Can I spend my super and still get a pension?

Yes, it is possible to access your superannuation (super) and still be eligible for the Age Pension in Australia. The Australian government allows individuals to access their super once they meet the eligibility criteria, which generally include reaching the preservation age (between 55 and 60, depending on your date of birth) and retiring from the workforce.

However, it’s important to note that accessing your superannuation may impact your eligibility for the Age Pension and the rate at which you receive it. The superannuation you withdraw will be assessed as part of the assets test and potentially the income test for the Age Pension.

Assets Test: The value of your superannuation, as well as any other assets you own, is considered in the assets test. Depending on the value of your assets, including your super, it can affect your eligibility and the rate at which you receive the Age Pension. The higher the value of your assets, the lower your Age Pension entitlement may be.

Income Test: If you choose to invest your superannuation and generate income from those investments, that income will be assessed as part of the income test for the Age Pension. The income you receive from your superannuation investments can affect your eligibility and the rate at which you receive the Age Pension. Higher income from your superannuation investments may result in a lower Age Pension payment.

It’s important to note that the impact on your Age Pension will depend on your individual circumstances, including the value of your superannuation, other assets you may have, and any income generated from investments. The specific rules and thresholds for the assets test and income test can change, so it’s recommended to visit the official Services Australia website or contact Centrelink directly for the most up-to-date and accurate information.

Additionally, seeking advice from a financial advisor or retirement specialist can help you make informed decisions about accessing your superannuation and its potential impact on your Age Pension entitlement.