Top up your super with a Government co-contribution

The Government’s super co-contribution is again on offer for the 2010 financial year enabling low and middle income earners to boost their retirement savings. The Government will provide a 100% matching contribution when you make eligible after-tax super contributions up to $1,000.

The maximum co-contribution may be received when your total assessable income is below $31,920 and phases out by 3.3 cents for each dollar as your income rises to $61,920 per annum.

Your additional contributions need to be made by 30 June in order to receive the Government’s co-contribution. However, we recommend that payments should be made earlier to ensure enough time for your super fund to process the payment.

If you wish to determine how much your superannuation would receive from the Government, a “super co-contribution calculator” is available on the ATO website. Even where you may not be eligible for all or part of the co-contribution, you may wish to consider making a payment on behalf of your children who are eligible to receive the co-contribution.

Published : 24 May 2010