Fortnightly income stream payments might look different this year
If you have an income stream account with Cbus and get paid on a fortnightly basis, you might notice a change in your payments for the 2021/22 financial year.
In most years you receive 26 payments, because there are 26 fortnights in a year. However, in the 2021/22 financial year there are 27 payments. This means some members’ payments might be lower.
Why are payments lower when there are 27 pays in a year?
Most members choose an income that’s a percentage of their account balance each year (e.g. 4% of your account balance). When this total amount is spread over 27 pays, instead of 26 weeks pays, it equals a lower amount each pay (but the same amount in total).
This change is most likely to impact those who’ve selected:
- minimum income stream payments, and
- maximum income stream payments (available to Transition to Retirement accounts only).
You can change your payment amount or frequency
In mid-July, we’ll write to you to tell you what your payments will be for the next financial year, and ask if you’d like to change them. But don’t forget that you can update your payment amount or frequency at any time: