Sacrificed salary is taxed at 15% in your fund instead of your marginal rate (up to 47% with Medicare). Above $250,000 of income plus concessional contributions, Division 293 adds another 15%. Unused cap from the last five years can be carried forward if your total super balance was under $500,000 on 30 June 2026.
FAQ
Is salary sacrifice worth it on $100,000?
Yes – sacrificing $10,000 saves $3,200 tax, costs $6,800 of take-home pay and adds $8,500 to super.
Sources (checked 6 November 2026): ATO individual income tax rates 2026-27; Medicare levy; low income tax offset. ATO concessional contributions cap 2026-27 ($32,500).