The age at which you retire will depend upon several factors. There’s personal preference, the specifics of your career and, of course, your financial situation. The main factor when trying to access your superannuation is your age at the time of retirement. Specifically, your exact date of birth will dictate when your super becomes available to you. There are some situations in which you may access super early, but can you access your super and retire at 55? Karidis Retirement Villages answers this and more below.
When Can I Access My Super?
You can access your superannuation at 55 if you have reached your preservation age. Your preservation age is determined by your date of birth:
Born before 1 July 1960: Your preservation age is 55
1 July 1960 – 30 June 1961: Your preservation age is 56
1 July 1961 – 30 June 1962: Your preservation age is 57
1 July 1962 – 30 June 1963: Your preservation age is 58
1 July 1963 – 30 June 1964: Your preservation age is 59
Born after 1 July 1964: Your preservation age is 60
As the preservation age is dictated by the exact date on which you were born, this may be favourable news to those looking to retire early. You’ll need to meet the ATO’s “condition of release” to access your super. This means you may have limited options available if you want to do this at the age of 55, especially while you are still working.
If you are a member of a defined benefit fund, you might be able to access a pension from 55 regardless of when you were born. A defined benefit super fund, as opposed to an accumulation fund, is one not at the mercy of the markets and the risk is typically taken on by your employer or the fund itself. Defined benefit super funds are less common than accumulation funds.
Over 55 Living and Over 55 Communities
All circumstances are unique according to various factors, including but not limited to those we explored above. Therefore, it’s best to get in touch with your superannuation fund, Services Australia’s Financial Information Service, or our sales team who can help you discover your options.
Good over 55 communities such as ours provide further assistance with financial matters. At Karidis, our Retire Assist programme provides tailored financial solutions in the form of deferred management fees, move-in assistance, facilitating an agent to help sell your home, payment on a move-in early, settle later basis, and of course, affordable housing for over 55 living.
To learn about retirement financial support options available to you, call Karidis over 50s lifestyle villages in Adelaide on 1300 796 311.