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Enjoy the rewards
of retiring with us

Introducing MLC's Pension Bonus

Enjoy a one-off bonus to your retirement savings when you transfer your MLC MasterKey super1 to MLC MasterKey Pension Fundamentals to start a retirement pension.

Paid automatically

You don't need to apply — if you're eligible, it'll be paid automatically into your new retirement pension in MLC MasterKey Pension Fundamentals

Tax-free

There'll be no tax payable on the Pension Bonus credited to your account

Calculated individually

Calculated as a percentage of your starting retirement pension balance in MLC MasterKey Pension Fundamentals

How does it work?

The Pension Bonus represents a tax saving that’s passed on to eligible members shortly after you move your MLC MasterKey super into a new MLC MasterKey Pension Fundamentals account to start your retirement pension from 21 February 2022.

The amount of the Pension Bonus depends on the MLC Super Fund’s tax position at the date the Pension Bonus is processed, and the amount you transfer into your MLC MasterKey Pension Fundamentals account to start your retirement pension.

See if you’re eligible

Ticking the boxes for the Pension Bonus is easy. You may be eligible if:

  • You’ve satisfied an eligible condition of release to access your super,
  • You’ve had your super (including transition to retirement pension) with MLC MasterKey for six months or more,
  • From 21 February 2022, you open an MLC MasterKey Pension Fundamentals account to start your first retirement pension by transferring some or all of your MLC MasterKey super into it,
  • You haven’t previously started a retirement pension with us,
  • You haven't previously received the Pension Bonus, and
  • The rate set for the Pension Bonus is more than zero.

How much can you expect to receive?

The Pension Bonus payment is calculated individually and can vary depending on your starting retirement pension balance in MLC MasterKey Pension Fundamentals and the MLC Pension Bonus rate at the time your bonus payment is processed. That being said, there is no cap on the bonus payment you could receive. The latest available Pension Bonus rate can be viewed at our Investment prices & performance page.

Jamie's story below is a good example of how the Pension Bonus can apply, with payments for a range of starting retirement pension balances, subject to meeting the eligibility criteria.

Jamie’s journey

Jamie had

$350,000

in her MLC MasterKey Super Fundamentals account at retirement

She transferred

$325,000

into an MLC MasterKey Pension Fundamentals to start her retirement pension

And received a

$1,625

Pension
Bonus payment

(Example only and assuming a Pension Bonus rate of 0.5% at the time the bonus payment is processed)

MLC MasterKey Pension
Fundamentals retirement
pension starting account
balance

$250,000

$500,000

$750,000

$1,000,000

$1,500,000

Pension
Bonus payment

$1,250

$2,500

$3,750

$5,000

$7,500

(Example only and assuming a Pension Bonus rate of 0.5% at the time the bonus payment is processed)

The Pension Bonus rate is reviewed at least monthly and adjusted as required to reflect the MLC Super Fund’s tax position. To view the latest rate, visit our Investment prices & performance page.

1MLC MasterKey super includes any account (including a transition to retirement pension in the pre-retirement phase) that you may have within MLC MasterKey Super Fundamentals, MLC MasterKey Business Super or MLC MasterKey Personal Super.

I want to receive a Pension Bonus.
What’s my next step?

Check out the MLC MasterKey Pension Fundamentals Product Disclosure Statement (PDS) to see if it’s right for you.

MLC MasterKey Pension Fundamentals is the easy-to-manage pension account that gives you a great opportunity to continue growing your wealth while providing you with an income in retirement.

Frequently asked questions

Before you make any changes to your retirement strategy, we recommend that you speak with a financial adviser.

  • If you establish an MLC MasterKey Pension Fundamentals account and transfer your MLC MasterKey super1 to start your retirement pension from 21 February 2022 you may be eligible for a one-off Pension Bonus.

    When a pension is in the retirement phase, investment earnings are tax exempt to the Fund. If you’re eligible, an amount equal to a portion of the estimated tax saved on assets transferred from pre-retirement phase to retirement phase will be paid into your account as a one-off Pension Bonus shortly after you start your first retirement pension in MLC MasterKey Pension Fundamentals.

    The rate of Pension Bonus is based on the Fund’s tax position at the date the bonus is processed. This rate is determined by the Trustee or its delegate. If you’re eligible, processing will generally be within one month of you starting your first retirement pension in MLC MasterKey Pension Fundamentals.

    1MLC MasterKey super includes any account (including a transition to retirement (TTR) pension in the pre-retirement phase) that you may have within MLC MasterKey Super Fundamentals, MLC MasterKey Business Super or MLC MasterKey Personal Super.

  • An MLC MasterKey super account includes any account (including a transition to retirement (TTR) pension in the pre-retirement phase) that you may have within MLC MasterKey Super Fundamentals, MLC MasterKey Business Super or MLC MasterKey Personal Super.

    The Pension Bonus is not available to members of MLC Wrap or MLC Navigator, or other products offered by Insignia Financial Group.

  • You'll be eligible for the Pension Bonus if:

    • You’ve satisfied an eligible condition of release to access your super,
    • You transfer some or all of your MLC MasterKey super account1 from 21 February 2022, to start your first retirement pension,
    • You’ve invested in an MLC MasterKey super account1 for a continuous period of at least six months before starting your first retirement pension,
    • You haven’t previously started a retirement pension with us,
    • You haven't previously received the Pension Bonus, and
    • The rate set for the Pension Bonus is more than zero.

    1MLC MasterKey super includes any account (including a TTR pension in the pre-retirement phase) that you may have within MLC MasterKey Super Fundamentals, MLC MasterKey Business Super or MLC MasterKey Personal Super.

  • If you’re eligible for the Pension Bonus, it’ll be automatically credited to your account, generally within one month of starting your first retirement pension in MLC MasterKey Pension Fundamentals.

    The Pension Bonus will be allocated according to your initial retirement pension investment allocation unless you have an investment allocation in Term Deposits, Investment Protection investment options or suspended investment options, in which case, any applicable Pension Bonus will be paid into the MLC Cash Fund.

  • The Pension Bonus is calculated as a percentage of your starting retirement pension balance in MLC MasterKey Pension Fundamentals. The Pension Bonus rate (expected to be in the range 0% to 1.0%) is based on the Fund’s tax position at the date the bonus is processed. This rate is determined by the Trustee or its delegate.

    The Pension Bonus rate available for the investment options we offer is generally reviewed on a monthly basis and is adjusted to reflect the Fund’s tax position. The Pension Bonus rate will be the same for all investment options, including the MLC Cash Fund.

  • We reserve the right to claw back the Pension Bonus where you withdraw 50% (or more) of your starting retirement pension balance within the first 12 months, or due to regulatory changes. Withdrawals include income payments, commutations, and rollovers.

    Clawbacks will not apply to Death, Terminal Illness or Total and Permanent Disability (TPD) payments.

  • No, the Pension Bonus won’t count towards your concessional contributions cap.

  • As the Pension Bonus is an earnings adjustment after your retirement pension in MLC MasterKey Pension Fundamentals starts, it won’t count towards your Transfer Balance Cap.

    Your Pension Bonus will only be included in the calculation of your age-based minimum pension payments from the financial year after the Pension Bonus is credited into your retirement pension.

  • Yes, you can but you must meet the eligibility criteria, i.e., you must be invested in the pre-retirement phase for a continuous period of at least six months before starting your first retirement pension.

Important information and disclaimer
This information has been prepared by NULIS Nominees Australia Limited ABN 80 008 515 633 AFSL 236465 (NULIS), as trustee of the MLC Super Fund. NULIS is a member of the Insignia Financial group of companies comprising Insignia Financial Ltd ABN 49 100 103 722 (formerly IOOF Holdings Ltd) and its related bodies corporate. NULIS is the issuer of MLC MasterKey products. This information may constitute general advice. The information contained on this page is general in nature and does not take into account personal objectives, financial situation or needs and because of that you should, before acting on the advice, consider the appropriateness of the advice having regard to your personal objectives, financial situation and needs, plus consider the relevant Product Disclosure Statement. Target Market Determinations (TMDs) for MLC MasterKey products are available free of charge at www.mlc.com.au or by calling 132 652. You should consider obtaining financial advice tailored to your own personal circumstances. Insignia Financial Ltd and NULIS and their related bodies corporate do not accept responsibility for any loss or liability incurred by you in respect of any error, omission or misrepresentation on this page.