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About this schedule

Last updated 20 June 2021

Using this schedule

This schedule applies to payments made from 1 July 2021.

You should use this schedule if you make a payment of a super income stream, including:

  • account-based super income streams – including death benefit income streams
  • capped defined benefit income streams – including death benefit income streams
  • transition to retirement income streams
  • temporary or permanent disability super income streams.

Super income streams

A super income stream is a series of regular payments from a superannuation provider when the payee has satisfied a condition of release. These regular payments can be paid weekly, fortnightly, monthly, quarterly or annually.

A super income stream may be:

  • an account-based super income stream
  • a capped defined benefit income stream which includes a  
    • lifetime pension, regardless of when it started
    • lifetime annuity that existed prior to 1 July 2017
    • life expectancy pension or annuity that existed prior to 1 July 2017
    • market-linked pension or annuity, that existed prior to 1 July 2017
    • a reversionary death benefit income stream.

Note: a commutation of an income stream is not a super income stream payment. It is a super lump sum.

Defined benefit income cap

The general defined benefit income cap for the 2021-22 income year is $106,250. The defined benefit income cap may be reduced depending on the payee's circumstances.

See also:

Components of a super income stream

Before you can work out the withholding amount, you must calculate the components of the super income stream.

A super income stream may have two components:

  • taxable component, which can include either or both of an  
    • element taxed in the fund (taxed element)
    • element untaxed in the fund (untaxed element).
  • tax-free component.

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