Where can your retirement income come from?

Did you know that your income in retirement can come from more than just your super savings? Discover the different sources of retirement income you may have access to including the government Age Pension and more.

Different income sources

Your income in retirement can come from different sources — not just your super savings!

Your retirement income can also come from the government Age Pension, personal savings and investments outside of your super, and any salary you receive if you choose to work in retirement.

Knowing that your income can come from different sources may help you plan your retirement, and help you understand the standard of living you may expect throughout your retirement.

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Did you know you can apply for the government Age Pension  13 weeks before you reach Age Pension age? It’s a good idea to apply early so you can receive any benefits from the day you’re eligible.

How much income could you have in retirement?

Our Retirement Savings Calculator (Step 1 ) can help you estimate your super balance at retirement as well as a projection of your retirement income — in just a few minutes.

If you’re within 5 years of retiring, you can also use our Retirement Income Calculator (Step 2) for a closer look at how much income you could receive throughout your retirement.

Step 1
Estimate your super balance at retirement
Calculate how much super you may have when it comes to the time of your retirement and estimate your retirement income.
Step 2
Estimate your income in retirement
Estimated your super balance and within 5 years of retiring? Take a closer look at how much income you may receive throughout your retirement.

What can you do with your super when you retire?

You can choose what you do with your super when you retire. You can select from a number of options, such as; keep it in super, open a retirement income account, withdraw your super, or use a combination of these options. If you’re unsure about which option is best for you, a chat with a member of our Advice team  can help guide you in the right direction.

1. Keep it in your super

You can keep your savings in the tax-effective super environment for as long as you like since any investment earnings are taxed up to 15% instead of your usual income tax rates. Not working or adding to your super? Tell us if you want to keep your current insurance.

If you’re working reduced hours, your employer will keep making contributions for you. You can always discuss your options by chatting to one of our retirement advisers.

2. Turn your super savings into a tax-effective income

Once you’re eligible, you can open a retirement income (pension) account and use your super to pay yourself a tax-effective regular income.

If you’re in the planning phase of your retirement (10-15 years from retiring) it may be too early to open a retirement income account, but it’s good to know your options for when you approach retirement (no more than 5 years away).

If you’re 60 or over and cutting back your work hours, using an income stream could be a smart move. It can be even more tax-effective once you turn 60, since any lump sums and income streams you receive from super are broadly tax-free.

We offer two types of retirement income products: an account-based pension (also known as Flexi Pension) and lifetime income streams.

  • Flexi Pension

    A Flexi Pension allows you to pay yourself a regular, tax-effective income from your super once you’ve retired or while you’re still working (subject to meeting a condition of release). There are three Flexi Pension options available:

    1. Transition to Retirement Flexi Pension
    2. Retirement Phase Flexi Pension
    3. Beneficiary Income Stream Flexi Pension

    Flexi Pension

  • Lifetime income streams

    Receive a regular income (adjusted to keep up with inflation) for the rest of your life, without the need to manage investments.

    Lifetime income streams

3. Withdraw some or all of your super as a lump sum

If you’re retired (per its meaning in super legislation) and meet preservation age or aged 65 and over, you can take some or all your super out of your account (for example, to pay off a debt). It’s important to remember however that this impacts your future income especially if your super is your main source of tax-effective income.

If you’re under age 60, tax may be payable on lump sum withdrawals depending on your circumstances.

4. A combination

You can combine some or all the options above to set up your retirement income stream using your super.

Our experienced advice team can help you easily understand your options and develop an approach that’s right for you and helps optimise any government Age Pension benefits for you and your partner so you can feel confident and prepared.

Chat to a retirement adviser

Talking with one of our friendly team members can help you easily understand your options and help you maximise your income and Age Pension benefits. A chat with a retirement adviser can help you feel confident and prepared for the next phase of your life.

Discover more about your income in retirement

Tax and your retirement

Find out how tax applies to your income stream and super withdrawals as well as tax on transfers, death benefits and more.
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The government Age Pension

You may qualify for a full or part Age Pension while drawing from your super. See more about eligibility and how it works with your super.
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Our retirement library

Read through our range of insightful articles that can help you through the different phases of your retirement.

The information is of a general nature and doesn't consider your personal circumstances. Before making decisions, you should consider whether the information is appropriate for your circumstances otherwise seek financial advice.

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