Free tool
Salary Sacrifice Optimiser
FY2025–26 · ATO tax tables · Real-time calculation
Your salary details
FY2025–26 · Australian tax rates
Advanced settings
Residency status
Tax breakdown
Effective rate 25.6% · Marginal 30.0%
Fortnightly
$3,435
Weekly
$1,718
Super (SG + sacrifice)
$14,400
Total tax paid
$30,688
Optimisation opportunities
Maximise salary sacrifice
Sacrifice $15,600 more into super to hit the $30,000 concessional cap. Contributions taxed at 15% instead of your 30% marginal rate.
Annual saving
$2,340
General information only. Not financial advice. Consult a licensed financial adviser for personalised tax strategies.
Frequently asked questions
What is salary sacrifice in Australia?
Salary sacrifice is an arrangement where you redirect part of your pre-tax salary directly into superannuation. Because the money is diverted before income tax is calculated, it reduces your taxable income. Contributions are taxed at just 15% inside super — lower than most people's marginal rate.
How much can I salary sacrifice in 2025?
In FY2025–26, the concessional contributions cap is $30,000 per year. This includes your employer's compulsory Super Guarantee (12% of salary) plus any amount you salary sacrifice. Exceeding the cap means the excess is taxed at your marginal rate.
Does salary sacrifice reduce my income tax?
Yes. Every dollar you sacrifice reduces your taxable income by one dollar. If your marginal rate is 32.5% and you sacrifice $10,000, you save around $1,750 in tax — the difference between your 32.5% marginal rate and the 15% contributions tax paid inside super.
Is salary sacrifice worth it in Australia?
Generally yes, if your marginal income tax rate is above 19%. The benefit grows with your tax bracket — someone on 37% saves 22 cents per dollar sacrificed compared to taking it as salary. It's less effective if you need the cash now or are close to the concessional cap.