Working in retirement

'Working in retirement' covers the different scenarios that prospective Australian retirees may face when considering retirement.

An increasing number of retirees are combining part-time work and taking a superannuation pension, and possibly also receiving a part Age pension. Retirement is a fluid concept that may or may not involve ceasing full-time work.

If you're under the age of 65 and wanting to access super benefits, then 'retirement' generally involves ceasing full-time employment and making a retirement declaration, unless you intend to start a transition-to-retirement pension or you have unrestricted non-preserved super benefits. If you're under 65 and you decide to retire, then you can still return to work if your circumstances change, or you genuinely change your mind. If you're under the age of 65, then you can make super contributions whether you're fully retired, working part-time or working full-time.

If you're aged 65 or over, then you don't have to retire to access your super benefits (in nearly all cases). If you're aged 65 or over, then you must satisfy a work test if you wish to contribute to a super fund.

Set out below are all SuperGuide articles explaining Working in retirement.

Cashing in on the co-contribution rules (2016/2017 year)

Note: This article explains the co-contribution rules for the 2016/2017 year (and later in the article, also for the 2015/2016, 2014/2015, 2013/2014, 2012/2013 and 2011/2012 years).The federal government is giving away money to anyone who makes a non-concessional (after-tax) contribution to … [Read more...]

Your 2016/2017 guide to non-concessional (after-tax) contributions

SUPER ALERT! On 3 May 2016, the federal government announced an IMMEDIATE cut to the non-concessional contributions cap, including a cessation of the bring-forward rule (explained later in the article). Although this change has immediate effect, from 3 May 2016 (7.30pm), it is still subject to … [Read more...]

Tax-deductible super contributions: Meeting the 10% income test

Q: I work for myself but I also have a part-time job. I have been told that even though I receive SG from my part-time employer, I can also make tax-deductible super contributions. Is that true? And if it is true, how does it work?Individuals who are self-employed, or who are not employed, are … [Read more...]

Concessional contributions: What form do I use to claim a tax deduction?

Q: I want to make a tax-deductible super contribution to my super fund, in this case a SMSF, although I also have a super account with an industry fund. I am trying to find the official form for claiming this type of deduction. Could you lead me to a link where I could find a generic S290-170 notice … [Read more...]

The super challenge: At what age should I retire?

Selecting a retirement age, even if you plan to continue some form of work during retirement, can be a difficult decision. In some cases, individuals don’t get a choice about when to retire due to health issues, or due to redundancy in later years and then difficulty finding another job.Although … [Read more...]

Superannuation Guarantee: What is the maximum SG employers must pay?

Q: I am earning a salary of $200,000 plus super. I am aged 42. I understand a maximum contribution level applies based on a 9.5% SG contribution, before the balance up to $30K limit can be made on a salary sacrifice basis. Can you please confirm what the maximum SG contribution is allowed to be for … [Read more...]

Retirement and tax: What are the minimum pension payment rules?

Q: I am 63. I want to retire next year but I am not sure if I want to access my super benefits yet. I have heard that when I retire, I must withdraw some super benefits each year, otherwise I won’t receive tax-free super benefits. Can you please clarify the rules for me?A: Your question is … [Read more...]

Super pensions: Is there an upper limit to how much we can withdraw?

Q: I am aware that the minimum amount of super pension withdrawal is 4% (for under 65s) of the pension account balance. Is there now any MAXIMUM amount of pension required to be drawn from a super fund? If no maximum payment is required, is this still the case for account based pensions, transition … [Read more...]