Salary Sacrifice Super Calculator — Australia 2026
Tax saved by salary sacrificing into super at 2026–27 rates, the cost to take-home pay, the $32,500 concessional cap, Division 293 tax and the balance at retirement versus investing outside super.
| Take-home without sacrifice | — |
|---|---|
| Take-home with sacrifice | — |
| Cost to your pocket | — |
| Added to super after 15% contributions tax | — |
| Your marginal rate vs 15% | — |
| Concessional cap check | — |
| Division 293 | — |
| Value at retirement — in super vs invested outside | — |
In short
Salary sacrificed into super is taxed at 15% instead of your marginal rate, so sacrificing $10,000 on a $120,000 salary cuts take-home by only $6,800 while $8,500 lands in super — a $1,700 saving — within the 2026–27 concessional cap of $32,500 (including the 12% SG), with Division 293 adding 15% once income plus contributions exceed $250,000.
Who this is for: Salaried Australians deciding how much to sacrifice into super, and high earners checking the cap and Division 293.
How salary sacrificing into super saves tax
Salary sacrificed into super is taxed at 15% inside the fund instead of your marginal rate (30%, 37% or 45% plus 2% Medicare), so every sacrificed dollar costs you only the take-home you would have received after tax, but lands in super almost whole. The calculator runs the 2026–27 tax scale with LITO and Medicare for both cases, so the saving is exact for your income, and compares the super balance at retirement with investing the same net pay outside super.
Two limits matter: the concessional cap of $32,500, which includes the employer's 12% SG and any personal deductible contributions (unused cap from the previous five years can be carried forward if your balance is under $500,000), and Division 293, which adds another 15% on contributions once income plus contributions exceed $250,000 — halving the benefit for high earners.
See also: Superannuation Calculator 2026–27, Australian Income Tax Calculator 2026–27, First Home Super Saver Calculator, Novated Lease Calculator.
Assumptions
- 2026–27 resident tax scale with LITO and 2% Medicare; no other income, offsets or HELP.
- Sacrifice capped at the $32,500 concessional cap less 12% SG and other concessional contributions.
- Contributions tax 15%; Division 293 adds 15% on the portion of contributions above the $250,000 income-plus-contributions threshold.
- Projection compounds the after-tax super amount at the super return and the take-home cost at the outside after-tax return.
Worked example
Tax falls from $28,920 to $25,720, so take-home drops by only $6,800 while $8,500 goes into super after contributions tax — a net saving of $1,700 (32% marginal vs 15%). SG of $14,400 + $10,000 = $24,400, inside the $32,500 cap. Over 25 years at 6.5% the $8,500 grows to about $41,000 in super, versus $23,000 for $6,800 invested at 5% outside.
Frequently asked questions
Does salary sacrifice reduce my employer’s super contribution?
It must not — since 2020 SG is calculated on your pre-sacrifice ordinary-time earnings. Check your payslip.
How much can I sacrifice?
Up to the $32,500 concessional cap less SG and other concessional contributions; plus unused cap amounts from the previous five years if your total super balance was under $500,000 on 30 June.
Is it worth it on a low income?
Below $45,000 your marginal rate is 15% plus Medicare, so the saving is small; the government co-contribution on after-tax contributions may be better.
What is Division 293 tax?
An extra 15% on concessional contributions for people whose income plus contributions exceed $250,000, bringing the rate to 30%.
Can I access the money?
Not until a condition of release — usually turning 60 and retiring, or 65 — except through the First Home Super Saver scheme for voluntary contributions.
Salary sacrifice or personal deductible contribution?
Same tax result; personal contributions give you control over timing and are easier for variable income, but need a notice of intent to your fund.
Does sacrificing reduce my HELP repayment?
No — reportable super contributions are added back when calculating HELP repayment income and the Medicare levy surcharge.
What happens if I exceed the cap?
The excess is taxed at your marginal rate (with a 15% offset for tax already paid) plus an excess-contributions charge; you can withdraw up to 85% of it.
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