Preservation age changed
Once you reach your preservation age, and permanently retire from the workforce, you can access your superannuation. You can also access a limited amount of your super while you are still employed via a transition to retirement pension.
If you did not turn 55 before 30 June 2015, then your preservation age will actually commence from your 56th birthday.
For example, if you turn 55 in August 2015, then your preservation age will in fact be 56. This means that you will have to wait until your 56th birthday before you can begin to access your super.
As you can see from the table, the preservation age gradually increases in one year increments before finally reaching 60 for those born after 30 June 1964.
It’s important to bear in mind that the increased preservation age also impacts the tax rate of any employment termination payment which you may receive from your employer.
As you can see, it’s important to understand how the increase in the preservation age may impact you, and how it should be incorporated into your retirement and tax planning. Call OBT’s Financial Planning team in Gatton to find out more 5462 2277.