Account-based pension calculator

• This is a model based on a set of assumptions. It is not a prediction. Do not rely on these estimates to make financial decisions.
• The results from this calculator are based on the limited information that you provide and assumptions made about the future. The amounts projected are estimates based only on that information and are not guarantee.
• This calculator cannot predict your final superannuation benefit or level of retirement income. This will depend on your personal circumstances, unexpected life events, the age pension paid, investment earnings, tax and inflation.
• This calculator assumes that all assumptions remain steady and predictable over time. These assumptions are so the calculator can show the effect of things you may be able to control, such as choosing a different investment option.
• You can re-use this calculator regularly as your circumstances change. You can also change and update some of the assumptions to reflect your personal circumstances.
• Do not rely solely on this calculator to make decisions about your retirement. There will be other factors to take into account. Consider your own needs, financial situation and investment objectives. You may wish to get advice from a licensed financial adviser.

For accumulation funds only

• The calculator works for accumulation accounts only. It will not work for defined benefit accounts.
• We assume your account balance will receive all income and outgoings mid-year.

Results are in today's dollars

• Results are shown in today's dollars, which means they are adjusted for inflation.

Inflation assumptions

• We make the following default assumptions about CPI inflation and Wage Inflation (which you can change under the Advanced Settings - Other section of the calculator):
  • CPI inflation of 2.5% each year; and
  • Wage Inflation of 3.7% each year
• CPI inflation is used to inflate:
  • your income in retirement
  • today’s dollar value adjustment
• Wage Inflation is used to inflate:
  • $ per annum Administration Fees and Advisor Fees

Transfer balance cap

• There is a cap on the amount of superannuation you can transfer to account-based pensions in retirement. This transfer balance cap is $2,000,000 at 1 July 2025 and is indexed with CPI inflation over time. It increases in increments of $100,000.
• The calculator does not allow for balances in excess of the transfer balance cap.

Drawdowns in retirement

• We assume you have retired on or after your preservation age.
• The calculator determines the drawdowns from your account based pension required to achieve a steady income in retirement.
• The calculator applies the minimum drawdown rules annually to your drawdowns from your account based pension each year which may result in a higher income being paid to you in some years.

Retirement income

• The calculator determines the retirement income such that your account-based pension account will last until the 1 July after you reach the age your super is set to run out.
• Only your retirement income from your account-based pension is included in projected results. Income from the Government age pension or any other investments is not included.

Results are shown at 1 July

• Your projected account-based pension balance is shown at 1 July after you reach the age indicated on the chart.
• Your projected income results are shown for the financial year beginning on 1 July after you reach the age indicated on the chart. For example the super balance shown for age 65 is the balance at 1 July after your 65th birthday.

Investment returns

We make the following default assumptions for investment returns, depending on the type of investment option you choose:

Actual returns will vary significantly from year to year and could be negative in some years, particularly for investment mixes where more is invested in shares and property. This calculator does not allow for such variations. You can vary assumptions in 'Advanced settings'.

There is a lot to consider when comparing investment options between funds. Risk and return objectives and asset allocation within investment options may differ between funds and should be taken into account when comparing funds.

Tax

• We assume that you have given your tax file number (TFN) to your superannuation fund.
• No allowance is made for any tax. In particular, if you receive a benefit amount before age 60 no allowance is made for any income tax payable.

Administration fees

• We assume the dollar per annum administration fees are charged mid-year on average and will increase with inflation each year and that the administration fees charged as a % of your balance are charged mid-year on average.
• We assume that these fees are tax deductible within super.
• We make a default assumption for administration fees of $69 per annum in today’s dollars, plus 0.11%pa of your account balance.

Adviser service fees

• In 'Advanced settings' you can enter the adviser service fees that you are charged.
• We assume the dollar per annum adviser fees are charged mid-year on average and will increase with Wage Inflation each year and that the adviser fees charged as a % of your balance are charged mid-year on average.
• We assume that these fees are tax deductible within super.