Retirement income choices

Account Based Pension

• You receive a regular income stream until the account is exhausted or you pass away. 
• You choose which investment options suit your timeframe and risk tolerance.

• You can choose your income level (above a prescribed minimum)
• You are not restricted to any maximum amount of income each year
• You can change your payment amount
• You can make withdrawals as you need extra cash

Transition to Retirement Account Based Pension

• You convert some or all of your super to a non-commutable income stream (no ad-hoc withdrawals permitted)
• Allows you to draw down your super after age 55 even if still working
• You can draw down up to 10% of the account balance (at the start of each year) in any one year.
• The capital becomes accessible to you when you fully retire.

• You don’t need to be fully retired to access an income stream
• Allows you to reduce your hours at work but not sacrifice your lifestyle. You can supplement reduced salary with income stream payments. 

Market-linked Income Stream

• Income payments at a fixed rate of return for a fixed period of time.
• Will become a legacy product after 20 September 2007

• Account based pensions purchased prior to 19 September 2007 will lock in a 50% Assets Test exemption