What is the difference between an ABP and a transition to retirement income stream?

The main difference between these two pensions is that, unlike an ABP, a transition to retirement income stream (TRIS) may be commenced as soon as the member has reached their preservation age, even if they continue to be in the workforce.

Also, unlike an ABP, there is a maximum limit to the amount that may be paid under a TRIS each year (being 10% of the pension account balance for that financial year).

Note that where a TRIS is being paid, once the pensioner satisfies a condition of release with a nil cashing restriction (such as retiring after reaching preservation age or turning 65), the TRIS may then be ‘converted’ to an ABP (or to a lump sum).