Free calculator
Salary Sacrifice Super Calculator
See your annual tax saving and how much extra you'll have at retirement by sacrificing extra income into super — instead of paying it as income tax.
Your salary sacrifice results
TAX SAVED NOW
$850/yr
$71/mo
EXTRA AT RETIREMENT
$283,652
in 27 yrs
NET COST
$346/mo
after tax saving
How it works
Assumes $30k concessional cap, 6.3% net return, retirement at age 67. Estimates only — not financial advice.
Sacrifice $5,000/yr — save $850 in tax
Adds $283,652 to your super in 27 years. See your full plan.
See my full plan →How salary sacrifice into super works
Salary sacrifice redirects part of your income into super before income tax is applied. Your employer sends that money to your super fund where it's taxed at 15% — significantly less than the 32% most Australians pay on income between $45,000 and $135,000.
The concessional (pre-tax) cap is $30,000 per year, including your employer's Superannuation Guarantee contributions. With the SG at 12%, an employee on $100,000 has their employer contributing $12,000 — leaving room to sacrifice a further $18,000.
The long-term benefit is compounded. A $10,000/year salary sacrifice maintained from age 35 to retirement at 67 can add over $400,000 to your balance at 7% growth — far more than the cumulative tax saving alone because of 32 years of compounding.
Frequently asked questions
What is salary sacrifice into super?
Salary sacrifice lets you divert pre-tax income into your super fund. The contribution is taxed at 15% inside super — much less than most workers' marginal rates of 32–45%. On a $100,000 salary, sacrificing $10,000 extra saves roughly $1,700 in tax per year while also boosting your retirement balance.
How much can I salary sacrifice into super?
You can contribute up to $30,000 per year in concessional (pre-tax) contributions — that includes your employer's Superannuation Guarantee (currently 12%). So if your employer puts in $12,000, you can sacrifice up to $18,000 more. Exceeding $30,000 means the excess is taxed at your marginal rate plus a charge.
Does salary sacrifice reduce my take-home pay?
Your gross income for tax purposes falls by the sacrifice amount. The tax saving partially offsets the reduction — so the actual impact on your take-home is less than the sacrifice amount. On $100,000 sacrificing $10,000, your take-home drops by roughly $6,800/year (not $10,000), because you save ~$3,200 in tax.
Can I salary sacrifice if I'm on a lower income?
Yes, but the tax benefit is smaller. If your marginal rate is 16% and super taxes contributions at 15%, you only save 1% — barely worth doing unless your goal is compounding the balance. The government co-contribution (up to $500 free money from the ATO) is usually more valuable for incomes under $58,000.
Does unused concessional cap carry forward?
Yes. From 2019–20, unused concessional cap amounts carry forward for five years if your super balance is below $500,000. This lets you make catch-up contributions in higher-earning years. For example, if you had a career break, you can use the carried-forward amounts when back at work.