July 13, 2021
The Government has announced an extension of the temporary reduction in superannuation minimum drawdown rates through to financial year 2021/22.
From 1 July 2021, minimum pensions will again be halved for all account-based and term allocated income streams as follows:
Account-based pension minimums
| Age | Standard Minimum | Reduced Minimum for 2021/22 |
| Under 65 | 4% | 2% |
| 65-74 | 5% | 2.5% |
| 75-79 | 6% | 3% |
| 80-84 | 7% | 3.5% |
| 85-89 | 9% | 4.5% |
| 90-94 | 11% | 5.5% |
| 95 or older | 14% | 7% |
Term allocated pension income ranges
- Maximum pension: 110% of factor-based pension
- Minimum pension: 45% of factor-based pension (ie, 50% of the standard 90% of factor-based payment rule)
Further information
For further information please contact please us.
Source: IOOF