Choice Income - our account based pension

You’ve worked hard for your super. Make your super work for you, by turning it into a regular source of income.

What is an account based pension?

An account based pension (or pension account) lets you take your super as regular payments, when you retire.

By transferring money from your super to an account based pension like our Choice Income account, you can draw regular income payments, while your balance stays invested. This gives you the potential for continued investment returns throughout your retirement.

You choose how much income you want to receive and how often. And your money isn’t locked away.

You can withdraw extra money to pay for bills, holidays and other big ticket items whenever you need it.


Your benefits include:

  • turning your super into a regular income
  • keeping your savings working for you – money in your account stays invested
  • saving on tax — tax-free income payments (from 60) and tax-free investment earnings
  • having flexibility and control – you can access extra money whenever you need it
  • topping up your Government Age Pension if you receive it

How an account based pension works

You use money from your super account to open a Choice Income account. Any positive investment returns are added to your Choice Income account balance; and income payments, fees and taxes and any negative investment returns are deducted from it.

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Why choose Choice Income account?

Our account based pension – Choice Income – is award-winning* with a history of strong long-term performance. With our low fees and members first approach, we can help you achieve your best possible retirement.

  • Low fees, more money – we don’t pay commissions to advisers and profits go to members, not shareholders
  • Strong long-term returns – 9.71% pa average annual 10 year rate of return for the Balanced option+
  • Flexible payment options – you choose how much and how often you receive payments
  • Range of investment options so you’re in control – Smart Default, PreMixed, DIY Mix and Member Direct 
  • Easy to manage payment and investment options via phone, your online account and mobile app
  • Advice options to support you throughout retirement, including email, phone, face to face meetings and seminars
  • Top up for your Government Age Pension (if you’re eligible)
  • AustralianSuper members may be eligible for an instant boost to their account when they move to a Choice Income account – a tax saving called a Balance Booster

* Awarded the 2019 Canstar Outstanding value for account based pension

+Returns as at 30 June 2020. Investment returns aren’t guaranteed. Past performance isn’t a reliable indicator of future returns

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Important things to know about Choice Income

Choice Income Product Disclosure Statement - pdf, 3.3MB

For people retiring and needing to draw an income from their savings in a tax-effective environment

Set up your account in a way that suits you

Your Choice Income account is flexible, so you can change your payment and investment options at any time.

When you join you can use the Smart Default option, or choose your own investment and payment options.

Choosing the Smart Default option

With Smart Default your payments and investment options are pre-selected, modelled and managed by investment experts. 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 minimum amount will change (see table below),
  • paid every two weeks, and
  • able to change your payment and investment options at any time.

Smart Default drawdown amounts in 2021-22

On 29 May 2021, the Government extended the temporary reduced minimum drawdown amounts for account based pensions to 30 June 2022 (for 2021-22).

In financial years 2019-20 and 2020-21, we temporarily reduced the Smart Default drawdown amounts so members aged 80 years and over could manage their income payments differently during difficult times. We're extending these reduced amounts to 30 June 2022. (see table below)

Current Smart Default members will receive an email or letter in July 2021* to confirm their payment amounts for the financial year 2021-22. You don’t have to do anything, unless you choose to change your payment amount and frequency. You can do this anytime by logging into your online account.

For details, visit

*In May 2021, members may have received an email or letter about changing Government minimum drawdown amounts from 1 July 2021. These changes no longer apply due to the Government's announcement on 29 May 2021.
Maximum withdrawal limits apply for TTR Income members.

Smart default option – Percentage of your balance you’ll receive each year
END 30 JUNE 2022
Under 80 6% 6%
80 to 84 6% 7%
85 to 89 6% 9%
90 to 94 6% 11%
95 and over 7% 14%

The temporary Smart Default drawdown rates are for the financial years 2019-20, 2020-21 and 2021-22 only, and end 30 June 2022.
§The default minimum drawdown rates for Smart Default apply from 1 July 2022, for the financial year 2022-23 onwards.

Choosing your own options

If you choose your own options, you can

  • choose DIY and PreMixed investment options, or manage your account using Member Direct,
  • decide how much income you’ll get (minimum limits apply), and
  • decide how often you’ll get payments – fortnightly, monthly, quarterly or twice a year.

Proud winners of a Canstar 5-Star Rating for account based pension^

^AustralianSuper received the Canstar 5-Star Rating for Outstanding Value Account Based Pension in 2019. Full methodology available here.

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