To support your retirement lifestyle, you'll need a regular income. When it is time to access your super investment, you have a choice of:

• Drawing a regular income stream such as an allocated pension using your super money.
• Taking your super as a lump sum benefit
• Retaining your money in a super account with access to it when you want, such as GESB Super or West State Super, or 
• A combination of these options

If you don't have enough super, you may also receive the age pension from the Commonwealth Government.

Which retirement income option suits you?

You'll need to consider your lifestyle, financial goals and budgeting skills before you decide the best way for you to access your super.

Here is an overview of the features of various retirement income options.

Allocated pension (also known as an Account Based Pension)

This allows you to draw a regular income from your super.  You can set the amount you receive (subject to minimum payment limits) and can access your funds at any time.

• You can withdraw the total amount at any time
• You can make lump sum withdrawals and still receive a pension
• It is a tax effective investment
• You can change your income at any time, subject to minimum annual pension payments.

Take a lump sum

This means you receive all of your super money in full.  Tax may apply to your lump sum payment depending on your age at retirement and whether your super is from a taxed or untaxed scheme.

• You can have all of your money straight away
• BUT, you may be tempted to spend all of it and need to fall back on an age pension.

Retain it in super

You can retain your money in super, with access to any part of your benefit that you are eligible for because you have previously satisfied a superannuation condition of release (for example, retiring from all gainful employment).

• You can access your money at any time, just like a bank account and can keep money in your account while you decide on your financial goals
• You can still enjoy the tax concessions granted to super savings, which means your returns could be greater than those of a bank account
• You are able to make future super contributions to the same account

Age pension

If you're eligible, an age pension provides a fortnightly income.  The income is regular, but a maximum fortnightly benefit does apply, so relying solely on the age pension may limit your choice of retirement lifestyle and activities. 

• You can receive a maximum of $546.80* per fortnight for a single person, which is $14,216.80* per year
• Or a maximum of $456.80* per fortnight per person for a couple, which is $11,876.80* per person per year

* Social Security age pension rates are adjusted twice yearly, in March and September. The current rates are applicable from 20 March 2008.

What should I do next?

Find out more about the tax you might pay on your super, or the options GESB offers.