Retirement Income

A common retirement concern is how to produce an income for the rest of our lives as the main thing that we lose in retirement is the ability to earn wages or salaries.

Whether you’ve built up savings from superannuation, investment property, equity in your home, money in the bank, or an inheritance, you will need to turn this capital into an income stream which is convenient, secure and tax-effective.

You may also have other objectives in retirement such as gaining the most out of Centrelink and the Age Pension, or the Veterans’ Affairs Pension, in addition to estate planning issues.

Choosing a retirement income product
As you approach retirement, you need to decide how to use the super that you’ve saved to help support yourself in retirement. Super funds and life insurance companies offer many different types of financial products that let you draw down your superannuation savings in an orderly way to suit your lifestyle.

For an ever-increasing number of people the answer to retirement income lies in the form of income streams and, in particular, superannuation allocated pensions, term allocated pensions and other complying annuities.

Where do you go to get one?
Most life insurance companies and financial services organisations provide these different types of income stream products. You can approach these organisations directly, at which point they will usually direct you to one of their financial planning groups, or you can seek the advice of an independent financial planner. You should always seek professional advice. It is very dangerous to attempt to set yourself up with an income stream without professional consultation, particularly professional tax advice.

How do you set one up?
1. Decide on your retirement date or year.
2. Ensure that you have a clear and defined set of goals and objectives (e.g. required income per year, investment objectives, access to capital, Centrelink etc).
3. Do your research! Most providers’ websites have additional information on their income streams.
4. Arrange an interview with an independent financial advisor.
5. Work with your advisor to use your retirement savings to the best effect.

Super changes for older Aussies now in effect

More older Australians can now make voluntary contributions to their super.

Noel Whittaker on riding out the storm

Personal finance expert answers key financial questions from panicked Australians.

Scheme set to destroy many retirement dreams

Superannuation Early Release Scheme presents big issues for future retirees.

ATO cracks down on super rorters as millions more seek relief

Data-matching program set to uncover anyone exploiting the early super release scheme.

Millennials being blamed for global stock market volatility

‘Everybody is having a punt,' says investment expert.

What strategies will be needed to help the nation foot our COVID-19 bill?

Long-term strategies and quick fixes are required, but who'll fund them?

New product helps retirees access ‘fast cash’ instead of accessing super

Is drawing on home equity in times such as these a more sensible option?

Noel Whittaker’s money lesson 101: risk and return

Understanding this concept is a fundamental plank in being money smart.

More needs to be done to support retirees through the pandemic: advocacy group

Throwing Australian retirees a lifeline could save more than retirement dreams.

Super funds set to finish the year down but far from out

Super funds have proven resilient to the turmoil that hit markets in the wake of the pandemic.

Biggest trap for retirees? Our entire retirement income system

Australia must confront fundamental problems with its retirement income system.

Financial Services Council calls for a post-COVID-19 super boost

Peak financial body suggests super could play a big part in pandemic recovery.

1 2 3 4 5 6 7 8 9 10 11 22 23

OUR PARTNERS

TOP STORIES

Back to Top
Click to Hide Advanced Floating Content