1. Ramakant Duggal says:

    Hi Trish,

    I did some ‘googling’ and found this clear answer to my question of access to super at 55 over.

    I have some questions. I am living overseas since the year 2000 – Singapore, Dubai and Bangkok. I am still working so can’t claim retirement, hence TRIP seems to be a good thing.

    My Q’s are :

    1. I realise the posts in here are from 2011, hope it is not too stale to post these Q’s. Is TRIP still a legit way to access super after 55 ?

    2. How do I go about applying for TRIP ? Can I do it while overseas or does it require a trip home ?

    3. Are there any consultants/advisors who might get teh paperwork rolling for me ?

    4. How do I know which is the “preserved” portion and which part can I withdraw ?

    The total amount in my super is just below 100k. It is not going to go far towards retirement if and when I return to Oz (which is very doubtful in my case).

    Much appreciate any answers.



  2. TRPI?

    Calculation how?

  3. Hi Trish
    I am turning 55 with $380,000 currently in super and my bank has suggested we take the 10% per annum option and use it towards paying off our $160,000 mortgage. Do you have any thoughts on this?

  4. Hi,

    I should be most grateful if your would advise me on the following:

    I am 62 years old and my wife is 60. I retired after age 60 and withdrew all my money as a lump sum from the Superannuation to buy a second house in 2010. We bought the first house in 2000 and we are still having that house. My question is: do I (we) need to establish a self-management super fund (SMSF)? If so, what are the benefits of this SMSF to us as my wife and I are over 60? If we sell one or both of the houses, do we have to pay tax if we have no SMSF?
    P.S currently we pay no mortgage on both houses.


  5. Peter Hughes says:

    Hi Trish,

    In your third example, the pension rebate allowed is $1,500. Should that be $750 given that only half of the pension is taxable?


    Peter Hughes

  6. Trish, I have a growing distrust that super will be further impinged upon by government in the future. My aim is to extract my super as soon as possible. What is the most effective way of doing this. I am 55. I earn $60k per year and have $150K in super. Can I use TRIP to extract 10% per year without making a member contribution?

  7. Shana Lepol says:


    I have a Superannuation balance of 400,000 and am turning 55 next year. I want to retire abroad and take a pension will I be liable to pay tax in Australia or in my country of residence also what happens to the 15% offset if no tax is to be paid in Australia


  8. John Kirkbride says:

    Hi Trish,
    I love your work it, is so informative.
    I have a question relating to contribution caps and TRIP. My current balance is over $500k in a SMSF and in which a TRIP can be set up if I wish. As I understand it setting up a TRIP requires funds to be segregated – part into the TRIP and part remaining in accumulation phase. I am 57 years old and propose to continue full time work however my current contributions are already in the low $20k’s with the limit soon to become $25k for balances over $500k.
    My question is – does the contribution cap relate to only the balance remaining in the accumulation account or to the total SMSF balance??

    Thank you

  9. i may missed something but all the explanations of TRIP seem to relate to an emloyed person , ie PAYE.
    Could you please explain how a TRIP would work for a self-employed person.
    Our situation is we are both between 55 and 60 , and own a business , in a trust structure , in which we both work.
    At the end of each financial year we contibute a lump sum to our SMSF.
    Would we benefit from a TRIP?

  10. Hi
    I am about to turn 55.
    My wife and I have a SMSF with substantial balances each (invested in a “balanced” way).
    While I am not earning any personal exertion income, I am in the top tax bracket, and do not need additional cash to live on.
    I am about to contribute the maximum $50k for the 2012 tax year.
    Question : Will it be worth my while transitioning any part of my super into pension mode? … and if so, how much?

  11. Dean Mohammed says:

    I was very impressed with the your case studies.I will turn 55 in Jan 2012 .Will I be able to draw 10% pension from my super account while I am still fulltime employed ?.My balance is $320K with gross income $75K.
    Thank you

  12. Mike Fawcett says:

    I have a SMSF, I’m aged 55 and I’m considering living overseas (New Zealand) temporarily, for up to 2 years.

    1) Are the earnings in my super fund still taxed at 15% while I am overseas?

    2) Can I make contributions while I am overseas?

    3) Is it OK for the sole director of the trustee company of a SMSF to live overseas?

  13. G’day Trish,

    I’m a little confused on the mature age worker’s offset because different sources provide conflicting info. According to the ATO and CCH books, super pension income is not “income from working” and the CCH “Master Financial Planning Guide 2010/11” on page 53 says the offset is worked out on “net income from working”.

    That same CCH book has an example on page 854, as your example does above from Health Super, that seems to take the TRIP income into account when calculating the offset. So, unless I’m totally lost, CCH is contradicting itself.

    I must be missing something, can you please confirm if a super income stream is included when calculating this offset? Thanks.

    • Hi Adam
      Thanks for your comment. Generally speaking, we cannot comment on the non-super tax rules, such as the mature age workers offset (MAWO). What we can say is that, according to the ATO website, the MAWO is linked to net income from working rather than TRIP income. The tables presented in the article above don’t provide the background calculations, but the MAWO is based on net income from working, and not based on TRIP income. Note however that ‘reportable employer super contributions’ also count towards ‘net income from working’.

      Quoting directly from the ATO website: “to be eligible for the mature age worker tax offset in 2009–10, you must:

      * be an Australian resident for tax purposes
      * be aged 55 years or more at the end of the income year, and
      * have received net income from working (within certain limits).

      Again quoting directly from the ATO website:

      “Net income from working includes:

      the total of amounts of assessable income that are mainly a reward for your personal effort or skills

      less any related deductions and income from a business that you carry on

      less any related deductions.

      Reportable employer super contributions are now included when calculating your net income. Reportable employer super contributions are salary sacrificed super contributions or other contributions your employer makes to a super fund on your behalf that are additional to the minimum contributions they must make.

      Your net income from working is used to calculate the amount of mature age worker tax offset that you are entitled to.

      Income from working includes:

      * salary and wages
      * allowances, earnings, tips and commissions
      * regular periodic payments under a sickness and accident or insurance policy or worker’s compensation scheme
      * business income from a business that you carry on
      * personal services income (PSI)
      * foreign employment income
      * assessable farm management deposit withdrawal amounts
      * reportable fringe benefits
      * reportable employer super contributions
      * income derived by a professional sports person or entertainer from the exercise of personal expertise or skill
      * other income from working such as commissions, bonuses and fees paid to directors or office holders
      * income derived by consultants for the exercise of personal expertise.

      Income from working does not include:

      * social security benefits – payments received from Centrelink or the Department of Veterans’ Affairs
      * interest income
      * dividends and commodity gains
      * trust distributions
      * capital gains
      * superannuation pensions or annuities
      * lump sum payments received on retirement or termination of employment in lieu of long service leave and annual leave
      * employment termination payments
      * rental income
      * royalties or amounts received from the assignment of intellectual property.”

      [end of extract from ATO website]
      I trust this assists you with your question.

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