Contribution caps set to increase for 2026–27

The concessional contribution cap is expected to increase to $32,500, while the non-concessional cap will increase to $130,000.

Colonial First State head of technical services, Craig Day, said this means the non-concessional cap under the bring-forward rules will also increase to up to $390,000, depending on a client's circumstances.

The ATO is expected to confirm the 2026–27 super rates and thresholds in March 2026.

The Tax Office confirmed last month that indexation of the general transfer balance cap will also occur on 1 July 2026.

The cap is set to increase by $100,00 from $2 million to $2.1 million.

"This increase has flow through impacts for individuals with a personal transfer balance cap (TBC). These individuals will be entitled to an increase of their cap if they have not previously been at, or exceeded, their cap," said the ATO.

"Their increase will be a proportion of the $100,000 and will depend on their unused cap space. Individuals starting a pension for the first time on or after 1 July 2026 will be entitled to a personal TBC of $2.1 million.

The ATO noted that it calculates an individual's person TBC based on the information reported to it and processed by it.

"To help individuals have a clear understanding of their position, we encourage funds and advisers to report all TBC events when they occur and as early as possible before the 1 July 2026 indexation start date."

The Tax Office also reminded super members that the general TBC has flow-through consequences for the total super balance (TSB) thresholds.

"The TSB influences an individual’s non-concessional contributions cap, non-concessional bring forward arrangement, carry-forward concessional contributions, the work-test exemption and eligibility for spouse tax offset, and co-contributions."