Salary sacrifice is an arrangement between you and your employer, where you transfer part of your before-tax salary into your super to potentially gain tax benefits.
How does salary sacrificing work?
This arrangement lets you put some of your pre-tax salary into your superannuation at a maximum concessional tax rate of 15% rather than your marginal tax rate.
Your assessable income is reduced by the amount you contribute and, as a consequence, you may also drop to a lower marginal tax rate. Please refer to the ATO website for details of current year marginal tax rates.