Approaching retirement and need some help?
Sooner or later, most of us start to think about what our life will look like once we’ve retired. TWUSUPER is here to provide the help you need as you start to think about the best way to use your super in retirement. You may have questions about:
At TWUSUPER we take a holistic approach to members' super and retirement. This means that we don't just focus on an individual's super account balance, but on how each member can best use their super to help them provide for the best possible retirement outcome.
To ensure that we help members get the best possible outcome, we provide our members with:
- Guidance when preparing for and entering retirement
- Appropriate retirement income products
Guidance when you're thinking about retirement
TWUSUPER is an industry super fund created by employer and employee groups in transport to ensure transport workers can access their best possible retirement outcomes. We aim to provide simple and inexpensive services and we’re here to answer your questions. You can phone us for general advice about topics including investments, contributions, retirement income products and beneficiary nominations.
If you need advice that takes into account your particular personal circumstances, you can speak to one of our financial advisers*. The cost of personal advice comes out of your super account, not your hip pocket, only for the advice you ask for.
To get an idea of the difference between general and personal advice, take the downsizer for over 55s as an example.
You are receiving general advice if one of our specialists:
- provides you with an overview of the Downsizer eligibility rules,
- explains the general benefits and risks of making Downsizer contributions, and/or
- tells you what we generally recommend to members considering Downsizer contributions.
However, if you wanted advice about how you could personally benefit from the downsizer contribution yourself, that would be personal advice.
Transactional and retirement goal fees
Below is an overview of the goals-based personal advice you can get from TWUSUPER, and the fees (if any) that may apply.
*The Trustee has engaged Industry Fund Services Limited (IFS) ABN 54 007 016 195, AFSL No 232514 to facilitate the provision of financial advice to members of TWUSUPER (Fund). Advice is provided by TWUSUPER financial advisers who are representatives of IFS. Fees may apply. Further information about the cost of advice is set out in IFS' Financial Services Guide, a copy of which can be obtained by calling 1800 222 071. IFS is responsible for any advice given to you by its representatives.
Case Studies
See how personal advice about your retirement options could help you.
See case studies
Retirement seminars
We hold regular online and in-person retirement presentations around Australia. If you'd like more information about these seminars, please contact us at seminars@twusuper.com.au or call 1800 022 071 between 8am and 8pm (AEST/AEDT) weekdays.
Common questions about retirement answered
We've put together a list of common questions from our members about such things as:
- taxation,
- when you can access your super, and
- how retirement pensions work with Centrelink.
If you don't see the answer to your query below, please call us 8am to 8pm (AEST/AEDT) on 1800 222 071 or request a call back using the online form.
See our retirement FAQs
Speak to a specialist
Our retirement income products
The purpose of super is to allow you to draw a retirement income from your invested savings. TWUSUPER’s super pension product is called TransPension. Depending on how you use it, it's known as a Retirement Super Pension or a Pre-retirement Super Pension. As an industry super fund run only to benefit members, we do everything we can to keep these products as low cost as possible while ensuring that our members can set them up in a way that best suits their needs. For example, you can choose how much to draw down (above the minimum limits set by the Government), how you’d like it invested and how frequently you receive payments.
Retirement Super Pension
Our Retirement Super Pension (TransPension) can provide a source of retirement income years before you qualify for the Centrelink Age Pension. In many cases you can still qualify for the Centrelink Age Pension while drawing an income from a TWUSUPER Retirement Super Pension at the same time. This product is designed as a simple way for you to use your super to fund your retirement and can be adapted to meet your needs.
Find out more
Pre-retirement Super Pension
If you're still working and over age 60, you could open a Pre-retirement Super Pension using a Transition to Retirement (TTR) strategy to reduce your work hours without reducing your take-home pay.
Find out how it works
Frequently asked questions
Below we answer some of the most common questions we hear from members as they start to plan how they will support themselves after they have finished working. Members can also arrange a call back from a retirement specialist if they have any follow up questions.
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Can I take out all my super as a lump sum?
You can access your super as a lump sum once you've met a 'condition of release'. This means that your funds can be released from your super account and credited to your bank account. If you're over 60 and meet a condition of release, this lump sum may be tax-free unless you are in a defined benefit fund.
Generally, you’re able to access your super when you have reached:
- your preservation age and have permanently retired,
- your preservation age and have started a Transition to Retirement pension account,
- 60 and have stopped working for an employer, or
- 65 (it doesn't matter if you haven't retired).
However, the purpose of super is to help provide an income for you in retirement - therefore you should seek advice about whether withdrawing a lump sum is the right option for you.
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What's the 'preservation age'?
The preservation age is the age at which you can access your super either as a regular pension payment or as a lump sum. This age has gradually been rising to 60 and is based on when you were born:
- If you were born on or after 1 July 1964 your preservation age is 60 years
- If you were born before 1 July 1964 you have already reached your preservation age
Even if you have reached your preservation age but are under age 65, you must meet another condition of release (to access your super either as a pension or as a lump sum withdrawal).
Once you're age 65, you can access your super regardless of your employment status and you don't have to meet any other condition of release.
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How does super work with Centrelink?
Once you meet your qualifying age to access the Centrelink Age Pension, all your finances will be assessed by Centrelink to determine your eligibility. This includes money in super and pension accounts.
All super accounts are assessed by Centrelink once you meet the qualifying age, but there may be strategies to maximise your Age Pension entitlements while you also draw an income through a Retirement Super Pension.
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What happens if I need aged care?
Your income for aged care purposes is assessed in the same way as it is for the Age Pension. This means that, unlike taxable income, your income from superannuation and government income support payments are included in determining your overall income.
The Australian Government has a number of resources to help you plan for your aged care needs.
My Aged Care
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Can I leave my super pension to someone else?
When you open your Retirement Super Pension with us, you can nominate who will receive the balance in your account should you die before your account balance runs out.
If you die while there is still money in your account, that money will be passed on to your beneficiaries (which can be one or more dependants or the legal personal representative of your estate). Dependants include your spouse*, children, a financial dependant or a person with whom you're in an interdependency relationship. If there are no dependants or legal personal representative, another person such as a relative can be nominated as a beneficiary.
There are two ways a TransPension account can be distributed to beneficiaries - as a regular pension payment (known as a reversionary pension) or as a lump sum.
Find out more
* The law defines a spouse as another person (whether of the same or different sex) who is legally married to you, or a person who, although not legally married to you, lives with you on a genuine domestic basis in a relationship as a couple.
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Can I still put money into super if I retire and go back to work?
Yes, you can contribute to super again if you return to work, but this money will go into a separate Super account, not your retirement account. If you want to open a retirement account while still working, you could benefit from a Pre-retirement Super Pension, which would allow you to take advantage of a Transition to Retirement Strategy.
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Are there rules about how much of my super pension I must withdraw each year?
The minimum amount you're legally required to withdraw from your account annually depends on your age when you first open your account and is reset 1 July each year. This is known as the 'drawdown' rate as you are drawing down your balance to pay yourself an income in retirement.
For a Retirement Super Pension, there's no maximum limit on the amount of your pension payments. If you have a Pre-retirement Super Pension, you can withdraw a maximum of 10% of your TransPension balance as pension payments each year.
Minimum pension payments
Note: During the first financial year of your account, the minimum payment is proportional to the number of days left until 30 June.
Minimum drawdown rates
You must draw a minimum level of pension payments each financial year - the amount depends on your age and is recalculated on your balance at 1 July each year.
As a result of the COVID-19 pandemic, the Government had temporarily reduced the minimum drawdown requirements for account-based pensions (such as the Pre-retirement Super Pension) by 50% for the Financial Years from 2019-20 through to 2022-23.
This measure was only temporary, so from 1 July 2023, the minimum drawdown percentages will revert back to what they were pre-pandemic.
Note: During the first financial year of your account, the minimum payment is proportional to the number of days left until 30 June.
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What if I run out of super before I die?
It's likely that you will qualify for the Centrelink Age Pension long before your super runs out. With TWUSUPER you can keep an eye on how much money is left in your Retirement Super Pension and you also have access to help and advice* to manage your pension payments.
* TWUSUPER ABN 77 343 565 307 has engaged Industry Fund Services Limited (IFS) ABN 54 007 016 195, AFSL No 232514 to facilitate the provision of financial advice to members of TWUSUPER (Fund). Advice is provided by TWUSUPER financial advisers who are representatives of IFS. Fees may apply. Further information about the cost of advice is set out in IFS' Financial Services Guide, a copy of which can be obtained by calling 1800 222 071. IFS is responsible for any advice given to you by its representatives.
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I've seen figures for 'comfortable' and 'modest' retirements. What do these mean?
Each quarter, ASFA releases a calculation of the estimated amount of super needed for a comfortable or modest retirement. The calculations fall into two categories - the lump sum needed at retirement, and the amount you may need to spend each year to maintain a comfortable or modest retirement.
Some notes on the ASFA calculations:
- They assume that the retiree owns their own home
- They are updated quarterly to take account of changes to the economy, inflation, etc
- They assume that those aged 85 or over will spend less
- They are broken down into 'single' and 'couple'
- The Age Pension alone does not provide enough for a modest retirement
- These calculations are generalisations and individuals and couples may require more or less money to achieve their desired retirement outcome
A 'modest' lifestyle in retirement
Under ASFA's calculations, a modest retirement would mean:
- Basic private health insurance, limited gap payments
- Basic mobile, modest internet data allowance
- Owning a cheaper, older, more basic car
- Infrequent leisure activities, occasional trip to the cinema
- Limited budget for home repairs, household appliances
- Budget haircuts
- Need to keep a close watch on all utility costs and make sacrifices
- Limited meals out at inexpensive restaurants, infrequent home-delivery or take-away
- Limited budget to replace or update worn items
- Annual domestic trip or a few short breaks
Budgets for various households and living standards for those aged 65-84 - modest retirement
| Single |
Couple |
| $32,417.48 per year |
$46,620.05 per year |
Source: ASFA Retirement Standard for around age 65-84, September Quarter 2023
Superannuation balances required to achieve a modest retirement at age 67
| Single |
Couple |
| $100,000 |
$100,000 |
All figures in today’s dollars using 2.75% AWE as a deflator and an assumed investment earning rate of 6 per cent. The fact that the same savings are required for both couples and singles reflects the impact of receiving the Age Pension.
A 'comfortable' lifestyle in retirement
Under ASFA's calculations, a modest retirement would mean:
- Top level private health insurance, doctor/specialist visits, pharmacy needs
- Fast reliable internet/telco subscription, computer/android mobile /streaming services
- Own a reasonable car, car insurance and maintenance/upkeep
- Regular leisure activities including club membership, cinema visits, exhibitions, dance/yoga classes
- Home repairs, updates and maintenance to kitchen and bathroom appliances over 20 years
- Regular professional haircuts
- Confidence to use air conditioning in the home, afford all utilities
- Occasional restaurant meals, home-delivery meals, take-away coffee
- Replace worn-out clothing and footwear items, modest wardrobe updates
- Annual domestic trip to visit family, one overseas trip every seven years
Budgets for various households and living standards for those aged 65-84 - comfortable retirement
| Single |
Couple |
| $50,981.27 per year |
$71,723.56 per year |
Source: ASFA Retirement Standard for around age 65-84, September Quarter 2023
Superannuation balances required to achieve a comfortable retirement at age 67
| Single |
Couple |
| $595,000 |
$690,000 |
All figures in today’s dollars using 2.75% AWE as a deflator and an assumed investment earning rate of 6 per cent.
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Can I change my pension payments?
Once you have a Super Pension with TWUSUPER, you can make changes to:
- Payment frequency (fortnightly, monthly, quarterly, half-yearly or yearly)
- Payment amount (must meet the minimum amount for all TransPension accounts and not exceed the maximum amount of 10% for Pre-retirement Super Pension)
- The bank account you want your pension paid into
- Update your beneficiary nominations. To find out more about nominating beneficiaries for your pension account, see the Choosing a beneficiary fact sheet.
- Your contact details (address, email and phone number)
- Your investment choices
All payment changes can be made by submitting a Pension Variation form (PDF) or calling 1800 222 071 between 8am and 8pm (AEST/AEDT) weekdays.
Changes to your contact details and investment choices can be made by logging in to Member Online or calling us on 1800 222 071.
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How are retirement income streams taxed?
Once you reach age 60 you can normally access your super tax free, if you have also met a condition of release. If you choose, from preservation age you can roll your superannuation balance into a TransPension account with TWUSUPER – this is our Retirement Super Pension product.
Members who have met a condition of release may have access to tax-free payments.
All lump sums and pension payments are tax-free after age 60. If you're under age 60, tax may be applicable and depends on many factors. Use the form at the bottom of this page to speak to a specialist about this.
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Does super affect the deeming rates for the Government Age Pension?
If you've retired, 'deeming' is a calculation used by Centrelink to make an estimate of what income you'll earn from your assessable financial assets. This includes (but isn't limited to) interest on bank accounts, shares, managed funds, and super. It is used to work out your eligibility for the Government Age Pension.
Find out more
Speak with a retirement specialist
*Let us know your preferred contact number and preferred callback time between 9am and 5pm (AEST/AEDT) weekdays.
Instead of sifting through information to find out what's relevant to you, ask to speak to a retirement specialist. The team's available between 9am and 5pm (AEST/AEDT) on 1800 222 071.
Use the form below to request a call back. Note that the call back service is available for Australian residents only. If you're overseas, please call +61 3 9192 4414.
General advice on this website has been prepared without taking into account your objectives, financial situation or needs. Before acting on the advice, consider its appropriateness. Refer to our Product Disclosure Statements (PDS). The PDS is relevant when deciding whether to acquire or hold a product. A Target Market Determination (TMD) is a document that outlines the target market a product has been designed for. Find the TMDs at twusuper.com.au/tmd
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