Pension Retirement Planning Strategies

Planning is key when it comes to retirement. Begin with the end goal in mind – decide how you want to retire then plan for it.

The concept of 'transition to retirement' is to prepare for your retirement and help you smoothly move from one era of your life to the next.

The ultimate aim is to make sure you have financial security when you decide to retire, and that the income you receive once you stop work doesn't dramatically change or negatively impact your life.

Financial Framework know how to build the strongest retirement possible, and specialise in transition to retirement planning strategies.

Pensions can be a large part of the 'transition to retirement'. In Australia, retirement used to mean when you turned 65. Now it is up to you when you stop work.

You are able to continue working past your retirement age, though you may still be eligible to receive your pension as well. Pensions in Australia are subject to income and asset tests, so it can be tricky to know exactly what you are entitled to, and when.

Your Financial Framework adviser will take all of the stress out of arranging your pension – whether you are already eligible for it, or simply planning ahead.

What Is The Age Pension?

The age pension is income support and a range of other concessions to Australians over the age of 65. Income and benefits are typically provided on a fortnightly basis. Eligibility for the pension is based on residency and income and assets tests. Pension age is likely to increase over time.


Transition To Retirement Allocated Pension

Although superannuation cannot be accessed until retirement age (other than through hardship provisions) your super can be rolled into a Transition To Retirement Allocated Pension. This can be beneficial in several ways, as an Allocated Pension pays no tax and has capital gains tax advantages.

Your Financial Framework adviser will access your situation and outline your Allocated Pension options, aiming to improve your tax position, grow your finances, and allow you to live the retirement you deserve - The one you have earned.

Transfer an overseas pension to Australia

If you have a pension in another country, you may be eligible to transfer it to Australian funds. This is good for tax, but is a complicated process subject to means testing. Please visit our Overseas Pensions page for more information, then contact a Financial Framework adviser to discuss your situation and explore your options.

Top 9 Tips For Transitioning To Retirement Planning Strategies

    1. Plan early, ensure well before your planned retirement date that you have a clear understanding of how much you will need to have invested to meet your retirement income target. The longer you have the better the ability to reach retirement targets on time.
    2. Once you have reached aged pension age, even if you are not entitled to any aged pension check to see if you are entitled to the Commonwealth Senior Health Care Plan or any other Centrelink benefits.
    3. Partner with a financial planning expert to ensure that you take advantage of all of your entitlements and confirm you are on track to retire in the manner that you would like to.
    4. Have your health assessed, making sure you move into retirement in tip top condition.
    5. Work on your retirement dreams, retirement is the time to celebrate what you achieved in your working life. If you have a partner make sure you are both on the same page regarding what retirement means to you.
    6. Make sure your estate planning is up to date, spend the time ensuring that your will is up to date and valid, consider enduring powers of attorney, involve your family and make sure they know where to find everything.
    7. Budget not only for the day to day expenses but make sure you have enough set aside for unexpected capital and health costs.
    8. Consider some volunteer work, there is now a line of thought that there is a stage between finishing work and full retirement, if helping and giving back is something you are interested in research the options.
    9. Live the dream. You deserve it.


Retirement Planning Strategy Video


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