Super Co-Contribution Calculator 2025-26

How the Super Co-Contribution Scheme Works (2025-26)

The Australian Government's superannuation co-contribution scheme is a free bonus to help low and middle-income earners grow their retirement savings. For every $1 you contribute from your after-tax income (personal contributions), the ATO adds up to 50 cents — up to a maximum government contribution of $500 — directly into your super fund. To receive the full $500 co-contribution, you need to earn under the lower income threshold and contribute at least $1,000 of after-tax money.

For the 2025-26 financial year (1 July 2025 – 30 June 2026): the lower income threshold is $45,400 — below this, you receive the full 50 cents per dollar up to $500; the upper income threshold is $60,400 — above this, you receive no co-contribution; between thresholds, the co-contribution rate phases out proportionally. You must lodge your tax return and have less than 10% of total income from employment or business to be ineligible.

Eligibility Requirements for the Super Co-Contribution

To qualify for the government super co-contribution you must: (1) make at least one personal after-tax contribution to a complying super fund; (2) earn at least 10% of your total income from employment, running a business, or both; (3) not exceed the income threshold ($60,400 for 2025-26); (4) be under age 71 at the end of the income year; (5) not hold a temporary resident visa for the whole year; and (6) lodge your tax return by the applicable deadline. The co-contribution is paid automatically after you lodge — you do not need to apply.

Maximising Your Co-Contribution

The optimal strategy is to contribute exactly $1,000 after-tax to your super if your total income is below $45,400. This guarantees the maximum $500 government contribution — a 50% instant return on your $1,000, completely tax-free inside super. For incomes between $45,400 and $60,400, even a smaller contribution generates a proportional co-contribution — contributing $500 might still attract a $150-250 government match depending on your exact income. The key is to make the contribution before June 30 each year and ensure it is lodged as a personal non-concessional contribution (not a salary sacrifice, which is concessional).

Co-Contribution vs Salary Sacrifice — Which is Better?

Salary sacrifice (concessional contributions) reduces your taxable income and is taxed at 15% inside super — better for higher-income earners. After-tax contributions (non-concessional) for the co-contribution are better for low-to-middle income earners where the 50-cent government match exceeds the tax saving from salary sacrifice. If your marginal rate is below 30%, the 50% guaranteed co-contribution return typically outperforms salary sacrifice for amounts up to $1,000. Use both if eligible — the $30,000 concessional cap is separate from the $110,000 non-concessional cap.