If you earn under $49,293 in 2026–27 and add $1,000 of your own after-tax money into super, the government matches it with up to $500 through the super co-contribution scheme. That match tapers to nothing once your income hits $64,293. There's no application form. The ATO works it out automatically once you lodge your tax return, provided your fund already has your Tax File Number.
TL;DR:
- The maximum co-contribution for 2026–27 is $500, available when you contribute $1,000 after tax and earn $49,293 or less; it tapers to zero at $64,293 income.
- Meeting the income test alone does not guarantee a payment; you also need to satisfy conditions like having a super balance below the cap and lodging a tax return.
- Contributions made through salary sacrifice or claimed as a tax deduction do not qualify for the co-contribution and should be considered carefully in your strategy.
- Timing matters: ensure your super fund receives and allocates your contribution before June 30 and confirm your TFN is on file to receive the payment.
- The ATO automatically calculates and pays the co-contribution after you lodge your tax return, generally between November and January.
Table of Contents
- How much you can get: 2026–27 thresholds, taper and worked examples
- What are the eligibility rules for the co-contribution?
- How do I make sure my contribution counts before 30 June?
- Should I claim a tax deduction instead of the co-contribution?
- Common mistakes and a quick eligibility checklist
- How does the ATO pay the co-contribution and what if it's missing?
- Amber Wealth's view: fitting a co-contribution into your retirement plan
- How Amber Wealth can help with your super contribution strategy
- Where to check the current figures yourself
- Sources
- FAQ
How much you can get: 2026–27 thresholds, taper and worked examples
The maths behind the co-contribution is simpler than most super rules. For every dollar you put into super from your own after-tax pay (not salary sacrifice, not employer contributions), the government adds 50 cents, up to a $500 cap. To get the full $500 you need to contribute $1,000 and earn $49,293 or less.
Above that lower threshold, the amount tapers down. It reduces by roughly 3.333 cents for every dollar your income sits above $49,293, hitting zero at $64,293. The ATO's co-contribution calculator does this maths for you, but it helps to see it worked through:
- Income $48,000, contribution $1,000. You're under the lower threshold, so you receive the full $500.
- Income $52,000, contribution $1,000. You're $2,707 above the threshold. Multiply that by 3.333 cents and subtract from $500, and you land on an entitlement of roughly $410.
| Total income | $1,000 contribution outcome |
|---|---|
| $49,293 or less | $500 (maximum) |
| $52,000 | approximately $410 |
| $58,000 | approximately $210 |
| $64,293 or more | $0 |
Contribute less than $1,000 and the match still applies at 50 cents per dollar, just on a smaller base. A $600 contribution at a low income gets you $300, not $500.
What are the eligibility rules for the co-contribution?
Meeting the income test alone doesn't guarantee a payment. The ATO applies several conditions at once, and missing any one of them can mean nothing lands in your account.
- You made a personal, after-tax (non-concessional) super contribution during the year.
- Your total income sits below $64,293.
- At least 10% of your total income comes from employment or running a business. This is the "10% eligible income test," and it catches out more people than the income cap does.
- You were under 71 at the end of the financial year.
- You weren't a temporary resident for any part of the year, unless you're a New Zealand citizen or hold an eligible visa category.
- Your total super balance was below the transfer balance cap on 30 June of the previous year.
- You didn't exceed your non-concessional contributions cap.
- You lodged a tax return for the year.
The 10% test trips people up because rental income, dividends, and trust distributions don't count toward it, even though they count toward your total income for the upper threshold. A retiree living mostly off investment income, for example, could easily earn under $49,293 and still fail eligibility because none of that income comes from a job or a business. If your super balance is getting close to the cap on non-concessional contributions, it's worth reading through the non-concessional contributions rules before you contribute.
How do I make sure my contribution counts before 30 June?
Getting the timing right matters more than most people expect, because the ATO uses the date your fund receives the money, not the date you send it.
- Log into your super fund's member portal and make an after-tax (non-concessional) contribution using BPay, EFT, or a direct debit facility. If contributing through payroll, confirm it's tagged as after-tax, not salary sacrifice.
- Check with your fund that the payment has actually cleared and been allocated to your account, not just sent from your bank.
- Confirm your fund holds your correct TFN before you lodge your tax return. Without it, the ATO can't pay the co-contribution into that account.
- Lodge your tax return. The government contribution labels on the return feed directly into the ATO's calculation, so leave nothing blank.
- Wait for processing. Payments typically land between November and January after lodgement, once your return has been assessed.
Pro Tip: Fund processing times vary, and BPay transfers in particular can take several business days to clear. Make your contribution at least two to three weeks before 30 June rather than on the last possible day.
Should I claim a tax deduction instead of the co-contribution?
You can't do both on the same dollars. A personal contribution you claim as a tax deduction becomes a concessional contribution, and concessional contributions don't attract the co-contribution match under the Superannuation (Government Co-contribution for Low Income Earners) Act 2003. You choose one or the other for that money.
For many low-income earners, the co-contribution wins outright. A 50% government match is hard to beat on tax terms.
- On a $1,000 contribution, the co-contribution delivers a flat $500 if you're under the lower threshold, regardless of your tax rate.
- Claiming that same $1,000 as a deduction at a 19% marginal rate saves you roughly $190 in tax, well short of $500.
- Even at a 32.5% marginal rate, the deduction saves around $325, still less than the co-contribution match.
The gap only closes at higher incomes, and by then you're usually above the co-contribution threshold anyway. Before deciding, work out your marginal tax rate, how much you can realistically set aside, and whether you're also eligible for the Low Income Super Tax Offset, which can layer additional value onto contributions for low earners.
Common mistakes and a quick eligibility checklist
The most common reason people miss out isn't the income test. It's the contribution type. Salary-sacrificed amounts and anything you later claim as a tax deduction don't count as eligible personal contributions.
Other frequent errors:
- Assuming rental or investment income counts toward the 10% eligible income test (it doesn't).
- Forgetting to update your TFN with your fund before lodging your tax return.
- Depositing the contribution on 29 or 30 June and having it clear in the new financial year.
- Contributing more than your non-concessional cap allows, which can trigger excess contribution issues on top of missing the co-contribution.
Pro Tip: Set a personal deadline of early June, not 30 June. It gives your fund time to process the payment and gives you time to fix any TFN or account issues before the deadline actually matters.
How does the ATO pay the co-contribution and what if it's missing?
There's no separate claim form. Once you lodge your tax return, the ATO calculates your entitlement and pays it directly to your super fund, generally between November and January. The payment is tax free, preserved in your account like other super, and shows up as a distinct line on your member statement.
If it hasn't arrived by February, work through this in order:
- Check your latest member statement for a co-contribution entry.
- Contact your super fund to confirm they hold your correct TFN and that they haven't returned the payment to the ATO.
- Call the ATO on 13 10 20 if your fund has no record of it.
- If you don't have an eligible super account for the ATO to pay into, you may need to apply for direct payment of ATO-held super money.
Amber Wealth's view: fitting a co-contribution into your retirement plan
The co-contribution earns its place when your income is genuinely low, your marginal tax rate is modest, and you can spare a few hundred dollars a year.
Where it gets murkier is when income mixes are complex, your total super balance is approaching the cap, or Age Pension strategy is in play. In those cases, the right move depends on your full financial picture, not just this year's income figure. That's when a conversation with a qualified adviser is worth more than another calculator session.
— Adam
How Amber Wealth can help with your super contribution strategy
Working out whether to chase the co-contribution, claim a deduction, or split your extra savings between both isn't always straightforward, particularly once you're weighing it against caps, Age Pension eligibility, or a broader retirement timeline. That's the kind of decision Amber Wealth's superannuation advice service is built around, alongside how contribution strategy fits into your longer-term retirement planning.
This is general information only and doesn't account for your personal circumstances, so it isn't a substitute for tailored advice. If you'd like to talk through your own numbers, whether that's your income mix, contribution caps, or how a co-contribution fits into your bigger retirement picture, Amber Wealth offers a complimentary first chat to see where you stand and what's worth exploring further.
Where to check the current figures yourself
For the official word on thresholds and payments, go directly to the ATO's super co-contribution page, run your own numbers through the co-contribution calculator, or read the legislative detail in the Superannuation (Government Co-contribution for Low Income Earners) Act 2003. SuperGuide's co-contribution explainer also covers common pitfalls in plain language.
This article is general information, not a substitute for advice from a qualified financial advisor. Consult a qualified financial professional about your own circumstances before acting on anything here.
Sources
- Super co-contribution | Australian Taxation Office
- Superannuation (Government Co-contribution for Low Income Earners) Act 2003
- Super co-contributions — SuperGuide
FAQ
How much can I co-contribute to super?
The most you can contribute to trigger the maximum match is $1,000 in after-tax personal contributions, which earns the full $500 co-contribution if your income is $49,293 or less.
What is the maximum government super co-contribution for 2026–27?
The maximum is $500, payable when your total income is $49,293 or less and you contribute $1,000 after tax, tapering to zero at $64,293.
Is superannuation now 12%?
The Superannuation Guarantee rate reached 12% from 1 July 2025, but that's the employer contribution rate. It's separate from the co-contribution, which only matches your own voluntary after-tax contributions.
What happens if I contribute more than $27,500 to super?
There is a concessional contributions cap applying to pre-tax contributions like salary sacrifice, separate from the after-tax contributions used for the co-contribution. Exceeding that cap can trigger extra tax, so check your concessional contributions cap separately from any co-contribution planning.
Do I need to apply for the super co-contribution?
No. There's no application. The ATO calculates your entitlement automatically after you lodge your tax return, as long as your super fund has your correct TFN on file.
Recommended
- The concessional contributions cap: your 2026 numbers and next steps
- Carry forward contributions: how to boost your super cap
- Non-concessional contributions: 2026 rules and caps explained
- 2026–27 Bring Forward Rule: ATO Thresholds and Adviser Checklist
This article is general information, not a substitute for advice from a qualified financial advisor. Consult a qualified financial professional about your own circumstances before acting on anything here. General Advice Warning Disclaimer: The information on this website is general information only and is not intended to be a recommendation. We strongly recommend you seek advice from your financial adviser as to whether this information is appropriate to your needs & financial situation.