The drawdown relief for account-based superannuation pensions will be extended for the 2010-2011 financial year.
The drawdown relief allows account-based, allocated and market-linked pensions to have a 50 per cent reduction in the minimum drawdown amounts.
The relief, which has been in place for two years, will help self-funded retirees recoup capital losses on their pension portfolios and will also mean a reduction in the need to sell assets at a loss in order to meet the minimum payment requirement.
Minimum payments must be paid at least annually from a superannuation account-based pension. Minimum payments are determined by age and the value of the account balance as at 1 July each year.
For more information on self managed superannuation (SMSF) services, contact us
Comment