If you get the Government Age Pension, you can find out how much you get each fortnight from your latest bank statement. Multiply this figure by 26 to get your annual amount.
You can then subtract this from your annual spend to work out how much you'll need to withdraw from super each year.
Check if you’re eligible for the Government Aged Pension
Case Study – Eliza, 67 years old and single.
Eliza is 67 and has just retired. She lives by herself in a house she owns and has paid off her mortgage. She has $150,000 in super but very few other assets, only a small amount in savings.
She works out that her annual spend in retirement will be $38,000. She then checks how much Government Age Pension she could be eligible for.
Using the Centrelink Payment Finder, tool Eliza works out that she’s entitled to about $25,000 per year.
Because Eliza is eligible for $25,000 a year, she only needs to withdraw $13,000 from her super. She calls her super fund to start an account-based pension and tells them she wants $13,000 in income payments each year.
($38,000 - $25,000 = $13,000)
Case study - Marg and Gino, 70-year-old married couple.
Marg and Gino are both 70 years old and retired. As high-income earners, they’ve lived a very comfortable life while working.
They own their home and together have paid off their mortgage. They have about $600,000 combined in their super accounts. They also have a holiday house worth about $450,000.
Marg and Gino need a total of $70,000 a year together to continue to live to the same standard as they are today.
Using the Centrelink Payment Finder tool, they work out that they don't meet the criteria to get the Government Age Pension. This is because of the value of their assets outside their family home.
Marg and Gino will need to use their super and their rental income to fund their retirement.