What are minimum annual pension payments?
Account based pensions require a minimum amount to be paid out each financial year.
We calculate the minimum annual payment based on your client’s account balance as of 1 July each year.
If your client’s cash balance isn’t enough
If your client doesn’t have enough cash in their Cash Hub to meet the minimum pension payments for FY25/26, you’ll need to arrange a sell down of some assets to top up their available cash before their next pension payment.
You’ll need to do this before Wednesday 3 June 2026 - if not, we’ll have to sell down assets to top up your client’s available cash from this date. You can refer to the Transacting section of our Product Disclosure Statement (PDS) for more information.
Pension payments above the minimum requirement
As long as your client has enough cash in their Cash Hub, we’ll pay the pension amount they’ve requested.
If there isn’t enough money in their Cash Hub to pay that amount, we’ll manually adjust it to the minimum payment that’s still required for the year.
Future pension payments in the new financial year will be calculated based on the most recently selected pension payment amount and payment frequency from the previous financial year, with adjustments for any indexation or fixed rate increases your client has requested. If your client made changes to their selected pension amount throughout the year, please review the latest pension details.
Please review the newly calculated amount straight after our recalculation period. This ensures it meets your client’s expectations and helps avoid the need for an ad hoc payment request after your client receives their first pension payment in the new financial year.
Need help?
For more information, please view Change pension payments in Help Centre.