What’s involved in setting up your account
When you retire, our Choice Income account allows you to turn your super savings into regular income payments all while your account balance stays invested. If you’re ready to get started, here’s some important things to consider before opening your account.
For complete details, please download and read the Choice Income Product Disclosure Statement or Target Market Determination.
Before opening a Choice Income account
Before opening a Choice Income account, you may consider consolidating any existing super accounts1. This could make it easier to set up your Choice Income account with money from a single account.
If you've made personal contributions to super that you intend to claim a tax deduction for, you need to tell your super fund that you plan to claim a tax deduction2 before you transfer some or all of it to a Choice Income account. Once you've transferred any amount to your Choice Income account, you can't claim tax deductions for the contributions you've made to super. This includes a super account within AustralianSuper.
To claim a tax deduction for personal super contributions you must lodge a Notice of intent to claim a tax deduction with your super fund.
Using your super savings to open your Choice Income account
The minimum amount to open a Choice Income account is $50,000.
The government has a lifetime limit on the amount of super you can transfer into any tax-free retirement account(s), including Choice Income. This is called the ‘transfer balance cap’. From 1 July 2025, the general transfer balance cap is $2 million for individuals commencing their first retirement income account3. You can view your personal cap amount at any time, by logging in to your myGov account and going to the Australian Taxation Office (ATO) section.
If you don’t transfer all your super into your Choice Income account, you could choose to keep your existing super account open. This could help if you plan on working in retirement as you’ll be receiving the super guarantee from your employer. You’ll just need to leave a minimum of $6,000 in your super account to keep it open.
Your payment amount and frequency
Take control and choose your payment amount and frequency to suit your lifestyle needs. You just need to take at least the minimum amount each year. This minimum is set by the government and is based on:
- a percentage of your starting balance on 1 July of the current financial year, and
- your age.
You can receive your income payment:
- every two weeks
- once a month
- once every three months
- twice a year, or
- once a year.
At any time, you can change your payment amount and/or frequency by logging into your account online.
For exact payment dates, please see our Income Payment Calendar.
If you'd like to leave your income payment choices up to us, learn more about setting up your account with Smart Default.
How long could your savings last
There’s many factors that could impact how long the money in your income stream could last. Some include:
- The amount of money you transferred to your account-based pension.
- Your income payment(s) each year.
- Any partial withdrawal(s) that you make to meet your lifestyle needs.
- Investment earnings on your account balance.
- Fees and costs deducted from your account.
Our Retirement Income Calculator can help you calculate your costs in your retirement and how long your savings could last.
Your investment option(s)
When choosing your investment option(s), keep in mind your risk profile and the time frame your money will be invested. You can use our Investor Risk Profiler to determine the kind of investor you are to make you feel more confident about making investment decisions.
Choose from our DIY Mix or PreMixed investment options or get more control over your investments using Member Direct.
Or, if you’d rather have our experts select your investments for you, consider setting up with Smart Default.
Setting up with Smart Default
With Smart Default, your payments and investment options are pre-selected, modelled and managed by us, but you can change them later if you need to. This means you’re:
- invested in 12% Cash and 88% Balanced investment option,
- initially receiving at least 6% of your balance each year; and as you get older this amount will change (see table below), and
- paid every two weeks.
Every July, we’ll write to you confirming your payment amount for that financial year. You don’t have to do anything, unless you want to change. Making a change is easy by logging in to your account online.
| Smart default option – Percentage of your balance you’ll receive each year | |||
|---|---|---|---|
| Your age on 1 July | DRAWDOWN RATES | ||
| Under 80 | 6% | ||
| 80 to 84 | 7% | ||
| 85 to 89 | 9% | ||
| 90 to 94 | 11% | ||
| 95 and over | 14% | ||
For more information about Smart Default, view the Choice Income Product Disclosure Statement.
Working in retirement
It's common for many retirees to do part-time or casual work in retirement for connection, purpose and additional income.
If you do return to work, your employer will be paying you the super guarantee. To receive this contribution, you’ll need a super account.
Consider keeping your existing super account open, just make sure it has a minimum account balance of $6,000.
You may also be eligible to receive a Work Bonus from the government if you return to the workforce.
Learn more about keeping your account open and/or keeping any insurance cover4, by reading your relevant Product Disclosure Statement or the Insurance in your super guide for your division.
Balance Booster
You may qualify for a tax saving known as a Balance Booster. When you have a super account or TTR Income account, AustralianSuper sets money aside to pay for future capital gains tax when investment assets are sold. When you open a Choice Income account, you’re moving to a tax-free environment, so these savings are credited back to you. There’s no need to apply – if you’re eligible, you’ll receive it automatically.Choice Income fees and costs
Here’s an example of what your annual fees and costs might look like for the Balanced investment option in Choice Income as at 1 August 2025.
| AustralianSuper Balanced option | Balance of $50,000 | |
|---|---|---|
| Administration fees and costs |
0.10% plus $52 ($1 per week) |
$50 for every $50,000 you have in your account, up to $600 plus $52 regardless of account balance |
| PLUS Investment fees and costs | 0.49% | $245 |
| PLUS Transaction costs | 0.07% | $35 |
| EQUALS Cost of product5 | If your balance was $50,000 at the beginning of the year, then for that year you will be charged fees and costs of $382 for your account. | |
Beneficiary nomination(s)
If you want to choose who your super money goes to in the event of your death, you’ll need to make a beneficiary nomination(s)6. It’s a good idea to be familiar with all your options.
You can choose a binding or non-binding beneficiary nomination. Or you could nominate a reversionary beneficiary, this person will receive regular income payments from your account until the balance reaches $0.
-
Important information
- Before making a decision to combine your super, consider any fees or charges that may apply, and the effect a transfer may have on benefits in your other fund such as insurance cover. We recommend you consider seeking financial advice. If you wish to claim a tax deduction for personal super contributions, you must lodge a notice of intent to claim a tax deduction with your other fund before you combine your super.
- If aged between 67 and 75, you’ll need to satisfy the work test or qualify for the work test exemption to be eligible. Contributions must be received by your super fund within 28 days of the following month in which you turn 75.
- If you commenced a retirement income account prior to 1 July 2025, you may have a personal transfer balance cap from $1.6 million to $1.9 million, depending on when you commenced your first retirement income account.
- AustralianSuper insurance is provided by TAL Life Limited (the Insurer) ABN 70 050 109 450, AFSL 237848.
- Additional fees may apply. Assumes your balance of $50,000 is maintained throughout the year.
- If you have nominated a beneficiary for your accumulation account, you’ll need to make a new beneficiary nomination for your Choice Income account.
- There’s no charge for general advice about your super account. The financial advice you receive will be provided by MUFG Retire360 Pty Limited ABN 36 105 811 836, AFSL 258145 and will be their responsibility. Personal advice provided may attract a fee, which will be outlined before any work is completed and is subject to your agreement.
- Personal financial product advice is provided under the Australian Financial Services Licence held by a third party and not by AustralianSuper Pty Ltd. Some personal advice may attract a fee, which would be outlined before any work is completed and is subject to your agreement. With your approval, the fee for advice relating to your AustralianSuper account may be deducted from your AustralianSuper account subject to eligibility criteria.