AusFinance

I'm getting a bit confused about how this works even after reading the ATO website.

https://www.ato.gov.au/Individuals/Super/In-detail/Growing-your-super/Super-contributions---too-much-can-mean-extra-tax/?page=4#Ifyoudontwithdrawyourexcessconcessionalc

They provide heaps of examples where people have over $1.6 million in their super with warnings about you possibly getting taxed 95% on the extra contributions. But nothing about what happens if you have less than $1.6 million in super.

My situation

• Super total value less than $350k
• Paid $30.5k in employer and Voluntary Before-Tax Contribution (excess of about $3k over $27.5k cap)
• Wage in the top tax bracket

From what I gather from reading my previous tax return the excess ($3k that year) they just added to my taxable income and then adjusted my owed tax. So I'm guessing I paid the top tax bracket of 45% on that extra.

I have the option to release 85% of this excess based on the above link. From what I can tell it's mainly to help people pay the additional tax they incur or for people with more than $1.6 million in their super wanting to avoid a huge tax hit on the extra.

Am I paying less tax by leaving it where it is in super or releasing the 85% back to myself?