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Reduced pension minimums

In response to COVID-19, the Federal Government has temporarily reduced the minimum Pension payment requirements by 50%. This reduction applies for the 2019/2020 and 2020/2021 financial years.

This measure is designed to help retirees by reducing their need to sell investments to meet minimum drawdown requirements when the market may be under pressure.

Age Previous Rate Temporary New Rate
Under 65 4% 2%
65 to 74 5% 2.5%
75 to 79 6% 3%
80 to 84 7% 3.5%
85 to 89 9% 4.5%
90 to 94 11% 5.5%
95 and over 14% 7%