Temporary pension drawdown relief extended
In response to the economic impact of COVID-19 the government reduced the minimum drawdown rates in 2020 to assist retirees by providing more flexibility and choice.
The government has announced the temporary reduction to the minimum annual drawdown rates would be extended for the 2022/23 financial year as retirees may still need flexibility during this economic period.
Please see the below rates that will apply for 2021/22 and 2022/23 financial years.
| Age |
Minimum annual payment percentage |
Temporary minimum percentage for 2021/22 and 2022/23 |
|---|---|---|
| Under 65 | 4% | 2% |
| 65-74 | 5% | 2.5% |
| 75-79 | 6% | 3% |
| 80-84 | 7% | 3.5% |
| 85-89 | 9% | 4.5% |
| 90-94 | 11% | 5.5% |
| 95+ | 14% | 7% |
If you elected the minimum payment amount the reduced rate will continue to apply to your annual pension payments for 2021/22 and 2022/23.
You don’t need to do anything, unless you choose to change your payment amount. You can update your pension payment anytime by logging into the Member Portal.
Planning for your future retirement
Whether you are about to retire or just thinking about it, ESI FS financial advisers can help tailor a financial plan that suits your retirement goals, needs and lifestyle.
When you retire there are several things to consider when deciding where to keep your retirement savings.
Consider:
- the amount of income you want
- how often you want to receive it
- your taxation position
- whether you or your partner wish to receive Centrelink or Department of Veterans Affairs payments
- if you wish to make further contributions to super.
Relax but keep your money working with an income stream.
Energy Super offers two income account options:
- An income stream when you retire and;
- An income stream while you transition to retirement
Both income streams require a minimum investment of $50,000, and in both cases income is paid into your nominated bank account, credit union or building society account each month.
*Temporary residents are excluded from setting up Income Stream accounts.
Our financial advisers are able to explain the differences between the two types of income streams available, help you with tax, Centrelink and other retirement and income matters at an agreed fee.
Where can I find out more about preparing for my retirement?
- Talk to an financial adviser
- Learn more about Transition to Retirement
- Calculate out how much you need to support the lifestyle you want in retirement.
- Attend a member seminar on Planning for Retirement