Mercer releases checklist ahead of Retirement Income Covenant

Mercer has released a planning checklist for super funds ahead of the implementation of the Retirement Income Covenant on July 1, 2022. Legislated last year, the Covenant will require funds to prepare a retirement income strategy for members; consider the Age Pension and its tax implications; consider how to maximise members’ retirement income and minimise risk; and regularly review retirement income strategies.

“The Covenant requires all APRA regulated super funds to have a documented strategy to identify the retirement income needs of fund members, and to develop a plan to service those needs, in place before the July 2022 deadline. “Now is the time for fund trustees to ensure they are on track to meet the 1 July 2022 deadline,” Mercer said.

The checklist is available for download online.