Can I contribute more to super after I’ve retired?

This might happen if you sell an asset, receive an inheritance or downsize your home. Many people ponder if and how they might be able to get this money into the super system, to benefit from tax-free investment earnings and so the money is professionally managed. Or, you might even go back to paid work.

Here’s how you might be able to contribute extra to your super, even if you’ve retired.
 

You can’t add money to a pension account 

The first point is - once you’ve started a pension account, you can’t contribute more money to that existing account. However, you still might have a couple of options, providing you meet the contribution rules (more on that below).  
Here they are: 

1. You could open a new accumulation account and then transfer the money over to a second pension account. 
2. Close your current pension account and open a new one to keep all your super together. 

There are pros and cons of both options, so it’s worth seeking financial advice to weigh up the best option for you.

Super contribution rules for retirees 

You’re eligible to contribute to superannuation up to age 75, unless you downsize your primary residence – whereby there’s no upper age limit. 

Here are your different contribution options.

Employer-paid (before-tax) contributions 

If you go back to work for an employer and you’re under age 75, you’ll still be eligible for concessional (before-tax) super contributions. It doesn’t matter if you’re employed on a permanent, contract, part-time or casual basis. This means you’ll need an accumulation account where they can pay your super contributions.  

After-tax contributions 

If you’re under age 75 you can make voluntary after-tax contributions regardless of whether you’re employed, as long as your total superannuation balance is under $1.9million. Be mindful to stay under the non-concessional contribution cap though. There are a few different types of contributions you could look to make. These include: 

• Personal contributions
• Spouse contributions
• Government co-contributions
• Downsizer contributions*

We’re here to help

If you’d like help to get more money into super, or you’d like to explore the contribution types or strategies that might be available to you, you should consider getting advice. And the good news is, you have access to financial advice about your CareSuper pension account at no extra cost – it’s included in your membership.** 

*There are slightly different rules around downsizer contributions. There is no upper age limit, the total super balance rule won’t apply, and they don’t count toward the non-concessional contribution cap. 
**Financial advice obtained over the phone, or through MemberOnline, is provided by Mercer Financial Advice (Australia) Pty Ltd (MFAAPL) ABN 76 153 168 293, Australian Financial Services Licence #411766.

Information correct as at 7 August 2024.