Super Co-Contribution 2013/2014/2015

An updated article has been written on the Government Super Co-Contribution, which includes updated thresholds, etc. Click here to access the article.

The Government super co-contribution is a superannuation contribution that the Government pays into your superannuation member account on your behalf as an incentive for you to increase your retirement benefits

What are the income thresholds for the Super co-contribution in 2013/2014/2015

In order to receive any amount of the Super co-contribution 2013/14, your total income must be below $48,516 p.a. (2013/14). If your total income is above $48,516, you are ineligible to receive any co-contribution.

Your spouse’s income, children’s income, or any other family income is irrelevant in determining your eligibility. Furthermore, your family home, investment assets, investment properties, cash in the bank or any other types of assets are not factored into determining your eligibility for the super co-contribution (i.e. it is not asset tested).

You are eligible to receive the full super co-contribution if your taxable income is below $33,516 p.a.

Your co-contribution entitlements slowly phases out between the lower threshold ($33,516) and the upper threshold ($48,516)

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How to receive the super co-contribution 2013/2014/2015

To receive the co-contribution you need to make a Non-Concessional Contribution to your superannuation account.

Remember that you will need to meet the Superannuation Work Test in order to make a Non-Concessional Contribution over the age of 65.

A Non-Concessional Contribution is a contribution that you make into your super account with after-tax dollars from your personal bank account.

You will not receive the co-contribution based on Concessional Contributions made into your account. A Concessional Contribution is a contribution made where a tax deduction has been claimed. Examples of Concessional Contributions are SG Contributions made by your employer, salary sacrifice contributions and personal concessional contributions. Remember, by using a Superannuation Choice Form, you may be able to direct where you would like your employer to make contributions.

Making or receiving a Concessional Contribution does not make you ineligible for the Government co-contribution; it just won’t get you the co-contribution.

Super Co-Contribution 2015 FY

The maximum Government co-contribution that will be paid is equal to 50 cents for every $1 of eligible Non-Concessional contributions made into your account.

Related Posts:

The maximum co-contribution of $500 reduces by 3.33 cents for every $1 that your total income exceeds $34,488 (2014/15), up to $49,488

Super Co-Contribution 2014 FY

The maximum Government co-contribution that will be paid is equal to 50 cents for every $1 of eligible Non-Concessional contributions made into your account.

The maximum co-contribution of $500 reduces by 3.33 cents for every $1 that your total income exceeds $33,516 (2013/14), up to $48,516

Super Co-Contribution 2013 FY

The maximum Government co-contribution that will be paid is equal to 50 cents for every $1 of eligible Non-Concessional contributions made into your account.

The maximum co-contribution of $500 reduces by 3.33 cents for every $1 that your total income exceeds $31,920(2012/13), up to $46,920

Super Co-Contribution 2012 FY

The maximum Government co-contribution that will be paid is equal to $1 for every $1 of eligible Non-Concessional contributions made into your account.

The maximum co-contribution of $1,000 reduces by 3.33 cents for every $1 that your total income exceeds $31,920(2011/12), up to $61,920

How is the Contribution and Super Co-Contribution treated?

The Non-Concessional contribution that you make in order to get the co-contribution will form part of the ‘Tax Exempt’ component of your superannuation balance, which will enter and exit the superannuation environment tax free – even to non-dependents in the event of your death. This contribution will count towards your Non-Concessional contribution cap.

The super co-contribution made by the Government into your account will also form part of the ‘Tax Exempt’ component; however will not count towards your Non-Concessional contribution cap (nor your Concessional cap for that matter).

When will the super co-contribution be paid into my account?

You do not need to apply for the Government co-contribution. It will automatically be paid based on your completion of the A3 government super contribution labels in your income tax return.

The Australian Tax Office states here that most co-contribution payments are made between November and January each year.

If you would like anything clarified or have any further questions about Super Co-Contribution 2013/14 or any other topics, please do not hesitate to leave a comment.

Chris Strano

Hi, I hope you enjoyed reading this article. If you want my team and I to help with your retirement planning, click here. If you prefer a DIY approach, then check out the SuperGuy HUB. Thanks for stopping by - Chris.

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2 Comments

  1. danny yue

    For 2012/13 year, I had declared business income business income $2500 in question 15 & dividend income $215 including franking credit in question 11. My 2013 taxable income was $2715.

    As I had already declared the above in question 11 & 15 in my 2013 personal tax return, do I still have to fill in question A3 label F, G H in order to claim the 2013 government co-contribution?

    I thought the A3 question is only for ‘low income super contribution’ purpose, and not for ‘government co-contribution’ purpose. Please kindly clarify.

    Thanks

    Reply
    • Chris Strano

      Hi Danny
      I have never actually completed a tax return!
      I had a look, but am unable to confidently provide any assistance as your personal circumstances may influence to process.
      Your question is best answered by speaking to an accountant.
      Sorry I couldn’t help further.
      Chris

      Reply

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