Super contribution caps for 2026–27: concessional, non-concessional and bring-forward
The concessional cap rises to $32,500 and the non-concessional cap to $130,000 from 1 July 2026. How each cap works, bring-forward thresholds and what counts toward them.
From 1 July 2026 the general concessional contributions cap is $32,500 a year (up from $30,000 in 2024–25 and 2025–26) and the non-concessional contributions cap is $130,000 a year (up from $120,000). Under the bring-forward rule, people under 75 with a total super balance below $1.84 million at 30 June 2026 can contribute up to $390,000 of non-concessional contributions over three years. The general transfer balance cap rose to $2.1 million on the same date, and a total super balance at or above that figure means your non-concessional cap is nil.
Caps matter for tax planning because concessional contributions are taxed at 15% in the fund instead of your marginal rate, while going over a cap brings extra tax and paperwork. This guide sets out both caps for 2025–26 and 2026–27, explains what counts toward each, and links to the worked examples. It is general information, not financial advice.
Concessional contributions: what counts
Concessional contributions are made from pre-tax money or are claimed as a tax deduction. They include:
- your employer's super guarantee contributions (12% of ordinary time earnings since 1 July 2025);
- salary sacrifice amounts;
- personal contributions you claim as a deduction (after a valid notice of intent);
- some other employer contributions, such as insurance premiums paid by the employer and certain defined benefit amounts.
| Income year | General concessional cap | Tax in the fund |
|---|---|---|
| 2024–25 | $30,000 | 15% (30% with Division 293) |
| 2025–26 | $30,000 | 15% (30% with Division 293) |
| 2026–27 | $32,500 | 15% (30% with Division 293) |
Illustrative example, 2026–27: salary of $150,000 with super guarantee of 12% = $18,000. The room left for salary sacrifice or deductible contributions under the general cap is $32,500 − $18,000 = $14,500, before any carry-forward amounts. Contributions count in the year the fund receives them, not when your payslip shows them, so a late June employer payment can land in the next year.
If your total super balance was below $500,000 at the previous 30 June, unused cap from earlier years may be added; see carry-forward concessional contributions.
Non-concessional contributions
Non-concessional contributions are after-tax contributions you do not claim as a deduction, plus spouse contributions made into your account and certain other amounts. They are not taxed when they go in, which is why the cap is designed to limit how much can be moved into the concessionally taxed environment.
Your non-concessional cap for a year depends on your total super balance at the end of the previous 30 June.
| Total super balance at 30 June 2026 | Non-concessional cap for 2026–27 |
|---|---|
| Less than $1.84 million | $130,000, or up to $390,000 using the 3-year bring-forward |
| $1.84 million to less than $1.97 million | $130,000, or up to $260,000 using a 2-year bring-forward |
| $1.97 million to less than $2.1 million | $130,000, no bring-forward |
| $2.1 million or more | Nil |
For 2025–26 the equivalent figures were a $120,000 annual cap, up to $360,000 over three years, and a nil cap at a balance of $2 million or more. If you triggered a bring-forward period in an earlier year, the higher 2026–27 cap generally does not top up that period; the cap you triggered with stays in place until the period ends. This is one of the most common reasons for an unexpected excess, so ask your fund or the ATO before contributing near the limit.
To use the bring-forward rule you must be under 75 at some time in the first year. Contributions made after age 75 are generally limited to downsizer contributions and employer contributions.
Contributions that do not count toward the caps
- Downsizer contributions of up to $300,000 per person from the sale of a home owned for 10 years or more, available from age 55. They do not count toward the non-concessional cap but do increase your total super balance.
- Certain CGT small business contributions (subject to their own lifetime limit).
- Personal injury settlement contributions that meet the conditions.
- Government co-contributions and the low income super tax offset paid to your account.
Tax consequences of the caps
| Contribution type | Within cap | Above cap |
|---|---|---|
| Concessional | 15% in the fund | Excess included in your assessable income and taxed at your marginal rate, with a 15% offset; you can release up to 85% of the excess |
| Non-concessional | No tax going in | Release the excess plus 85% of associated earnings (earnings taxed at your marginal rate), or pay 47% excess tax |
How the ATO handles an excess, and how to avoid one, is in exceeding super contribution caps. For people with income above $250,000, Division 293 adds a further 15% on concessional contributions.
Choosing how to use the concessional cap
- Salary sacrifice is set up with your employer before you earn the salary. Run your numbers through the salary sacrifice calculator and read the worked example.
- Personal deductible contributions are made from your bank account and claimed later. You must lodge a notice of intent with the fund and receive its acknowledgment before you lodge your return, roll over, withdraw or start a pension from that money.
- Timing. Funds can take days to process a contribution. Contributions intended for a year should arrive well before 30 June.
People aged 67 to 74 who want to claim a deduction for personal contributions must generally meet the work test (40 hours in 30 consecutive days in the year) or the work test exemption.
FAQ
Does the super guarantee count toward the concessional cap?
Yes. All employer contributions for you, including the 12% super guarantee, count toward the concessional cap.
Is the higher 2026–27 cap automatic?
Yes. The caps are indexed by law in $2,500 (concessional) steps linked to average weekly ordinary time earnings, and the non-concessional cap is four times the concessional cap.
Can my partner use my unused cap?
No. Caps are personal. A spouse contribution is a non-concessional contribution for the receiving spouse.
Do I need to tell my fund my total super balance?
The ATO calculates your total super balance from fund reporting. You can see it in ATO online services through myGov before making large contributions.
Sources
- Australian Taxation Office — caps, limits and tax on super contributions; total super balance; notice of intent
- Moneysmart — ASIC's guidance on growing your super
- Federal Register of Legislation — Income Tax Assessment Act 1997, Division 291 and 292
Related: income tax rates, CGT discount.
