A retirement income account gives you the flexibility to set up regular income payments from your retirement savings. How much and when you get paid each year is entirely up to you.
Once you retire and move some, or all, your super into your Aware Super retirement income stream, you’ll get paid a regular income from your super. Think of it almost like the salary you received while you were working.
Key points:
With a retirement income account, you can:
While you should choose a payment amount to meet your expenses, it’s also a good idea to take into account:
The Government sets a minimum amount you need to take out each year. It’s calculated at the start of each financial year and is based on your age and your super balance at that time.
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Your age |
Minimum payment rate |
| Under 65 | 4% |
| 65-74 | 5% |
| 75-79 | 6% |
| 80-84 | 7% |
| 85-89 | 9% |
| 90-94 | 11% |
| 95+ | 14% |
These are examples of the annual income payments you could receive if you draw down the minimum income payment rates – based on different ages and account balances. Although you can draw down more if you want.
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| Age at 1 July each year | Minimum drawdown rate | Income based on an account balance of $150,000 | Income based on an account balance of $300,000 | Income based on an account balance of $500,000 |
|---|---|---|---|---|
| 60 to 64 | 4% | $6,000 | $12,000 | $20,000 |
| 65 to 74 | 5% | $7,500 | $15,000 | $25,000 |
| 75 to 79 | 6% | $9,000 | $18,000 | $30,000 |
| 80 to 84 | 7% | $10,500 | $21,000 | $35,000 |
| 85 to 89 | 9% | $13,500 | $27,000 | $45,000 |
| 90 to 94 | 11% | $16,500 | $33,000 | $55,000 |
| 95 and over | 14% | $21,000 | $42,000 | $70,000 |
Here’s an example of how it works
Erika is 67 years old. On 1 July 2024, her account-based pension balance was $480,000. Erika’s minimum annual payment is 5% (refer to the table above) of her account balance. Erika's required annual minimum for 2024-25 is $24,000, or a monthly payment of $2,000.
This will help you set up a yearly budget to ensure your money will last you throughout your retirement.
Your account-based pension payments are based on a frequency of fortnightly, monthly, quarterly, half-yearly or yearly payments to your nominated bank or credit union account.
Learn more and download the pension payment schedule
You can log in to your Member Online account to change your payment frequency at any time.
You can change how much you receive for your regular payments as many times as you like throughout the year. It’s important to get your request in at least three days before the next scheduled payment, so that the change to your income payment is processed in time.
To make a change:
You can also make extra withdrawals if the regular payments that you set up don’t meet your expenses and needs.
There are some things to consider if you do this:
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