New financial year and super – what you need to know

From July 1, there are some changes to super. Here’s what you need to know.

SG Increase from 11.5% to 12%

From 1 July 2025, Superannuation Guarantee (SG) contributions will increase from 11.5% to 12% of your ordinary time earnings. SG contributions are the compulsory payments your employer makes into your super.

This is the final legislated increase under the phased plan to boost retirement savings.

Government co-contribution thresholds increase

If you're a low to middle-income earner and make after-tax (non-concessional) super contributions, you may be eligible for a government co-contribution of up to $500.

From 1 July:

• Lower threshold: $47,488 (eligible for full co-contribution if income is equal to or below this).
• Upper threshold: $62,488 (no co-contribution if income is above this).

Find out more about government co-contributions

Increase in transfer balance cap

From 1 July, the Transfer Balance Cap -the maximum amount of superannuation that can be transferred into a tax-free retirement phase account (like the NGS Income account) - will increase from $1.9 million to $2 million.

This allows higher balances to benefit from tax-free earnings in retirement.

Find out more about the Transfer Balance Cap

Maximum superannuation contribution base

For the 2025–26 financial year, the maximum super contribution base will be $65,070 per quarter (up from $62,270). Employers are not required to pay SG contributions on earnings above this amount per quarter.

Find out more about the super contribution base

Parental Leave Pay changes

From 1 July, Parental Leave Pay will increase from 22 weeks to 24 weeks.

• 3 weeks will be reserved for the parent who is not the primary caregiver to encourage shared care.

From July 1, the ATO will pay superannuation on government funded Parental Leave Pay. This is known as the Paid Parental Leave Superannuation Contribution (PPLSC).

Find out more about parental leave pay

Age Pension changes

From 1 July, assets and income test thresholds for the Age Pension will be updated, affecting eligibility and payment rates. These thresholds determine whether you receive a full or part pension, or none.

Find out more about the age pension.

Would you like to discuss your super?

If you would like to discuss how any of the above changes may impact your super, why not chat to one of our NGS Super Specialists?

Our Super Specialists are here to help. It's complimentary, and they can answer your general questions about superannuation, investments, insurance or transition to retirement.

Our financial planners can create strategies that aim to maximise your financial position to meet your objectives for the future. Financial advice can also involve protecting your lifestyle and assets through personal insurance, looking at what happens to your super when you die and the impact on your loved ones receiving your super. Seeking advice is a way to plan for your future, to mitigate risks and make the most of your saving opportunities. Education is integral to the planning process — it's important that you feel confident and informed at all times.