How to use the Division 293 calculator
- 1 Enter your income for Division 293: taxable income plus reportable fringe benefits and net investment losses.
- 2 Enter your concessional contributions, including employer super and salary sacrifice.
- 3 Read the Division 293 tax.
- 4 Check the total tax on your contributions.
Worked example
Income of $240,000 with $32,500 of concessional contributions. Combined, that is $272,500, which is $22,500 over the threshold. Division 293 tax is 15% of $22,500, which is $3,375. Total tax on your contributions becomes about $8,250, compared with $4,875 at 15%.
Paying Division 293 tax
- Assessment: the ATO works it out after you lodge your tax return and your fund reports contributions, then sends a separate notice.
- Paying it: you can pay from your own money or give your fund a release authority to pay it from super.
- Still worth contributing: even at a combined 30%, concessional contributions are taxed less than the 45% top rate plus Medicare.
- Defined benefit members may have the tax deferred until benefits are paid.
Plan your contributions with the Concessional Contributions Calculator and see the after-tax gain with the Salary Sacrifice Calculator.
Features
$250,000 threshold
Income plus concessional contributions above $250,000 triggers the tax.
Lesser amount rule
Tax applies to the smaller of your contributions or the amount over the threshold.
Total contributions tax
Shows the effective 30% rate on affected contributions.
When to use it
High earners
See whether a bonus or pay rise pulls you over $250,000. Plan within the cap using the Concessional Contributions Calculator.
Salary sacrifice decisions
Check whether sacrificing is still worth it at 30%. See the real gain with the Salary Sacrifice Calculator.
Paying the tax
Decide whether to pay from your own money or release it from super. Check your tax with the Income Tax Calculator.
Planning
Estimate the bill before the ATO assessment arrives. Project your super with the Super Balance Calculator.
Related Tax tasks
Frequently asked questions
What is Division 293 tax?
An extra 15% tax on concessional super contributions for people whose income plus those contributions is more than $250,000, so their contributions are taxed at 30% instead of 15%.
What income counts?
Taxable income, reportable fringe benefits, net investment losses and some other amounts, plus your low-tax concessional contributions.
How is the tax worked out?
15% of whichever is smaller: your concessional contributions, or the amount by which income plus contributions exceeds $250,000.
How do I pay it?
The ATO sends a separate notice. You can pay it yourself or release the amount from your super fund.
Is salary sacrifice still worth it?
Usually yes. At 30% the contributions are still taxed less than the top marginal rate of 45% plus Medicare.
Does it apply to defined benefit funds?
Yes, but the tax may be deferred until benefits are paid.
Does it count toward the concessional cap?
No. Division 293 tax is separate from the cap and excess contributions rules.
Is the threshold indexed?
No. It has been $250,000 since 1 July 2017.
Can couples split income to avoid it?
Each person is assessed separately, so contribution splitting can help in some cases.
When does the notice arrive?
Usually after you lodge your tax return and the fund reports your contributions.
Does a one-off bonus trigger Division 293?
It can. A large bonus or capital gain can lift income above $250,000 for one year, so Division 293 applies only for that year.
Results are estimates based on the official rates linked above. Confirm important figures with the issuing authority or a qualified adviser before you act on them.
Built and reviewed by Hamza Farooq, founder and lead developer
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