If you're getting ready to retire, a Cbus Super Income Stream (SIS) might be perfect for you. It's like having a steady pay cheque after you've stopped working.
It lets you take all the super you've worked hard to save and uses it as a regular income stream.
Watch our short video to learn more.
Everyone has different retirement needs, so it’s important to know that planning for retirement is not a one-size fits all approach.
Register for one of online webinars or in person seminars. Topics include retirement planning and transition to retirement.
Will you have enough for the retirement you want?
Find out if the government Age Pension plus your super will give you enough income in retirement.
Take advantage of tax benefits
Generally, no tax is payable when you transfer your money into a super income stream. There's also no tax on your investment earnings if you're in the Fully Retired option.
If you’re age 60 or over, the super income stream payments you receive are tax -free.
You may be eligible for an income stream tax refund
If you're using an existing Cbus Super or Transition to Retirement account to start your Fully Retired income stream, we will refund money we’ve held from your account that would have been paid as tax.
If you’re eligible, the amount will be automatically credited to your new account the day it is opened. Read the Income Stream tax refund fact sheet (PDF) for details.
Before you transfer your balance to a fully retired income stream, you should contact us if you think you might be close to your personal transfer balance cap.
To find out how much you could receive, call us on 1300 361 784 to request a balance quote. Our consultants can provide guidance on what may suit you and your circumstances.
If you are over preservation age*, login to the member portal and go to the Balance quote page.
*From 1 July 2024, you are of preservation age if you are at least 60 years of age.
An income stream can work with the Age Pension
When you receive retirement income from your super, you may still be eligible for the government Age Pension.
Find out if you’re eligible for the Age Pension and how much you could get.
Keep enjoying the things you love
Enjoy retirement with as little as $80,000^ in your super account.
^ Estimated total retirement income in year one of $33,281 for someone aged 67, comprising $4,257 from the Cbus Super Income Stream account and $29,024 from the Age Pension.
According to ASFA (a super industry expert), a single person needs around $33,134 a year to live a modest lifestyle in retirement (e.g. basic activities). For further information, see ASFA retirement standard: superannuation.asn.au/retirement-standard.
The income from the Cbus Super Income Stream and Age Pension is projected to increase by 2.5% a year, to cater for inflation and increases in living standards. The income from the Cbus Super Income Stream is projected to last until age 92. The Age Pension entitlement is based on current Centrelink income rates using the following assumptions: single person, homeowner, $25,000 in personal assets, account-based pension investment return of 5.75% a year after fees and taxes, administration fee of $52, with 0.19% asset-based administration fee. Calculated using the Cbus Retirement Income Estimate Calculator as at 14/08/2024.
The amount of income you receive and how long it will last will depend on a range of factors, such as the amount initially invested, your age and investment performance. There is a risk that your pension income may reduce or cease if you draw your income too fast or if investment returns are poor.
You don’t need to wait until you stop working
With the Transition to Retirement (TTR) option you can access your super through a super income stream while you’re still working.
To be eligible, you need to be between preservation age* and 65 years. While you’re working, any super contributions will continue to be paid into your Cbus accumulation super account.
You can use a TTR income stream to:
Learn more in the Transition to Retirement fact sheet (PDF).
*From 1 July 2024, you are of preservation age if you are at least 60 years of age.
For existing or new Cbus members
Whether you’re an existing Cbus member or new to us, you can join the Cbus Super Income Stream.
You can manage your account online once you've joined.
Let’s compare our Super Income Stream with the pension fund industry median2. Over 5 years, you could have had an extra $3,636 to spend in retirement3 if you were with Cbus Super.
Starting account balance of $200,000, invested in our default Conservative Growth investment option and drawdown level of 5% per annum, assumed to occur monthly for a period of five years to 30 June 2024.
Source: SuperRatings Net Benefit Report accessed 15 August 2024.
2The pension fund industry median refers to the median investment performance for allocated pension investment options within the SuperRatings Conservative Balanced Index (41‐59) universe. The comparable investment options have an allocation between 41% and 59% of growth assets.
3This Pension Net Benefit modelling relies on SuperRatings’ analysis of investment returns, fees and the relative benefits offered to members during the pension phase (including drawdowns) for allocated pension investment options within the SuperRatings Conservative Balanced Index (41‐59). The comparable investment options have an allocation between 41% and 59% of growth assets. The model calculates the decumulation of a member's benefit within the pension phase over a 5‐year period to 30 June 2024. The sample set of investment options used in the 5‐year modelling contains 40 investment options across Non‐For‐Profit (i.e. Industry, Corporate, Government funds) and For‐Profit (i.e. retail Master Trust funds). The model assumes no additional withdrawals over the relevant comparison period. Past performance is not a reliable indicator of future performance.
From 1 July 2024, you are of preservation age if you are at least 60 years of age.
| Age | If you're still working | If you've stopped working |
|---|---|---|
| Between preservation age and age 64 | Transition to Retirement account | Fully Retired account |
| Age 65+ years | Fully Retired account | |
When you open your account, you decide how much you want to receive as a regular payment and how often you’d like to receive payments.
You can change the amount and frequency of payments at any time, as long as your new payment amount falls within government limits.
Your regular payments are deposited directly into your nominated savings account.
Your remaining account balance will continue to be invested - less fees, regular income payments, withdrawals and tax (if applicable).
You’ll continue to receive payments until the money in your account runs out.
When you die, any remaining balance of your account may be paid to your beneficiaries as a cash payment or regular income.
Whether you’re an existing Cbus member or new to us, you can apply for a SIS account online or by the application form in the Cbus Super Income Stream PDS (PDF).
We recommend you speak to us before you apply to help you make the right decisions. If you’re already a Cbus member, your existing account can be transferred straight across.
What you need to open a Super Income Stream (SIS) account
There are limits on how much you can invest
The government has limited the amount of super you can transfer into tax-free retirement accounts (like our Fully Retired option) to $1.9 million if starting your first retirement account in or after the 2024/25 financial year.
This is called the transfer balance cap, which is a lifetime limit on how much you can put into tax-free retirement accounts, pensions and annuities, with Cbus and any other super funds.
Tax penalties may apply if you exceed the cap, and any amount over the cap will need to be withdrawn or transferred to a super account. You can find your personal transfer balance cap by logging into myGov and going to the ATO site.
This limit doesn’t apply to the Transition to Retirement option.
Member access to a financial advice
Whether you’re still working, thinking about retirement or have reached retirement, our Cbus Advice team are here to help you get the answers and advice you need. We offer three levels of advice depending on your needs.
Learn more about our Member Advice Services or contact our Advice team on 1300 361 784.
We’re one of Australia’s award winning industry super funds with Cbus SIS receiving recognition across multiple industry ratings.
^Zenith CW Pty Ltd ABN 20 639 121 403 AFSL 226872/AFS Rep No. 1280401 Chant West rating (Pension and Super Rating assigned February 2024 and Super Investment Rating assigned May 2024) is limited to General Advice only and has been prepared without considering your objectives or financial situation, including target markets where applicable. The rating is not a recommendation to purchase, sell or hold any product and is subject to change at any time without notice. You should seek independent advice and consider the PDS or offer document before making any investment decisions. Ratings have been assigned based on third party data. Liability is not accepted, whether direct or indirect, from use of the rating. Past performance is not an indication of future performance. Refer to Chant West for full ratings information and our FSG.
