Transition to Retirement

Your preservation age depends on your date of birth:

• •Before 1 July 1960: 55
• •1 July 1960 – 30 June 1961: 56
• •1 July 1961 – 30 June 1962: 57
• •1 July 1962 – 30 June 1963: 58
• •1 July 1963 – 30 June 1964: 59
• •After 30 June 1964: 60

This is based on minimum and maximum pension payments legislated by the government and changes over time based on your age. The maximum prior to age 90 is 10% of fund balance per annum. Minimum percentages:

• •Under 65: 4%
• •65 to 74: 5%
• •75 to 79: 6%
• •80 to 84: 7%
• •85 to 89: 9%
• •90 to 94: 11%
• •Aged 95 or older: 14%

Not all super funds offer transition-to-retirement pensions, and the legislative requirements are changed often. Best to ask your current super fund whether they offer this super option.

Generally, no, you cannot withdraw a lump sum unless you satisfy a condition of release such as reaching age 65 or retiring.

TRIS payments are subject to tax if you are under age 60. These payments will be taxed at your marginal tax rate (less a 15% offset). Once you turn 60, your TRIS payments will not be subject to any tax.