Your preservation age is the age you can access your super if you are retired (or start a transition to retirement income stream). If you were born before 1 July 1960 you have already reached your preservation age of 55 years.
Preservation age is between the age of 55–60, depending on when you were born.
As you can see, being born in 1968 means your preservation age is 60.
It's all about your age. If you were born before 1 July 1960 you can get access to your super when you turn 55. If you were born later the age varies between 55 and 60. People aged 65 or over can access super and work as well.
Once you've reached your preservation age and you retire from the workforce, you can access your super. However, if you access your super prior to turning 60, you may have to pay tax on any payments you receive, regardless of the type of payment you get (i.e. lump sum or super pension).
When you withdraw your super benefits as a lump sum after your preservation age but before you reach age 60, you can take a set amount of your benefit tax free. This amount is indexed each year and is called the low-rate threshold or cap.
If you want full access to your super balance when you reach 60, you will need to fulfill one more condition; an employment arrangement coming to an end. You can then access the money as an account-based pension income stream, a lump sum withdrawal, or a combination of both.
Retirement rules for accessing super
Under 60: you must have finished working and have no intention of working again. 60-64: when you leave or stop working for an employer. 65: you can access all your super, even if you're still working.
You can withdraw your super: when you turn 65 (even if you haven't retired) when you reach preservation age and retire, or. under the transition to retirement rules, while continuing to work.
The ASFA Retirement Standard Explainer says a comfortable retirement lifestyle would need $640,000 in super for a couple, or $545,000 for a single person.
Age Pension age
66 years and 6 months, if you were born between 1 July 1955 and 31 December 1956. 67 years, if you were born on or after 1 January 1957.
You can access your superannuation at 55 if you have reached your superannuation preservation age. You will have limited access to your savings if you are still working, but may have full access to your super in the form of an income stream or lump sum if you have permanently retired.
Retiring is one of the ways you can access your super after you reach your preservation age. If you retire after the age of 60, your super payments are tax free. However, if you retire before the age of 60, there are tax implications even if you've reached your preservation age.
Latest Age Pension changes (from 20 March 2023)
Single: $1,064.00 per fortnight (approximately $27,664 per year) Couple (each): $802.00 per fortnight (approximately $20,852 per year)