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Australia Spouse Super Contributions Guide

Australian spouse superannuation contributions. The guide covers: the spouse super contributions tax offset (the '$540 offset') — the 'spouse super contributions tax offset' is the 'tax offset' for the 'contributing spouse' (the 'spouse who makes the after-tax contributions to the 'receiving spouse's super fund'); the 'tax offset' is $540 (the 'maximum offset of $540 per year') — the 'offset is 18% of the contributions up to the $3,000 cap' (the '18% of $3,000 = $540'); the 'spouse super contributions must be made to the 'receiving spouse's super fund' (the 'spouse who is the 'low-income earner' or the 'non-working spouse'); the 'receiving spouse's 'adjusted taxable income' must be below $40,000 for the 'full offset' (the 'offset phases out between $37,000 and $40,000'); the 'contributing spouse' must be the 'Australian resident'; the super contribution splitting — the 'contribution splitting' 'allows the spouse to 'transfer the concessional contributions from one spouse's super fund to the other spouse's super fund'; the 'maximum that can be 'split' is 85% of the 'concessional contributions' (the '15% contributions tax is deducted'); the 'contribution splitting' is 'available for the 'concessional contributions' (the 'employer SG contributions' and the 'salary sacrifice contributions') made in the 'previous income year'; the 'contribution splitting' 'requires the application to the super fund' (the 'super fund 'splits' the contribution to the 'receiving spouse's fund'); the super on the parental leave and the maternity leave — the 'spouse who is on the 'parental leave' (the 'maternity leave' or the 'paternity leave') may 'receive the super guarantee from the employer' if the 'employer pays the SG on the 'paid parental leave''; the 'employer is 'required to pay the SG on the 'paid parental leave' (the 'employer-paid parental leave' is subject to the SG at 11.5%); the 'spouse on the 'unpaid parental leave' may NOT 'receive the SG' (the 'unpaid leave is NOT the 'ordinary time earnings' for the SG); the 'government may 'pay the super on the 'government-funded Paid Parental Leave (the 'PPL')' — the 'PPL super' was 'announced' but 'NOT yet implemented' (the 'government's 'Super on the PPL' is the 'proposed policy'); the spouse super and the divorce — the 'spouse super contributions may be 'split' on the 'divorce' under the 'super splitting orders' (the 'court orders' or the 'agreements' under the 'Family Law Act 1975'); the 'super splitting on the divorce' 'allows the spouse to 'transfer the super benefits' from one spouse to the other without the 'tax consequences'.

Spouse Super Offset ($540)

  • 18% offset on $3,000: The 'maximum offset of $540 per year' for the 'contributions up to $3,000'.
  • Receiving spouse's income below $40,000: The 'full offset is available' if the 'spouse's income is below $37,000' (the 'phase-out between $37,000 and $40,000').
  • After-tax contributions: The 'contributions must be the 'non-concessional contributions' to the 'spouse's super fund'.

For the superannuation contributions and the caps, see our Superannuation Guide →.

Contribution Splitting

  • 85% of the concessional contributions: The 'maximum 85% of the concessional contributions can be 'split' to the 'spouse's fund'.
  • Previous year contributions: The 'splitting is for the 'concessional contributions made in the previous income year'.
  • Application to the super fund: The 'spouse applies to the 'super fund' for the 'contribution splitting'.

For the super guarantee and the employer obligations, see our Superannuation Employer Guide →.

Super & Parental Leave

  • SG on the paid parental leave: The 'employer must pay the SG on the 'paid parental leave' at 11.5%.
  • Unpaid leave — no SG: The 'unpaid parental leave is NOT 'subject to the SG'.
  • Government PPL super: The 'government's 'Super on the PPL' is the 'proposed policy'.

For the marriage and the divorce tax rules, see our Marriage & Divorce Tax Guide →.