If you move your superannuation into an account-based pension (also called a retirement phase account), you are required to withdraw a minimum percentage of your balance each year. The minimum drawdown rates are:
If you move your superannuation into an account-based pension (also called a retirement phase account), you are required to withdraw a minimum percentage of your balance each year. The minimum drawdown rates are:
60–64: 4%
65–74: 5%
75–79: 6%
(and it continues increasing with age)
If you choose to keep your super in the accumulation phase, instead of transitioning to a pension:
✅ Your investment earnings are taxed at 15% (rather than being tax-free in retirement phase).
✅ You are not required to take minimum withdrawals (no mandatory drawdowns).
✅ Once you meet a condition of release (e.g., retirement or reaching preservation age), you can withdraw lump sums from your accumulation account as needed.
If you move your superannuation into an account-based pension (also called a retirement phase account), you are required to withdraw a minimum percentage of your balance each year. The minimum drawdown rates are:
60–64: 4%
65–74: 5%
75–79: 6%
(and it continues increasing with age)
If you choose to keep your super in the accumulation phase, instead of transitioning to a pension:
✅ Your investment earnings are taxed at 15% (rather than being tax-free in retirement phase).
✅ You are not required to take minimum withdrawals (no mandatory drawdowns).
✅ Once you meet a condition of release (e.g., retirement or reaching preservation age), you can withdraw lump sums from your accumulation account as needed.