- Removing the tax exemption on earnings of assets supporting Transition to Retirement Income Streams from 1 July 2017 (income streams of individuals over preservation age but not retired). See Improve integrity of transition to retirement income streams on the Budget 2016–17 website fact sheet page.
While members of the PSS may be able to access their PSS pension while still employed – for example, members over the age of 65 who have claimed their preserved benefit – these pensions are not regarded as a Transition to Retirement (TTR) income stream. Therefore, PSS pensions are not impacted by this budget measure.
However, members may be impacted if they have TTR arrangements with another provider or scheme, such as Commonwealth Superannuation Corporation retirement income (CSCri). This change applies irrespective of when the TTR income stream commenced (no grandfathering rules will apply).