The Transfer Balance Cap (TBC) is an essential concept in Australia’s superannuation system. It sets a limit on the amount of superannuation savings that can be transferred into a tax-free retirement phase account. Introduced on 1 July 2017, the TBC aims to ensure that individuals do not use their superannuation as a tax minimization strategy, while still allowing for tax-efficient retirement income streams. In this article, we will delve into the details of the Transfer Balance Cap, how it works, and its implications for individuals planning their retirement.