Get a regular income in retirement

If you’ve decided it’s time to leave work behind and retire full-time, an allocated pension account could be right for you.

Use your super to open a Mercer SmartRetirement Income allocated pension account and receive a regular income. Meanwhile, your balance remains invested to keep growing over time, so you can move into retirement with confidence.


Why start an allocated pension?


Top up your take-home pay

Payment flexibility

You decide how much and how often you get paid, directly into your bank account.

Save on tax

Tax free

If you’re over 60, income payments and investment earnings are tax free.

Keep growing your super

Keep growing your savings

Choose how your money is invested and take advantage of potential returns in a tax effective environment.

Smart Bundle, your hassle-free start to retirement

Set up your Mercer SmartRetirement Income account the easy way, with preselected pension payment and investment strategies that are fine-tuned as you age. Smart Bundle is a quick and easy solution for members who want to know their retirement is in good hands. You can apply online using our digital form.

Learn more about Smart Bundle

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Flexible income payments

Couple sitting on couch

Once you set up your account, you can choose how often you receive payments – annually, half-yearly, quarterly, monthly or twice per month – whatever works for you. You can also choose how much you get paid, though the government requires you to withdraw a minimum amount each year. This is based on your account balance and age at 1 July each year.

  • Minimum drawdown rates


    Age Drawdown rate
    Under 65
    65 to 74 5%
    75 to 79 6%
    80 to 84 7%
    85 to 89 9%
    90 to 94 11%
    95 and over 14%

When can I access my super?

If you were born on or before 30 June 1964, you’ve already reached preservation age. That means you can start accessing your super now.

If you were born after 30 June 1964, your preservation age is 60.

If you’re 65 or over, or already retired from the workforce, you can start an allocated pension account and access your super.


Couple looking at computer

Am I eligible for the Age Pension?

Woman at beach

An allocated pension and the government Age Pension can be used together to provide an income in retirement. To receive the Age Pension, you must be 67 years old and an Australian resident (generally for at least 10 years). Income and assets tests also apply, and your allocated pension counts toward both tests.

Chat to a financial adviser or visit the MyGov website for more information. 

Allocated pension in a nutshell

  • How do I open an allocated pension account?  
    You can transfer some or all of your super to a Mercer SmartRetirement Income allocated pension account.
  • What is the minimum amount needed to open a pension account?  
    You need to invest at least $10,000 to start a Mercer SmartRetirement Income allocated pension account. You cannot contribute more funds to the account once it is open.
  • Is there a maximum amount I can invest in an allocated pension?  
    A transfer balance cap applies to the amount you can invest in pension accounts. Any amount over the cap will attract taxes and must be withdrawn from your account.

  • Where can I find the Product Disclosure Documents?
    You can find the PDS on our Disclosure Documents page under SmartRetirement Income.
  • How often will I receive pension payments?
    You can choose to receive your payments annually, half-yearly, quarterly, monthly or twice per month.
  • How does tax apply to my income and investment earnings?
    Your investment earnings are tax free and and you don't pay any tax on pension payments from age 60. 
  • Will there be any impact on the Age Pension?
    Your allocated pension counts toward the income and assets tests. This may affect how much you receive from the Age Pension, or if you’re even eligible.   

The right advice can help you make the right choice

No matter where you’re at in life, the right advice at the right time can help you take charge of your super and retire with confidence. With Mercer Super, accessible advice is always within easy reach. Request a callback.


Not for you?

Tools and calcuators

Are you under 60 and want to cut back your work hours?

A Transition to Retirement account might be a better fit.

Learn more

Woman at beach

Are you still working and wondering how to grow your super balance?

There are still opportunities for you to grow your balance and get the most out of your super. 

Learn more

Need more help? We’ve got you covered.

Have questions about Mercer Super or need more information about becoming a member? We’d love to hear from you.

Member Online Support

Member Online support

Log in to your account for more information or to submit an online enquiry.

Contact Our Helpline

Contact our helpline

Visit the member support page or call 1800 682 525, Monday to Friday, 8am-7pm (AEST/ AEDT).


Disclaimer: Issued by Mercer Superannuation (Australia) Limited ABN 79 004 717 533, Australian Financial Services Licence #235906, the trustee of the Mercer Super Trust ABN 19 905 422 981 (‘Mercer Super’). Any advice is of a general nature only, and does not take into account the personal needs and circumstances of any particular individual. Prior to acting on any information, you need to take into account your own financial circumstances. Please consider the Product Disclosure Statement, Product Guide, Insurance Guide, Financial Services Guide and Target Market Determination (TMD) before making a decision about the product, or seek professional advice from a licensed, or appropriately authorised financial adviser if you are unsure of what action to take.

IMPORTANT: Please note that any information in this material regarding legal, accounting or tax outcomes does not constitute legal advice or an accounting or tax opinion and prior to relying and acting on this information it is important that you seek independent advice from a qualified lawyer or accountant regarding this information.

The material contained in this document is based on information received in good faith from sources within the market and on our understanding of legislation and government press releases at the date of publication which we believe to be reliable and accurate. Neither Mercer nor any of its related parties accepts any responsibility for any inaccuracy.