What are catch up super contributions?
The government wanted to encourage people with fluctuating incomes, such as women taking time off to have a family, people out of work for a period, and working parents with mortgage payments and school fees, to make additional super contributions when their circumstances change and they can free up some income. From 1 July 2018, eligible individuals can make catch up contributions.
When can SMSF members make catch up contributions?
An SMSF member with a total super balance (TSB) of less than $500,000 on 30 June of the previous financial year is eligible to make catch up contributions in the following year. A member with a TSB of, say, $450,000 on 30 June 2026 is eligible to make catch up contributions in the 2026/27 year if they have unused carry-forward contributions.
What are unused carry-forward contributions?
The unused portion of the concessional contribution cap can be carried forward for a maximum period of 5 years.
Catch up contributions apply only to concessional contributions (before tax). Typically, these include employer superannuation guarantee contributions (SG), salary sacrifice contributions, and personal contributions for which a member claims a tax deduction.
Concessional contributions have an annual cap. A summary of that cap for the last few years is:
| Time period | Concessional contribution cap |
| From 1 July 2026 (2026/27 year) | $32,500 |
| 1 July 2024 to 30 June 2026 | $30,000 |
| 1 July 2021 to 30 June 2024 | $27,500 |
| 1 July 2017 to 30 June 2021 | $25,000 |
Example – no prior unused carried forward contributions from 2020/21
| Description | 2021/22
$ |
2022/23
$ |
2023/24
$ |
2024/25
$ |
2025/26
$ |
2026/27
$ |
| Contribution cap | 27,500 | 27,500 | 27,500 | 30,000 | 30,000 | 32,500 |
| Unused cap c/fwd. | Nil | 7,500 | 20,000 | 7,500 | 27,500 | Nil |
| Maximum cap available | 27,500 | 35,000 | 47,500 | 30,000 | 57,500 | 32,500 |
| Total super balance at prior 30 June | 350,000 | 401,000 | 480,000 | 510,000 | 495,000 | 520,000 |
| Contributions made | 20,000 | 15,000 | 40,000 | 10,000 | 57,500 | 32,500 |
| Unused concessional cap | 7,500 | 12,500 | Nil | 20,000 | Nil | Nil |
Add the carried-forward unused cap to the cap for that year to calculate the total cap available. However, if your TSB as at 30 June is $500,000 or more, the carried-forward unused cap is not available, but you can carry it forward as long as it does not fall foul of the five-year period. You can still contribute up to the maximum concessional cap for that year.
In the example above, the unused cap from 2021/22 is applied in 2023/24, along with part of the unused cap from 2022/23, when you make a $40,000 contribution.
| Description | 2023/24
$ |
| Contribution made | 40,000 |
| Annual cap for 2023/24 | 27,500 |
| Applied unused cap from 2021/22 | 7,500 |
| Applied unused cap from 2022/23 | 5,000 |
| Contribution made | 40,000 |
| Available carry forward unused cap in 2023/24 | 20,000 |
| Unused cap applied from 2021/22 | -7,500 |
| Unused cap applied from 2022/23 | -5,000 |
| Unused cap carried forward to 2024/25 | 7,500 |
The unused portion of the member’s concessional contribution must be fully applied within five years, or it is lost.
Example – when the five-year carry forward period expires
| Description | $ | Use by |
| Unused cap 2021/22 | 7,500 | 30/6/2027 |
| Unused cap 2022/23 | 12,500 | 30/6/2028 |
| Unused cap 2023/24 | NIL | N/A |
| Unused cap 2024/25 | 20,000 | 30/6/2030 |
| Unused cap 2025/26 | NIL | N/A |
| Unused cap 2026/27 | NIL | N/A |
The importance of knowing your total super balance (TSB)
Only individuals with a TSB under $500,000 at 30 June before the year a contribution is made are eligible to take advantage of the catch up contribution rules.
Your TSB is the total super you have across all your super funds, not just your SMSF, at 30 June. It is the total balance of all your member accounts (including accumulation and pension accounts), representing the value if you withdrew all your super. However, if you have a defined benefit interest not in pension mode, or a legacy defined pension, the amount included in your TSB is subject to special valuation rules. Only a very small number of SMSFs have these types of benefits. Members with a limited recourse borrowing arrangement (LRBA) may, in limited circumstances, need to gross up their member balances to include an appropriate portion of the outstanding borrowing. Any structured settlement contribution (personal injury or workers’ compensation lump-sum payout) is excluded from the calculation of a member’s TSB.
How does an SMSF member know their Total Super Balance (TSB)?
You can access your TSB via your myGov account. Your TSB updates only when the ATO receives the information, so make sure it includes data from all your super funds for that financial year, and there are no outstanding lodgements.
The ATO records details of an individual’s superannuation member balances across all types of superannuation funds. The ATO uses data from an SMSF’s annual return, generally lodged in mid-May of the following financial year, or from an APRA-regulated fund (retail, industry or government fund) member account transaction to calculate a member’s TSB. The retirement phase value of pensions such as a defined legacy pension is sourced from the balance of your transfer balance account. However, from 1 July 2026, the calculation of the TSB value of these types of pensions or defined benefit interests is changing.
Steps to find out your TSB include:
Step 1: If you do not have an existing account, you will need to ‘Create a myGov account’.
Step 2: Sign in to your ‘myGov account’.
Step 3: Select Super
Step 4: Select Information
Step 5: Select Total Superannuation Balance
You can check your current and historical TSB. If you believe the information is incorrect, please verify it with each fund and your own records. We can assist you with your SMSF records, but we are not your tax agent and therefore do not have access to your personal tax records.
How can I check my unused carry-forward contributions?
It is a similar process to checking for your TSB.
Steps to find out the balance of your unused concessional contributions include:
Step 1: If you do not have an existing account, you will need to ‘Create a myGov account’.
Step 2: Sign in to your ‘myGov account’.
Step 3: Select Super
Step 4: Select Information
Step 5: Select Carry forward concessional contributions
What should I consider when catching up super contributions?
Consider the following when making catch up concessional super contributions:
- What was your TSB as at 30 June of the prior year? It cannot exceed $500,000 (not indexed).
- Use it or lose it – you can only carry an unused contribution forward for five years.
- First-in, first-out rule applies – the oldest portion of the unused contribution cap is applied first.
- Personal deductible contributions can’t be made if you do not have sufficient taxable income to absorb the tax deduction being claimed – you cannot create a taxable loss.
- Be aware of the impact of Div 293 tax (an additional 15% tax on high-income earners) on additional contributions.
- Make the contribution at least a few days before 30 June – do not get caught transferring funds via EFTPOS on 30 June, as it may not be presented in the fund’s bank account until after the EOFY cut-off date, effectively shifting the contribution to a different financial year, which may not align with eligibility criteria.
- Track all of your employer and concessional member contributions made to all your super funds and contributions expected to be made before 30 June to ensure you do not exceed your concessional cap for that year.