Once a taxpayer starts drawing a pension from their superannuation, a minimum amount is required to be paid each year.
There is no maximum amount other than the balance of the taxpayer’s super account (except if you are drawing a Transition to retirement income stream (TRIS)).
The following table shows the minimum annual pension percentages for each age group:
Age | Minimum % withdrawal for 2011/12 & 2012/13 | Minimum % withdrawal for 2013/14 |
Under 65 | 3% | 4% |
65-74 | 3.75% | 5% |
75-79 | 4.5% | 6% |
80-84 | 5.25% | 7% |
85-89 | 6.75% | 9% |
90-94 | 8.25% | 11% |
95 or more | 10.5% | 14% |
If you would like guidance as to which percentage applies to you, please contact Ellingsen Partners.