Important announcement regarding minimum pension payment levels for 2011-12 Financial Year
As part of the May 2011 Federal budget, the Government has announced that it will phase out the current drawdown relief which has been in place over the last couple of years. The prescribed minimum pension payment levels were reduced by 50%.
The table below illustrates the minimum pension payments for the current year, as well as the next two financial years.
| Age | Percentage of account balance calculated as at 1 July | ||
|---|---|---|---|
| 2010/11 | 2011/12 | 2012/13 | |
| Under 65 | 2.00 | 3.00 | 4.00 |
| 65-74 | 2.5 | 3.75 | 5.00 |
| 75-79 | 3.00 | 4.50 | 6.00 |
| 80-84 | 3.50 | 5.25 | 7.00 |
| 85-89 | 4.50 | 6.75 | 9.00 |
| 90-94 | 5.50 | 8.25 | 11.00 |
| 95 or more | 7.00 | 10.50 | 14.00 |
How will this impact you?
BT and Westpac account based pension members will have their pension payments recalculated based on their nominated payment level. The nominated payment level will either be Specified or Minimum.
What you could do next?
As always, pension members who would like to change their pension payments or have any additional queries should call the BT Contact Centre on 132 135, or visit www.bt.com.au/pensions
BT Super for Life members who would like to change their pension payment amount can easily do this by logging into their BT Super for Life account via Internet Banking, or by calling our team of specialists on 1300 653 553.
