To be able to withdraw benefits from an SMSF, a Member must meet a condition of release. Meeting these conditions (as explained below), means that benefits can be paid under the super laws. Note that the Deed of the SMSF may impose more stringent conditions for release. However, the Deed cannot impose less stringent conditions for release because an SMSF is governed under legislation.
The most common conditions of release for paying benefits are:
There are very limited circumstances where you may also be able to withdraw your benefits from your SMSF if you meet another conditions of release as stated by the ATO. The conditions are generally related to specific medical conditions or severe financial hardship. Please note the following conditions are more stringent and may require either confirmation from the ATO that you are
There are also some cases that allow Members early access to preserved benefits:
The ATO recently released a video explaining how a Member can access to their benefits in the SMSF under certain circumstances and what they should do if they meet a condition of release.
SMSF – Conditions of Release
For more info about when you can access your superannuation balance, please view the ATO guidance on Withdrawing your Super. For general guidance on the ATO rules on your SMSF, see our ATO Guidance information page.