Superannuation on maternity leave (or parental leave): What new parents need to know in 2025

Welcoming a new baby into your world is, no doubt, life-changing. 

Priorities shift, and between sleepless nights and never-ending cycles of feeds and nappies, you probably haven’t thought much about what’s happening to your superannuation on maternity leave (or parental leave).

But taking time off work—whether you’re a mum or dad—can impact your superannuation retirement savings.

With Australia’s super system holding over AU$4 trillion in assets, it’s a powerful reminder of why securing your financial future is crucial—especially for retirement. And the good news? Changes are coming in 2025 that could help keep your super growing while you take parental leave.

How parental leave affects your super

Historically, taking time out of the workforce—especially for women—has meant missing out on employer-paid super contributions. This adds up, with women retiring, on average, with 25% less super than men.

But in a game-changing move, the government is introducing super on Paid Parental Leave (PPL) starting July 2025. 

Here’s what’s happening:

• If your baby arrives after July 1, 2025, you’ll receive an extra 12% super contribution on your PPL payments.
• Super will be paid as a lump sum once a year—once the scheme reaches 26 weeks in 2026, families will receive a superannuation boost of over $3,000 per birth or adoption. 

This change acknowledges that caring for a baby is valuable work—just like any other job with super entitlements. The government has committed AU$1.1 billion to support around 180,000 families each year.

And if you’re sharing leave with your partner? Both parents will receive super for the portion of leave they take.

What to do before you go on leave

Before stepping away from work, here are some things you may want to check to keep your super on track:

• Talk to HR: Ask if your employer contributes to super during unpaid leave—some do!
• Check your super fund: Ensure your details and nominated beneficiaries are up to date.
• Review your insurance: Many super funds offer Income Protection, but coverage may change if you stop receiving employer contributions.

The best part? If you’re eligible for Paid Parental Leave, the superannuation contributions happen automatically. No forms, no chasing payments, no more wondering what’s happening to your superannuation on maternity leave/parental leave—just money growing in your fund while you focus on your baby.

How to keep your super growing while on leave

We get it—money is tighter when you’re on leave. But there are some options that may help boost your super.

1. Government Superannuation Co-Contributions

If you or your partner are in a position to contribute, the government offers a co-contribution scheme for low to middle-income earners. Even small contributions can help grow your superannuation retirement savings over time. 

2. Superannuation Spouse Contribution

Your partner may be able to contribute to your super during parental leave, which could help keep your balance growing. This may also provide them with a tax offset, depending on eligibility. 

Some options they might consider include:

• Making direct contributions to your super.
• Potentially receiving a tax offset for contributing to your super.
• Transferring a portion of their before-tax superannuation contributions to your account.

This option may be worth considering as a way to keep your super growing during time off work.

Returning to work: Getting your super back on track

Heading back to work after parental leave? Now’s the perfect time for a super health check.

Key steps when returning to work:

• Check your super balance via ATO online services or your fund’s portal.
• Track employer contributions—they should be paying 11.5% now (12% from July 2025).
• Consolidate multiple accounts—fewer fees = more superannuation retirement savings.

Your super matters

Parental leave is a special time, but it shouldn’t set you back financially. With the upcoming changes, new parents—mums and dads—finally have more ways to keep their super growing.

Superannuation isn’t just about saving money—it’s about giving yourself choices in the future.

Want tailored advice? We’re here to help. Book a free consultation with us today, and let’s make sure your super stays on track while you focus on what matters most—your family.