Superannuation Changes 2025-2026: What Every Australian Needs to Know
The start of a new financial year is always a good time to take stock of your superannuation — and 2025-2026 brings some meaningful changes that could have a real impact on your retirement savings. Whether you're just starting out, approaching retirement, or already drawing a pension, understanding these updates is essential.
Let me walk you through the key changes and what they mean for you.
Concessional Contribution Cap Increases
From 1 July 2025, the concessional contributions cap — which covers employer contributions, salary sacrifice, and personal deductible contributions — has increased to $30,000 per year. This is a welcome rise for anyone looking to boost their super in a tax-effective way.
If you're self-employed or have the flexibility to make personal contributions, this is an excellent opportunity to reduce your taxable income while building your retirement nest egg. Don't let this window pass without reviewing your contribution strategy.
Non-Concessional Contributions Cap
The non-concessional contributions cap has also increased to $120,000 per year. If you have after-tax savings sitting in a bank account earning modest interest, moving some of that money into super — where earnings are taxed at just 15% in accumulation phase — can be a smart long-term move.
The bring-forward rule still allows eligible individuals under 75 to contribute up to three years' worth of non-concessional contributions in a single year, giving you even more flexibility.
Transfer Balance Cap
The general transfer balance cap — the limit on how much you can move into a tax-free retirement income stream — remains at $1.9 million for 2025-2026. If you're approaching this threshold, careful planning is essential to avoid excess transfer balance tax.
Super Guarantee Rate
The Superannuation Guarantee (SG) rate continues its scheduled rise, now sitting at 12%. This means your employer is required to contribute 12 cents for every dollar you earn into your super fund. Over a working lifetime, that extra percentage point makes a significant difference to your final balance.
What Should You Do Now?
These changes create real opportunities — but only if you act on them. Here's what I'd suggest:
- Review your salary sacrifice arrangements to take advantage of the higher concessional cap.
- Check your total super balance — this affects your eligibility for catch-up contributions and non-concessional contributions.
- Talk to your financial adviser about whether a bring-forward contribution makes sense for your situation.
- Consolidate any lost or multiple super accounts to reduce fees and simplify your retirement planning.
Want to Understand Super More Deeply?
Superannuation is one of the most powerful wealth-building tools available to Australians — but it's also one of the most misunderstood. Over the years, I've seen too many people leave money on the table simply because they didn't know the rules.
That's exactly why I wrote Super Made Simple — 7th Edition. It's a plain-English guide to everything you need to know about superannuation: how it works, how to grow it, and how to make the most of it in retirement. Whether you're 30 or 65, this book will give you the knowledge to take control of your super.
👉 Get your copy of Super Made Simple — 7th Edition here.
And if you're thinking about the bigger picture — how super fits into your estate, your will, and your legacy — my ebook Wills, Death and Taxes Made Simple is the perfect companion read.
A Final Word
The rules around superannuation change regularly, and it can be hard to keep up. But the fundamentals remain the same: start early, contribute consistently, understand the tax advantages, and get good advice. The new financial year is a fresh start — make it count.
If you have questions, I'd love to hear from you. You can also find more of my articles, interviews, and podcasts at noelwhittaker.com.au.
— Noel Whittaker AM