Super caps on the rise from 1 July 2026. Here’s what's changing and how the caps work
And in this weekend's newspapers, 'Wondering if you can retire yet? Try asking a different question'
In this edition
Feature: Super caps on the rise from 1 July 2026. Here’s what’s changing and how the caps work
From Bec’s Desk: Upcoming events, courses, and follow along on my health movement!
The Age and Sydney Morning Herald: Wondering if you can retire yet? Try asking a different question
Prime Time: ‘Have I lived a successful life?’ The truth about life after 50
Super caps on the rise from 1 July 2026. Here’s what’s changing and how the caps work
The December CPI figures released this week confirm that Australia’s key superannuation balance caps will increase from 1 July 2026.
Both the Transfer Balance Cap (TBC) and the Total Super Balance (TSB) cap will rise from $2.0 million to $2.1 million. These caps are indexed to inflation, and the December CPI result has triggered the next $100,000 indexation step.
In addition, contribution caps are also likely to increase from the same date (but we won’t see that confirmed for a couple more weeks).
Concessional and non-concessional contribution caps are not indexed to CPI. They are indexed to Average Weekly Ordinary Time Earnings (AWOTE), an ABS measure of wage growth, with updated figures due on the 26th February. Based on current wage data, it is expected that from 1 July 2026:
the concessional contribution cap will increase from $30,000 to $32,500
the standard annual non-concessional contribution cap will increase from $120,000 to $130,000
the three-year bring-forward cap will increase to $390,000
We’ll get final confirmation once the AWOTE figures are released in February 2026. I’ll keep an eye on it and let you know.
What the caps are designed to do
There’s a bit of super jargon in there, so here’s a quick explanation of what these caps actually are.
The Transfer Balance Cap (TBC) limits how much superannuation can be transferred into the retirement phase, where your investment earnings are tax free. It is a lifetime cap. Each time a retirement income stream is commenced, the amount transferred is counted against the individual’s personal transfer balance cap.
If you have more than the cap, that amount can remain in super but must stay in an accumulation account, where earnings are taxed at 15 per cent. The purpose of the TBC is to place a limit on the amount of capital that enjoys tax-free treatment in retirement.
The Total Super Balance (TSB) cap serves a different function. A person’s Total Super Balance is the combined value of all their super interests at 30 June each year. This balance is used to determine someone’s eligibility to:
make non-concessional contributions
use the three-year bring-forward rule
access carry-forward concessional contributions
apply certain other superannuation rules
Once a person’s TSB reaches the cap, each of these options are no longer available, but I need to point out that existing balances are not affected.
How the caps interact
The Transfer Balance Cap controls how much super can receive tax-free earnings in retirement.
The Total Super Balance cap controls who can continue to add money to super, and on what terms.
Indexation of these caps is done in recognition of inflation, wage growth and the fact that we are living longing and retiring for longer too. While many Australians will never approach these limits, the changes are important for people nearing retirement, managing large contributions later in life, receiving inheritances, or transitioning significant balances into retirement income streams.
All changes will apply from 1 July 2026.
One week back in the hot seat - literally, Brisbane has been like an oven this week. But I’m having fun. I’ve started the year with a health kick (haven’t we all). In fact I’ve read Michelle Bridges’ book as well as a few others cover-to-cover and started to live the lessons we discussed two weeks ago on the Prime Time podcast. Walking at least 10,000 steps a day, before the heat kicks in, lifting heavy weights to the point of failure, and eating my body weight in protein - loooots of protein. I could call it a weight loss diet but I’d rather not. Yes, I ate too much cheese and a little wine on my holiday in France for my 50th birthday, so there’s pounds to lose, but this diet is not a diet. It’s just a more consistent approach to being the person my 80-year-old self would be proud of. The changes to my body composition are what I hope to have do the heavy lifting, pardon the pun. Let’s see if I can keep the consistency up as I travel for work this year. I am telling myself I can.
The reason I’m telling you this is two-fold. I’m taking accountability, in public, for my health in midlife, so maybe it will inspire you to do it alongside me. But also, so you can hold me to it. I’ll report back and we’ll be getting a few health gurus on the show to inspire us this year. My goal is simple. 4 weights sessions a week - low reps and HEAVY, at least 10,000 steps a day 6 days a week. HIIT and Yoga or pilates whenever I can. I bought a treadmill (much to my dog’s horror) and it sits right outside my office/studio so I have no excuse. What’s your mix and intention… leave it in the comments. Let’s do this!
Now, onto the other important stuff… events! I cant wait to get out and about again. My first events for the year are coming up fast.
I’ll be in-person in Melbourne on Saturday 21st February, speaking about ‘How to make your retirement EPIC’ at Lifestyle Communities Deanside. It’s a great way to see a community in real life too. It’s free but you need to RSVP to come along. More info here.
Then, I’ll also be speaking at the Retirement Xchange, an event for Financial Advisers who want to go deeper into retirement. It’s on the 19th February - and it’s sold out. More here.
And, also on the 19th February I’ll be speaking at the Aware Super online event ‘Planning for Retirement for Couples’! This is an information-packed event, and it’s online, for Aware Super members. More here.
And the courses… I truly love these!
The HESTA exclusive edition of the Epic Retirement program is booking now, for kickoff on the 19th Feb. It’s a fully-tailored program for HESTA members to learn how to have an epic retirement. And it’s EPIC! You can register your place here.
And the next public program of the How to Have an Epic Retirement Flagship Course kicks off on the 19th February too. A six week program, and hundreds of people have already registered. In fact this could be our biggest consumer course ever. The earlybird 25% off deal has just days left. Learn more, download a brochure and book your place here. Welcome packs go out next week - so make sure you’re booked in ASAP.
And my last little ‘watch out for’ is this. We’re starting a book club for midlife and retirement on the Prime Time podcast. I’m going to tell you more about it next week. But if you aren’t a listener of the show yet - come on over and start listening in. We’re going to do lots of interesting stuff this year.
Thanks for being here… making it epic. Have a lovely Sunday!
Author, podcast host, columnist, retirement educator, and guest speaker
Wondering if you can retire yet? Try asking a different question
There’s a moment every January that’s oddly predictable for most of us. The kids go back to school if you have them. The diary refills with meetings, appointments and general chaos. Work cranks back up to full pace.
And somewhere between ironing work clothes, packing lunchboxes, fighting traffic and clearing the holiday backlog in your inbox, a quiet but persistent thought starts tapping you on the shoulder: how long do I really have to keep doing this?
For some people, the next step is to start running the numbers. How much super do I have? How much do I actually need? How far away can retirement be, really? For others, there’s no numbers moment at all. They resign themselves to the belief that it’s simply too many years to bother counting, and do nothing.
Whichever type of person you are, if this question is even crossing your mind, it’s worth paying attention.
Because no matter how much you have, or don’t have, or how hard you work, almost everyone can take early steps to get better control over their ability to choose how and when they retire, rather than simply waiting for a distant age or magic number to arrive. And there are some practical steps that can help.
This article was published in The Age and The Sydney Morning Herald on Sunday 1st Feb 2026. Read the whole article here. Note - it has a sign-up gate but no paywall.
Less than 3 weeks to go: Earlybird sale ends soon for The Epic Retirement Flagship Course
How to Have an Epic Retirement – Flagship Course
Earlybird 25% off deal is still running - but not for long
The next edition of the How to Have an Epic Retirement flagship course kicks off on 19 February 2026. Hundreds of people have already registered, which I’m genuinely thrilled about. It’s a practical, Australia-first program for people in their 50s and 60s who want to understand how retirement actually works, without the overwhelm. . We do the program together through a combination of online learning and live events, over 6 weeks (it’s a synchronous course), so you’re not left on your own trying to make sense of it all.
What we cover
How Australia’s retirement systems really work
Practical ways to get money into super
How to turn super into income
How to think about spending, tax and the Age Pension
How to plan for health, purpose, and the long game of ageing well and ageing in place
What you won’t get - There’s no jargon, no scare tactics, no product sales or hidden agendas. Just clear, honest, factual retirement education, designed to help you make better choices in the years ahead and feel calmer, more confident, and better prepared to live retirement well.
‘Have I lived a successful life?’ The truth about life after 50
Today’s guest is someone who’s not just talking about midlife transformation - she’s living it.
Sue West is a leadership and transition coach who helps people navigate change in work and life, especially in the second half of life. But what I love most about Sue is her own story; how she’s built her coaching business Flourish After Fifty, and redefined what success, purpose and energy mean for her, at this stage of life.
In this episode, we talk about what happens when you stop chasing the version of success you were sold in your 30s and 40s… and start creating one that actually fits who you are now.
We talk about letting go, finding your voice, the emotional rollercoaster of transition and why the “messy middle” is where the real work begins. If you’ve ever asked yourself “what’s next for me?” and felt unsure how to answer… this one’s for you.
LISTEN TO THIS EPISODE OF THE PODCAST HERE:
Hi Bec, thank you so much for your update email on the super caps. Your articles and emails are so valuable to those of us who are retired or about to retire. Not only is super quite a complex area but many of the rules change on a regular basis so your updates are indispensable. You are truly the "Super-Queen"!
Hi Bec. I have been really enjoying your advice and writing over the past 12 months. I just read your piece in the SMH about January and wanted to add that I wrote a Substack piece called "Uncertain January". It was inspired by my 22-year-old daughter, who, while she wasn't wondering when she could retire, she was wondering what she was going to do now that Uni had ended. For the first time in a long time, my January has been uncertain, but never more optimistic because I did quit my job!!