What are the differences between a Transition to Retirement Pension and an RI Allocated Pension?

Our Retirement Income Pension can be taken as either:

Here’s a summary of the differences between the two pensions.

Differences between a Transition to Retirement Pension and an RI Allocated Pension

 

Transition to Retirement Pension

RI Allocated Pension

Lump sum withdrawals

You cannot make lump sum withdrawals

You can make lump sum withdrawals

Transfer balance cap

No transfer balance cap applies

A $1.6 million cap applies on the total amount of accumulated super that you can  transfer to or hold in tax-free retirement accounts

Maximum pension amount

Maximum amount of 10% of your account balance can be drawn in a financial year (set by the Commonwealth Government)

No maximum amount applies

Tax on investment earnings

Tax is generally applied up to a rate of 15% and will be reflected in the unit price for each Transition to Retirement Pension investment plan

No tax applies to investment earnings

Page last updated 05 February 2018