How to guide Set up and maintain a My Retirement pension payment option

Transcription

1 How to guide Set up and maintain a My Retirement pension payment option What s inside the guide? This document is for advisers, paraplanners and support staff. It runs through how to set up and maintain a MyRetirement payment option (My Retirement Payment or My Retirement specified amount) within a new or existing MyNorth allocated pension account. Contents Key things to keep in mind... 2 How to set up a My Retirement pension payment option in a new account... 4 How to set up a My Retirement pension payment option in an existing account... 6 How to switch off a My Retirement pension payment option Useful icons: Notes remind you about specific product or system rules, tell you when we require essential data, and will help you avoid any pain points Fast Forward indicates you may be able to skip a section if it does not relate to the transaction you are attempting to perform Tips are helpful shortcuts, clever ideas and hidden features which can help you move through the process faster Want more? This icon refers you to a related How to guide which can help you with a different process or topic Need further assistance? Refer to the other support documentation available within North Online, including a range of activity focused How-To- Guides: Support > Training guides. Contact the North Service Centre on , or at north@amp.com.au Contact your dedicated Business Development Manager (BDM) for further assistance. BDMs can help you with North product and platform information, or practice management solutions tailored for your business. Webinars North online training is presented by the Digital Engagement Team in a series of fortnightly interactive webinars. Links to register for webinars can be located in the North Calendar of Events page or via Portal under: Forms and Tools > Portal help > Webinars.

2 Key things to keep in mind The My Retirement payment feature is available within MyNorth allocated pension accounts. There are two unique payment options for you to choose from: My Retirement Payment (MRP): We will pay the calculated pension payment directly into your client s nominated bank account based on the frequency selected. You can change the frequency of pension payments at any time.. My Retirement - specified amount (MRSA): You specify the pension amount your client would like to receive and the frequency of their payments. These can be changed at any time. The My Retirement Payment calculated amount is available for reference. MyNorth allocated pension accounts that have a My Retirement payment option enabled are subject to the following product rules: 1. The account can only be invested in a combination of cash and/or the MyNorth Retirement Fund. 2. The account cannot have a Guarantee. 3. The account has restricted transaction capability: Can be done online (account level) Cannot be done online (account level) View account level information. Set the frequency and date of a pension payment. Update account level details e.g. mailing address. Add or remove a beneficiary. Review and update adviser remuneration. Update bank account details (client only). Remove insurance (if applicable). Create an account snapshot report (via Account summary). Generate capital gains reports. Change standing investment instruction. Change the pension amount (My Retirement Payment only). Complete an investment switch. Add a Term Deposit. Complete an ad hoc withdrawal or rollover. Complete an account transfer. Complete a pension recast. Complete an Inspecie out request. Assign the account to a Model. Tip: The Transact menu is hidden from view on accounts with either of these payment options enabled. If your client needs to transact (e.g. complete an ad hoc withdrawal) please contact the North Service Centre on for assistance.

3 4. If you select My Retirement Payment or My Retirement - specified amount, we ll manage all your investment instructions on your behalf, as per below: Investment instruction Default Minimum cash balance $ $0.00 Target cash balance % 5% Managed funds trade minimum $0.00 Automatic buy instruction Automatic sell instruction Automatic buy profile Automatic sell profile Automatic rebalance profile Invest as per buy profile Invest as per sell profile 100% MyNorth Retirement Fund 100% MyNorth Retirement Fund 100% MyNorth Retirement Fund Note: Minimum cash balance will be set to $0.00 along with the target cash percentage at 5.00%. These cash settings will be recalculated on commencement of the pension once all funds are received (new accounts) or on submission of a change of pension details request (existing accounts). Automatic rebalance instruction, Share trading account and Dollar cost averaging options will also be set to No. Want more? For more background on the My Retirement payment features refer to: MyNorth Pension My Retirement features factsheet found in North Online under Support > Marketing materials. MyNorth Super and Pension Supplementary product disclosure statement Part A found in North Online under Product > Product disclosure statements. MyNorth Pension My Retirement features Adviser FAQs found in Portal under Product > Marketing > Retirement > MyNorth Pension - My Retirement features.

4 How to set up a My Retirement pension payment option in a new account You can choose a My Retirement payment option My Retirement Payment or My Retirement specified amount as part of the standard new pension account application process in North Online. Key things to remember during the application process: 1. You must select a MyNorth Allocated Pension account if you want to set up one of these two payment options. Note: My Retirement Payment and My Retirement specified amount payment options are only available in MyNorth Allocated Pension accounts. 2. These two payment options can be selected within the Pension details section of the new account application process. 3. If you select My Retirement Payment: Amount and review options will be automatically set to My Retirement Payment. Payment amount will be automatically set to $0.00 until commencement of the pension and receipt of all funds into the account. You still need to manually select the frequency of the pension payment and pension payment date settings. Tip: The MRP calculator can be used at any time to determine an estimate of the My Retirement Pension payment amount. A link to the MRP calculator is available on North Online under Product > Calculators.

5 4. If you select My Retirement specified amount: Amount and review options and Payment amount fields will still need to be specified. Please specify the pension payment timeframes. 5. You can elect the target age your client would like to receive pension payments to (it will default automatically to age 85). Note: The target age must be between the client s current age plus 5 years up to the age of 100.

6 6. Standing investment instructions will auto-populate in line with the My Retirement Payment standard settings and cannot be changed. Note: Minimum cash balance will be set to $0.00 along with the target cash percentage at 5.00%. These cash settings will be recalculated on commencement of the pension once all funds are received. Want more? For more detailed instructions on how to complete a new pension application refer to the How to complete a pension application online How to Guide found under Support > Training guides. How to set up a My Retirement pension payment option in an existing account If your client has an active MyNorth allocated pension account, you can select a My Retirement payment option through the Pension details screen in North Online. Before you update the payment option in North Online you will need to ensure that: 1. the account does not have an active Guarantee; 2. the account is fully invested in either Cash and/or the MyNorth Retirement Fund; and 3. there are no pending transactions in progress on any investment other than the MyNorth Retirement Fund. Note: If the selected account does not already meet the above eligibility criteria you will need to terminate the guarantee, sell ineligible investments and/or wait for pending transactions to complete before setting up the My Retirement payment option.

7 Step 1 First, check that the account does not have an active guarantee in place via View > Guarantee details. If the account has a Guarantee, you will need to terminate it before proceeding. Fast forward: If the client s account does not have a guarantee in place, please proceed to step 2. Step 2 Second, check that the assets your client holds in the account are in either Cash and/or MyNorth Retirement Fund only. You can do this via the Account Summary screen. If the account holds other assets, you will need to complete a Switch investments transaction to sell out of these assets before proceeding. Fast forward: If the client s assets are already aligned, please proceed to step 3 Step 3 Lastly, check there are no pending transactions in progress on investments other than MyNorth Retirement Fund. If there are pending assets sales you will need to, wait for these to finalise before proceeding. Want more? For instructions on how to complete a switch please refer to the How to switch investment guide. Fast forward: If there are no pending asset sales, please proceed to step 4

8 Step 4 Once the account has met the eligibility criteria, you are now ready to select one of the My Retirement pension payment options. From the account level I want to menu select Manage > Pension details. Step 5 Select the My Retirement option you want to set up on the account. Note: An inline warning message will appear if the account does not meet the eligibility criteria to set up the selected payment option. Step 6a If you selected My Retirement Payment Amount and review options is automatically set to My Retirement Payment. Payment amount will be automatically set to $0 until the change request is submitted. Select the payment frequency and payment timeframes. Note: The payment amount will default to $0.00 when My Retirement Payment is selected. Once the request has been submitted the pension amount will be recalculated based on the client s account value.

9 Tip: The MRP calculator can be used to determine an estimate of the My Retirement Pension payment. A link to the MRP calculator is available on North Online under Product > Calculators. Step 6b If you selected My Retirement - specified amount Select one of the available amount and review options e.g. Specified amount no increase. Specify the Payment amount (if applicable). Select the payment frequency and payment timeframes. Step 6c - Electing the client s target age You can elect the target age your client would like to receive pension payments to (it will default automatically to age 85). Note: The target age must be between the client s current age plus 5 years up to the age of 100.

10 Step 7 Standing investment instructions will autopopulate in line with My Retirement payment standard settings. Click Next to proceed to the Pre-submission documentation page. Note: Minimum cash balance will be set to $0.00 along with the target cash percentage at 5.00%. These cash settings will be recalculated on submission of the change of pension details request. Note: The pension accounts existing investment instructions will be overridden with the standard settings for a My Retirement payment option. Step 8 Once you have received a signed copy of the relevant documentation you are able to submit. Review the Action required boxes and Tick to confirm. Once all boxes have been ticked, click Submit. Note: You will not be able to complete these tick boxes until all outstanding details have been completed and client documentation generated. Tip: Remember, North does not need to receive the signed copy of the client application declaration. Please file this in your office.

11 How to switch off a My Retirement pension payment option You can switch off a My Retirement payment option at any time, by selecting a different pension payment option through the Pension details screen in North Online. Step 1 From the account level I want to menu select Manage > Pension details. Click on Edit. Step 2 Select one of the alternate payment options i.e. Pension amount Pension amount + income distributions Income distributions only Step 3 Review and update the Amount and review option. Step 4 Review and update the remaining pension details as required including Payment amount, Frequency and Date settings. Click Next.

12 Step 5 A system notification will appear reminding you to review and update the investment instructions when switching off the My Retirement payment option. Step 6 Acknowledge the warning message and click Next. Review and update standing investment instructions if required. Click Next. Note: If required, you will need to complete a once off switch/rebalance request to align your client s assets as per their new investment instructions, once you have submitted the request.

13 Step 7 Once you have received a signed copy of the relevant documentation you are able to submit. Review the Action required boxes and Tick to confirm. Once all boxes have been ticked, click Submit. Note: You will not be able to complete these tick boxes until all outstanding details have been completed and client documentation generated. Tip: Remember, North does not need to receive the signed copy of the client application declaration. Please file this in your office. Want more? For answers to Frequently Asked Questions about the My Retirement payment features please refer to the MyNorth Pension My Retirement features Adviser FAQs found in Portal under Product > Marketing > Retirement > MyNorth Pension - My Retirement features