Allocated Pensions & Transition to Retirement Allocated Pensions in Australia
An allocated pension is an account that will provide you with a regular income
stream from your super savings. The income stream will generally be available to you once you've
reached age 65 or a condition of release and retired from the workforce.
In some circumstances, you may be able to access your superannuation while you are
still working as a transition to retirement or pre-retirement pension after the age of 55.
While there is a requirement that you receive a minimum pension payment, no
maximum pension payment limit applies, except for transition-to-retirement and term allocated pensions.
You can hold a range of assets in your allocated pension account, including
shares, managed investments and cash, depending on your investment strategy.
One of the best things about an allocated pension is that it is generally much
more tax effective than superannuation.
Allocated Pensions have the benefit of:
- Paying no tax on fund earnings
- No Capital Gains Tax is payable on the sale of an asset
- After age 60 income is non assessable to the recipient
- Under age 60 income receives a rebate
Allocated Pensions can be used in conjunction with Centrelink Age Pensions to
provide a total retirement income solution.
Because we know it's all about choice you can use our
No Advice Investment Lodgement Service
to select funds of your choice.
Alternatively, as a
CERTIFIED FINANCIAL PLANNERTM (CFP®)
I can provide you with advice on how to start an allocated pension in conjunction with a Centrelink Age Pension or if you are under age pension age and still working I can explain how a transition to retirement strategy can save you thousands of dollars in tax.
Please go to our
CONTACT US page to submit an enquiry for advice.
