Under Legislation, minimum payments must be made from super-based pensions or income streams at least annually. The minimum is set by the member’s age and account balance each July.
Due to the GFC, a 50% reduction in drawdown minimums has been in place since 2009. This reduction was due to end in June but has now been extended another year to assist income stream members rebuild after capital losses which occured while the market was low.
AvSuper members who have already requested drawdowns based on the reduced minimum will automatically continue on that level. Annual income stream drawdown letters will explain how all eligible members can access this reduction for 2010/11.