objective analysis of today's events, page-56

IMHO - you are quite correct, and my mistake. Apologies.

The rules (which vary slighty depending on your age at the time) are a MINIMUM drawdown of 4% and a MAXIMUM of 10%.

I had that 10% in my brain, but it was the maximum rather than the minimum. That also makes a lot more sense...!

And as has already been mentioned, that minimum has been cut for the last couple of years due to the GFC, and as you correctly point out, it was 2% (i.e. half the previous minimum) in 2009-10, and 3% in 2010-11. I think it reverts to 4% minimum in the financial year we have just commenced.

Here are the rule for the minimum pensions:

http://www.ato.gov.au/smsf/content.aspx?doc=/content/00120916.htm&page=3&H3

And here are the rules for the whole TTR scheme:

http://www.ato.gov.au/individuals/content.aspx?doc=/content/74219.htm

Hope that helps those who may be thinking of starting a SMSF.

Sorry if we've drifted a bit off-topic of LYC specifically here, but the principles apply to us all, and I didn't think that starting a whole new thread on SMSFs would follow the logic of the this thread.