Why 60 is a turning point for your super and retirement plans

17 March 2026

Turning 60 is more than a birthday milestone. It’s also the age when your superannuation starts to work differently.

That’s because several super and tax rules change once you reach 60. These changes can make it easier to access your super, reduce or remove the tax you pay, and give you more flexibility in how you use your retirement savings.

Whether you’re planning to retire soon or continue working, turning 60 can open up new options for managing your super and your retirement income.

Here’s why it can be a good time to review your choices.

Flexibility around your super

Turning 60 means you have reached your preservation age, which means you may be able to start accessing your super, provided you meet a condition of release – these are explained further in our accessing your super info sheet and on the Australian Taxation Office website.

Between the ages of 60 and 64, you can generally start accessing some, or all, of your super if you have permanently retired.

Generally, you can also start accessing a portion of your super if you have left a job at 60 or older but have not permanently retired. You can access any super earned up to that point, and any further super earned in a new job will be preserved until a further condition of release is met.

You can choose how to access your super

When you access your super (having met a condition of release), there are three ways you can choose to receive it.

• A retirement income stream, such as a Brighter Super Pension account.
• A combination of a lump sum and a retirement income stream.
• A lump sum.

This flexibility allows you to tailor your super to suit your lifestyle, income needs and retirement plans.

We recommend you consider seeking financial advice to help you choose the option that best suits your personal circumstances. Find out more about Brighter Super’s advice services and how to book an appointment.

Tax-free withdrawals after 60

One of the main benefits of turning 60 is how your super is taxed.

Once you’ve met a condition of release (see accessing your super), retirement income stream payments and withdrawals from your super are generally tax free.

Because you don’t pay tax on the income stream payments and withdrawals, the amount you receive goes straight to you. This can make a real difference to your cash flow, especially if you’re working less or covering larger expenses as you approach retirement.

Tax-free earnings in retirement

If you fully retire after age 60 and move your super into a retirement income stream (such as Brighter Super’s Pension account), the investment earnings within that account are generally tax free.

This includes interest, dividends and capital gains earned on your investments, regardless of how often you take payments or how much income you receive.

Because earnings aren’t taxed in a Pension account, more of your money stays invested and working for you. Over time, this can help your savings last longer and provide a more comfortable retirement income.

Easing into retirement on your terms

Turning 60 doesn’t mean you have to stop working.

If you want to keep working while gradually accessing your super, you may be eligible to open a Transition to Retirement (TTR) Pension account once you reach 60.

A TTR Pension account allows you to receive a income from your super while you continue working. Depending on your personal situation, here are three ways that you can use this type of account:

• Top up your income as you work less or take a lower paid position leading up to retirement.
• Continue working full-time and receive money from your super as additional income.
• Potentially reduce your tax bill and boost your super in the lead up to retirement by combining a Transition to Retirement Pension account with making salary sacrificed contributions to your Accumulation account.

A Brighter Super TTR Pension account works in much the same way as a Pension account, but only the income payments are tax free, the investment earnings are not. You are unable to make lump sum withdrawals and there are limits on how much you can take out each year.

For your investment and payment options, you can choose between two approaches.

• Retire Easy Pension (for TTR Pension accounts) – pre-selected investment and pension payment settings that automatically update over time.
• Flexible investment and payment options – choose your own investment options and decide how often you receive your pension payments.

When you turn 65, your TTR Pension account will automatically be converted to a Pension account, and an additional Retirement Reward payment will be credited to your account.

Find out more about Brighter Super’s Retirement Reward.

Before opening a TTR Pension account, it’s important to consider whether it suits your personal situation. You should also think about how it may affect your tax position and any Centrelink entitlements. We recommend seeking financial advice before making a decision.

Turning your home into retirement savings

Downsizer contributions can be another valuable opportunity as you approach or enter your 60s.

Eligible homeowners can contribute up to $300,000 from the sale of their home into their super. Couples may be able to contribute up to $600,000 combined.

The eligibility age for downsizer contributions was reduced to 55 in 2023. This change has given more Australians the chance to boost their super later in life, even if they’ve reached their contribution caps.

Your downsizer contribution won't immediately affect your total super balance – until your total super balance is recalculated to include all your contributions, including your downsizer contributions, on 30 June at the end of the financial year.

The downsizer contribution will also count towards your transfer balance cap, which is currently set at $2 million (2025/26). This cap applies when you move your super savings into retirement phase.

There are eligibility rules and conditions that apply, including how long you’ve owned your home and timing requirements after the sale. Find out more on the Australian Taxation Office website.

Putting the rules to work for you

Turning 60 can be a turning point for your super. The changes to access rules and tax treatment that apply from this age are designed to give you more flexibility and control as you plan for retirement.

Understanding how these rules work can help you make better decisions about when to access your super and how to structure your income. This can also help your retirement savings last longer.

Before making changes to your super, it’s important to get the right advice and support. Brighter Super is here to help you understand your options and make informed decisions.

Retirement Health Check

A good place to start is our Retirement Health Check, a 30-45 minute phone or online appointment with a Brighter Super financial adviser.

During the appointment, you’ll explore how much you may need to retire comfortably, when you could afford to retire, and whether you’re likely to meet your retirement goals. You’ll also learn practical ways to boost your super if needed and understand how the Age Pension may fit into your retirement income.

There is no additional cost for a Retirement Health Check, and it provides a tailored retirement projection based on your personal circumstances. This service is included as part of your administration fee.

Get personal advice when you need it

If you’d like more detailed guidance based on your personal circumstances and future goals, you may wish to seek financial advice.

Brighter Super’s team of financial advisers can help you understand your options and make informed decisions about your super and retirement plans.

Find out more about Brighter Super’s advice services and how to book an appointment.