REDUCTION IN MINIMUM DRAWDOWN OF SUPERANNUATION PENSIONS
SUMMARY
Halving of minimum superannuation drawdowns for people with account based pensions.
POLICY
The Government is temporarily reducing superannuation minimum drawdown requirements for account-based pensions and similar products by 50 per cent for the FY19-20 and FY20-21 income years.
This will reduce the need for retirees and account-based pensioners to sell investments to fund minimum drawdown requirements. The current and proposed rates are shown in the table below.
The reduction applies to the current financial year, clients who have already received the reduced minimum amount can elect to no longer receive further payments for the financial year.
MORE INFORMATION
Refer to the following Treasury page for more information:
Providing support for retirees (25Mar20)