Superannuation and planning for retirement Retirement is something you deserve after years of hard work. But it doesn’t happen all at once, so it is worth considering what you might do and how it might affect those around you. Your finances are an important consideration, particularly your superannuation. You need to consider how much you’ll need in retirement and your options for making the most of it. Planning Phases If you've had more than one job in your life, chances are you have a few super accounts - you may have even lost track of some of them! Consolidating your super is about finding all your super monies and moving them into one account - so you can get clear view of your super and really start to make your money work for your retirement. The build-up to Retirement Consider how much retirement income you’re going to need, taking into account what you plan to do and your current savings. It is critical to consider this as early as possible because your younger years present you with the best opportunity to adjust your savings, even though it seems like there are plenty of distractions along the way. Transitioning to retirement There’s no reason to stop working if you’re not ready, and you don’t need to be fully retired to access your super. If you’re over 55 and have some super already, the ‘Transition to Retirement’ rules could help you boost your super savings significantly without cutting back on your lifestyle. It could even allow you to reduce your hours at work and supplement your reduced salary with payments from your super. Full Retirement There are many things to consider when preparing to retire, such as how to make your money last and whether it’s worthwhile easing out of work gradually with a part-time or flexible working arrangement. You will also need to plan how you take your superannuation payout so that you make the most of it. It can make all the difference to your lifestyle in retirement and your ability to receive a pension.  You can stay in your super as long as you like but when you decide to draw down on it you will have options. You will either be able to draw a lump sum, convert to a pension (income stream) or a use a combination of both. Even if you are not retired, you are able to transfer some, or all, of your super into certain types of income streams on reaching your preservation age. You may be able to supplement your reduced employment income by beginning to draw down on your super. Want to know more about maximising your superannuation and retirement benefits? Please contact one of the Morse Financial Services team for an obligation free chat. Written by Ron McCumstie Ron McCumstie is a representative of Morse Financial Services Pty Ltd, AFSL No. 240689, ABN 61 003 485 742. The information contained herein is general in nature and not personal advice. It is based on our understanding of the current taxation and superannuation laws and is current as at 1 July 2009.