{"id":"F2008B00468","name":"Superannuation Act 1990 - Determination (31/10/1990)","slug":"superannuation-act-1990-determination-31-10-1990","collection":"legislative_instrument","jurisdiction":"commonwealth","status":"in_force","isInForce":true,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":71661,"registerId":"commonwealth-F2008B00468-current","compilationNumber":null,"startDate":"2026-04-02","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Superannuation Act 1990 - Determination (31/10/1990)","content":"Commonwealth of Australia\n\nSuperannuation Act 1990\n\nDetermination\n\nI, Geoffrey Noel Vanthoff, Commissioner for Superannuation and delegate of the Commonwealth Superannuation Board of Trustees\n\nNo. 1, under rule 2.1.1. of the Rules for the Administration of\n\nthe Superannuation Scheme set out in the Schedule to the Trust\n\nDeed referred to in section 4 of the Superannuation Act 1990, DETERMINE that:\n\nPART A\n\n1\\. In this determination:\n\n“casual employee“ has the same meaning as in the Trust Deed and Rules;\n\n“PSS scheme“ means the occupational superannuation scheme for Commonwealth employees and certain other persons established under section 4 of the 1990 Act;\n\n“regular employee“ has the same meaning as in the Trust Deed\n\nand Rules;\n\n“Regulations“ means Superannuation (Salary) Regulations made under the 1976 Act;\n\n“1976 Act“ means Superannuation Act 1976;\n\n“1990 Act“ means Superannuation Act 1990.\n\n2\\. Words and expressions defined in section 3 of the 1990 Act\n\nhave the same meaning in this determination as in the 1990\n\nAct.\n\n3\\. For the purposes of the definition of “basic salary“ in rule 2.1.1. of the Rules, the amount referred to in that\n\ndefinition is the amount calculated in accordance with Part B\n\nof this determination.\n\n4\\. For the purposes of the definition of “recognised allowance“\n\nin rule 2.1.1. of the Rules, the allowance or amount referred\n\nto in that definition is the allowance or amount calculated\n\nin accordance with Part C of this determination.\n\nPART B\n\n5\\. Subject to any other provision of this Part, basic salary for a regular employee is the sum of:\n\n.../2\n\n(a) the amount that would be the person’s salary for the purposes of the 1976 Act if the person were an eligible employee under that Act; and\n\n(b) any higher duties allowance or amount in addition to an amount referred to in paragraph (a) that is payable to the person on a regular basis for the performance of temporary higher duties.\n\n6\\. For the purpose of calculating basic salary under clause 5:\n\n(a) overtime and compensation payments are excluded;\n\n(b) a reference to a payment in paragraph 5(b) is regarded as payable to a person on a regular basis if the requirements of regulation 6 of the Regulations are satisfied;\n\n(c) an amount treated as salary under regulation 5 of the Regulations or an amount that is a shift allowance under regulation 8A of the Regulations are excluded;\n\n(d) subject to paragraph (e), where an amount referred to in paragraph 4(b) is included in basic salary, only the lowest rate of that amount received by the person in the preceding 12 months is to be included;\n\n(e) on the age retirement of the person, if an amount referred to in paragraph 4(b) has been received by the person for 12 months or less, the amount must not be included in the person’s basic salary on the person’s last day of service.\n\n7. For the purposes of clause 5, a reference to the Commissioner in regulations 6, 8E, 10 and 15 of the Regulations includes a reference to a person who holds a delegation of my powers for the purposes of those regulations under the 1976 Act.\n\n8\\. Basic salary for a casual employee includes all payments in the nature of salary except:\n\n(a) overtime;\n\n(b) compensation; or\n\n(c) payments for, or in relation to, reimbursements for past or anticipated expenses.\n\nPART C\n\n9\\. A recognised allowance includes an amount that would be treated as salary under the 1976 Act in respect of a person, if the person were an eligible employee under the 1976 Act, but does not include:\n\n.../3\n\n(a) an amount included in basic salary; or\n\n(b) a compensation payment.\n\n10\\. Subject to clause 11, where an amount, other than a shift allowance, is a recognised allowance only the lowest rate of that amount received by the person in the preceding 12 months is to be included.\n\n11\\. On the age retirement of the person, where the amount referred to in clause 10 has been received by the person for 12 months or less, the amount must not be included in the person’s basic salary on the person’s last day of service.\n\n12\\. Where shift allowance is a recognised allowance, the amount\n\nof that allowance that can be treated as a recognised\n\nallowance must be determined under regulation 8D or 8E of the Regulations, whichever is appropriated.\n\n13\\. The recognised allowance for a casual employee is nil.\n\nG N Vantoff\n\nG.N. Vanthoff\n\nCommissioner for Superannuation and delegate of the\n\nCommonwealth Superannuation Board of Trustees No 1\n\n31 October 1990","sortOrder":0}],"analysis":{"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"},"flash_summary":{"complexity_score":4,"scope_assessment":{"changed":false,"description":"This determination is a technical instrument that sets calculation rules for \"basic salary\" and \"recognised allowance\" for the PSS scheme. It does not expand the scheme’s coverage or add new types of benefits; rather it specifies measurement rules and exclusions. In that sense it remains within the original, narrow administrative scope: defining how pay items are calculated for superannuation purposes and allocating decision authority to the Commissioner/delegate (see Part B and Part C)."},"complexity_factors":["Short instrument but multiple cross‑references (Trust Deed/Rules, Superannuation Act 1976, Superannuation (Salary) Regulations)","Several defined terms in clause 1 and reliance on definitions in section 3 of the 1990 Act (clause 2)","Conditional logic: separate paths for regular v casual employees (Part B clauses 5–8, Part C clause 13)","Nested exceptions and timing rules (lowest rate in preceding 12 months; exclusions for overtime/compensation; age‑retirement exception clauses 6(d)–(e), 10–11)","Delegation of decision‑making referenced (clause 7)","Reference to specific Regulations (6, 8D, 8E, 8A, 10, 15) creates interpretive dependence on those provisions"],"plain_english_summary":"**What this determination does (mechanically)**\n\n- It fixes how two key pay items are calculated for the Public Sector Superannuation (PSS) scheme: **\"basic salary\"** (Part B, clauses 5–8) and **\"recognised allowances\"** (Part C, clauses 9–13).  These definitions are used for determining contributions and benefits under the PSS rules (see rule 2.1.1. cross‑reference in the instrument).\n- It says basic salary for a regular (ongoing) employee is the sum of: (a) the amount that would count as salary under the earlier Superannuation Act 1976 if the employee were eligible under that Act; and (b) any regularly payable higher‑duties payment for temporary higher duties (clause 5).\n- It excludes certain payments from basic salary: overtime, compensation payments, amounts treated as salary under a particular regulation, and some shift allowances (clause 6(a), (c)).\n- Where an allowance or extra payment is included, only the **lowest rate received in the preceding 12 months** is to be counted, except for shift allowances which are handled under specific Regulations (clauses 6(d)–(e), 10–12).\n- On **age retirement**, if an included allowance has been paid for 12 months or less, that allowance must **not** be included on the person’s last day of service (clauses 6(e) and 11).\n- For **casual employees**, the basic‑salary rule treats all salary‑like payments as salary except overtime, compensation, and reimbursements; and recognised allowance for casuals is nil (clauses 8 and 13).\n- The determination relies on, and cross‑refers to, the Trust Deed and Rules, the 1976 Act, and specified Superannuation (Salary) Regulations; it also allows delegation of certain decision powers to a delegate of the Commissioner (clause 7).\n\n**Who this affects**\n\n- Current and former Commonwealth employees covered by the PSS scheme (regular and casual employees).  The immediate practical effect is on how an employee’s pensionable salary and recognised allowances are calculated for contribution and benefit purposes.\n- Payroll administrators and employing agencies who must apply these calculation rules and consult the cited Regulations and the Trust Deed/Rules when determining what to include.\n- The Commonwealth (as employer and scheme funder) to the extent that benefit and contribution amounts depend on the defined salary base.\n\n**Why it matters (effects and incentives)**\n\n- The measurement rules determine the base used for superannuation contributions and final pension calculations. Small definitional changes can change benefit entitlements and the employer’s contribution exposure (clauses 5–6, 9–13).\n- The “lowest‑rate in the preceding 12 months” rule smooths volatile allowance payments into the pensionable base and tends to reduce short‑term spikes being capitalised into final benefits (clauses 6(d) and 10). That reduces the scheme’s exposure to temporary high payments but can reduce outcomes for employees who received recently increased allowances.\n- The age‑retirement exclusion for short‑lived allowances (paid 12 months or less) prevents a recent temporary payment from inflating a final salary calculation at retirement (clauses 6(e) and 11). This protects the scheme from short‑term increases but can reduce retirement pay for employees who relied on short assignments.\n- Treating recognised allowance for casual employees as nil and excluding certain items from basic salary clarifies scope for casuals but may lower the pensionable base for casual workers compared with regulars (clauses 8 and 13).\n\n**Implementation mechanics and administrative points**\n\n- The determination is operational: administrators must compute lowest rates over the last 12 months, check whether payments are “on a regular basis” under regulation 6 of the Superannuation (Salary) Regulations, and apply regulation 8D/8E rules for shift allowances where relevant (clauses 6(b), 12).\n- It depends on cross‑referenced instruments (Trust Deed/Rules, the 1976 Act, and the Regulations). Changes to those instruments or different readings of \"regular\" or particular Regulations will change how this determination operates in practice (clauses 1–2, 7, Part C clause 12).\n- Decision‑making authority is exercised by the Commissioner for Superannuation or a delegated officer for matters that refer to the Commissioner in certain Regulations (clause 7).\n\n**Trade‑offs, compliance costs and risk**\n\n- Benefit to the scheme: reduced exposure to short‑term or irregular payments being capitalised into final benefits (clauses 6(d)–(e), 10–11). Cost to some employees: lower pensionable salary when allowances rose recently or were temporary.\n- Administrative cost: payroll and superannuation officers must track historic allowance rates, establish whether payments meet the Regulations’ “regular” test, and apply special rules at age retirement. That creates modest ongoing compliance and record‑keeping tasks (clauses 6(b), 10–12).\n- Implementation risk: outcomes hinge on interpretation and future amendments to the Regulations and the Trust Deed/Rules to which this determination refers (clauses 1–2, 7, 12). Delegation (clause 7) concentrates discretion in the Commissioner/delegate for particular determinations under the Regulations.\n\n**Where to look in the instrument for specifics**\n\n- Definition and scope: Part A, clauses 1–4.\n- Basic salary rules and exclusions for regular employees: Part B, clauses 5–7.\n- Casual employee treatment: Part B, clause 8, and Part C, clause 13.\n- Recognised allowances and special rules (including shift allowances and age‑retirement exceptions): Part C, clauses 9–12.\n\n(References in parentheses above cite clause numbers in the determination.)"},"kimi_summary":{"content_quality":"ok","complexity_score":5,"scope_assessment":{"changed":false,"description":"This is the original 1990 determination establishing initial rules for the new PSS scheme. It represents the foundational scope as intended when the scheme commenced."},"complexity_factors":["Multiple nested cross-references to the Superannuation Act 1976, Superannuation Act 1990, and Superannuation (Salary) Regulations","Delegated authority framework requiring understanding of the Trust Deed and Rules mentioned but not reproduced in the document","Conditional logic with multiple exceptions (clauses 6(d) and 6(e) create a layered exception structure for higher duties allowance)","Dual employment categories (regular vs casual) with substantially different calculation methods","12-month lookback period calculations with special retirement-day rules","Six defined terms in Part A plus incorporation of definitions from section 3 of the 1990 Act by reference"],"plain_english_summary":"This 1990 determination sets the rules for calculating superannuation contributions under the Public Sector Superannuation (PSS) scheme by defining \"basic salary\" and \"recognised allowance\" for Commonwealth public servants. It applies to both ongoing (regular) and casual employees.\n\nBy specifying which pay elements count toward retirement benefits and excluding others—and by using the \"lowest rate in 12 months\" rule for higher duties—it determines final super entitlements and prevents short-term pay boosts from inflating pensions."}},"importantCases":[],"_links":{"self":"/api/acts/superannuation-act-1990-determination-31-10-1990","history":"/api/acts/superannuation-act-1990-determination-31-10-1990/history","analysis":"/api/acts/superannuation-act-1990-determination-31-10-1990/analysis","conflicts":"/api/acts/superannuation-act-1990-determination-31-10-1990/conflicts","importantCases":"/api/acts/superannuation-act-1990-determination-31-10-1990/important-cases","documents":"/api/acts/superannuation-act-1990-determination-31-10-1990/documents"}}