Spouse Super Contributions: Tax Offset, Rules and How to Contribute
Learn how spouse super contributions work in Australia, including the $540 tax offset, income thresholds, eligibility rules and a step-by-step worked example.
By Timothy Hirou GaschereauPublished 9 min read
Try it yourself
This article is general information only, not financial or tax advice. This is part of a wider guide to retirement and FIRE on Snowball Invest.
Quick answer
Spouse super contributions let you pay after-tax money directly into your partner's super account, not your own. If your spouse earns under $37,000, you can claim a full tax offset of up to $540 a year, phasing out completely once they earn $40,000. It's one of the most practical strategies for closing the gender super gap and boosting a lower-earning partner's balance. It's not the same thing as salary sacrifice, the government co-contribution, or contribution splitting.
In this guide
- →What a spouse super contribution actually is, and how it differs from similar-sounding strategies
- →How the tax offset is calculated, including the phase-out
- →The full eligibility checklist
- →Why people use this strategy, especially for closing the gender super gap
- →A worked example with real numbers
- →How to actually make one, step by step
🤝 What is a spouse super contribution?
🎯 The essential: A spouse super contribution is after-tax money you pay directly into your partner's super account, not your own, and it can earn you a tax offset of up to $540.
A spouse super contribution is when you (the contributing spouse) transfer after-tax money directly into your partner's super account. The money lands as a non-concessional (after-tax) contribution, counting toward their non-concessional contributions cap for the year.
Three things commonly confused with this:
- Salary sacrifice: you redirect pre-tax pay into your own super. See our salary sacrifice super guide.
- Government co-contribution: a government payment into your own super when you make after-tax contributions and earn under a threshold. See our super co-contribution guide.
- Contribution splitting: splitting your own concessional contributions with your spouse after they're made, a separate topic entirely.
💸 The spouse super contribution tax offset
A tax offset of up to $540 a year is available to the contributing spouse. A tax offset reduces your actual tax bill dollar for dollar, different from a deduction. It's non-refundable, if your tax bill is less than $540, you only benefit up to the amount you owe.
The calculation: 18% of the eligible contribution amount, up to a maximum contribution of $3,000.
- Contribute $3,000: offset of $540 (the maximum)
- Contribute $1,500: offset of $270
- Contribute $1,000: offset of $180
Income test: the offset is only available if your spouse's income is below $40,000 ("income" here means assessable income plus reportable fringe benefits plus reportable employer super contributions).
- $37,000 or below: full offset available (up to $540)
- $37,001-$39,999: the offset phases out gradually
- $40,000 or above: no offset
Phase-out formula: 18% x ($3,000 - (spouse income - $37,000))
| Spouse income | Eligible contribution cap | Tax offset |
|---|---|---|
| $28,000 | $3,000 | $540 |
| $35,000 | $3,000 | $540 |
| $37,000 | $3,000 | $540 |
| $38,000 | $2,000 | $360 |
| $39,000 | $1,000 | $180 |
| $40,000 | $0 | $0 |
✅ Eligibility rules
- Both spouses must be Australian residents at the time of contribution.
- You must not be living separately and apart on a permanent basis.
- The receiving spouse must be under 75 (contributions are accepted up to 28 days after the end of the month they turn 75).
- No work test is required for the receiving spouse, even aged 67-74.
- The receiving spouse's Total Super Balance must be below the general transfer balance cap at the start of the financial year.
- The contribution must go to a complying super fund or approved RSA, including an SMSF.
- The contribution must not be deductible to you.
🌱 Why people use this strategy
1. Closing the super gap. Women retire with significantly less super on average due to career breaks for caregiving, parental leave and part-time work. Spouse contributions directly address this.
2. Claiming the tax offset. For couples where one partner earns under $37,000, contributing $3,000 and claiming the full offset is essentially an 18% guaranteed return before investment growth.
🏡 Downsizer Contribution to Super
Another non-concessional strategy worth knowing, for couples selling a home later in life.
🧮 A worked example
Alex earns $85,000 a year. Jordan earns $28,000 part-time after stepping back from full-time work to care for their children.
Alex transfers $3,000 into Jordan's super. Jordan's income ($28,000) is below $37,000, so the full offset applies: 18% x $3,000 = $540. Alex claims this at Item T3 on their tax return. Jordan's super balance grows by $3,000, before investment earnings.
| Amount | |
|---|---|
| Alex contributes to Jordan's super | $3,000 |
| Tax offset Alex claims | -$540 |
| Net cost to Alex | $2,460 |
| Amount added to Jordan's super | $3,000 |
For $2,460 out of pocket, Alex added $3,000 to Jordan's retirement savings, a 22% uplift before investment returns.
The $3,000 counts toward Jordan's non-concessional contributions cap for the year, $130,000 for 2026-27. See our concessional contributions cap 2026-27 article for context on how caps work generally.
🚫 Common mistakes and misconceptions
"Any amount gets the full $540 offset." Wrong, it's 18% of the contribution up to $3,000. $1,000 gets $180, not $540.
"This is the same as the government co-contribution." Wrong, the co-contribution is a government payment into your own super. Spouse contributions are made by you into your spouse's super.
"My spouse earns $41,000, there's no point." The offset disappears above $40,000, but boosting your spouse's super balance still makes sense for retirement equity, even without the offset.
📋 How to actually make a spouse super contribution
- Get your spouse's super fund details (fund name, ABN, member account number).
- Make the transfer via BPAY or direct bank transfer.
- Notify the fund it's a spouse contribution, a critical step, via a spouse contribution form or online declaration.
- Claim the offset in your tax return at Item T3 ("Superannuation contributions on behalf of your spouse").
- Keep your records: proof of transfer, fund acknowledgement, forms submitted.
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❓ Frequently asked questions
Can I make spouse contributions to an SMSF?
+
Yes, as long as it's a complying super fund.
Does my spouse need to be working to receive spouse contributions?
+
No, there's no work test requirement for the receiving spouse.
Can same-sex couples use this strategy?
+
Yes, the rules apply to married couples, de facto partners and registered partners, including same-sex relationships.
What if my spouse is between 67 and 74?
+
No work test is required for spouse contributions specifically, right up to age 75.
Does the $3,000 contribution count toward any caps?
+
Yes, it counts toward the receiving spouse's non-concessional contributions cap for the year, $130,000 for 2026-27.
Can I contribute more than $3,000 to my spouse's super?
+
Yes, up to their full non-concessional cap, but only the first $3,000 is eligible for the offset calculation.
Is the tax offset refundable?
+
No, it reduces tax payable but isn't refundable. If your tax bill is less than $540, you only benefit up to what you owe.
📚 Recommended reading
Retirement Made Simple
Noel Whittaker
Australia's godfather of personal finance demystifies super, the pension and making your savings last. The plain-English retirement handbook every Aussie should read before they stop working.
Super Made Simple
Noel Whittaker
A focused, up-to-date guide to actually understanding your superannuation, from one of Australia's most trusted finance writers.
Girls Just Wanna Have Funds
Molly Benjamin
Molly Benjamin, founder of Australia's Ladies Finance Club, makes money feel fun and doable, covering budgeting, investing and confidence in one friendly package. Perfect if you want to sort your finances without the jargon or the guilt.
Some links above are affiliate links. If you buy through them, Snowball Invest may earn a small commission at no extra cost to you. We only recommend books we'd suggest anyway.
Sources
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Timothy Hirou Gaschereau
Founder of Snowball Invest, not a financial adviser.
I write about what I'm learning myself, because nobody ever taught us how to take control of our own money. It's a skill, not a mystery, and it's never too late to learn it. The best day to start was yesterday, the second best is today.
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