Are you on track for a comfortable retirement? For most people, your employer needs to contribute at least 11.5% of your earnings* to your super, and this is set to increase to 12% on 1 July 2025.
This is a great start, but for some it may not be enough. Putting a little extra money into your super while you’re working can help keep your super balance on track for a more comfortable retirement.
Making personal contributions, also known as after-tax contributions, is one way to do this. These are contributions you make voluntarily from money that’s already been taxed, for example, your take-home pay, personal savings account or even money you’ve inherited.
We know that irregular employment in the building and construction industries mean income may fluctuate and it’s not always easy to find extra money at the end of the month. Making one-off or extra contributions during high earning periods is a great way to offset slower periods.
A small contribution made early in your working life could work hard for you over time to significantly boost your balance. Keep in mind that there’s a contribution limit to how much you can put into your super after tax. The current cap is $120,000 per financial year.
Claiming a tax deduction
If you’re eligible, you may be able to reduce your taxable income by claiming a tax deduction on your personal contributions which could reduce the amount of income tax you pay – meaning more money back in your pocket at tax time.
Remember that this will count towards your before-tax contribution limits which is currently capped at $30,000 per financial year.
We’re here to help
If you want to better understand your options, particularly if you’re considering making a large contribution, speak with your local Coordinators or our Advice team at 1300 361 784, 8.30am to 6.00pm, Mon to Fri AEST. It’s included as part of your Cbus Super membership.
For more information on making super contributions, visit cbussuper.com.au/super/making-super-contributions
*Ordinary Time Earnings (OTE)
This information is about Cbus Super. It doesn’t account for your specific needs. Please consider your financial position, objectives and requirements before making financial decisions. Read the relevant Product Disclosure Statement (PDS) and Target Market Determination to decide if Cbus Super is right for you. Call 1300 361 784 or visit cbussuper.com.au.
United Super Pty Ltd ABN 46 006 261 623 AFSL 233792 as Trustee for the Construction and Building Unions Superannuation Fund ABN 75 493 363 262 (Cbus and/or Cbus Super)