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Tina (aged 52) was seriously injured and unable to return to work. She had a superannuation balance of $250,000 with a tax-free component of $12,500.

Tina (aged 52) was seriously injured and unable to return to work. She had a superannuation balance of $250,000 with a tax-free component of $12,500. Due to her injury, she was also paid a disability lump sum benefit of $120,000 into her superannuation fund with a total service period of 9,490 days. She would have retired age 65, i.e. in 4,705 days. Tina makes a full withdrawal of her super balance. 


What is tax-free amount of Tina's disability lump sum benefit?

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