Super pensions: Trends in payment frequency, flexibility, fees and more

In the reams of reporting and commentary on superannuation, the focus is mostly on building your retirement balance in the accumulation phase of super. Historically, relatively little attention has been given to what happens next, in the retirement phase.

Many super funds have been working behind the scenes to improve their retirement income products and services. But innovation in this area has been disappointingly slow.

After completing its annual survey of pension funds, SuperRatings manager of superannuation research and insights Joshua Lowen says there hasn’t been a lot of movement in the retirement space over the past year.

“Many funds have been focusing on support and guidance by enhancing the flexibility of tools, such as retirement calculators and producing additional materials around the retirement journey,” he says.

A few have also developed annuity-style products that provide income for life or for a set period to address members’ fears about their money running out due to longevity, inflation and investment risks.

It was generally anticipated that the RIC would lead to a flurry of new pension products, but for various reasons, this has not been the case.

Instead, funds have been working on improvements to their existing account-based pension products, member communication and educational materials in the lead up to retirement and in the retirement phase.

Lifetime income solutions

In its 2026 survey of pension funds, SuperRatings found only a small number of funds had launched new pension products, most notably AMP Lifetime Boost and MLC Retirement Boost.

Lowen says these accounts act like normal accumulation accounts until a member reaches retirement age and converts their account into a lifetime pension.

“The benefit comes in the form of higher age pension entitlements by taking advantage of deemed income rates rather than actual returns,” he says.

“Members must have been using the product before starting a lifetime pension; the longer they’ve been using it, the more benefit they gain.”

More flexible super pensions

Where existing account-based pensions are concerned, the focus has been more on flexibility around pension payment set up, frequency and payment date options.

Traditionally, funds have offered payments from their account-based retirement pension products monthly, quarterly, twice a year or annually. In recent years, the trend has been towards fortnightly payments.

Lowen says the latest survey found that as of June 2025:

• 92% of funds now offer fortnightly payments, up from 86% in 2024 and 72% in 2023
• 5% of funds offer weekly payments, down from 7%
• All funds offer monthly, quarterly and annual payments
• 95% allow half-yearly payments.

More frequent pension payments allow fund members to better manage their cash flow, especially those members who also receive a full or part Age Pension. As the Age Pension is paid fortnightly, retirees could opt to receive their super pension payments on alternate weeks.

Technology is also helping to cut red tape and response times:

• 63% of pension funds enable people to open a pension account online, up from 53%
• 67% of pension funds allow partial withdrawals online (that is, occasional lump sum withdrawals in addition to regular pension payments), up from 65%.

Improvements in digital functionality have also reduced the time members can expect to wait to access their savings. Almost half of all funds (49%, up from 43%) now provide access to savings in two to three days, while 14% offer access within one day (up from 4%).