OBODY likes getting older but with age comes wisdom – and the ability to tap into your super. The rules around switching your super account out of the accumulation stage and into a pension depend largely on when you were born and when you finish working.
If you were born before July 1, 1960, you can access your super from the age of 55 once you have left full-time work.
The age at which you can access your super rises by a year for every year after that date, reaching the age of 60 for those born on July 1, 1964, or later.
Anyone can use their super once they turn 65, even if they are still working. In practice, many leave their superannuation accounts in the accumulation stage even if they have reached the preservation age.
Retirement calculators show that even a year or two of work after reaching the preservation age can really stretch out your retirement savings. That is because you are still adding to your super savings rather than beginning to draw them down to get some retirement income.
One useful strategy can be the transition-to-retirement pension (TTRs).
TTR enables you to work less by accessing some of your super early so your take home pay remains the same, or you can use it to pay some of your salary directly into super to save on tax. Transition-to-retirement can be complicated and may not be suitable for everyone, so it's a good idea to get personal financial advice before you