Our Pension product is an account-based pension which allows you to draw a regular tax-free income. All you need to do is transfer some or all of your super savings into a pension account, then decide how much and how frequently you will receive payments. And you can change those payment arrangements at any time.

Our Pension product is ideal if:

• You are 65 or over, whether you are still working or not.
• You are 60 or over and you change jobs or stop working temporarily.
• You are under 60, have reached your preservation age and have stopped work permanently.

The benefits are valuable too:

• Payments are 100% tax-free if you’re over 60.
• Investment earnings are 100% tax-free.
• Your money stays invested in the investment options of your choice, so your money continues to grow.
• You determine how much you’re paid and how frequently.

How to set up an Australian Food Super Pension account

It’s easy to set up a Pension account online, but there are a couple of things you should do before you get started.

First, consolidate any other super accounts you have into Australian Food Super. It’s easy to do. Download the Round up your super fact sheet for more information.

Then, decide how much you need in retirement. According to ASFA, to have a modest retirement, single people will need $29,632* a year and a couple will need $42,621* a year. “Modest” in this example means affording only one or two short holidays in Australia near where you live each year, owning an older car, sometimes eating out, but no budget for home improvements.

To live comfortably, a single retiree needs $46,494 per year, while a couple would need $65,445 per year. Living comfortably means affording a reasonable car, the ability to eat out regularly at restaurants and have one annual holiday in Australia.

These figures were calculated as at March 2022, but inflation means retirement costs will rise over time. Go to www.superguru.com.au for more details.

There is a number of websites with calculators that help you work out how much super you’ll have based on your current circumstances.

Have a look at ASFA’s Retirement Projector Calculator a www.superguru.com.au and www.moneysmart.gov.au/toolsand-resources/calculators-andtools/retirement-planner for starters.

Then you need to consider how much you want to pay yourself and how often. Of course, you can change this whenever you like as your needs change.

If you’re ready to open an Australian Food Super Pension account, download the PDS and application form.