As you approach retirement, every dollar you add to super counts. One of the simplest ways to boost your balance is by making non-concessional contributions — extra payments from money you’ve already paid tax on. These go into the tax-free part of your super, which means more of your savings stay in your pocket when you retire.

In this guide, we’ll explain what non-concessional contributions are, the caps that apply, tax implications, and how they could fit into your overall retirement strategy.

What are non-concessional super contributions?

Non-concessional contributions are a way to grow your super using money that’s already been taxed. These are personal (after tax) contributions you make from your salary, savings, or windfalls such as an inheritance or the sale of an asset.

Why make non-concessional superannuation contributions?

Non-concessional contributions can be a powerful way to boost your savings. They’re especially helpful if you’ve already maxed out your concessional cap but still want to add more to super.

The main reason to make these contributions is to invest more within super’s tax-effective environment. Earnings are generally taxed at a maximum of 15%, which is lower than most personal tax rates. Over time, those tax savings can compound, helping you grow your balance faster and give you more income flexibility once you retire.

And if your income is in the low- to middle-bracket, you may be eligible for the government’s super co-contribution. This means the government could match part of your personal after-tax contributions, giving your super an extra boost.

Adding money to super is important, but so is knowing your goals and how you’ll use your savings in retirement. Learn more in our guide Retirement Planning for Beginners.

What’s the difference between concessional and non-concessional contributions?

Super contributions fall into two main categories: concessional (before-tax) and non-concessional (after-tax).

• Concessional contributions: from pre-tax income, taxed at 15% (or 30% if income > $250,000).
• Non-concessional contributions: from after-tax income.

Both types of contributions have annual caps, but they’re treated differently for tax purposes and eligibility.

Comparison table: concessional vs non-concessional contributions

How to make non-concessional contributions

Making a non-concessional contribution is simple:

1. Check your total superannuation balance (TSB) – To make non-concessional contributions, your TSB must be less than the general transfer balance cap on 30 June of the previous financial year. You can check your TSB by logging into ATO online services.

2. Choose a payment method – Most people make these contributions directly from their savings account, often using BPAY or direct transfer into their super fund.

3. Follow your fund’s process – Super funds have their own way of recording non-concessional contributions. This might mean filling in a form, using their app, or quoting a payment reference like BPAY.

Note: You may be able to claim a tax deduction for personal after-tax contributions. If you do, these contributions count as concessional contributions and apply to your concessional cap. If you don’t claim a deduction, they’ll remain non-concessional.

Is there a non-concessional contributions cap?

Yes — the non-concessional contributions cap is $120,000 for 2025-26. This covers all post-tax contributions and is the maximum amount you can add to super each year without paying extra tax.

Maximise after-tax super contributions with the bring-forward rule

If you’re under 75 and your total super balance is less than $2 million at the previous 30 June, you can use the bring-forward rule.

This rule lets you use up to three years of non-concessional contributions caps in advance i.e. bring forward. In other words, instead of being limited to $120,000, you could contribute up to $360,000 in a single year.

The bring-forward rule can be especially useful if you:

• receive an inheritance
• sell a property or investment
• or simply have extra cash available before retirement.

It’s a way to make the most of large lump sums and significantly boost your super in the final years leading up to retirement.

Quick guide

The bring-forward rule is just one way to maximise your super, and it works best when combined with other contribution strategies. Learn more in our article 10 Retirement Planning Strategies: Boost Your Super & Minimise Tax.

Considerations before making non-concessional contributions

Before adding extra after-tax money to your super, there are a few key points to keep in mind.

Stay within the cap

You can contribute up to $120,000 a year — or up to $360,000 using the bring-forward rule. If you go over these limits, the extra amount may be taxed at the top rate of 47%.

Check your total super balance

If your total super balance is $2 million or more at the previous 30 June, you can’t make non-concessional contributions in the current year. You also won’t be eligible to use the bring-forward rule.

For example, for the 2025-26 financial year, your total super balance is measured at 30 June 2025. If it was $2 million or more on that date, you can’t make non-concessional contributions in 2025-26, and the bring-forward rule won’t apply.

Remember the super access rules

For most Australians, super remains locked away until preservation age (currently 60). You can usually access it once you retire, leave a job, or turn 65. If you’re still working at 60 or older, you may be able to start a transition to retirement (TTR) income stream, which lets you withdraw a limited amount each year.

Understand the tax position

Non-concessional contributions don’t reduce your taxable income, because they come from money you’ve already paid tax on. If you decide to claim a tax deduction for them, they switch to concessional contributions, which are taxed at 15% in super and count towards the concessional cap.

Use them strategically

These contributions are most useful if you have a large lump-sum, for example, from an inheritance, the sale of an investment, or downsizing your home.

Are non-concessional contributions right for you?

Non-concessional contributions can be a powerful way to a bigger, tax-free nest egg — especially if you have extra savings or a lump sum to put aside. The key is knowing the rules, the limits, and the best timing for your situation.

At Toro Wealth, we specialise in helping Australians 55 and above make confident decisions about super and retirement. Book a free consultation today to discover how you can use non-concessional contributions to boost your retirement savings.

FAQs on non-concessional contributions

Here are some of the most common questions about non-concessional super contributions.

How are non-concessional contributions taxed?

Non-concessional contributions aren’t taxed when they enter your super fund because they come from after-tax money.

What is the annual non-concessional contributions cap for 2025?

The annual non-concessional contributions cap for 2025-26 is $120,000. This is the maximum you can contribute from post-tax money each year without paying extra tax. However, if you go over the cap and are eligible, the bring-forward rule may apply.

What is the bring-forward rule for non-concessional contributions?

The bring-forward rule allows you to use up to three years of non-concessional caps in advance. If eligible, it allows you to contribute up to $360,000 at once, helping you fast-track your retirement savings if you have surplus funds.

What happens if you exceed the non-concessional cap?

If you exceed the non-concessional cap, the bring-forward rule may apply automatically. This lets you use up to three years of caps in advance, provided you’re under age 75 and your total super balance is below the transfer balance cap (currently $2 million in 2025-26).

If you’re not eligible for the bring-forward rule, the excess may be taxed at the highest marginal rate plus Medicare levy (47%). You can choose to withdraw the excess (and 85% of associated investment earnings) instead, but the investment earnings will be taxed at your marginal rate (less a 15% offset).

Who can make non-concessional contributions?

If you’re under age 75, you can make non-concessional contributions, provided your total super balance is below the general transfer balance cap on 30 June of the previous year.

After 75, you can no longer make standard non-concessional contributions. The only exception is downsizer contributions, which are treated separately and don’t count towards the non-concessional cap.

Can I make non-concessional contributions if my total super balance is over $2 million?

If your total super balance is at or above the general transfer balance cap ($2 million from 1 July 2025) as at 30 June of the previous year, you can’t make non-concessional contributions in the current year. You also lose access to the bring-forward rule.

How do downsizer contributions fit with non-concessional contributions?

Downsizer contributions don’t count towards the non-concessional contributions cap. If you’re eligible, you can contribute up to $300,000 per person from the sale of your family home. This is on top of any non-concessional contributions you make, giving you more scope to boost your super.

Sources:

• https://www.ato.gov.au/individuals-and-families/super-for-individuals-and-families/super/growing-and-keeping-track-of-your-super/caps-limits-and-tax-on-super-contributions/restrictions-on-voluntary-contributions