Minimum and maximum payment amounts apply to the income payments you receive from retirement income products. These ‘drawdown rates’ are set by the government and may change from year to year.
For Retirement Income accounts, a minimum amount must be withdrawn each year. For Transition to Retirement Income accounts, minimum and maximum rates apply.
The minimum drawdown rate is the minimum amount that the government requires you to withdraw from your Retirement Income account each financial year. It’s set as a percentage of your account balance, and it gradually increases as you get older.
We automatically calculate your income payments at 1 July each year, using your balance at that time and the rate that applies to you.
The minimum income payment you need to receive is calculated as 4% of your opening balance when your Transition to Retirement Income starts, and as at each subsequent 1 July. The minimum income payment you must receive is pro-rated if you open your account part way through a financial year, but if you open your account on or after 1 June, you don’t need to receive a payment in the remainder of that financial year.
The maximum income payment you can choose to receive is 10% of your opening balance when your Transition to Retirement Income starts, and as at each subsequent 1 July. If you started your Transition to Retirement Income account during the financial year, your nominated annual income will be pro-rated for the remainder of the financial year. However, if you’ve chosen to receive the maximum amount, the whole 10% will be paid to you in that financial year.
| Age group | Minimum rate |
|---|---|
| Under 65 | 4.00% |
| 65 to 74 | 5.00% |
| 75 to 79 | 6.00% |
| 80 to 84 | 7.00% |
| 85 to 89 | 9.00% |
| 90 to 94 | 11.00% |
| 95 or over | 14.00% |
If you would like to change your payments, you can do it in one of two ways:
Remember that we need to receive your completed change request at least 8 business days before your next payment is due to ensure so we have time to review your account and process your request before the next payment run commences.
Got some burning questions about retirement? Don’t be shy, because we’ve got the answers. Our Retirement Centre offers personalised one-on-one support on all things retirement.
Our Retirement Drawdown calculator shows you how you can combine your super with the Age Pension to draw an income when you're no longer working.
Our Retirement Drawdown calculator shows you how you can combine your super with the Age Pension to draw an income when you're no longer working.
Getting a little support and guidance from the experts can help you plan ahead with confidence. Our Retirement Centre offers personalised, one-on-one support and guidance as you move into retirement and beyond.
