Future Safe FAQ.

You can change payment details or make lump sum withdrawals at any time but you should be aware that if your payments exceed your Free Withdrawal Amount (FWA), then any excess will be subject to a Market Value Adjustment (MVA) charge. Please refer to the Product Disclosure Statement for further details.

• If you are changing an existing regular payment, changes will take effect from your next payment date.
  
• If you are establishing a new regular payment plan, the timing of your payments will depend upon your policy commencement date and frequency chosen. For example, if your policy commencement date is the 21st of a month, your payments will be on the 21st of a month, and paid in accordance with the selected frequency.
  

If you have invested with super, then under superannuation laws:

• You are required to receive a minimum amount of income out of your policy each financial year. These payments form part of your Free Withdrawal Amount.
  
• If you choose to stop your payments, we may make a one-off payment from your policy prior to the end of the financial year to ensure you have met the requirements.
  

If you need to update your withdrawal or payment instructions, contact your financial adviser. Alternatively, call us on 1300 371 136 or you can download and complete a Withdrawal and Payment form and email it to administration@allianzretireplus.com.au

Download Withdrawal and Payment form

Yes, you are able to access your funds through regular or ad hoc withdrawals to suit your needs, subject to certain conditions that apply to the withdrawal of super money.

• If you have rolled over super money, you are required to withdraw a minimum income stream.
  
• If you have not rolled over super money, you do not need to make any withdrawals from your account, but can choose to.
  

Amounts above the Free Withdrawal Amount (FWA) will incur a Market Value Adjustment (MVA).

The FWA resets on each Anniversary Date. A cumulative total of FWA is displayed in 'Withdrawal Summary' on the portal dashboard.

You can request a one-off withdrawal by:

• Calling us on 1300 371 136
  
• Completing a Withdrawals and Payment Form (click here)
  

Amounts above the Free Withdrawal Amount will incur a Market Value Adjustment (MVA).

The Free Withdrawal Amount resets annually on the policy Anniversary Date.

Future Safe provides an income stream which may be up to the Free Withdrawal Amount. If the investment money is Super Money, then under Superannuation Laws we are required to pay you a minimum amount of income. That amount will form part of the Free Withdrawal Amount and may be subject to withholding taxes.

The minimum annual payment requirements are based on a percentage of the initial investment amount or Asset Value at July 1 each year. The percentage is age based as per the super laws and is set out below:

Future Safe includes a Free Withdrawal Amount (FWA) which sets the amount that can be withdrawn free of charge. This amount is 5% of initial investment plus interest from the prior year. Amounts above the FWA will incur a Market Value Adjustment (MVA).

Each time a withdrawal is made (whether a regular payment, ad hoc payment or ongoing adviser service fee), the FWA available for the year will be reduced by the amount of the payment.

The FWA resets on each Anniversary Date. Any unused portion does not carry forward.

1. Account Balance at commencement is your initial investment less any applicable taxes, stamp duty and upfront adviser service fee.

2. Calculated on the commencement date and each anniversary date as an estimate of your minimum annual payment amount to the next anniversary date (see page 36 on the PDS). If your minimum payment amount changes before your next anniversary date, your FWA may change when your minimum payment amount changes.

3. When investing into a second (or subsequent) Investment Interval, the FWA will not include interest earned in the final year of the previous Investment Interval

A cumulative total of FWA is displayed in ‘Withdrawal Summary’ on the portal dashboard.

Future Safe is designed to be held for at least the full Investment Interval. We invest in a range of assets that reflect this duration.

If you choose to make unexpected lump sum withdrawals or your payments exceed your Free Withdrawal Amount (FWA), we may incur a loss in selling some of these assets to fund the withdrawal. A Market Value Adjustment (MVA) charge helps to offset these losses.

The calculation comprised of Market loss recovery amount = Amount withdrawn in excess of Free Withdrawal Amount (FWA) x Market Recovery Factor (MRF) + an early withdrawal fee that is only applicable for the first 7 years of your policy regardless of which Investment Interval is selected.

The MVA charge is calculated as:

* = The reference rate is the Bloomberg Ausbond Credit 0+ Year Index: Yield. The initial reference rate is measured at the commencement date of your current Investment Interval

n = remaining years of your current Investment Interval (including partial years)

m = remaining years to 7th Policy Anniversary (including partial years)

t = tax rate applicable to your policy

Future Safe is designed to be a long-term investment. If you choose to cancel your policy before the investment interval is complete the full withdrawal balance will be subject to a Market Value Adjustment (MVA) which reduces the amount returned to you on withdrawal.

MVA is applied to compensate for losses that we may incur when having to sell some of the assets that we have invested in to fund the long-term policy options.

The Market loss recovery amount = Amount withdrawn in excess of Free Withdrawal Amount (FWA) x Market Recovery Factor (MRF) + an early withdrawal fee that is only applicable for the first 7 years of your policy, regardless of which investment interval is selected.

The withdrawal value of your Policy if you made a full withdrawal is:

• Withdrawal value = Account Balance – MVA charge
  

You should also be aware that:

• special rules that apply under superannuation laws may/will apply when you make a lump sum withdrawal.
  
• market loss recovery is typically higher earlier in the investment interval.
  

Approximately 45 days prior to the end of any Investment Interval, we will notify you of your options and ask you to make a selection.

You will generally have two options:

The policy anniversary is the time when you can adjust your protection and investment options.

You will be notified 45 days in advance of the policy anniversary. If you would like to change your protection and/or investment options you can notify us of your changes by calling us on 1300 371 136, speaking to your financial adviser or completing the Anniversary Election Form and sending it to us.

The Anniversary Election Form is attached to Anniversary Election letter available in the correspondence section of Client Portal.

You have the option to reset your protection and investment options annually, at the anniversary date of your policy.

If you would like to change your protection and/or investment options you can notify us of your changes by calling us on 1300 371 136 (general enquiries) or speak to your financial adviser or completing the Anniversary Election Form and sending it to us.

The Anniversary Election Form is attached to Anniversary Election letter available in the correspondence section of the client portal.

The cap and investment settings that currently apply were established at your last policy anniversary or policy commencement date.

Because interest is credited or debited on an annual basis from policy anniversary, the final credited amount is hard to predict. We can however guarantee the maximum debited amount based on the floor.

You can find Future Safe Caps & Fixed Rates here.

Approximately 45 days prior to the end of any Investment Interval, we will notify you of your options and ask you to make a selection.

You will generally have these main options: