can keep track of your before-tax contributions online in MemberAccess or via the Rest App.2



Exceeding the caps

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Generally, your before-tax contributions (or concessional contributions) are taxed at 15%. However, a higher rate of tax may be payable if your income and before-tax contributions are more than $250,000 in a financial year.
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If you go over the caps, you will pay extra tax equivalent to your marginal tax rate on the excess contributions (less the 15% tax already paid). The excess amount will then be counted as an after-tax contribution. You also have the option of withdrawing the excess amount out of your account. The Australian Tax Office (ATO) will send you information on your options. For more information, visit the ATO website.

Try our small change, big savings calculator and discover how switching out everyday items can really add up!

With our help and advice on your side, it’s easier to feel confident about your financial future. Have a chat with a Rest Adviser* and see how you could get your contributions working harder.

*Rest Advice is provided by Rest advisers as authorised representatives of Link Advice Pty Ltd ABN 36 105 811 836 AFSL 258145

1. Currently, if you’re aged between 67 to 74, you’ll need to meet the Government’s work test to make contributions to your super. The Government has proposed to remove the work test requirement from 1 July 2022. This applies to salary sacrifice and non-concessional (after tax) contributions, including spouse contributions. The work test will continue to apply for personal deductible contributions. To learn more about the work test, go to rest.com.au/facts.

2. note only contributions made to Rest will be tracked, you should check your total contributions to all funds in a financial year to make sure you do not exceed the caps