SuperGuide

Australian super is now one of the largest pools of investment capital in the world, so where it’s invested has real consequences. Yet most members have little idea what their fund actually owns. A new analysis from Mindful Investing examined 15 of the largest super funds, around $2.1 trillion or 70% of the market, across 31 investment options worth $882 billion.

A ‘lifetime’ income stream (LIS) is one of the simplest retirement products to understand at a high level. In exchange for a lump sum, it pays you a regular income for the rest of your life, no matter how long you live. In effect, it converts part of your retirement savings to an income stream that you can never outlive. The primary purpose of a LIS is to eliminate the risk of running out of superannuation income in retirement. Most LISs also pay out a lump sum if you die earlier than expected.

Learn about downsizer super contributions in detail in our webinar, including how the eligibility rules work, plus timing, Centrelink and strategy considerations. Lee and Mandy’s example below shows how a downsizer contribution could work in a real-life scenario. Lee (76) is retired with a current super balance of $100,000 invested in a simple account-based pension. Lee’s wife Mandy (75), also retired, has a current super balance of $80,000 invested in a simple account-based pension.

Running a business comes with much more than managing day-to-day operations. One important aspect is making sure employees receive the correct entitlements, including superannuation. If you employ staff or use contractors to provide labour in your business, you must provide them with regular superannuation guarantee (SG) contributions to the correct super fund. Full-time, part-time and casual staff aged 18 and over must be paid super.

Superannuation is widely regarded as the most tax-effective vehicle for retirement savings, but tax effective is far from tax simple. In this article, we summarise the eye-glazing range of tax rates and thresholds that can affect the amount of tax you pay on your super savings both in the accumulation phase (while you are working) and retirement phase (when you withdraw your money). SuperGuide members can download a PDF of the key super rates and thresholds, including quick reference guide.

Key questions about concessional contributions What is the current concessional contributions cap? $32,500 for 2026-27. It increased from $30,000 in 2025-26. What tax do I pay? Most concessional contributions are taxed at 15% when they enter your super fund. Higher-income earners may also pay Division 293 tax. What counts as a concessional contribution? Employer Superannuation Guarantee (SG), salary sacrifice and personal contributions you claim as a tax deduction.

Key questions about non-concessional contributions What is the current non-concessional contributions cap? $130,000 for 2026-27. It increased from $120,000 in 2025-26. Do I pay tax on non-concessional contributions? No. Non-concessional contributions are made from after-tax money, so there is no 15% contributions tax when they enter your super fund. What counts as a non-concessional contribution?

Watch our video guide below, or continue reading for in-depth detail on the transfer balance cap rules. The video reflects the $1.9 million cap that applied prior to 1 July 2025. SuperGuide members have access to an extended version of this video which details what is included in the transfer balance account, what happens if you exceed the cap, how the transfer balance cap applies to defined benefit pensions, important mistakes to avoid and the importance of timing your pension.

The concept of a Total Superannuation Balance, or TSB, was introduced on 1 July 2017 to measure the value of your total interests in the superannuation system. It is used to determine eligibility for a number of superannuation measures, such as the ability to carry forward unused concessional contribution caps, and is calculated as of 30 June each year.

Superannuation and tax are inextricably linked, and it is critical to be across how much income tax you pay so you can properly evaluate which super contribution strategies could make most sense to you, particularly since significant income tax cuts will be introduced from July 2024. Enter your taxable income for 2026–27 (or previous years) below and the calculator will show you what offsets you may be eligible for, as well as your marginal tax rate and how much income tax you effectively pay.