Commonwealth Superannuation Corporation retirement income (CSCri) is an account-based retirement product.
It is designed to compliment your existing CSS benefit by allowing you to keep some or all of your super invested, while also receiving regular retirement income payments.
CSCri gives you additional flexibility and control over your retirement finances. With a CSCri account you:
- decide how much and how often income payments are made
- have access to lump sum withdrawals at any time (for standard retirement income stream)
- have greater control over how your money is invested
- stay invested in the security of the Government superannuation environment
CSCri is a great option if you have supplementary super monies you want to invest (such as proceeds from a property sale), but do not want to it lock away.
CSCri enables you to enjoy both the benefits of your CSS pension, while giving you the freedom to choose investment options and access lump sums if and when needed.
Retirement income stream options
CSCri offers two retirement income streams options:
Standard retirement income stream
Standard retirement income stream allows you to invest all or some of your retirement savings in one or more of the four investment options. This means your super continues to work for you, while you receive a regular tax-effective income.
With a standard retirement income stream:
- your income stream payments are tax-free from age 60
- investment earnings are tax free
- you can choose when you receive your income stream payments
- you can access to lump sums if and when you need them
The standard retirement income stream is available when you have met a condition of release, such as having reached your preservation age and have permanently retired from the workforce, have reached 65 years of age, or have changed employment on or after 65.
Transition to retirement income stream
Transition to retirement income stream enables you to receive a regular income stream from your CSCri account while continuing to have contributions paid into your current super account.
This gives you greater control over how and when you retire, or the option to “top up” your super benefit prior to permanently retiring from work.
There are three transition to retirement strategies supported by CSCri:
- Boost your final super benefit
If you continue to work full time after your preservation age, you can salary sacrifice extra contributions into your super savings and supplement your take-home income with retirement income payments. This grows your total super benefit without reducing your take-home income. It can also save on tax.
- Reduce your work hours not income
If you want to gradually reduce your work hours and ease into retirement, you can use your CSCri account to supplement your reduced income after you move from full-time to part time employment. This means you can work less, but maintain your current lifestyle.
- Increase your take-home income
This strategy can increase your income level before retirement. By using regular income from your CSCri account, you can supplement your current employment income, giving you more options for managing your financial assets.
Transition to retirement income is available if you have reached your preservation age but are under 65 years of age and are still working.
Get started with CSCri
To learn more about joining CSCri or to download the CSCri Product Disclosure Statement (PDS), visit the CSCri website.
Note: You should always get professional advice from and experienced financial planner to help you meet your income needs in retirement and to determine if CSCri is right for you.
Your super trustee, Commonwealth Superannuation Corporation (CSC), has partnered with experienced financial planners from Industry Fund Services to bring a personal financial advice service to you. If you wish to know more about this personal advice service, please visit Financial advice.