With senior citizens living longer than ever, they can live past the retirement funds they’ve saved from their employers. To encourage people to save more money for retirement, the Australian government advises people to put money into superannuation accounts. While these accounts usually cannot be accessed until the owner reaches a certain age, there are some exceptions.
Accessing Superannuation Accounts
Since a superannuation fund is set up to save for your retirement, there are only a few ways to access it. You can starting withdrawing the money when:
When you reach preservation age, you can choose to transition to your retirement. This allows you to access 10% of your superannuation fund at the beginning of each financial year. Under certain conditions, you can access the fund earlier if you need to do so.
Accessing Superannuation Early
While transiting to retirement allows you to access a superannuation account early, there are several other reasons that you can access your superannuation fund. Some of these reasons include:
Total and Permanent Disability
If you sustain severe injuries in an accident or have a medical condition that renders you disabled, then you can may be able to access your superannuation account before the age of 65 or your retirement. If you’ve been become unable to work, you can file a TPD claim, or Total and Permanent Disability, to try to access the funds.
Requirements of TPD Claims
There are some conditions that need to be met for you to receive your superannuation if you’ve become disabled. A person may be able to claim the money if he or she has become disabled and has not been able to work for six continuous months.
However, you must submit a form to make a claim and to find out if you qualify to receive the money early. You must submit a doctor’s report as well and it may help to retain the services of a lawyer to help you gather the information that you need to make a successful claim.
To be classified as totally and permanently disabled, you must show:
If you can prove that you have a total and permanent disability, then you may receive an early release to access your superannuation account.