Pension Commutation Tax Calculator

Calculate tax implications when commuting a pension.

Pension Commutation Tax Calculator

ITAA 1997 s 307-65, TR 2013/5 Standards

Pension Account Balance

Tax-Free Component

Taxable Component

Commutation Type

Commutation Amount

Member's Age

Over Preservation Age?

* Calculations based on ITAA 1997 s 307-65 and TR 2013/5. Results are for illustrative purposes.

* Tax rate assumed: 15% for pension phase, 32% for accumulation phase (marginal rate).

* Full commutation ceases the pension. Partial commutation keeps the pension active.

Understanding Pension Commutation

What is Pension Commutation?

Pension commutation is the process of converting all or part of your pension back into a lump sum. This may be done for various reasons including financial needs or restructuring your retirement income.

Important: This calculator is for illustrative purposes only and does not constitute legal or financial advice. For professional advice regarding your specific circumstances, please consult with a qualified SMSF adviser or accountant.