5th Jun 2022

How to claim Government Co-contribution up to $500

If you are on a lower income, the Australian Government is contributing 50 cents toward your super for every $1 extra you contribute to your super, up to a maximum of $500 a year. This is called the co-contribution scheme.

Eligibility for the super co-contribution:

You are eligible if:

  • your total income (including assessable income, fringe benefits and reportable super contributions) for the financial year 2021-22 is less than $56,112.

  • 10% or more of your total income comes from eligible employment-related activities or carrying on a business, or a combination of both.

  • you are less than 71 years old at the end of the financial year.

  • you did not hold a temporary visa at any time during the financial year (unless you are a New Zealand citizen or it was a prescribed visa).

  • you have a total superannuation balance less than the transfer balance cap $1.6 million at the end of 30 June of the previous financial year.

  • you have not contributed more than your non-concessional contribution cap.

  • make an after-tax contribution before 30 June 2022.

  • you have lodged your tax return for the financial year.

How much you will receive depends on your income:

If you earn $41,112 or less in 2021-22, then you will qualify for the full $500 from the Australian Government.

Super co-contribution and tax:

The super co-contribution is:

  • Not subject to tax when it is paid to your super fund.

  • Not included as income in your tax return.

What I need to do?

If you are eligible:

  • Make an after-tax contribution up to $1,000 before 30 June 2022.

  • Lodged your tax return for the year ending 30 June 2022 in time.

  • ATO will pay co-contribution directly to your super fund account.

This is a general advice, for more information or to discuss your individual case please contact us.