Government co-contribution
A government top-up to your super when a lower income earner makes an after-tax contribution.
If you earn under the lower income threshold and make a personal after-tax contribution, the government adds an amount to your super — historically 50 cents for every dollar, up to a maximum of $500.
The benefit phases out as income rises and disappears entirely above the upper threshold. You also need at least 10% of your income from employment or business, and you must lodge a tax return.
No application is needed. The ATO works out your entitlement from your tax return and your fund's contribution reporting, then pays the amount directly into your super.
An immediate 50% return
A part-time worker under the lower threshold contributes $1,000 of after-tax money. The government adds $500 — a 50% return before the fund has invested a single dollar.
The bit people get wrong
The contribution must be non-concessional. Claiming a tax deduction for it converts it to a concessional contribution and disqualifies it from the co-contribution entirely.
Common questions
Do I need to apply?
No. The ATO calculates and pays it automatically once your return is lodged and your fund has reported the contribution, usually within a few months.
Who is eligible?
Lower income earners under 71 who make an after-tax contribution, earn at least 10% of income from employment or business, and lodge a tax return for the year.
How much can I receive?
The maximum has been $500, reducing as income rises through the phase-out range. Thresholds are indexed, so check the current figures before contributing.