This transition to retirement strategy aims to give you more money to spend by supplementing your current employment income with income payments from your super savings.
It involves opening a superannuation product, known as an account-based income stream.
You roll a portion of your super (but not from PSS) into your income stream account. You get paid regular income payments from your account balance, while you continue to contribute to PSS.
Benefits can include:
- more money for your pre-retirement lifestyle
- super (tax free from age 60) as a regular income stream while still working
- tax-free investment returns within your income stream account.
This strategy, however, will reduce your total super savings outside of PSS.
It’s possible to take up this strategy in the Australian Government super environment using the income stream product available to PSS members called Commonwealth Superannuation Corporation retirement income (CSCri). CSCri is offered through PSSap.
We suggest you get personal financial advice before making any decision.
Get personal financial advice
See financial advice to learn about the personal financial advice service offered to PSS members by Industry Fund Services.