The minimum pension requirement is satisfied, if the total pension payments received by the individual during the 2023–24 financial year equals or exceeds a calculated minimum based upon a percentage of the pension balance at 1 July 2023, where the percentage is related to the attained age of the individual as at 1 July 2023.

The percentage factors are listed below:

Example

If your pension account balance was $200,000 as at 1 July 2023 and your attained age was then 76, the specified percentage is 6 per cent. Consequently, in respect of the 2023–24 financial year, you must receive at least $12,000 in pension payments. It does not matter whether there is only one payment or many payments; it does not matter whether the payments are fortnightly, monthly or quarterly, every 6 months or only once a year. It does not matter even if there is only one payment made on 25 June 2024.

What matters is that in respect of the 2023–24 financial year, at least $12,000 has been taken as a pension.

What to do? Check that sufficient pensions have been or will be made by 30 June 2024. If not make additional pension payments to satisfy the minimum pension requirement.