Once you retire, an AustralianSuper Pension will give you a regular income to live on.
By turning your super savings into a pension, you create a regular income from your super.
Most people will combine their AustralianSuper pension with the Government Age Pension to get a higher income, and the AustralianSuper pension lets you decide on how often and how much income you receive, while still taking advantage of significant tax advantages.
In addition, transferring your super into an AustralianSuper pension may help you qualify for the Government Age Pension and other Centrelink benefits.
Examples of the Government Age Pension combined with income taken from your super savings
| Super used to open an AustralianSuper Pension |
Fornightly sources of income in retirement (single) |
|
Total income |
| |
AustralianSuper Pension* |
Government
Age Pension† |
|
| $46,000 |
$142 |
$731 |
$873 |
| $75,000 |
$30 |
$686 |
$916 |
| $100,000 |
$307 |
$648 |
$955 |
| $125,000 |
$384 |
$609 |
$993 |
| Super used to open an AustralianSuper Pension |
Fornightly sources of income in retirement (couple) |
|
Total income |
| |
AustralianSuper Pension* |
Government
Age Pension† |
|
| $50,000 |
$153 |
$1,099 |
$1,252 |
| $100,000 |
$307 |
$1,073 |
$1,380 |
| $150,000 |
$461 |
$996 |
$1,457 |
| $125,000 |
$615 |
$919 |
$1,534 |
Alongside the tax concessions and other benefits, the AustralianSuper Pension puts you in control of your retirement savings with:
- low fees that don’t eat away your savings
- solid, long-term investment performance with 16 investment options for you to choose from
- the convenience of internet access to your account any time of the day.
With a pension, you can:
- continue to receive a regular income conveniently paid directly to your bank account
- keep your money in the super system where your investment earnings are tax-free
- pay no tax on your pension payments if you’re 60 or over
- make lump sum withdrawals on top of your regular pension payments*
- improve your eligibility for the Government Age Pension, as the income received from your pension is favourably treated under the income test for Centrelink purposes.
*Conditions apply if you’re still working.
When you take up a pension you don’t have to withdraw your super as a lump sum. So you don’t have to worry about having to manage a sum of money when your salary stops coming in.
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We have a specialist team of financial advisers who can help you over the phone with more specific questions. To speak with one of the team call 1300 789 932.
All figures have been rounded down to the nearest dollar amount.
* Source: AustralianSuper Pension calculator, July 2011. Assumes account started at age 65 with income projected to last until 85, 7.5% pa investment earnings, 5% annual pension payments and other assumptions specified in the calculator.
† Source: Centrelink. Rates are effective from 20 March 2011. These don’t take into account any other asset of income derived by a person or couple. ‡ Figures are combined amounts.