Superannuation is a vehicle for saving money, while you are working, to fund your retirement. There are four main types of superannuation contributions to cater for different people and employment types.

Employer Funded
In Australia, the Superannuation Guarantee (SG) Act requires most employers to contribute to superannuation on behalf of employees. Through the SG legislation, the government is aiming to have most Australians self-fund their retirement rather than rely on social security. Contributions made on your behalf are called “employer funded contributions”.

Employee Funded
Like you, many Australians recognise that in order to live the lifestyle they want in retirement, they can’t rely solely on their employer’s superannuation contributions. When you contribute additional amounts (beyond the amounts that are compulsorily contributed to superannuation by your employer - 9% from 1 July 2002), these contributions are known as “employee funded” contributions.

Self Employed
Self employed person may also make superannuation contributions which may be deductible to them up to certain limits.

Spouse Contributions
A person may also make after tax contributions on behalf of their spouse, under certain criteria. An increase tax rebate may be available, depending on the income of the spouse.