In this guide
On 1 July 2026, the general transfer balance cap (TBC) rises from $2 million to $2.1 million. The cap is indexed to increase in line with the Consumer Price Index (CPI) in increments of $100,000 and will continue to rise in the future, with each increase taking effect at the start of a new financial year.
Increases to the cap can create opportunities for people with high super balances to move more money into the tax-free retirement phase, make contributions and benefit from schemes such as the co-contribution.
The largest opportunity, and the most significant trap, applies to those who are considering starting their first super pension.
Remind me, what is the TBC?
In a nutshell, your TBC is the maximum amount you can transfer to a tax-free pension account.
For more on the TBC, see SuperGuide article transfer balance cap (TBC) for super pensions: How it works.
Good to know
When you start your first pension account, the ATO establishes a transfer balance account (TBA) to track your TBC. Your TBA is a record of all the ins and outs (credits and debits) that count towards your TBC.
How does indexation work?
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