Contributing to Super
Salary Sacrifice is an arrangement between an employee and their employer whereby the employee agrees to forgo part of their future salary in return for the employer providing a benefit of similar value.
When salary sacrifice contributions are made, gross salary is 'sacrificed' (or exchanged) for super contributions made to Qantas Super by your employer. Salary sacrifice contributions are treated as employer contributions for tax purposes (see below).
Salary sacrifice (or pre-tax) contributions are referred to as concessional contributions. There is a limit on the amount of concessional contributions that you can make each financial year. Please refer to our Contribution Caps page for more information.
Making salary sacrifice contributions from pre-tax salary has no effect on your superannuation salary, which is used by Qantas Super to calculate other superannuation benefits.
While pre-tax contributions reduce your taxable income, from 1 July 2009, they do not reduce your income for means testing certain government benefits or family support payments.
Pre-tax contributions are not counted towards the Government co-contribution scheme. If you only make pre-tax contributions you will not be eligible to receive a co-contribution.
Tax on salary sacrifice contributions
Salary sacrifice contributions are taxed as an employer contribution (or concessional contribution), which is currently 15% of the contribution. This contributions tax will be deducted by Qantas Super.
For more information on tax refer to the tax on super page.
Qantas Super does not currently allow salary sacrifice contributions to be made to spouse accounts.
Commencing voluntary salary sacrifice contributions
Salary Sacrifice is voluntary and members of Qantas Super (except Division 8, 9, 11 and 14 members) are eligible to make salary sacrifice contributions.
To start making salary sacrifice contributions (or to vary existing rates of salary sacrifice contributions), complete the Superannuation Contribution Authority form available from the People section of the Qantas Intranet under 'HR Forms, Templates and Toolkits' or you can contact PeopleConnect for a copy. If you are employed by Jetstar, Express Ground Handling, Qantaslink, Jets Transport, or any other employer that does not use Qantas Payroll Shared Services, please contact your payroll directly for assistance
For members in Division 5 and 6, all salary sacrifice contributions (including the superannuation guarantee contributions) are credited to your Salary Sacrifice Account.
Compulsory member contributions
Eligible employees of the defined benefit divisions of Qantas Super can make their compulsory member contributions to superannuation by salary sacrifice.
To ensure that the equivalent value of an after-tax contribution is received by Qantas Super, the salary sacrifice (pre-tax) compulsory member contribution rate will be higher than the post-tax compulsory member contribution rate. This is because the pre-tax contributions are taxed as employer contributions and attract the 15% contributions tax rate. The pre-tax contribution rate is grossed up to ensure that after deducting 15%, the same value as the post-tax contribution has been received. The contribution rates are shown in the following table.
|Division||Post-tax rate||Equivalent pre-tax rate|
|1||Contribution rate specific to member||Post Tax Rate x 1.17647|
|2||4% of Superannuation Salary
5% of Superannuation Salary
6% of Superannuation Salary
|4.71% of Superannuation Salary
5.88% of Superannuation Salary
7.06% of Superannuation Salary
|3||5% of Superannuation Salary||5.88% of Superannuation Salary|
|4||5% of Superannuation Salary||5.88% of Superannuation Salary|