How can I grow my super?
What you do today can make a big difference later.
Explore the steps you can take to help grow your retirement savings.
Add extra to your super when you can
There are two main ways you can contribute to your super:
- before tax contributions (also known as concessional contributions), and
- after tax contributions (also known as non-concessional or personal contributions).
Before tax contributions
Before tax contributions are made from your income before tax is taken out. They include your employer's Super Guarantee (SG) contributions, any salary sacrifice contributions, and personal contributions you claim as a tax deduction.
Why consider it?
- Pay less tax: These contributions are usually taxed at 15% (depending on your income), which may be lower than than the tax you pay on your income.
- Reduce your taxable income: By salary sacrificing from your before tax income, you could lower your taxable income and potentially pay less tax.
- Grow your super: The earlier you start contributing extra to your super, the more you benefit from compound interest. This means you earn interest on your interest, and over time, this can significantly increase your super balance.
After tax contributions
After tax contributions are made from money you've already paid tax on, such as your take-home pay, savings, an inheritance or proceeds from selling an asset.
Why consider it?
- Boost your super without paying extra tax: Because these contributions come from income that’s already been taxed, you generally won’t pay additional tax when they’re added to your super (unless you exceed the annual cap).
- Benefit from government incentives: You may be eligible for a government co-contribution to help boost your super savings.~
- Support your spouse: Help your partner grow their retirement savings and potentially claim a tax offset by contributing to their super.~
- Claim a tax deduction: If you’ve made after tax contributions to your super, you may be eligible to claim a tax deduction for these contributions.~
- Grow your super: Adding extra contributions can help increase your balance over time, giving your super more opportunity to grow.
While making extra contributions can be a great way to grow your savings for retirement and could reduce your tax, it isn't right for everybody. There are limits (contributions caps) that apply to both before and after tax contributions. If you go over these caps, you may need to pay extra tax. Before making contributions, always think about your situation and consider obtaining financial advice.† BUSSQ offers personal advice to members at no charge.^
To learn more:
Super contribution caps
The government sets limits (contribution caps) on how much money you can add to your super each year. While aAdding extra to your super is a great way to grow your balance, if you go over these limits, you may pay extra tax.
Put money in your super and make a tax deduction
You may be able to claim a tax deduction for personal super contributions that you make from your after-tax income.
How to make contributions
BUSSQ makes it easy for you to build your super, with flexible ways to contribute:
1. Salary sacrifice
Salary sacrifice is when your employer pays part of your salary into your super account before tax, instead of it being paid to you as take-home income.
Check with HR or payroll team to see if salary sacrificing is available. If it is, ask your employer to set it up for you.†
2. BPAY®
BPAY® allows you to transfer set amounts directly from your bank, building society or credit union account into your BUSSQ account.
You can find your BPAY details in your online account or by calling us.
3. Payroll deduction
Your employer may be able to arrange additional super contributions directly from your pay.
Speak with your employer to to see if this option is available. If it is, you can organise regular deductions from your pay.†
4. Direct Debit
You can choose to have a set amount regularly deducted from your bank account and paid into your BUSSQ account.
To get started, simply complete and return a Direct Debit Request form.†
Watch and learn
Voluntary contributions
Adding a little extra to your super now could make a real difference to your balance at retirement.
Salary sacrifice
Salary sacrificing part of your before tax salary into your super account can help grow your super and reduce your taxable income.
Get it together – Find and combine your super
Find lost super
If you've ever changed your name, address or job, there's a chance you could have super accounts you've lost track of. These may be sitting with other super funds or held by the Australian Tax Office (ATO).
You can find lost or unclaimed super using your Tax File Number (TFN) and logging into myGov via the ATO website.
Combine your super
If you've had more than one job, there's a good chance you may more than one super account.
Having multiple accounts can mean you’re paying multiple fees and insurance premiums. So it could be worth thinking about getting your super accounts all together.▷
Have you changed jobs recently?
If you start a new job, take a couple of simple steps to ensure you keep track of your super.
If you forget to tell your employer where you want your super paid, you could end up with more than one super account.
Get more from your super
There are plenty of things you can do now to make a big difference later.
