🦘 Superannuation Calculator
Project your super balance at retirement and see if you're on track.
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Australia's superannuation system — the world's envy
Compulsory superannuation is one of Australia's most significant economic achievements. Introduced in 1992 under Paul Keating at a rate of 3%, it has grown into one of the largest pension systems in the world relative to population — managing around $3.5 trillion in assets.
The idea was straightforward: rather than relying solely on the Age Pension, Australians would accumulate their own retirement savings throughout their working lives. Employers are required to contribute a percentage of each employee's gross earnings (11.5% in 2024–25, rising to 12% by July 2025) to a super fund of the employee's choice.
- Concessional contributions: Employer contributions (and salary-sacrificed amounts) are taxed at just 15% inside super — much lower than most people's marginal rate.
- Non-concessional contributions: After-tax contributions up to $110,000/year (2024–25). No further tax on entry, and earnings in super are taxed at just 15%.
- Preservation age: You can access your super from age 60 (if retired) completely tax-free. Before 60, it's generally locked away.
- Self-Managed Super Funds (SMSFs): Over 600,000 SMSFs manage about $900 billion. They can invest in almost anything — including direct property, though with strict rules.
🦘 Fun fact: Paul Keating is so associated with superannuation that it's sometimes called "Keating's baby." He's argued (not entirely without merit) that it's his greatest legacy. The system is often cited by international policymakers as a model for retirement savings reform.