Low income superannuation options

Government co-contribution eligibility

You may be eligible to receive the co-contribution in the 2014/15 financial year if you earn less than $49,488 and you make any after-tax contributions to your super. Read about how to make a contribution to your First State Super account.

There is no paperwork required to apply for the co-contribution. The Australian Taxation Office does all the work for you. To be eligible for a co-contribution you need to:

  • make personal after-tax (non-concessional) contributions to your super
  • receive at least 10% of your assessable income from employment or self-employment activities
  • lodge an income tax return
  • have given your tax file number (TFN) to your super fund
  • be less than 71 years of age at the end of the financial year and If you are over 65, you must be gainfully employed, at least on a part-time basis, to make an after-tax contribution.
  • have not been a temporary resident of Australia for any part  of the financial year.

The table below shows the relationship between your income, after-tax contribution amount and co-contribution amount. 

Your total income Maximum co-contribution payment available How much you have to contribute to receive the maximum co-contribution
$34,488 or less $500 $1,000
$37,488 $400 $800
$40,488 $300 $600
$43,488 $200 $400
$46,488 $100 $200
$49,488 $0 $0

Low income superannuation contribution (LISC) to continue until 2016-17

The Low Income Superannuation Contribution (LISC) provides you with refund of your concessional contributions tax of up to $500 if you earn less than $37,000 per year. The refund is paid back into your super fund and means you pay little if any contributions tax on your SG contributions.

This benefit was due to disappear last financial year however it will now continue to apply until the 2016-17 financial year.

Read our Low income superannuation support options fact sheet for more information on the Government co-contribution and the LISC.