{"id":"F2008B00488","name":"Superannuation Benefits (Supervisory Mechanisms) Act 1990 - Prescribed Requirements Determination No. 1 of 1998","slug":"f2008b00488","collection":"legislative_instrument","jurisdiction":"commonwealth","status":"in_force","isInForce":true,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":335582,"registerId":"commonwealth-F2008B00488-current","compilationNumber":null,"startDate":"2026-04-08","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Superannuation Benefits (Supervisory Mechanisms) Act 1990 - Prescribed Requirements Determination No. 1 of 1998","content":"SUPERANNUATION BENEFITS (SUPERVISORY MECHANISMS) ACT 1990\n\nDETERMINATION UNDER SECTION 6\n\nPRESCRIBED REQUIREMENTS DETERMINATION NO. 1 OF 1998\n\nI, Gillian Dowling, Acting Assistant Secretary of the Department of Finance and Administration, delegate of JOHN JOSEPH FAHEY, Minister for Finance and Administration, acting under section 6 of the Superannuation Benefits (Supervisory Mechanisms) Act 1990, determine that the prescribed requirements set out in the following Schedule are to apply to the provision of superannuation benefits under superannuation arrangements, in addition to superannuation benefits being provided under the Superannuation Act 1976, or the Superannuation Act 1990, or the Superannuation (Productivity Benefit) Act 1988 or a personalised superannuation arrangement, for persons employed by Commonwealth Agencies with staffing powers independent of the Public Service Act 1922 and whose terms and conditions of employment allow flexible remuneration packaging (including the provision of superannuation benefits).\n\nDated 8th January 1998\n\n|     | Acting Assistant Secretary |\n| --- | -------------------------- |\n\nSCHEDULE\n\nThe following requirements are to be satisfied:\n\n(a) the arrangement must be provided through a fund, chosen by the employee, which is a \"complying superannuation fund\" for the purposes of section 45 of the Superannuation Industry (Supervision) Act 1993 or a Retirement Savings Account (RSA);\n\n(b) all contributions made to the arrangement will be vested in the employee, and the employer-financed benefits will be automatically preserved in accordance with Part 6 of the Superannuation Industry (Supervision) Regulations or a similar arrangement in respect of a RSA;\n\n(c) the arrangement must not result in any increase in employment costs to the employing agency;\n\n(d) employer contributions are to cease on termination of employment; and\n\n(e) a general reference to such superannuation arrangements made by an employing agency is included in the annual report of the agency.","sortOrder":0}],"analysis":{"flash_summary":{"complexity_score":3,"scope_assessment":{"changed":false,"description":"The Determination does not alter which employees may receive superannuation benefits under the cited Acts; instead it prescribes additional procedural and substantive requirements for arrangements used by specified Commonwealth agency employees (fund choice, vesting/preservation, cost-neutrality, cessation on termination, and annual-report disclosure). It changes delivery and compliance obligations but does not expand statutory coverage."},"complexity_factors":["Cross-references to other legislation and instruments (requires a \"complying superannuation fund\" under s45 of the Superannuation Industry (Supervision) Act 1993 or an RSA) (Schedule (a))","Technical compliance with vesting and preservation rules tied to Part 6 of the Superannuation Industry (Supervision) Regulations or equivalent RSA arrangements (Schedule (b))","Operational interpretation of the requirement that the arrangement \"must not result in any increase in employment costs to the employing agency\" — requires cost accounting and potential payroll/benefits modelling (Schedule (c))","Trigger and administrative action on employment termination when employer contributions must cease (Schedule (d))","Ongoing disclosure obligation — a general reference in each employing agency's annual report — adds recurring reporting and recordkeeping tasks (Schedule (e))","Limited and specific application: only to employees of Commonwealth agencies with independent staffing powers and flexible remuneration packaging, which narrows the affected population but requires agencies to assess eligibility"],"plain_english_summary":"This Determination sets five baseline rules for superannuation provided through flexible remuneration to employees of certain Commonwealth agencies with staffing powers outside the Public Service Act. It requires employee choice of a complying fund or an RSA; full vesting and preservation of employer-financed benefits; no increase in agency employment costs; employer contributions to cease on termination; and a general reference in the agency’s annual report. Who pays: agencies must avoid additional employment costs; who decides: employees choose the complying fund; agencies handle compliance and reporting."},"flash_summary_failed":{"failed":true,"reason":"A positive credit balance is required for all requests, including BYOK, so fallback providers remain available. Add credits at https://vercel.com/d?to=%2F%5Bteam%5D%2F%7E%2Fai%3Fmodal%3Dtop-up to continue.","source":"analysis-cron"},"kimi_summary":{"content_quality":"ok","complexity_score":2,"scope_assessment":{"changed":false,"description":"This determination appears consistent with its original purpose under section 6 of the Superannuation Benefits (Supervisory Mechanisms) Act 1990, which was to set prescribed requirements for alternative superannuation arrangements for specific Commonwealth employees. The scope remains tightly focused on the original intent: enabling flexible remuneration packaging while maintaining safeguards."},"complexity_factors":["Very short document (5 operative paragraphs plus preamble)","Only 5 specific requirements in the Schedule","Minimal defined terms (relies on external definitions from other Acts: 'complying superannuation fund' from SIS Act 1993, 'Retirement Savings Account', 'vested', 'preserved')","No nested exceptions or conditional logic","Single cross-reference to Part 6 of Superannuation Industry (Supervision) Regulations","Straightforward application criteria in the preamble"],"plain_english_summary":"This 1998 determination lets certain Commonwealth employees with separate hiring powers and flexible pay packages choose their own complying superannuation fund or RSA, subject to extra conditions. \n\nIt requires immediate employee ownership of contributions, preservation of employer contributions until retirement, no additional employer cost, cessation of employer contributions on termination, and annual reporting by the agency — safeguarding entitlements while allowing choice."}},"importantCases":[],"_links":{"self":"/api/acts/f2008b00488","history":"/api/acts/f2008b00488/history","analysis":"/api/acts/f2008b00488/analysis","conflicts":"/api/acts/f2008b00488/conflicts","importantCases":"/api/acts/f2008b00488/important-cases","documents":"/api/acts/f2008b00488/documents"}}