Super Contribution Caps for 2026–2027: The New Limits and How to Use Them

The new financial year has brought a meaningful lift in how much Australians can contribute to superannuation. From 1 July 2026, the key contribution caps and thresholds have all increased through indexation, opening up fresh tax planning opportunities for employees, business owners, and SMSF trustees alike.

Here is your complete guide to the 2026–27 numbers, and the strategies worth discussing with your accountant this year.

The headline changes for 2026–27

The concessional (before-tax) contributions cap has increased from $30,000 to $32,500 per year. This cap covers everything contributed from pre-tax income: your employer's 12% super guarantee, salary sacrifice amounts, and personal contributions you claim as a tax deduction. All three count toward the same limit, and concessional contributions are generally taxed at just 15% inside super, well below most marginal tax rates.

The non-concessional (after-tax) contributions cap rises from $120,000 to $130,000, because it is always set at four times the concessional cap. For those under 75 who are eligible for the bring-forward rule, up to three years of caps can be used at once, lifting the maximum to $390,000 in a single year, subject to your total super balance. Note that if you triggered a bring-forward in 2024–25 or 2025–26, you remain locked to the caps that applied when you triggered it, with no benefit from this year's indexation.

The general transfer balance cap, the limit on how much can move into the tax-free retirement phase, increases from $2.0 million to $2.1 million. This same figure now sets the total super balance ceiling for non-concessional contribution eligibility: if your balance was $2.1 million or more at 30 June 2026, your non-concessional cap for this year is nil, although concessional contributions remain available regardless of balance.

For employers, the maximum contribution base becomes an annual figure of $270,830 under Payday Super, replacing the old quarterly calculation. Once an employee's qualifying earnings hit that amount for the year, no further SG is required.

What has not changed

The SG rate stays at 12%. The Division 293 threshold remains at $250,000, meaning high-income earners still pay an extra 15% on concessional contributions above that level, and with the cap now $32,500, more people will brush up against it. The downsizer contribution stays at $300,000 per person, and the $500,000 total super balance threshold for carry-forward contributions is not indexed.

The carry-forward opportunity

One of the most powerful strategies in the system remains catch-up concessional contributions. If your total super balance was under $500,000 at 30 June 2026, you can use unused concessional cap amounts from the previous five financial years on top of this year's $32,500. Someone who has barely used their caps could contribute as much as $175,000 concessionally in 2026–27, generating a substantial one-off tax deduction in a high-income year, such as after a business sale, a large capital gain, or a bonus.

This is particularly relevant given the CGT reforms arriving from 1 July 2027. A well-timed concessional contribution can soften the tax impact of realising gains, which makes 2026–27 a year where super strategy and broader tax planning genuinely intersect.

What SMSF trustees and business owners should do now

Review your salary sacrifice arrangements so they take full advantage of the higher $32,500 cap without exceeding it, remembering that employer SG counts first. Check your total super balance at 30 June 2026, since it determines your non-concessional eligibility and bring-forward capacity for the whole year. If you are approaching retirement, the higher $2.1 million transfer balance cap may allow more of your savings into the tax-free pension phase. And if you intend to claim a deduction for personal contributions, ensure your notice of intent is lodged correctly and on time.

Contact us today to build a 2026–27 contribution strategy that keeps more of your money working for you.

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This article is general information only and does not constitute financial or tax advice. Speak to a registered tax agent about your specific circumstances.