The fortnightly 16.4% pay match into your ADF Super will happen automatically. However, if you’re at the stage of life where your wanting to focus on maximising your retirement fund you could set things up with smart.com. Contribute whatever is possible regularly or periodically for your circumstances within the annual limits.

SGT Jones wants to maximise. Example:

• SGT Jones earns $120000 base pay and district allowance a year plus an AFPS75 Pension
• SGT Jones is paid fortnightly (120000/26=) before deductions its $ 4615.38
• Defence will put a 16.4% match ($4615.38/100 x 16.4=) into their Super, $756.92
• The 26-27 ATO annual concessional allowance is $32500, (32500/26=) $1250
• $1250 – $756.92 = $493.08 remaining allowance
• SGT Jones uses smart.com to take $493 from pre-tax pay to go into their ADF Super every fortnight

However, SGT Jones won’t be $493 out of pocket on payday. Without salary sacrifice, that portion of their pay would have been subject to 30% tax. SGT Jones will only be $345 down from their maximum fortnightly pay. 

AND…. SGT Jones has removed $12820 (26 x $493) from their $120000 annual pay. This now moves $12820 of their overall income from the 37% tax bracket to the 30% rate. Saving SGT Jones $897.4 in tax at assessment time.

paycalculator.com.au can help you calculate your maximum salary sacrifice.