Retirement Solutions - Income stream
Get more with an Account-based pension
Investment earnings are tax-free
This product gives you a regular income stream in retirement. It can be a tax effective, flexible way of managing your retirement money.
Account features
Features of this account include:
- You get to choose how much - subject to age-based minimums (see below) - and how often you receive your income payments;
- You can withdraw some or all of your account balance at any time as a lump sum;
- You are exempt from paying tax on any investment earnings and, depending on your age, you may be exempt from paying tax on any lump sum withdrawals;
- Once you turn 60, your income payments and withdrawals are entirely tax-free;
- If you have reached your preservation age and are under 60, you will be eligible for a tax offset on your income payments
- If you die, your income stream can be paid to your dependants (subject to some limitations);
- There are no fees when you transfer from our WA Super - Super Solutions product to the Retirement Solutions - Income Stream product.
Transfer Balance Cap
From 1 July 2017, a $1.6 million transfer balance cap will apply on the total amount of superannuation you can transfer into the tax-free retirement phase. This is regardless of how many accounts you hold and how many times you transfer money into retirement phase. Subsequent earnings on balances in the retirement phase do not count towards the cap. Amounts above the cap can remain in an accumulation account (where earnings are taxed at 15%) or outside the superannuation system. If you transfer an amount into retirement phase in excess of the cap you will be required to remove the excess, including the notional earning on the excess. If you choose not to, WA Super will be required to remove the excess on your behalf.
The transfer balance cap amount will be indexed periodically in $100,000 increments in line with the Consumer Price Index (CPI).
For more information about the Transfer Balance Cap, refer to the Australian Taxation Office website.
How to join
To join Retirement Solutions - Income Stream, you must meet one of the following criteria:
- you retire due to total and permanent disablement or permanent incapacity; or
- you leave employment on or after age 60; or
- you retire permanently from the workforce upon reaching your preservation age (see below); or
- you reach age 65 (whether continuing to work or not).
Before joining the Retirement Solutions - Income Stream account, please read and understand the Retirement Solutions Product Disclosure Statement (PDS), then complete the Application Form.
If you have any questions about this product or the PDS, please call us 08 9480 3500.
Preservation age
|
Date of birth |
Preservation age |
|
After 30 June 1964 |
60 |
|
1 July 1963 to 30 June 1964 |
59 |
|
1 July 1962 to 30 June 1963 |
58 |
|
1 July 1961 to 30 June 1962 |
57 |
|
1 July 1960 to 30 June 1961 |
56 |
|
Before 1 July 1960 |
55 |
Age based minimums
The Government sets a minimum amount which we must pay you at least annually. This minimum amount is based on your age and a percentage of your account balance at 1 July each year, as follows:
|
Age |
% of account balance |
|
Under 65 |
4 |
|
65 - 74 |
5 |
|
74 - 79 |
6 |
|
80 - 84 |
7 |
|
85 - 89 |
9 |
|
90 - 94 |
11 |
|
95 or more |
14 |
