It is still the case that a superannuation co-contribution is available from the Australian Government for eligible employees. Originally, superannuation fund members who made a personal after tax superannuation contribution during the financial year, were eligible for a co-contribution of fifty cents for each dollar of such contribution, up to $500. Using this strategy, a superannuation investor generated a 50% tax free return on their contribution investment within one year. The eligibility rules have changed from time-to time: the current eligibility is shown at this linked page of the ATO website.
In broad terms, the following criteria apply:
- Make a personal non-concessional contribution to your super account;
- Have at least 10% of your income from services as an employee (or from carrying on a business);
- Lodge an income tax return for the year (not being a temporary resident); and
- Be under 71 years of age at the end of the financial year.
If all of the above criteria are met, then total income for the year (in a business situation, this means the gross income less all deductible business expenses) under $48,516 (in the 2014 financial year) will result in some level of government co-contribution – and less than $33,516 will result in the full 50% up to a maximum of $500.
You can check the ATO website to see more detail on the eligibility requirements for the Government Co-Contribution – and to see how much you will receive: click on the links below:
- Am I eligible for the Government Co Contribution?
- How much Government Co-Contribution will I receive?
The experienced advisers at Continuum Financial Planners are available to assist you. All aspects of superannuation investing, including enhancements to your superannuation strategy are within their expertise. This could include making non-concessional contributions to your fund.
To arrange a meeting –
- phone our office (on 07-34213456), or
- at your convenience, use the linked Make A Booking facility,
and be assured that in all matters: ‘we listen, we understand; and we have solutions’ to your needs – your enquiry will be promptly attended.
(This article was originally posted by us in May 2008. It has occasionally been refreshed/ updated, most recently in January 2025.)
