Withdrawals

Your super balance is made up of two components - the taxable component and the tax-free component. As their names suggest, the taxable component attracts tax, while the tax-free component doesn't. The amount of tax applied to the taxable component of your payment depends on your age.

Tax payable

Component of super benefit

Below Preservation Age

Preservation Age to 59

Age 60 and over

Tax-free

Your after-tax (non-concessional) contributions

Nil

Taxable

Your before-tax (concessional) contributions and investment returns

20% + Medicare Levy

No tax up to $195,000*

15% + Medicare Levy on the remaining balance

 Nil

 *Applicable for the 2016-17 financial year and indexed annually.

If you are aged 60 years or over you can access your superannuation entirely tax-free.

If you have reached your preservation age but are still under 60, you can access the taxable component of your super tax-free up to the low-rate threshold, currently $195,000. Tax at 15% (plus Medicare Levy) applies to amounts above the low rate threshold.

If you are under your preservation age but are eligible to access your super by meeting a condition of release, you will be taxed at 20% (plus Medicare Levy) on any lump sum withdrawn.

Higher tax rates may apply if you haven’t provided your TFN to Media Super.

We will deduct the appropriate amount of tax from the payment you receive and pay it to the Australian Taxation Office (ATO).

Different tax rates apply to income from a Media Super pension. Read our Retirement section for details.