Over the five-year period to 30 June 2014, contributions to SMSFs averaged $24.4 billion a year (member $17.8 billion and employer $6.6 billion) on behalf of 63% of SMSF members7 (see appendix 1, table 3).
In 2014, member contributions into SMSFs made up 77% of all SMSF contributions, an increase of 9% from 2010. While in 2010 the ratio of member and employer contributions to SMSFs was at approximately two to one, since 2013 it has been higher, at approximately three to one.
For 2014, the median member contribution of $22,500 was higher than, the median employer contribution of $17,900. This reverses the trend up to 2012, of higher median employer contributions.
Over the five years, most member contributions were to SMSFs with assets between $500,000 and $5 million. Employer contributions were mostly spread across SMSFs with assets between $200,000 and $2 million.
Total contributions to SMSFs over the five years increased by 25% in line with the growth of total contributions to all super funds, which also increased by 25% over the same period.8
Member contributions to SMSFs increased by 41% over this period, while employer contributions decreased by 9%. The decrease in employer contributions is largely due to a fall in 2013 to $5.5b, though in 2014 there was an increase to $6.1 billion. By comparison, both member and employer contributions to all super funds increased by approximately 30% and 22% respectively.
Graph 3 compares contributions to SMSFs as a proportion of all super fund contributions for the years ended 30 June 2010 to 30 June 2014.
At 30 June 2014, contributions to SMSFs represented 22% of all super fund contributions. Member contributions into SMSFs, accounted for 50% of all member contributions across all super funds in 2014, an increase of 4% over the period. In contrast, the proportion of employer contributions to SMSFs has dropped over the period to only 8% of all employer contributions across all super funds in 2014.
Graph 3: Contributions to SMSFs as a percentage of total Australian super contributions (for member, employer, and total)
The percentages are calculated as: SMSF (member/employer /total) contributions divided by total contributions (member/employer/total)
7 Based on 2010–2014 SAR lodged data.8 APRA 2015, Figures for APRA funds sourced directly from APRA.