When you get to a certain age you realise that, as the proverb says, the devil is almost always in the detail. This is particularly true when it comes to understanding the many rules of superannuation. And how they are applied at the different ages, stages and turning points of your retirement journey. It’s a bit like a game of snakes and ladders, there can be steady progress up, but sharps slides back down if you are unaware of the way super works.
If you are a homeowner, you have many different ways to use your family home to help fund your retirement. The first major fork in the road is the decision whether you will ultimately stay in your current home or go. There is a lot riding on this decision as it shapes the ways in which you can use your equity, which in most cases is the largest source of wealth in retirement.
At retirement retirees who are also of Preservation Age are able to use some of their superannuation to purchase a lifetime income stream. (You may also use private savings to purchase a lifetime income stream, but this can be treated differently by Centrelink). You will then receive a regular payment for your entire life, regardless of how long you live. This can be a great option for those who are in good health and whose family tends to live a long time.