Nearing retirement? You may have more options than you think. Our flexible income stream options can pay you a regular income before and during your retirement.
Why choose a HESTA Income Stream?
A HESTA Income Stream account keeps your super invested with HESTA, and pays you a regular income throughout the year. You can:
Preparing for retirement?
Consider a Transition to Retirement (TTR) income stream.
This is where you can transfer part, or all of your super balance to a TTR income stream account and, if you're over 60, access tax free income. This is a tax effective way to build your savings until you retire completely.
Or you can use it to draw an income, and keep making contributions to your super account at the same time.
Keep in mind:
It’s important to periodically review your chosen TTR strategy to ensure it continues to be as tax efficient as possible and still suits your personal circumstances. Resetting your TTR strategy is sometimes called a ‘TTR reboot’. A TTR reboot simply means you transfer or 'roll back' the balance of your HESTA TTR Income Stream into your HESTA super account and close the income stream account. Opening a new income stream account allows you to combine the balance of your previous income stream account with the super balance you have accumulated in your HESTA account while you have still been working.
Before applying for a Transition to Retirement Income Stream read about the changes effective from 1 July this year.
Ready to retire?
Consider a retirement income stream to provide you with a regular income while your savings are still invested. This is how it works:
Keep in mind:
Your preservation age is the age at which you can generally start accessing your super. The age varies according to your date of birth.
|Date of birth||Preservation age|
|01/07/60 – 30/06/61||56|
|01/07/61 – 30/06/62||57|
|01/07/62 – 30/06/63||58|
|01/07/63 – 30/06/64||59|
If you’ve reached your preservation age and would like to access an income from your super while you work, you may be eligible to start accessing your super through a transition to retirement income stream.
For more information refer to the HESTA Income Stream Product Disclosure Statement here.
The minimum drawdown is the percentage of your income stream account balance that you must ‘draw down’ (withdraw) each financial year.
The maximum drawdown amount applies to Transition to Retirement (TTR) members only and is the maximum allowable amount TTR members can drawdown each financial year.
Minimum and maximum drawdown amounts are set by the Federal Government at the beginning of each financial year.
For the 2016/17 financial year, minimum/maximum drawdown amounts are as follows:
|Under 65||4%||10% (TTR only)|
For more information see the HESTA Income Stream Product Disclosure Statement.