Transition to Retirement
Transition To Retirement
Have you been thinking about how you could work less, or potentially boost your super balance as you near retirement?
Have you reached your Commonwealth Preservation age?
A Transition to Retirement (TTR) income stream is an account that provides you regular income while you are still working. You can start it when you reach your Commonwealth Preservation age – which for most members is age 60.
The top two reasons members implement a TTR arrangement are to work less and to potentially boost their super while potentially saving additional tax, read on to discover how.
- Reduce your working hours
- Access your super as an income stream
- Supplement your take-home pay during this period
Boost your super
- Salary sacrifice into your Triple S account
- Access your super as an income stream
- Supplement your take-home pay
- Could help reduce your tax
Super SA Income Stream
We have an Income Stream which supports TTR arrangement and strategies. It’s important to note that a Super SA Income Stream cannot make lump sum payments, while you are still working. Funds can only be accessed through regular payments.
A Super SA Income Stream TTR arrangement can allow you access to your super, with the ability to draw down between a minimum of 2% and a maximum of 10% each financial year.
For further information about minimum and maximum drawdown rates please refer to the Income Stream Product Disclosure Statement.
Your Transition to Retirement (TTR) automatically converts to a Retirement Income Stream (RIS) when you meet a superannuation condition of release, such as retiring or reaching age 65. When this occurs you will be entitled to tax-free investment earnings, no limits on lump sum payments and the 10% limit on your annual payments is removed.
Before you apply, it’s important to know…
- Accessing your super via TTR could have an impact on the level of Centrelink benefits you (and your partner) receive
- Accessing your super benefits now can reduce the amount available to you when you retire
- Accessing money from super may not be the best option for you – and you might be able to take advantage of other arrangements (such as long service leave) with your employer instead.
Speak to a qualified financial adviser to work out whether TTR might be right for you.
Frequently asked questions
Am I eligible for TTR?
To be eligible for TTR:
- You must have reached your Commonwealth Government preservation age
- Your Triple S account must have a balance of at least $36,500
- You must not have received a Transition to Retirement benefit this financial year from the Triple S account
- You will need to roll at least $30,000 of your super, and keep a minimum of $6,500 in your Triple S account.
You may also choose to continue to work – but you can work less hours if you wish (subject to employer approval).
Before you make any decision about your finances, it’s important to consider your situation and your plans for the future. We recommend that you seek professional financial advice to check whether a TTR arrangement is right for you.
How do I apply for TTR income stream?
If you would like to start a TTR, you need to:
- Read the TTR section in the Triple S Reference Guide for details of eligibility criteria
- Complete Transfer your super form and a Super SA Income Stream application form which is available in the Super SA Income Stream PDS.
We aim to process your application within 10 business days of receiving your completed application and relevant documentation.
You should read the Super SA Income Stream PDS to understand the features of this product and the requirements to establish a new income stream account. You will also need to complete the application forms at the back of the PDS (and any other requirements) for Super SA to establish your new Income Stream.
Can I open an Income Stream account for my spouse or begin a TTR for them?
In addition to opening an Income Stream with Super SA as part of your own Transition to Retirement (TTR) strategy, your spouse may also be eligible to set up a spouse account in the Super SA Income Stream for themselves1.
For your spouse to be eligible for a TTR:
- You must be a member of an eligible scheme
- Your spouse must have reached your Commonwealth Government preservation age
- Your spouse must roll in at least $30,000 to Super SA.
Before you make any decision about yours or your spouse’s finances, it’s important to consider your situation and plans for the future. We recommend that you seek professional financial advice to check whether a TTR is right for you.For further details please call the Member Services team on 1300 369 315 to discuss.
What’s my Commonwealth Preservation Age?
Commonwealth Government Preservation Age is different to the preservation age that applies within the Triple S Scheme. Your Commonwealth preservation age is when you can first access your super for Transition to Retirement (TTR) purposes.
Your Commonwealth preservation age differs from person to person and depends on your date of birth.
Please find below the preservation age for all age groups and when you can access your super via TTR.
Date of birth
Before 1 July 1960
1 July 1960–30 June 1961
1 July 1961–30 June 1962
1 July 1962–30 June 1963
1 July 1963–30 June 1964
1 July 2022
After 30 June 1964
1 July 2024
Learn more about retirement planning
Are you thinking about retirement? Whether the big day’s five years or one year away, it’s time to take action to get yourself on the right track for a well-planned, comfortable future.