Common Superannuation Strategies to Maximise the $2.1M tax-free transfer balance cap
After recent government taxation changes, superannuation is perhaps the most tax-effective way to now build long-term wealth in Australia. But standard employer contributions aren’t enough to utilise what’s available given the current transfer balance cap (the amount of super you are allowed to convert to tax-free pension phase) is $2.1M each in the 2026/27 financial year.
Therefore, to make the most of your super, you need a strategy – one that evolves with your age, income, and retirement goals. Here are some of the most effective and widely used superannuation strategies for Australians in the 2026/27 FY:
1. Salary Sacrifice Contributions
Salary sacrificing involves regularly directing a portion of your pre-tax salary into your super account each pay cycle. These contributions are taxed at just 15%, which is often lower than your marginal tax rate. This strategy:
- Reduces your taxable income
- Boosts your retirement savings
- Works best for mid- to high-income earners
- Is capped at a total of $32,500 for the 2026/27FY including employer SG
2. Personal Concessional Contributions
You can also make voluntary contributions from your after-tax income and claim a tax deduction. This is ideal in the lead-up to the end of the financial year for:
- Self-employed individuals once cashflow is known
- Those who want to top up their super in one lump sum
- Contributions are included in the same $32,500 cap mentioned above, including employer SG
3. Non-Concessional Contributions
These are after-tax contributions that aren’t tax-deductible but allow you to invest more into super. You can contribute up to $130,000 per year in the 2026/27 FY, or use the bring-forward rule to contribute up to $390,000 over three years
4. Transition to Retirement (TTR) Strategy
If you’re between 60 and 65 years of age and still working, a TTR pension allows you to access some of your super while reducing your work hours. You can also combine this with salary sacrifice to reduce tax and maintain income
5. Downsizer Contributions
If you’re 55 or older and sell your family home, which you have owned for more than 10 years, you may be able to contribute up to $300,000 into super outside the usual contribution caps. This is a great way to boost retirement savings later in life
6. Spouse Contributions and Splitting
You can contribute to your spouse’s super to:
- Equalise balances
- Maximise Age Pension eligibility
- Access super earlier if your spouse is older
7. Age-Based Investment Strategies
Your investment mix should reflect your goals, stage of life and risk tolerance.
Some examples include;
- Under 40: High-growth options with 90–100% in growth assets
- 40–60: Growth/Balanced options with 70–90% growth assets
- 60+: Balanced/Conservative options with more defensive assets
8. Ethical and ESG Investing
Many super funds now offer ethical investment options that align with environmental, social, and governance (ESG) values. These can be part of a purpose-driven financial
strategy.
9. Regular Portfolio Reviews
Markets change, and so should your super strategy. Reviewing your investment mix, contributions, and fund performance annually ensures your super stays aligned with your goals. Generally we recommend this should be completed every 6 months to ensure your portfolio is up to date with the current economic climate.
Need Help Choosing the Right Super Strategy?
At Altitude Advisers we help individuals and families make smart, personalised decisions about their superannuation. Whether you’re just starting out or preparing to retire, our financial planning services are tailored to your goals, lifestyle, and future.
Contact us today to schedule a strategy session and make sure your retirement and all other savings are working as hard as you are.
Altitude Financial Planning is a Corporate Authorised Representative of Altitude Financial Advisers Pty Ltd
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The information contained on this website is general in nature and does not take into account your personal circumstances, financial needs or objectives. Before acting on any information, you should consider the appropriateness of it and the relevant product having regard to your objectives, financial situation and needs. In particular, you should seek the appropriate financial advice and read the relevant Product Disclosure Document.
