Preservation rules exist to protect your super.
To ensure super savings are used for retirement and other permitted purposes, special rules apply to limit access to super. These are called preservation rules. A super benefit will consist of one or more of the following preservation components:
- preserved amount
- restricted non-preserved amount
- unrestricted non-preserved amount.
Preserved amounts
Preserved amounts can be paid if a member meets one of the conditions of release which include:
- permanent retirement from the workforce on reaching their preservation age (this does not apply to temporary residents). Preservation age is determined according to their date of birth as shown in the following table:
| Date of birth | Preservation age |
| Before 1 July 1960 | 55 |
|---|---|
| 1 July 1960 – 30 June 1961 | 56 |
| 1 July 1961 – 30 June 1962 | 57 |
| 1 July 1962 – 30 June 1963 | 58 |
| 1 July 1963 – 30 June 1964 | 59 |
| After 30 June 1964 | 60 |
- termination of employment between the ages 60 to 64 (this does not require the member to permanently retire) (this does not apply to temporary residents)
- permanent incapacity, where we are reasonably satisfied that the member is unlikely because of ill health to engage in gainful employment for which they are reasonably qualified by education, training or experience
- reaching age 65 (this does not apply to temporary residents)
- termination of employment and account balance falls below $200 (this does not apply to temporary residents)
- permanent departure from Australia, if the member is a temporary resident and their visa has expired (or been cancelled)
- severe financial hardship, if the member receives certain Commonwealth income support payments for a cumulative period of 39 weeks after reaching their preservation age and they meet other requirements relating to their employment status, or certain Commonwealth income support payments for a continuous period of at least 26 weeks if under their preservation age and if they are unable to meet reasonable and immediate family living expenses (this does not apply to temporary residents)
- compassionate grounds (as approved by APRA)
- death.
Subject to some exceptions preserved amounts can also be rolled-over into another complying super fund, retirement savings account, deferred annuity or approved deposit fund at any time.
Restricted non-preserved amounts
Restricted non-preserved benefits are benefits which, although not preserved, cannot be accessed until the member meets a condition of release including (for these purposes), terminating employment from their current employer.
Restricted non-preserved amounts must remain with Health Super until:
- the member meets one of the conditions of release for preserved amounts
- the member is no longer employed with the registered employer that made the contributions into their account (regardless of the member’s age).
Unrestricted non-preserved amounts
Unrestricted non-preserved benefits may be accessed at any time. For example, where the member has previously satisfied a condition of release and decided not to access their money in their super fund or the monies were contributed prior to 1 July 1999 when stricter preservation rules were introduced.
