As we race towards the finish line for the 2022 financial year, it is a good time to check on the pension withdrawals you’ve made for the year.

Whilst many people will have already met their minimum pension payments, now is the time to check, because the consequences of failing to meet your minimum amount are significant.

If you wish to retain the exemption from tax on the income earned on your pension balance, please ensure that you have withdrawn at least your minimum pension amount from the superannuation fund’s bank account by 30 June 2022. We suggest you allow sufficient time for the funds to be transferred and cleared.

We also remind you that the Government announced a 50% reduction in the required minimum pension drawdowns, for the year ended 30 June 2022.

In addition, if you have commenced a new pension since 1 July 2021 (e.g. from contributions made during the year) you will also need to pay a minimum amount on that pension as well.

Should you have any queries or require any assistance, please do not hesitate to contact Leanne Peacock or your trusted Hall Chadwick advisor.