A ‘transition to retirement pension’ is an account based income stream that you can commence once you have reached preservation age (currently between 55 and 60, depending on when you were born) and you have not ceased employment.
Although it works in a similar way to a normal account-based income streams (as previously outlined) three additional conditions apply:
Please note: These conditions apply until another condition of release is met, such as reaching age 65. At this time, your TTR pension moves into the normal pension phase. This means that earnings on investments held within the pension are taxed at 0% rather than up to 15%. The account value is also assessed against your Transfer Balance Cap.