The two caps, 2026-27
| Concessional (pre-tax) | Non-concessional (after-tax) | |
|---|---|---|
| Annual cap | $32,500 (was $30,000) | $130,000 (was $120,000) |
| What counts | Employer SG, salary sacrifice, personal deductible contributions | After-tax deposits, spouse contributions received |
| Tax going in | 15% (30% above $250k income — Div 293) | Nil |
| Boosters | Carry-forward: 5 years of unused caps if balance < $500,000 | Bring-forward: up to $390,000 across 3 years if under 75 |
Both caps rose on 1 July 2026 because indexation (in $2,500 steps for the concessional cap) finally triggered. The non-concessional cap is always 4× the concessional cap, and the transfer balance cap — how much you can move into a tax-free retirement pension — rose to $2.1 million.
The mistake that catches employees: SG counts first
Your employer's 12% Super Guarantee eats into the concessional cap before you sacrifice a cent. On $150,000, SG is $18,000 — leaving only $14,500 of sacrifice room. High earners on $270,000+ have essentially no room at all, because SG on the maximum contribution base is around $32,500 by itself. Always compute SG first (the calculator above does).
Carry-forward: the underused lever
If your total super balance was under $500,000 last 30 June, unused concessional cap from up to five prior years stacks on top of this year's cap. Someone who contributed only SG for five years could have $50,000+ of extra deductible space — enormously useful in the year you sell an investment property and want to offset a capital gain. Your exact unused amount is listed in ATO online services under Super → Carry-forward concessional contributions.