Retirement is a big step, but you can choose to ease into it with an NGS Transition to retirement account. Opening an account lets you draw down an income from super while still working.
Who is it available to?
If you've reached your preservation age but would like to continue working, you may be able to open a Transition to retirement (TTR) account. A TTR account will provide you with income payments. Some people choose to reduce their working hours and use TTR income payments to make up for their salary shortfall; others use a TTR account as part of a tax-saving strategy. To see if you’re eligible, you'll need to know your preservation age:
Check your preservation age
How does it work?
A TTR account must pay you an income payment at least once in each financial year.
If you're aged over 60, your income payments will be tax-free. Tax will generally apply for those aged under 60. In some cases, a tax offset may be applicable. For more information, download our Fees, costs and tax guide.
TTR annual payment limits
What are the benefits?
Many who decide to move to part-time work arrangements open a Transition to retirement (TTR) account. The income payments they receive help to supplement their reduced salary.
A TTR account can also help provide tax benefits for people over 60 who continue to work full time. While receiving an income from your TTR account, you could structure your super contributions to maximise your savings and reduce tax, without reducing your take-home pay.
Our Transition to retirement fact sheet has some case studies that detail how this strategy works. It can get complicated, so if you're unsure, consider seeking advice.
How do I set it up?
You should read our Product Disclosure Statement and, Target Market Determination before applying for an account. Once you're ready, complete the application form in the back of our PDS. To ensure you get the most out of a TTR account, consider getting advice.
You can also choose to set up your account with Easy Default, a quick way to set up your account with a default payment amount, payment frequency, investment and drawdown strategy.
How much will I need?
The answer will be different for everyone — there are various factors you need to consider in working out how much you'll need for retirement.
Find out moreWhy retire with NGS?
Retirement doesn't need to mean the end of your super. You can choose to retire with us by opening an NGS Income account that will provide you with a regular income.
Find out more
Understanding risk and your retirement
Considering risk is a key part of planning and managing your savings in the lead up to and throughout retirement.
Find out moreRetirement savings calculator
The amount you save in super will likely be your main source of income at retirement. So, it’s natural to wonder ‘how much will I need?’ and ‘how long will it last me?’. The NGS retirement savings calculator can help.
