Super Caps Have Increased. Here's How Much You Can Contribute This Year
The start of a new financial year brings updated superannuation contribution limits, and for 2026-27, both caps have moved upward. Whether you are growing your retirement savings, taking advantage of catch-up contributions, or using the bring-forward arrangement, it is worth knowing exactly what applies to you from 1 July 2026.
The two types of contribution caps
There are two main caps on superannuation contributions. Concessional contributions are made before tax, including your employer's compulsory super guarantee payments, any salary sacrifice arrangements you have set up, and personal contributions for which you claim a tax deduction. Non-concessional contributions are made from after-tax money, with no deduction claimed. Both types of contributions are subject to annual limits, and exceeding those limits can result in extra tax.
The new caps for 2026-27
From 1 July 2026, the concessional contributions cap has increased to $32,500 per year, up from $30,000. The non-concessional contributions cap has increased to $130,000 per year, up from $120,000. Both caps are indexed to average weekly ordinary time earnings and are reviewed annually. This is the first time the caps have moved in two financial years, so if you have been planning contributions based on last year's figures, now is the time to update your approach.
The bring-forward arrangement for non-concessional contributions
If you want to make a large non-concessional contribution in a single year, the bring-forward arrangement may let you access up to three years' worth of the cap at once. For 2026-27, that means a maximum of $390,000 in a single year. How much you can access depends on your total superannuation balance (TSB) as at 30 June 2026. If your TSB was below $1.84 million, the full three-year bring-forward is available. Between $1.84 million and $1.97 million, you can access a two-year bring-forward of up to $260,000. If your TSB was $1.97 million or above, you are limited to the annual cap of $130,000, with no bring-forward available.
Catch-up concessional contributions
If your total super balance on 30 June 2026 was below $500,000 and you have unused concessional contributions cap amounts from previous years, you may be eligible to make catch-up contributions in 2026-27. The carry-forward window covers the previous five financial years, so unused amounts from 2021-22 through to 2025-26 can be drawn upon. This can be a useful strategy if you had lower income or took time away from the workforce in earlier years and are now in a position to top up your super. Unused cap amounts expire after five years, so earlier amounts are no longer available.
Why now is a good time to review your strategy
The start of the financial year is the ideal time to plan your super contributions, because acting early gives you the maximum time to spread contributions across the year. If you are salary sacrificing, you can review the amount with your employer now. If you are planning a personal deductible contribution or a large non-concessional contribution, mapping it out in July gives you until 30 June 2027 to act, so you can skip the end-of-year scramble.
Your superannuation is one of the most powerful wealth-building tools available to you, and the updated caps for 2026-27 may open up more room to contribute than you realised. Get in touch and we will help you put a contributions strategy in place that makes the most of what this financial year has to offer.
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