The changes enable individuals to exit a specified range of legacy retirement products for up to five years. The product can be held with any superannuation provider (APRA-regulated super fund or an SMSF).

A member can only exit an eligible legacy retirement product (subject to a fund’s trust deed) if:

• It generally commenced before 20 September 2007 or because of a conversion of an earlier legacy product that commenced before that date.

• It is a superannuation income stream product that is a:

• Lifetime pension or annuity (except if paid from a large APRA-regulated super fund that is a defined benefit fund).

• Life expectancy pension or annuity.

• Market-linked pension or annuity.

The changes also impact the treatment of allocations from reserves for the purpose of contribution caps.

See Legacy retirement product commutations and reserves for more information.