Deductions for Personal Super

You may be eligible to claim a tax deduction for your personal super contributions if you are self-employed or employment income makes up less than 10% of your total income. Further eligibility criteria apply, details of which can be found on the ATO website.

Is there a limit?

Provided you meet the eligibility criteria, there is no limit on the amount you can claim as a tax deduction; however there are caps on the amount of contributions you can make to super before you pay extra tax.

How to claim the tax deduction

If you wish to claim a tax deduction for your personal super contributions, you must first provide a completed Deduction for personal super contributions form to us and wait until you receive a written acknowledgement back from us, prior to submitting your Income Tax Return for the relevant financial year. This form must be submitted before 30 June after the financial year in which you made the contributions.

You cannot lodge or vary your notice of intent to claim a deduction if:

  • You are no longer a member of NSF Super; or
  • We no longer hold the contributions (i.e. you have made a withdrawal or transferred your super benefits elsewhere)
Is the contribution taxed?

Any contribution amount that you claim as a tax deduction will be treated as a concessional contribution, which means the contribution effectively comes from your ‘before-tax’ income and 15% contributions tax will be deducted from your account. This means that where a person’s marginal tax rate is greater than 15% (i.e. taxable income is greater than $18,200 in 2016/17) tax savings can be achieved by making deductible personal super contributions.

What are the other impacts?

Please note that deductible personal super contributions will also affect the income tests for some tax offsets, deductions, concessions, the Medicare levy surcharge and certain government benefits and obligations.

You are not eligible for a super co-contribution on any amount for which you claim a tax deduction.