Salary Sacrifice to Superannuation is an arrangement between the employee and employer to forego part (either percentage or dollar value) of their salary or wages in return contributing this amount into their super fund instead of receiving it as part of their net income.

As an added benefit, if the employee is a low or middle-income earner (see Eligibility for the super co-contribution) they may be eligible to receive the super co-contribution, the low-income super contribution or both.

There are two options the employee may choose from when deciding to Salary Sacrifice to Super;

  1. Concessional (Before Tax) Superannuation Contributions
  2. Non-Concessional (After Tax) Superannuation Contributions

Revision: 5
Last modified: 2020/03/06

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