Minimum Drawdown Calculator Australia 2026-27
Use this minimum drawdown calculator australia tool to see the minimum pension payment you must withdraw from your account-based pension in 2026–27 — set by your age and your balance on 1 July.
Last updated: July 2026 · SIS Regulations 1994, Schedule 7 · Moneysmart (ASIC) · FY 2026–27
Got your number? Two things worth checking next
→ Every age band at a glance — the full rates table, so you can see what your minimum becomes as you age. → Not drawing yet? — when and how you can actually access your super, step by step.What is the Minimum Drawdown?
Once your super is in an account-based pension (also called an allocated pension or retirement income account), the tax setting is generous — investment earnings in the account are untaxed, and from age 60 the payments themselves are tax-free for most people. The condition attached to that deal is that the money must actually be drawn down: every financial year you must withdraw at least a legislated minimum percentage of your balance. The percentage is set by Schedule 7 of the Superannuation Industry (Supervision) Regulations and depends only on your age.
The test is taken once a year: your age on 1 July and your account balance on 1 July fix the minimum for the whole financial year, no matter what markets do afterwards. If you start the pension part-way through a year, the age and balance on the commencement day are used instead, and the minimum is pro-rated by the days remaining — with one clean exception: start on or after 1 June and no payment is required at all until the next financial year.
There is no general maximum — you can withdraw as much as you like above the minimum, including lump sums. The one exception is a transition to retirement pension while you’re still working, which is capped at 10% of the same 1 July balance until you retire or turn 65.
Minimum Drawdown Rates 2026–27
| Age at 1 July | Minimum % of balance | On a $450,000 balance |
|---|---|---|
| Under 65 | 4% | $18,000 |
| 65–74 | 5% | $22,500 |
| 75–79 | 6% | $27,000 |
| 80–84 | 7% | $31,500 |
| 85–89 | 9% | $40,500 |
| 90–94 | 11% | $49,500 |
| 95 or more | 14% | $63,000 |
The exact legal amount is rounded to the nearest $10 (an exact $5 rounds up). These are the standard ongoing rates in Schedule 7 — the temporary COVID-era halving ended with 2022–23 and no reduction applies in 2026–27.
How the Minimum is Calculated
The formula is deliberately simple: 1 July balance × your age band’s percentage, rounded to the nearest $10. A 67-year-old with $450,000 on 1 July 2026 must withdraw at least $22,500 during 2026–27; the year they turn 75 (measured at 1 July), the same balance would require $27,000. The steps up with age are the design, not a penalty — the system pushes the money out faster as you get older because retirement savings exist to be spent, not to accumulate tax-free indefinitely.
Missing the minimum has real consequences: a pension that underpays loses its tax exemption on investment earnings for the whole year, and the payments themselves can be treated as lump sums. Funds track this closely and most will automatically top your payments up to the minimum in June — but if you manage the drawdown yourself, especially in a self-managed fund, the calculator above tells you the floor you must clear before 30 June.
Frequently Asked Questions
Why is there a minimum at all?
Because the retirement phase is tax-free. Earnings in an account-based pension aren’t taxed, and payments from 60 are tax-free for most people. The minimum drawdown is the other side of that bargain — it ensures pension accounts are genuinely used as retirement income, not as tax-free estate-planning vehicles.
Can I withdraw more than the minimum?
Yes, with one exception. A standard account-based pension has no maximum — you can raise your payments or take lump sums at any time. The exception is a transition to retirement pension while you’re still working: it’s capped at 10% of the 1 July balance until you meet a full condition of release (like retiring, or turning 65).
What if I start my pension mid-year?
The minimum is pro-rated by the number of days left in the financial year, using your age and balance on the commencement day instead of 1 July. And if you start on or after 1 June, no minimum applies for that year at all — a genuinely useful timing detail if you’re opening a pension in autumn.
Do the percentages ever change?
The Schedule 7 rates have been stable for years, but the government has halved them temporarily in market crises — it did so during the GFC years and again from 2019–20 to 2022–23. If that ever happens again, this page will be updated and the rate alert above will email you.
Also in Australia:
📋 Rates verified — Official sources: SIS Regulations 1994, Schedule 7 · Moneysmart (ASIC) — Account-based pensions
⚠️ This is general information, not financial, tax or legal advice. KnowMyGovt is an independent service with no affiliation with or endorsement by the ATO, ASIC or the Australian Government, and is not responsible for decisions you make based on it.
