transitioning to retirement

Are you ready to start your retirement planning? A Transition to Retirement strategy gives you options. You can boost your savings before you retire, or maintain your income while winding back on work.

How does it work?

While you’re still in the workforce, you can start to take advantage of a Transition to Retirement (TTR) strategy through HESTA Income Stream to help you prepare for retirement.

You have two options:

1. Boost your super while you’re still working.

2. Reduce the hours you work and supplement your take-home pay.

Some of the benefits of TTR are:

  • You can boost your super balance while you continue to work.
  • It can reduce your current and future tax bill - that's because investment earnings are taxed at 15% compared to your marginal tax rate.
  • It can pay you up to 10% of your super balance in a year.

Before you apply for a TTR Income Stream read about the changes that were effective from 1 July 2017.


TTR Restrictions

If you choose to take your super as a TTR Income Stream, you can’t withdraw it as a lump-sum payment until you meet the conditions of a Retirement Income Stream:

  • permanently retire from the workforce on or after your preservation age
  • end your current employment on or after age 60
  • turn 65, whether you’re working or not.


What happens when you retire permanently?

Once you retire completely, or you meet one of the other conditions of release listed above, your TTR income stream converts to a retirement income stream.

It allows you to:

  • access tax-free income payments from age 60
  • enjoy tax-free investment earnings 
  • have flexible payment options (within government limits)
  • receive a regular income paid directly to your bank account. 


resetting a TTR strategy

It's important to 'check up' on your TTR strategy now and then to ensure it continues to be as tax efficient as possible and still suits your personal circumstances.

what's next?

Planning your happy ever after

Download the brochure about planning your next chapter, which includes case studies of how other members have used TTR.

Download now

HESTA Income Stream

You can apply via the Income stream tab in Member Online. Please note: the income stream once you have reached your preservation age.

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Get advice

Our advice service can help you decide if TTR is right for you. Simply fill out the contact form and a team member will call you to chat.

Make a time to talk

Not yet a HESTA member?

As a specialist industry super fund dedicated to people in health and community services, we know what makes our members tick. Become a HESTA member, and you can count on us to make superannuation simple for you.