Catch-up concessional contributions
Make larger concessional contributions if you haven’t used all of your concessional cap in an earlier year.
How does it work?
Concessional contributions are limited to a concessional contributions cap each financial year. If you make or receive concessional contributions (CCs) of less than the annual concessional contributions cap of $30,000 pa during the financial year, you may be able to accrue these unused amounts and carry these forward for use in subsequent financial years. This is known as catch-up concessional contributions.
Unused cap amounts can be carried forward for up to five financial years before they expire. To be eligible to use your catch-up CCs, your total super balance must be below $500,000 at the 30 June of the prior financial year.
What are the benefits?
This option provides greater flexibility to make concessional contributions if you have broken work patterns, or can’t afford to contribute in a particular year.
Case study
Fatima is considering making additional CCs to super in 2025/26 as her total super balance last 30 June 2025 was less than $500,000. Her CCs in prior years and unused amounts accrued since 2020/21 are summarised below.
| Financial year | Concessional contributions made | Annual CC cap amount1 | Unused CCs that may be carried forward | Total unused CCs that may be carried forward |
|---|---|---|---|---|
| 2020/21 | $15,000 | $25,000 | $10,000 | $10,000 |
| 2021/22 | Nil (maternity leave) | $27,500 | $27,500 | $37,500 |
| 2022/23 | $15,000 | $27,500 | $12,500 | $50,000 |
| 2023/24 | $20,000 | $27,500 | $7,500 | $57,500 |
| 2024/25 | $20,000 | $30,000 | $10,000 | $67,500 |
| 2025/26 | $50,000 | $30,000 | -$20,000 | $47,500 |
Based on the information from Fatima, her personal CC cap for 2025/26 is $97,500. This consists of the annual CC cap of $30,000 and $67,500 of catch up CCs.
The above assumes that Fatima satisfies all eligibility criteria. Additional considerations need to be made as to whether making a concessional contribution is the most appropriate option for Fatima.
Important things to consider
- To use up carried forwards cap amounts, you may want to make salary sacrifice or personal deductible contributions.
- You can’t access your super until you meet a condition of release such as reaching age 60 and retiring.
¹ The CC cap may be indexed at the start of each financial year.
What next?
Before making additional contributions to super, including making catch-up concessional contributions, you may wish to speak to your financial adviser. It is important to make sure you are eligible, understand the overall benefit and determine whether making contributions is the right option for you. Further information on catch-up CCs including examples can be found at ato.gov.au.
Find out more about Super and retirement rules.
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General advice and information only
Any advice and information on this website is general only, and has been prepared without taking into account your particular circumstances and needs. Before acting on any advice on this website you should assess or seek advice on whether it is appropriate for your needs, financial situation and investment objectives.
Tax disclaimer
Any general tax information on this website is intended as a guide only and is based on our general understanding of taxation laws. It is not intended to be a substitute for specialised taxation advice or an assessment of your liabilities, obligations or claim entitlements that arise, or could arise, under taxation law, and we recommend you consult with a registered tax agent.
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