Guaranteed Income Account

• In exchange for an initial capital investment (minimum $20,000), a Fixed Term Guaranteed Income Account provides regular payments for a fixed term that you select.
• The initial amount of your regular payments is determined when you open your Fixed Term Guaranteed Income Account, and will depend on the initial capital investment, the account options you choose and prevailing interest rates. If you choose an indexation option, the dollar value of your regular payments can change over time.
• A legalsuper Fixed Term Guaranteed Income Account can be tailored to give you a dependable income for your chosen term.

You choose your payment options such as:

• Term;
• Payment frequency;
• How your capital is to be returned.

Then you start receiving your regular payments for your chosen term (1-40 years).

You have the flexibility to choose investment terms from 1 to 40 years. Your regular payments will last for the entire investment term you select unless you decide to withdraw your money early. You can have all your capital repaid to you at the end of your selected investment term, or you can choose to have some or all of your capital repaid to you as part of your regular payments throughout your chosen investment term.

The legalsuper Fixed Term Guaranteed Income Account can guarantee that you will receive regular payments for your chosen investment term, regardless of how investment markets perform. If your chosen investment term is 2 years or more and you decide to have your capital returned to you as part of your regular payments throughout the term, then you can choose to have your payments indexed annually. The indexation is aligned with changes in the Consumer Price Index (CPI) or a fixed whole percentage rate of up to 5%.

legalsuper works hard to keep fees and costs low. Our sole purpose is to maximise our members' retirement savings. We do not pay commission to agents, and are a ‘not for profit’ fund. For more information on legalsuper's Fixed Term Guaranteed Income Account go to Guaranteed Income Accounts - fees and charges.

To discuss legalsuper’s Fixed Term Guaranteed Income Account, please speak to a legalsuper Client Service Manager or your own Financial Adviser.

The initial dollar value of your regular income payments are determined when you purchase your Lifetime Income Account. Your income payments will depend on a number of factors like:

• Your initial capital investment
• Prevailing market rates
• The options you choose (e.g. which indexation option you select) 
• Your life expectancy at the time your purchase the product
• Whether you choose to include your spouse (a reversionary)

If you choose a beneficiary, and that person survives you, the regular payments will continue to be made to the reversionary beneficiary until they pass away.

If you are eligible for the Age Pension, a legalsuper Lifetime Guaranteed Income Account can help increase your Age Pension. Under the current Centrelink Income Test, part of the income from this product is treated as the return of capital (this is called ‘the deduction amount’) and is therefore not assessed. Under the current Asset Test the amount used to purchase the Lifetime Guaranteed Income Account reduces over time. This could mean more Age Pension for you (and your spouse).

A Lifetime Guaranteed Income Account can be tailored to give you a dependable income for life. You select your payment options:

• Amount of indexation;
• Payment frequency;
• Withdrawal period.

Then you start receiving your regular payments for your lifetime (unless you withdraw early).

You can include a withdrawal period for your Lifetime Guarantee Income Account of up to your life expectancy. If your circumstances change or you change your mind, you can withdraw your money within your chosen withdrawal period.

After the withdrawal period ends, your Lifetime Guaranteed Income Account will no longer have a withdrawal value. This means you won't receive a lump sum upon death, and you cannot make any voluntary withdrawals. It is also important to remember that your account is designed to be held for life, so if you cancel your money during the withdrawal period, you may receive an amount less than the initial capital used to purchase the Lifetime Guaranteed Income Account even after taking into account the payments that have been made to you.

For more information about accessing your capital, download the Product Disclosure Statement.

The legalsuper Lifetime Guaranteed Income Account creates a regular income for life (unless you withdraw early), regardless of how long you live or how investment markets perform, giving you greater security and peace of mind in retirement.

If you choose a full or partial indexation option, your Lifetime Guaranteed Income Account can also protect you from inflation, which can erode the purchasing power of your regular payments.

legalsuper works hard to keep fees and costs low. Our sole purpose is to maximise our members' retirement savings. We do not pay commission to agents and are a ‘not for profit’ fund. 

For more information about legalsuper's Lifetime Guaranteed Income Account go to Guaranteed Income Accounts - Fees and Charges.

To discuss legalsuper’s Lifetime Guaranteed Income Account, please speak to a legalsuper Client Service Manager or your Financial Adviser.