Many of our income stream members will be pleased to know that the 50% reduction in mandatory drawdowns has been extended for the 2021-22 financial year.
Income stream must withdraw a minimum amount of money each financial year by law. This amount is based on your age and your income stream balance. We tell you about your minimum annual drawdown amount each July.
Due to COVID-19, this minimum drawdown amount was halved for the 2019-20 and 2020-21 financial years. The Government recently approved an extension of this reduction so retirees can continue to preserve their income stream to minimise losses related to the pandemic.
We will contact our income stream members shortly about their 2021-22 drawdown arrangements. This will include information about how to change your drawdowns and making use of the reduction if you have not already done so. If you are currently using the reduction, we will continue that arrangement into the new financial year.
Of course, if you have any questions about your drawdowns or would like some advice on structuring your income stream and drawdowns, please call our member services team or catch us on AvChat.
Chief Executive Officer