Solo Biz Soft Editorial Team Recent surveys showing older Australians delaying retirement or returning to work tend to focus on employees whose super balance came up short. If you’re self-employed, there’s a more basic issue sitting underneath that story: you likely haven’t been getting any compulsory super at all, because the rule that forces 12% into an employee’s account simply doesn’t apply to you.
Why employees get super automatically and you don’t
The Superannuation Guarantee rate reached 12% for 2026-27, the final step of a long scheduled increase, and employers are legally required to pay it on top of an employee’s wages. As a sole trader, contractor, or otherwise self-employed person, none of this applies to you. There’s no employer in the relationship, so there’s nothing forcing a contribution into your super fund — whether anything goes in each year is entirely up to you.
What you can still do about it
You can make personal concessional contributions — voluntary payments into your own super fund that you can claim as a tax deduction, similar in spirit to how an employer’s contribution works, just initiated by you instead. For 2026-27 the concessional cap is $32,500 a year. You can also make non-concessional (after-tax) contributions, capped at $130,000 for 2026-27, which don’t get a tax deduction but still grow inside the concessional super tax environment. If your income varies significantly year to year, which is common for freelancers, unused concessional cap room can generally be carried forward for up to five years, so a strong year can help you catch up on contributions you skipped during a leaner one.
Treat it like a bill you pay yourself
The practical takeaway from the “delaying retirement” headlines isn’t really about this month’s news — it’s that nobody is going to do this for you automatically. Since there’s no employer contribution landing in the background every payday, the only way your own super balance grows is if you deliberately set money aside and contribute it yourself, on whatever schedule actually fits your income.
Frequently asked questions
Is superannuation compulsory for sole traders in Australia?
No. It’s generally not compulsory for sole traders, contractors or the self-employed to pay themselves super, regardless of how much they earn.
What's the difference between concessional and non-concessional contributions?
Concessional contributions are made before tax (or claimed as a deduction afterward) and are capped at $32,500 for 2026-27. Non-concessional contributions are made after tax and are capped at $130,000 for the same year.
Can I catch up on super contributions I missed in a lean year?
Often yes — unused concessional cap space can generally be carried forward for up to five years, subject to eligibility, which can help smooth out an irregular income.
More free tools: All free tools
This article is general information, not financial advice, and reflects Australian superannuation rules specifically, not any other country’s retirement system. Caps, rates and rules can change — confirm current figures at ato.gov.au before making contribution decisions.