To learn more read the Product Disclosure Statement (PDS):
|Your APSS Pension PDS|
The APSS Pension enables you to continue your APSS membership when you retire, potentially for the rest of your life. You can also use the APSS Pension as part of a transition to retirement strategy.
To start an APSS Pension account, you need to have reached your preservation age and have at least $20,000 to invest. This amount will typically come from an APSS Member Savings account, but you can also use your APSS Defined Benefit if you’re entitled to one, plus savings in other super funds and/or an after-tax contribution (e.g. from bank savings). If transitioning to retirement, note that any Member Savings must be used before any APSS Defined Benefit you’re entitled to, and you can only use up to 50% of your Defined Benefit.
Your APSS Pension account works exactly the same way as Member Savings accounts, offering you the same investment options. The key difference is that your APSS Pension account has regular income payments coming out, which are then deposited into your bank account. Also you can’t contribute.
The APSS Pension gives you:
Suppose that you want to cut back your working hours while transitioning to retirement but not reduce your income. Your APSS Pension account can help you maintain the same level of income by replacing the income forgone by cutting back your working hours. It might also be possible to use it to reduce the overall tax you pay and increase your retirement savings before you retire – ask you financial adviser for details.
When you retire, you basically have two choices.