If you have any unused super contribution limits, you could be about to lose a valuable tax opportunity.
The carry-forward contribution rules allow some Aussies to put extra money into super using contribution room left over from earlier financial years.
But that unused room doesn't last forever.
Any amount left over from the 2020-21 financial year will disappear after 30 June 2026.
Although you will need to act sooner than that because super funds generally set their payment deadlines days before the financial year ends.
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How does the super rule work?
The concessional contribution limit is $30,000 for the 2025-26 financial year.
That figure includes the super paid by your employer, any salary sacrifice payments, and personal contributions you plan to claim as a tax deduction.
You may also be able to contribute more than $30,000 by using unused cap amounts from the previous 5 financial years.
To qualify, your total super balance has to be below $500,000 at the end of the previous financial year.
The oldest unused amount is used first.
So, if you still have unused contribution room from 2020-21, it will be used before any amounts left over from later years.
Once 30 June passes, any remaining 2020-21 amount will be gone.
The maximum amount available to some people this year is $167,500, including the current $30,000 cap.
If you're not sure, you can check your available concessional contribution amount through the ATO section of myGov.
Why put more money into super?
For many people, the biggest reason is tax savings.
Concessional contributions are generally taxed at 15% inside super. That is likely going to be lower than the tax rate you pay on part of your normal income.
For example, someone paying a marginal tax rate above 15% could reduce their tax bill by making an eligible contribution into super.
The carry-forward rules can be helpful if you previously worked part-time, spent time out of the workforce, or could not afford extra contributions.
But adding extra money into super won't be the right move for everyone.
Keep in mind, the money is generally locked away until you meet a condition of release, usually when you retire. Going over your available cap may also lead to extra tax and paperwork.
Do not wait until 30 June
Do not assume a payment made on 30 June will count towards the current financial year.
A contribution counts when the super fund receives the money, not when it leaves your bank account.
Some funds have already published earlier cut-off dates, depending on how the payment is made.
You will also need to submit a notice of intent form to your fund if you plan to claim a personal contribution as a tax deduction.
With the oldest unused amounts about to expire, checking your available cap and your fund's deadline could save you from missing out.
