fairer super for lower income earners

what's changing? 

If a person earns up to $37,000 a year and meets other eligibility criteria, they may receive a payment to their super of up to $500 a year from the Australian Government. This is called the Low-Income Super Tax Offset (LISTO).  

We’re thrilled to welcome the Federal Government’s recent announcement that from 1 July 2027, the LISTO will extend to people earning up to $45,000 (or the top of the second income tax bracket, as it was originally intended to do). The LISTO payment will also be lifted so that it matches the current mandatory super payment level, increasing the maximum payment from $500 to $810.

These important changes will help ensure no working Australian is paying more tax on their super contributions than on their take-home pay.  

why HESTA called for the LISTO changes

For many years, HESTA and others have called for these changes to help close the gender super gap that still sees women retire on average with around 25% less super than men.

The LISTO will boost the retirement outcomes of more than a million Australians on low incomes.^*

And as the only tax concession more likely to be paid to women, who face typically lower incomes and higher effective marginal tax rates, it’s an issue close to the heart of our members.

Nearly 80% of HESTA’s more than one million members are women, many of whom work in often lower-paid sectors such as aged care and early childhood education and take time out of the paid workforce to care for others. 

For members who might now receive the LISTO every year, these changes could add thousands more to their balances by retirement. 

 

^*Super Members Council, Breaking the deal: why LISTO needs to be fixed, September 2025. 

eligibility for the LISTO payment

You don't need to do anything to receive a LISTO payment. Just make sure HESTA has your tax file number (TFN) — you can check to see if it's quoted on your member statement or in your online account under Personal details. Without your TFN, we can't accept a LISTO payment.

LISTO is an annual payment, made directly to your super. If you lodge a tax return, your LISTO will be paid directly into your HESTA account based on your tax return and information from your super fund. If you don't lodge a tax return, the Australian Tax Office will work out your eligibility using information from HESTA and other sources and pay your LISTO directly to HESTA.
 

You're eligible for the LISTO if you meet all the following requirements:

• you or your employer pays concessional (before-tax) super contributions (including super guarantee amounts) for the year to a complying super fund
  
  
• you earn $37,000 or less a year (from 1 July 2027, $45,000 or less a year); to work out your eligibility, the ATO uses your actual or estimated adjusted taxable income  – log in to your myGov account to check your taxable income
  
  
• you have not held a temporary resident visa at any time during the income year (note that New Zealand citizens in Australia are eligible for the payment)
  
  
• you lodge a tax return and 10% or more of your total income comes from business and/or employment, or you don't lodge a tax return and 10% or more of your total income comes from your employment.

Find out more about the LISTO changes in our media release