How much is the Non-Concessional Contributions Cap?

Update: note the potential changes announced in the 2016 Budget.

The superannuation Non-Concessional Contributions cap for 2016/17 is $180,000:

  • 2016/17 – $180,000
  • 2015/16 – $180,000
  • 2014/15 – $180,000

Note that some people may be eligible to use the three-year bring forward rule.

What determines the Non-Concessional Contributions Cap?

The amount of the Non-Concessional cap is set by section 292.85 of the ITAA 97, but instead of setting the rate directly it is set by reference to the Concessional Contributions Cap:

Financial YearsCalculation of Non-Concessional Cap
2007/2008 – 2008/2009Three times the concessional contributions cap
2009/2010 and future yearsSix times the concessional contributions cap

This change was made to keep the Non-Concessional Contribution cap at the same level when the Concessional Cap was halved, rather than an increase in the Non-Concessional cap.

How much has the Non-Concessional Contributions cap changed?

The Non-Concessional Contributions Cap has not changed as much as the Concessional Contributions cap, although the indexation of the Non-Concessional cap was also effectively frozen by the freezing of the Concessional Contributions cap. An increase in the Concessional Contributions cap by $ 5,000 results in a $ 30,000 increase in the Non-Concessional Contributions Cap, such as for 2014/15:

Superannuation Non-Concessional Contributions Cap 2007/08 2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 2016/17

How much was the Non-Concessional Contribution Cap in prior years?

Financial yearNon-Concessional Contributions Cap
2007/08$ 150,000
2008/09$ 150,000
2009/10$ 150,000
2010/11$ 150,000
2011/12$ 150,000
2012/13$ 150,000
2013/14$ 150,000
2014/15$ 180,000
2015/16$ 180,000
2016/17$ 180,000

What is the three-year bring forward rule?

The three-year bring forward rule allows some super fund members to use more than one years non-concessional cap in a single year. For example if the members non-concessional cap was $ 180,000 they could contribute up to $ 540,000 in a three-financial year period without exceeding the contribution cap. See three-year bring-forward rule for super contributions.

You may also find the article Did freezing indexation of the contribution caps change anything? interesting.

Also see How much is the Concessional Contributions Cap?

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