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Retirement Income Account

A Retirement Income Account could give you the freedom and flexibility you need in retirement.

A Retirement Income Account allows you to invest your super and receive regular payments until the balance of your account is exhausted.

You can start a Retirement Income Account if you have:

  • reached your preservation age and permanently retired from the workforce; or
  • ceased an employment arrangement since reaching the age of 60; or
  • reached age 65; or
  • been assessed as being Totally and Permanently Disabled (TPD).

The minimum account balance to start a Retirement Income Account is $10,000 and any super that is transferred into a Retirement Income Account is subject to the transfer balance cap. The transfer balance cap limits the amount of super that can be transferred into retirement phase to $1.6 million across all of your superannuation providers, not just Club Super. For more information on the transfer balance cap, please refer to the Club Income Stream PDS.

Benefits of a Retirement Income Account include:

  • Flexible income – Control the income you receive to suit your circumstances (subject to a minimum amount)

  • A tax-effective income – If you are over 60, your payments are tax-free. Earnings within a Retirement Income Account are tax-free regardless of your age.

  • A choice of 8 investment options – Club Super has a range of investment options to suit your needs.

  • Flexibility for payment frequency – You can choose to be paid fortnightly, monthly, quarterly, six-monthly or yearly.

  • Insurance cover – For your peace of mind, you may be eligible to apply for insurance1 cover for Death at the time of setting up your Club Income Stream account .

  • Retirement Bonus – You may be eligible to receive a Retirement Bonus when you open a new Retirement Income Account or you switch from a Transition to Retirement Account to a Retirement Income Account.

All eligible members who open a Retirement Income Account from 1 November 2017 will receive a Retirement Bonus from Club Super. This bonus is funded from the reduction in tax that is payable by the Fund when a member opens a Retirement Income Account.

You are eligible to receive the Retirement Bonus if you:

  • Commence a new Retirement Income Account or you switch from a Transition to Retirement Account to a Retirement Income Account; and
  • Have been a member of Club Super for at least 12 continuous months; and
  • Have not previously had a Retirement Income Account with Club Super; and
  • Have not previously received a Retirement Bonus.

In addition to the Retirement Bonus, you may also be eligible for a loyalty bonus if you have been a Club Super member for a period of 5 or more years.

Find out more about the Retirement Bonus.

The fees and costs associated with a Retirement Income Account are:

Fixed administration fee

 $156.00 per annum ($3.00 per week)

Indirect administration fee

 Up to 0.30% per annum of assets2

Indirect investment fee

 0.59%3

Indirect cost ratio (ICR)

 0.04% - 0.57% per annum of assets, depending on the investment option4

Investment switching fee

 No fee is charged.

Exit fee

$55

To find out more about the Retirement Income Account, please refer to the Club Income Stream PDS or call our Club Super Client Contact centre on 1300 369 330.

Need help deciding if a Retirement Income Account is right for you? Contact us to discuss the financial advice options available to you.5

Please note: Temporary residents are not eligible to commence a Retirement Income Account.

1 Refer to the Club Income Stream PDS for more information , or call Club Super on 1300 369 330 to have one sent to you.

2 This is deducted from investment returns prior to the determination of crediting rates.

3 This is deducted from investment returns prior to the determination of crediting rates. The amount shown is for the Balanced investment option, and will vary according to the investment option.

The indirect costs included in the ICR are based on actual costs for the year ended 30 June 2017. This is deducted from investment returns prior to the determination of crediting rates.

Club Super Financial Planning advice is provided by My Super Future Pty Ltd (ABN 38 122 977 888) Australian Financial Services Licensee (AFSL no. 411440). The Trustee is not responsible for, and does not accept liability for the products or services or actions of My Super Future Pty Ltd. You should use your own judgment before taking up any product or service offered by My Super Future Pty Ltd. Fees may be charged for the provision of personal advice. All fees will be explained to you in detail prior to any advice being given and there are no ongoing commissions as our planners work on a fee-for-service basis.