we all know super contributions are increasing but when? and by how much......

Superannuation as we all know has been at 9% for many years and again we are aware that the Government advised this was going to increase to ensure all Australians were able to have a 'comfortable' retirement. However do you know when and by how much? I am sure the below maybe a surprise and you may want to consider salary sacrifice if you were thinking of relying on the increases to fill the void.

As at 1st July 2013 the contribution increased  from 9% to 9.25%, then a year later this increased by a further 0.25% to 9.5%. So looking good already half a percent more and only in 24 months.

However the next increase does not arrive until 1st July 2021....but it will be a further 0.5% and then will increase each year by 0.5% until 2026 when it will be at 12%

So just a little math for you 2026 is 9.5 years away and on my calculation the additional into super for every $100,000 up to this date using todays rate as the base would only be $7,500 additional over 9.5 years. On average if you are below the age of 50, just $789 a year of $15 a week or $2 a day if you prefer....so not even a cup of coffee, especially at prices in 2026 !

I am not in anyway connected with the superannuation industry, I am sure my figures are pretty accurate and maybe lend you to think about salary sacrifice.

Enjoy saving.