Docstoc

Accommodation options as you get older

Document Sample
Accommodation options as you get older Powered By Docstoc
					ALLOCATED PENSIONS
                     Allocated Pensions
                     Allocated Pensions invest eligible superannuation to pay you an
                     ongoing amount each year, within Government prescribed
                     minimum and maximum levels until the total balance is
                     exhausted.
                     Allocated Pensions are designed to make retirement income as tax and social security
                     effective as possible.


                     HOW DO THEY WORK?
                     You continue receiving your income payments until:
                        your capital runs out; or
                        you withdraw all of your capital.
                     If you die any money left in your allocated pension account is either paid to your spouse
                     or estate, or your spouse may continue to receive the pension payments. In some cases
                     the balance or the pension payment may be paid to another beneficiary.
                     There are a number of strategies to help ensure your capital lasts as long as possible.
                     Your financial planner can advise you as to the best way to structure your investments to
                     achieve this.


                     INCOME PAYMENTS
                     Before you invest, you will need to select the amount of income you want to receive from
                     your investment.
                     You can receive your income payments monthly, quarterly, half-yearly or annually.
                     Payments can be deposited directly into your bank, building society or credit union
                     account. All investment earnings are automatically added to your account balance.
                     The level of income that you select must fall within certain minimum and maximum
                     limits, which are set by the government. The limits depend on your age and your account
                     balance in the Allocated Pension.
                     We suggest that you discuss income payments with your planner, who will take into
                     account your household budget, social security entitlements, income tax and all other
                     aspects of your plan.


                     BENEFITS
                     Allocated Pensions have many benefits for retirees:
                        you receive a regular tax-effective income;
                        you may receive social security concessions;
                        you select the level of income you require (within prescribed limits);
                        you can change the income level each year (within the prescribed limits);
ALLOCATED PENSIONS
                        you have the certainty of knowing your account balance at any time;
                        generally you can access your capital at any time;
                        you choose whether your allocated pension is adjusted in line with inflation;
                        your account balance may be passed on to your beneficiaries if you die (unlike some
                         immediate annuities).
                     A major advantage of Allocated Pensions is that they offer you a broad choice of
                     investment strategies. Typically, you can diversify your investment in an Allocated
                     Pension over a wide selection of asset classes, including cash, fixed interest, property
                     Australian shares and international shares.

                     WHAT IF YOU DON’T HAVE SUPERANNUATION?
                     As Allocated Pensions can only be purchased using proceeds from a superannuation fund.
                     Those without a superannuation fund may consider purchasing an annuity. An annuity
                     provides you with regular income payments. These differ from Allocated Pensions
                     particularly for investment choice and how income and earnings of your investment are
                     taxed.

                     Your financial planner can provide you with further information on Allocated Pensions,
                     annuities and other retirement options.

				
DOCUMENT INFO
Shared By:
Categories:
Tags:
Stats:
views:6
posted:2/15/2012
language:
pages:2