Your employer contributes to your PSSap account each time you are paid. These contributions total a minimum of 15.4% of your salary – which is much higher than the compulsory 9% Superannuation Guarantee (SG) most people receive.
In this section find out about:
- super contribution limits
- member contributions – what you can contribute
- your employer contributions
- co-contribution scheme
- consolidating other super into your PSSap account.
Super contribution caps
There are limits, or caps, on how much can be contributed to superannuation before additional tax is incurred. These caps took effect on 1 July 2007.
Non-concessional contributions
These are your personal contributions made to super from your after-tax salary.
What is your limit?
Your non-concessional contributions across all your funds are capped to:
- $150,000 per year; or
- for members under 65, $450,000 over three years – for example, $300,000 in year one, $100,000 in year two and $50,000 in year three.
Concessional contributions
Concessional contributions are restricted to $25,000 per year. If you have gone over your concessional (before-tax) contributions cap by $10,000 or less in 2011-12 or a later financial year, you may receive a once-only offer to have the excess concessional (before-tax) contributions refunded to you and assessed at your marginal tax rate, rather than pay excess contributions tax.
What is your limit?
Your concessional contributions across all your funds are capped to $25,000 for the financial year 2012/13.
Contributions above your limit will be taxed at the top marginal tax rate and also count under your non-concessional contributions limit.