In this guide
If your spouse earns less than $40,000 a year, putting some of your after-tax money into their super can do two jobs at once. It builds their retirement savings, and it can reduce your own tax bill by up to $540.
This guide explains who can claim the spouse contribution tax offset, how much it’s worth and how to claim it, with a calculator to work out the offset.
Who can claim the spouse contribution tax offset?
To claim the offset, you need to meet all these criteria:
- Your spouse’s assessable income*, total reportable fringe benefits and reportable employer super contributions must be under $40,000
- Your contribution must not be tax deductible to you
- Your spouse must be under 75, must not have exceeded their non-concessional contributions cap for the year, and must have had a total super balance below the transfer balance cap on the previous 30 June
- Your contribution must have been made into a complying super fund
- You and your spouse must both be Australian residents when the contributions were made
- You and your spouse must be living together on a permanent basis.
*Any First Home Super Saver Scheme (FHSSS) release amounts are not counted.
Where are you on the road to retirement?
Retirement planning isn’t the same for everyone.
Take our 2-minute quiz to find out which stage you’re at and what you could focus on next.
How much is the offset worth?
Depending on your spouse’s income and the amount you contribute into their account, you could receive a tax offset of up to $540 in your annual income tax return.
| Annual income for receiving spouse | Your tax offset |
|---|---|
| Less than the low-income threshold of $37,000 | Up to a full tax offset of $540 (actual amount is calculated as 18% of the lesser of $3,000 and your total contributions for your spouse) |
| Between $37,000 and the cut-off threshold of $40,000 | The maximum offset amount is $540 minus $0.18 for each dollar the receiving spouse’s income is over the low-income threshold. You receive an offset of 18% of your contribution, up to the maximum offset that applies based on your spouse’s income. |
| More than $40,000 | Nil |
Maximum spouse contribution tax offset by your spouse’s income
Assumes you contribute at least $3,000. Income is your spouse’s assessable income plus reportable fringe benefits and reportable employer super contributions. Source: ATO
There is no limit to the amount you can contribute to your spouse’s account, provided your contributions do not exceed your spouse’s non-concessional (after-tax) contributions cap, but the tax offset is only available on the first $3,000 of contributions.
Spouse contribution tax offset calculator
How to claim the offset
You claim the offset in your own tax return for the financial year you made the contribution, not in your spouse’s. In the paper tax return it is at label T3, Superannuation contributions on behalf of your spouse.
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