Current as of 17 Feb 2026. Always verify current year rates.
How are super withdrawals taxed after preservation age?
Short answer:
Preservation age affects when you can access super, and tax depends on your age, the payment type (lump sum or income stream), and whether components are taxable or tax‑free. Many people pay less tax once they reach 60, but it’s not identical for everyone. Use the ATO guidance on accessing super to retire and the tax-on-benefits page for current treatment and examples.
Key takeaways
Preservation age depends on your birth year
Tax depends on age, payment type and components
After 60, many benefits from taxed funds are often tax‑free, but check exceptions
Income stream tax offsets can apply in some cases
Use ATO guidance and tables for current rules
Why this matters
Timing and tax can affect how much you have available to spend. Understanding the basics helps you choose between a lump sum, an income stream, or a mix—without guesswork.
Mini-plan (3-4 steps)
- Confirm your preservation age and whether you’ve met a condition of release.
- Decide whether you’re considering a lump sum, income stream, or both.
- Check the ATO pages for typical tax treatment for your age bracket.
- For larger decisions, consider licensed advice or tax help first.
Related questions
Sources (so you can verify)
- ATO - /individuals-and-families/jobs-and-employment-types/working-as-an-employee/leaving-the-workforce/accessing-your-super-to-retire
- ATO - /individuals-and-families/super-for-individuals-and-families/super/withdrawing-and-using-your-super/early-access-to-super/tax-on-super-benefits
- ATO - /tax-rates-and-codes/key-superannuation-rates-and-thresholds/super-income-stream-tax-tables
Disclaimer: Information provided is general in nature and does not constitute personal financial advice. You should consider seeking advice from a licensed financial planner before making any financial decisions.
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