Salary Sacrifice Calculator

Find out how much you'll save by salary sacrificing into super. Real-time calculations based on official ATO tax rates.

Based on official ATO rates
Updated for 2025–26
Learn how salary sacrifice works in 2025–26 ▾

Salary sacrifice (also called salary packaging) is an arrangement where you ask your employer to pay part of your pre-tax salary directly into your superannuation fund. Because these contributions are taxed at just 15% in the super fund, rather than your marginal tax rate (which can be up to 45%), you end up paying less tax overall.

For the 2025–26 financial year, the concessional contributions cap is $30,000. This cap includes both your employer's Superannuation Guarantee (SG) contributions (12% of your salary) and any salary sacrifice amounts. If your total exceeds $30,000, the excess is added to your assessable income and taxed at your marginal rate.

It's important to note that salary sacrifice is a reportable employer super contribution. While it reduces your taxable income, it gets added back when calculating your HECS-HELP repayment income, means-tested government benefits, and Division 293 tax liability.

Salary Sacrifice Savings by Salary — 2025-26

Tax savings when salary sacrificing $10,000 into super. The benefit depends on your marginal tax rate — higher earners save more per dollar sacrificed.

$60,000

Annual tax saving
$3,350
Monthly saving
$279
Effective tax rate
10.9%

$80,000

Annual tax saving
$3,200
Monthly saving
$267
Effective tax rate
16.5%

$100,000

Annual tax saving
$3,200
Monthly saving
$267
Effective tax rate
19.6%

$120,000

Annual tax saving
$3,200
Monthly saving
$267
Effective tax rate
21.7%

$150,000

Annual tax saving
$3,900
Monthly saving
$325
Effective tax rate
24.0%

$200,000

Annual tax saving
$4,700
Monthly saving
$392
Effective tax rate
27.7%

Based on ATO 2025-26 tax rates with $10,000 salary sacrifice. Use the calculator above for a personalised figure with your actual sacrifice amount.

How Salary Sacrifice Works

1

Arrange with Employer

Set up a salary sacrifice agreement to redirect part of your pre-tax salary into super.

2

Lower Tax on Contributions

Instead of your marginal rate (up to 45%), the sacrificed amount is taxed at just 15% in super.

3

Grow Your Super Faster

More money goes into super, compounding over time to build a larger retirement balance.