The Act establishes a dedicated Parliamentary Contributory Superannuation Fund, funded by mandatory member salary contributions, investment returns and government payments, and governed by corporate trustees who manage investments, actuarial funding and benefit payments. It pays defined pensions and lump sums to former members and dependants, allows pension commutation and family-law splitting, and permits trustees to adjust or suspend benefits to manage funding and legal risks.
Its governance and payment rules align the Fund with Commonwealth prudential and family‑law requirements and the scheme is closed to new entrants after the 2007 election.
Mechanically, the Act establishes and governs the Parliamentary Contributory Superannuation Fund (the Fund) and the contributory scheme that provides pensions, lump sums and related benefits to members and certain beneficiaries (Pt 2, Div 1; ss 5-6; Pt 3). Key mechanical features are these.
Fund, trustees and administration. The trustees must maintain the Fund (s 5), are constituted as the Trustees of the Parliamentary Contributory Superannuation Fund (ss 14, 14A) and are responsible for administration, investment and payment of benefits (ss 15-16). Trustees must adopt an investment strategy and a reserves strategy (s 8) and invest via appointed investment managers (s 7(2)-(3)). Trustees are a body corporate (s 14A) and may delegate, establish committees and use public-sector staff/services with ministerial approval (ss 15A-15C, 15B).
Contributions. From each salary instalment a compulsory deduction of 12.5% is taken for members (s 18). Members may, subject to approvals, instead meet that deduction by salary sacrifice contributions, with defined rules on composition and tax gross-up of the sacrificed amount (s 18AA). Trustees may determine periods in which they will not accept contributions so as to be consistent with relevant Commonwealth superannuation standards (s 18A). A member aged 65 with 20 aggregate years of entitlement may elect to cease deductions permanently (s 18B).
Benefits. Entitlement to a pension requires at least seven years’ aggregate entitlement to salary (s 19(1)). The Act sets the formula for pensions and defines “current basic salary”, total salary and total basic salary for the calculation (s 19). Members or former members may in many circumstances elect to convert pension entitlements to lump sums (s 20). Deferred pensions, payment on grounds of hardship or ill health, commutation and preservation rules are provided (ss 19B-19F, 20, 21, 22, 22A-22BA, 28A-28E).
Current sections
Direct links to the current provisions in Parliamentary Contributory Superannuation Act 1971.
family law superannuation legislation has the same meaning as it has in Part 4A.
federal member means a member of either House of the Parliament of the Commonwealth.
financial year means the period commencing on the first day of July in any year and ending on the thirtieth day of June in the next following year.
general election means a general election of Members of the Legislative Assembly.
Insurance and Superannuation Commissioner means the Insurance and Superannuation Commissioner holding office under the Insurance and Superannuation Commissioner Act 1987 of the Commonwealth, and includes a person acting in that office.
member means member of the Legislative Council or the Legislative Assembly or a person who has ceased to be such a member but is in receipt of salary.
other benefits includes a refund of contributions, and any interest payable thereon.
Parliamentary Contributory Superannuation Scheme means the contributory superannuation scheme established by this Act.
penalty, in relation to a Commonwealth taxation law, includes (but is not limited to)—
(a) a penalty rate of taxation under that law, and
(b) the loss of a concessional rate of taxation under that law.
relevant Commonwealth superannuation standard means a standard that would be applicable under the Superannuation Industry (Supervision) Act 1993 of the Commonwealth if the Fund was a regulated superannuation fund under that Act.
salary, in relation to a member or a former member, means—
(b) all remuneration payable to him or her under the Parliamentary Remuneration Tribunal Act 1975, excluding any portion specified under section 7A of that Act as being in the nature of an allowance for electoral or other expenses, and
(d) the cost of any employment benefits (within the meaning of the Parliamentary Remuneration Act 1989) provided to the member or former member (as determined by the designated employer), and
(e) if salary sacrifice contributions are made in respect of the member or former member under this Act, the amounts payable for those contributions under section 18AA, and
(f) if salary sacrifice contributions are made in respect of the member or former member under section 14F of the Parliamentary Remuneration Act 1989, the amounts of those contributions,
the former Act means the Legislative Assembly Members Superannuation Act 1946.
the Fund means the Parliamentary Contributory Superannuation Fund maintained under this Act.
triennial actuarial investigation means an actuarial investigation under section 10 (1).
trustees means the Trustees of the Parliamentary Contributory Superannuation Fund constituted by this Act.
Note—
The Interpretation Act 1987 contains definitions and other provisions that affect the interpretation and application of this Act.
(2) In this Act—
(a) a reference to a function includes a reference to a power, authority and duty, and
(b) a reference to the exercise of a function includes, where the function is a duty, a reference to the performance of the duty.
(3) Notes included in this Act do not form part of this Act.
s 3: Am 1975 No 67, sec 13 (a); 1979 No 132, Sch 1 (1); 1981 No 86, Sch 1 (1); 1989 No 160, Sch 3 (1); 1991 No 95, Sch 3 (1) (7); 1992 No 35, Sch 3; 1993 No 111, Sch 7; 1995 No 99, Sch 1; 1996 No 92, Sch 1.4 (1); 1997 No 42, Sch 1.2 [1] [2]; 1997 No 147, Sch 1.18; 1997 No 149, Sch 1.2 [2] (am 1998 No 13, sec 6) [3]; 1998 No 13, Sch 1; 2000 No 114, Sch 1.1 [1] [2]; 2002 No 110, Sch 4 [1]; 2003 No 77, Sch 5 [1] [2]; 2009 No 62, Sch 2.2 [1] [2]; 2010 No 19, Sch 3.71 [1].
4
Amendments require certificate of approval
4 Amendments require certificate of approval
4 Amendments require certificate of approval
It is not lawful for the Legislative Assembly to originate or pass any vote, resolution or Bill for the amendment of this Act unless a certificate approving the amendment made by the vote, resolution or Bill has been first issued by the Parliamentary Remuneration Tribunal, or any successor of the Tribunal, during the Session in which the vote, resolution or Bill is proposed to be passed.
s 4: Rep 1997 No 149, Sch 1.2 [1]. Ins 1998 No 13, Sch 2.
Part 1A
Closure of Scheme from 2007 general election
Part 1A Closure of Scheme from 2007 general election
Part 1A Closure of Scheme from 2007 general election
pt 1A: Ins 2005 No 110, Sch 1 [1].
4A
Closure of Parliamentary Contributory Superannuation Scheme
4A Closure of Parliamentary Contributory Superannuation Scheme
4A Closure of Parliamentary Contributory Superannuation Scheme
(1) The Parliamentary Contributory Superannuation Scheme is closed to members elected at or after the 2007 general election, other than continuing members.
(2) Accordingly, a member elected at or after the 2007 general election who is not a continuing member is not entitled—
(a) to have deductions made from the member’s salary under this Act, or
(b) to have any period of service during which the member is not a continuing member after that election taken into account in determining any benefit payable to or in respect of the member under this Act.
(3) For the purposes of this Act, a person is a continuing member if—
(a) the person was a member of either House of Parliament at any time within the period of 3 months before polling day at the 2007 general election, and
(b) (Repealed)
(c) since polling day at that election, the person has not ceased to be a member of either House of Parliament for a continuous period exceeding 3 months.
(4) In this Part, 2007 general election means the first State general election held after the commencement of this section.
s 4A: Ins 2005 No 110, Sch 1 [1]. Am 2010 No 56, Sch 1 [1].
Part 2
Administration
Part 2 Administration
Part 2 Administration
Division 1
The Parliamentary Contributory Superannuation Fund
Division 1 The Parliamentary Contributory Superannuation Fund
Division 1 The Parliamentary Contributory Superannuation Fund
5
Parliamentary Contributory Superannuation Fund
5 Parliamentary Contributory Superannuation Fund
5 Parliamentary Contributory Superannuation Fund
The trustees must maintain in the Treasury, or in such other place as the trustees determine, a fund to be called the Parliamentary Contributory Superannuation Fund.
s 5: Subst 1991 No 95, Sch 3 (8).
6
Payments into and out of the Fund
6 Payments into and out of the Fund
6 Payments into and out of the Fund
(1) The Fund shall consist of—
(a) the moneys and investments that immediately before the commencement of this Act constituted the Legislative Assembly Members Provident Fund under the Legislative Assembly Members Superannuation Act 1946,
(b) all deductions from the salaries of members and salary sacrifice contributions made pursuant to Part 3 and any payments made by members under section 31A,
(c) payments, advances and loans made by the Treasurer as provided for by this Act, and
(d) all moneys howsoever arising by reason of investment of the Fund.
(2) There shall be paid from the Fund all pensions and other benefits, lump sums, interest payable on preserved benefits, allowances and other payments provided for in this Act.
(3) There is to be paid from the Fund fees payable to the trustees arising under the family law superannuation legislation or Part 4A, including administration costs arising under the family law superannuation legislation or Part 4A.
s 6: Am 1997 No 149, Sch 1.2 [4]; 1999 No 89, Sch 1 [1]; 2003 No 77, Sch 5 [3]; 2009 No 62, Sch 2.2 [3].
7
Financial arrangements
7 Financial arrangements
7 Financial arrangements
(1) The trustees may, under and subject to Part 6 of the Government Sector Finance Act 2018, enter into financial arrangements within the meaning of that Part.
(2) The trustees must invest money standing to the credit of the Fund that is available for investment through an investment manager or managers who undertake to invest and manage that money on behalf of the trustees.
(3) The trustees may appoint one or more investment managers for the purposes of this section.
(4) The trustees must not, from the assets of the Fund or in obtaining borrowings—
(a) lend money to a contributor for, or to a person entitled to or receiving, a benefit under this Act, either by lending the money directly or by lending it under arrangements entered into in the exercise of a general power of investment of the assets of the Fund, or
(b) borrow money or maintain an existing borrowing of money, whether by way of a secured or unsecured loan, otherwise than to obtain temporary finance, or
(c) invest any of the assets of the Fund otherwise than on an arms-length basis, unless it is an investment in an in-house asset within the meaning of Part 8 of the Superannuation Industry (Supervision) Act 1993 of the Commonwealth.
(5) The trustees are taken to have complied with subsection (4) from 1 July 1990 to the commencement of that subsection.
s 7: Am GG No 99 of 10.7.1981, p 3735. Subst 1991 No 95, Sch 3 (9). Am 1992 No 35, Sch 1; 1997 No 42, Sch 1.2 [3]; 2018 No 70, Sch 3.47 [1] [2].
8
Investment strategy
8 Investment strategy
8 Investment strategy
(1) The trustees must determine and give effect to an investment strategy for the Fund (the investment strategy) and a strategy for the prudential management of any reserves of the Fund (the reserves strategy).
(2) The investment strategy must have regard to the circumstances of the Fund, including but not limited to the following—
(a) the risk involved in making, holding and realising, and the likely return from, the investments having regard to the schemes’ objectives and their cash flow requirements,
(b) the composition of the investments as a whole, including the extent to which the investments are diverse or involve exposure to risks from inadequate diversification,
(c) the liquidity of the investments having regard to the schemes’ cash flow requirements,
(d) the ability of the Fund to discharge its existing and prospective liabilities,
(3) The reserves strategy must be consistent with the investment strategy and the ability to discharge the existing and prospective liabilities of the Fund (whether actual or contingent) as and when they fall due.
(4) In determining the reserves strategy, the trustees must have regard to any other matter which a trustee is required to consider in determining a reserves strategy under the Superannuation Industry (Supervision) Act 1993 of the Commonwealth.
s 8: Rep 1991 No 95, Sch 3 (10). Ins 1997 No 42, Sch 1.2 [4].
9
9
9 (Repealed)
10
Actuarial investigations
10 Actuarial investigations
10 Actuarial investigations
(1) An investigation as to the state and sufficiency of the Fund shall be made as at the thirtieth day of June, one thousand nine hundred and seventy-two, and as at the expiration of each period of three years thereafter.
(2) Any such investigation shall be made by an actuary appointed by the trustees.
(2A) The actuary must complete the investigation, and report the result to the trustees, not later than 6 months after the date as at which the investigation is made.
(2B) The Minister may, in relation to a particular investigation, extend or further extend the period referred to in subsection (2A) if the Minister considers that special circumstances exist to justify an extension or further extension.
(2C) The trustees must, not later than 3 months (or such other period as is approved by the Minister) after receiving a report under this section, forward the report to the Minister with such comments as the trustees think fit.
(3) The actuary must recommend to the trustees the amount that, in addition to any other money payable into the Fund, should, in the actuary’s opinion, be paid into the Fund in respect of each financial year during the period of 3 years following the completion of the investigation to enable the Fund to meet its liabilities.
(3A) In subsection (3), the reference to money payable into the Fund includes a reference to any interim advances—
(a) that were paid into the Fund before completion of the investigation, or
(b) that an actuary has recommended, under subsection (4), should be paid into the Fund.
(3B) The report referred to in subsection (2A) must—
(a) include a statement of the value of the assets of the Fund and its liabilities, and
(b) include a statement of any liability for benefit payments that are not expected to be covered by—
(i) the assets of the Fund, or
(ii) any future contributions to, or earnings of, the Fund, or
(iii) any guarantee by the Government or by any of its agencies, or
(iv) an appropriation in respect of the Fund, and
(c) state the number of members of the Parliamentary Contributory Superannuation Scheme, and
(d) state the amount of benefit payments, investment earnings and administrative expenses since the last triennial actuarial investigation, and
(e) summarise the major economic, demographic and legislative changes affecting the Fund since the last triennial actuarial investigation, and
(f) include a statement on the impact of the matters referred to in paragraphs (b)–(e) on the assets and liabilities of the Fund, and
(g) include such other matters as are referred to the actuary by the Minister or trustees.
(4) If the trustees are of the opinion that investments may have to be realised to pay current liabilities of the Fund before any of the annual amounts recommended or to be recommended in accordance with subsection (3) are paid, the trustees may at any time appoint an actuary to make recommendations in relation to amounts that may need to be paid into the Fund by way of interim advances.
s 10: Am 1991 No 95, Sch 3 (2); 1997 No 42, Sch 1.2 [5]; 1999 No 89, Sch 1 [2] [3]; 2002 No 110, Sch 4 [2]–[8].
10A
Interim actuarial investigation
10A Interim actuarial investigation
10A Interim actuarial investigation
(1) The Minister may appoint an actuary to make an interim actuarial investigation between triennial actuarial investigations.
(2) The Minister must not appoint an actuary to make an interim actuarial investigation within a period of 3 months after the completion of an actuarial investigation or within a period of 6 months before the next triennial actuarial investigation.
(3) The actuary must complete the investigation, and report the result to the Minister, not later than on the date appointed by the Minister or such later date or dates as the Minister may appoint if the Minister considers that special circumstances exist to justify an extension or further extension.
s 10A: Ins 2002 No 110, Sch 4 [9].
11
Payments by Treasurer into the Fund
11 Payments by Treasurer into the Fund
11 Payments by Treasurer into the Fund
(1) After considering any relevant recommendations of actuaries under section 10 (3) or (4), the trustees must give to the Treasurer advice in relation to the contributions and interim advances that may need to be paid into the Fund.
(2) The Treasurer is to pay into the Fund annual contributions and interim advances as determined by the Treasurer after considering the advice of the trustees.
(3) Payments to be made under this Act by the Treasurer into the Fund shall be paid from the Consolidated Fund which is hereby appropriated accordingly.
s 11: Am 1988 No 131, Sch 29; 2002 No 110, Sch 4 [10].
12
12
12 (Repealed)
13
Cheques
13 Cheques
13 Cheques
Cheques drawn on any account containing moneys belonging to the Fund in any bank, building society or credit union shall be signed as prescribed by the regulations.
s 13: Am 1996 No 24, Sch 1.
Division 2
The Trustees of the Fund
Division 2 The Trustees of the Fund
Division 2 The Trustees of the Fund
14
Trustees of the Fund
14 Trustees of the Fund
14 Trustees of the Fund
(1) The trustees of the Fund are—
(a) 7 members of the Parliamentary Contributory Superannuation Scheme appointed by the trustees (an appointed trustee), and
(b) the Secretary of the Treasury.
(2) An appointed trustee vacates office on ceasing to be a member of the Parliamentary Contributory Superannuation Scheme.
(3) On a vacancy occurring in the office of appointed trustee, for any reason, the trustees must appoint a member of the Parliamentary Contributory Superannuation Scheme to replace the vacating trustee.
(4) An appointed trustee may be removed by—
(a) the trustees, or
(b) after consultation with the trustees, the Treasurer on reasonable grounds.
(5) Subject to this section, an appointed trustee holds office for the period specified in the trustee’s instrument of appointment, which must not exceed 4 years.
(6) An appointed trustee is eligible for reappointment.
s 14: Am 1979 No 132, Sch 1 (2); GG No 99 of 10.7.1981, p 3735; 1987 No 48, Sch 32; 1988 No 131, Sch 29; 1991 No 95, Sch 3 (11); 2014 No 88, Sch 1.19. Subst 2022 No 29, Sch 1.5[1].
14A
Trustees to be a body corporate
14A Trustees to be a body corporate
14A Trustees to be a body corporate
(1) There is constituted by this Act a body corporate with the corporate name of the Trustees of the Parliamentary Contributory Superannuation Fund.
(2) The body corporate is to consist of the trustees who are holding office under section 14.
s 14A: Ins 1991 No 95, Sch 3 (12).
15
Functions of trustees
15 Functions of trustees
15 Functions of trustees
(1) The functions of the trustees are—
(a) to administer the Parliamentary Contributory Superannuation Scheme, and
(b) to ensure that the Fund is invested and managed in accordance with this Act, and
(c) to pay benefits to or in respect of members and former members, and
(d) to make such other payments as are provided for by this Act.
(2) The trustees are trustees for the purposes of the Trustee Act 1925 and are required to hold in trust for the persons entitled to benefits under this Act all contributions and other money paid or payable to the trustees.
(3) The trustees must use the assets of the Fund to pay benefits to or in respect of the members and former members and to pay the costs and expenses of the investment and management of the Fund.
(4) The trustees have power in New South Wales and elsewhere to do all things necessary or convenient to be done for, or in connection with, the exercise of the functions specified in subsection (1) and, in particular, may—
(a) engage investment advisers and other kinds of consultants, and
(b) appoint agents and attorneys and act as agent for others, and
(c) take action to control or manage, or to enhance or protect, the value of any investment made out of the Fund, or to enhance or protect the return on any such investment.
(5) In exercising their functions, the trustees must—
(a) have regard to the interests of members and other persons entitled to benefits under this Act, and
(b) have regard to the Heads of Government Agreement, that commenced on 1 July 1996, relating to the exemption of certain State public sector superannuation schemes from the Superannuation Industry (Supervision) Act 1993 of the Commonwealth, and
(c) have regard to the future liabilities of the fund.
s 15: Subst 1991 No 95, Sch 3 (13). Am 1997 No 42, Sch 1.2 [6]; 1999 No 89, Sch 1 [4].
15A
Trustees may delegate their functions
15A Trustees may delegate their functions
15A Trustees may delegate their functions
The trustees may delegate to—
(a) a trustee, or
(b) a committee that consists of or includes one or more trustees, or
(c) a person whose services are made use of under section 15B,
any of their functions, other than this power of delegation.
ss 15A–15C: Ins 1991 No 95, Sch 3 (14).
15B
Staff of the trustees
15B Staff of the trustees
15B Staff of the trustees
The trustees may, with the approval of the Minister or authority concerned, arrange for the use of the services of any staff, or the facilities, of a Government department, an administrative office or a public or local authority.
ss 15A–15C: Ins 1991 No 95, Sch 3 (14).
15C
Trustees may establish committees
15C Trustees may establish committees
15C Trustees may establish committees
(1) The trustees may establish committees to assist them in exercising their functions.
(2) A person may be appointed as a member of such a committee even though he or she may not be a trustee.
(3) The procedure for calling meetings of such a committee and for the conduct of business at those meetings may be decided by the trustees or, subject to any decision of the trustees, by the committee.
ss 15A–15C: Ins 1991 No 95, Sch 3 (14).
16
Meetings of trustees
16 Meetings of trustees
16 Meetings of trustees
(1) There shall be a chairperson and a vice-chairperson of the trustees, each of whom shall be appointed by the trustees.
(1A) (Repealed)
(2) The chairperson, or in his or her absence from any meeting, the vice-chairperson, shall preside at any meetings of the trustees and in the absence from any meeting of both the chairperson and the vice-chairperson the trustees may elect one of their number to preside at that meeting.
(3) The trustees may act by a majority of those present at any meeting of the trustees at which a quorum is present.
(4) The procedure at any meeting of the trustees shall, subject to the provisions of the regulations, be such as the trustees may determine, and the quorum for any meeting of the trustees shall be 4 trustees.
(5) A direction of the trustees shall continue in force until revoked by a subsequent direction of the trustees, notwithstanding any changes in the persons who are trustees and notwithstanding that, for any other reason, there are for a time no trustees.
s 16: Am 1979 No 132, Sch 1 (3); 1991 No 95, Sch 3 (15); 2022 No 29, Sch 1.5[2] [3].
17
Appointment of person to act in absence of Secretary of the Treasury
17 Appointment of person to act in absence of Secretary of the Treasury
17 Appointment of person to act in absence of Secretary of the Treasury
The Minister may appoint the Deputy Secretary of the Treasury or some other officer of the Treasury to act in place of the Secretary of the Treasury as trustee during the illness or absence of the Secretary of the Treasury, and any person so appointed shall while so acting exercise and perform all the powers, authorities, duties, functions and obligations of a trustee.
s 17: Am GG No 99 of 10.7.1981, p 3735; 1988 No 131, Sch 29; 1991 No 95, Sch 3 (16).
17A
Indemnification of trustees etc
17A Indemnification of trustees etc
17A Indemnification of trustees etc
(1) Any matter or thing done, or omitted to be done, in good faith by—
(a) a trustee in the exercise of the trustee’s functions under this Act, or
(b) a person acting in accordance with the directions of the trustees,
does not subject the trustee or person personally to any action, liability, claim or demand.
(2) Subsection (1) does not preclude the trustees from being subject to any action, liability, claim or demand.
s 17A: Ins 1991 No 95, Sch 3 (17).
Part 3
Contributions, pensions and benefits
Part 3 Contributions, pensions and benefits
Part 3 Contributions, pensions and benefits
18
Deductions from salaries of members
18 Deductions from salaries of members
18 Deductions from salaries of members
From each instalment of salary payable to a member, commencing with the first instalment paid after the commencement of the Parliamentary Contributory Superannuation (Amendment) Act 1979, there shall be deducted an amount equal to 12½ per cent of the gross amount of the instalment before any deductions.
s 18: Subst 1979 No 132, Sch 1 (4).
18AA
Salary sacrifice contributions
18AA Salary sacrifice contributions
18AA Salary sacrifice contributions
(1) The whole or part of the amount required to be deducted from the salary of a member under this Act may be paid by salary sacrifice contributions, if the member elects to make salary sacrifice contributions and the designated employer and the trustees approve of the election.
(2) A salary sacrifice contribution is a contribution paid in accordance with an approval by the designated employer under which the member elects to forgo remuneration yet to be earned and the remuneration foregone is to be applied by the designated employer to the amount required to be deducted from the salary of a member under this Act.
(3) The amount payable for a salary sacrifice contribution to meet the requirement for a salary deduction under this Act is to comprise the following—
(a) the amount necessary (taking into account any deductions not made on a salary sacrifice basis) to meet the required deductions under this Act (the contribution element),
(b) the amount necessary to meet any tax payable under Commonwealth taxation law in respect of the amount paid under paragraph (a).
(4) A salary sacrifice contribution is to be paid within the same period as a deduction from salary under section 18.
(5) An election under this section—
(a) may be made only in respect of future salary instalments, and
(b) is to be in writing to the designated employer, and
(c) is to be accompanied by any information required by the trustees and the designated employer, and
(d) takes effect when it is approved by the designated employer and the trustees, and
(e) may be varied or revoked by notice in writing to the designated employer and the trustees.
(6) In this Act and the regulations, a reference (however expressed) to any of the following is taken to include a reference to the contribution element of a salary sacrifice contribution in accordance with an election under this section—
(a) a deduction from salary,
(b) a contribution by or in respect of a member.
(7) In this Act and the regulations, a reference (however expressed) to—
(a) an employer-financed component of a benefit does not include a reference to a salary sacrifice contribution or any part of a benefit financed by a salary sacrifice contribution, and
(b) an employee-financed component of a benefit includes a reference to a contribution element of a salary sacrifice contribution and any part of a benefit financed by the contribution element of a salary sacrifice contribution.
(8) This section has effect despite any other provision of this Act.
s 18AA: Ins 2009 No 62, Sch 2.2 [4].
18A
Acceptance of contributions
18A Acceptance of contributions
18A Acceptance of contributions
(1) Despite any other provision of this Act, deductions from a member’s salary are not required to be made during any period specified by the trustees for which the trustees determine that they must not accept contributions in respect of the member.
(2) The trustees may make such a determination only if they are of the opinion that it is necessary to do so in order to be consistent with a relevant Commonwealth superannuation standard.
(3) A period in respect of which deductions are not made under this section is not to be taken into account when determining the member’s superannuation benefit under section 19.
s 18A: Ins 1993 No 111, Sch 7. Am 1997 No 42, Sch 1.2 [7].
18B
Election to cease salary deductions on reaching age 65
18B Election to cease salary deductions on reaching age 65
18B Election to cease salary deductions on reaching age 65
(1) A member may elect, by notice in writing served on the trustees, to cease to have deductions from salary instalments made under section 18 if—
(a) the member is 65 years or more of age, and
(b) the member has been entitled to salary in respect of an aggregate period of 20 years or more (including any period before the commencement of this section).
(2) A member may not revoke an election made under this section.
(3) An election made under this section takes effect when it is approved by the trustees.
(4) On the election taking effect, deductions from the member’s salary are not required to be made under this Act.
(5) An election under this section continues to have effect if, after ceasing to be a member, the person again becomes a member.
(6) A benefit payable under this Act to or in respect of a member who makes an election under this section is to be calculated as if the member ceased to be entitled to receive salary on the day the election took effect.
(7) A benefit is not payable under this Act to or in respect of a member who makes an election under this section until it is payable under another provision of this Act.
s 18B: Ins 2005 No 110, Sch 1 [2].
19
Members’ superannuation benefit
19 Members’ superannuation benefit
19 Members’ superannuation benefit
(1) Subject to this Act, a person who has been entitled to salary (either after or partly before and partly after the commencement of this Act) in respect of an aggregate period of 7 years or more shall, on ceasing to be a member and to be entitled to salary, be entitled to be paid out of the Fund until death an annual pension at the rate ascertained in accordance with the formula—
where—
A is an amount calculated at the rate equal to the aggregate of 48.8 per cent of current basic salary and, in respect of each month during which the person was entitled to receive salary as a member exceeding in the aggregate 7 years, 0.2 per cent of current basic salary, or the rate of 80 per cent of current basic salary, whichever is the lesser,
B is the total salary received by that person, and
C is the total basic salary in respect of that person.
(1A), (1B) (Repealed)
(2) For the purpose of calculating any instalment of pension payable under subsection (1) at any particular time, current basic salary means—
(a) where the person entitled to the instalment last served as a member in the Legislative Council—the salary payable at that particular time to a member of the Legislative Council (other than a Minister of the Crown or a recognised office holder within the meaning of the Parliamentary Remuneration Tribunal Act 1975 and other than a recognised office holder within the meaning of the Parliamentary Remuneration Act 1989) and expressed at an annual rate, or
(b) where the person entitled to the instalment last served as a member in the Legislative Assembly—the salary payable at that particular time to a member of the Legislative Assembly (other than a Minister of the Crown or a recognised office holder within the meaning of the Parliamentary Remuneration Tribunal Act 1975 and other than a recognised office holder within the meaning of the Parliamentary Remuneration Act 1989) and expressed at an annual rate.
(3) For the purpose of subsection (1), the total salary received by a person shall not include any salary which that person received in respect of any period before the first day of January, one thousand nine hundred and fifty-two.
(4) For the purpose of subsection (1), the total basic salary of a person who is entitled to a pension and who last served in the Legislative Council is the sum of the following amounts—
(a) the total amount (if any) that, during any period (not being a period before 1 January 1952) during which that person was entitled to salary, was payable from time to time as salary or allowances to a member of the Legislative Council under section 17G of the Constitution Act 1902 other than—
(i) any expense allowance or living away from home allowance, or
(ii) any amount payable as an allowance to that member only in his or her capacity as the person recognised as the principal representative of the members of the Legislative Council not being supporters of the Government or as salary to that member only in his or her capacity as the President, or Chair of Committees, of the Legislative Council, and
(b) the total amount (if any) that, during any period during which that person was entitled to salary, was payable from time to time as remuneration under the Parliamentary Remuneration Tribunal Act 1975 to a member of the Legislative Council (other than a Minister of the Crown or a recognised office holder within the meaning of that Act), excluding any portion thereof specified under section 7A of that Act as being in the nature of an allowance for expenses, and
(c) the total amount (if any) that, during any period during which that person was entitled to salary, was payable from time to time as remuneration by way of basic salary or additional salary under the Parliamentary Remuneration Act 1989 to a member of the Legislative Council (other than a recognised office holder within the meaning of that Act).
(4A) For the purpose of subsection (1), the total basic salary of a person who is entitled to a pension and who last served in the Legislative Assembly is the sum of the following amounts—
(a) the total amount (if any) that, during any period (not being a period before 1 January 1952) during which that person was entitled to salary, was payable from time to time as salary or allowances to a member of the Legislative Assembly under section 28 of the Constitution Act 1902, other than any electoral allowance, special expenses allowance or additional allowance, and
(b) the total amount (if any) that, during any period during which that person was entitled to salary, was payable from time to time as remuneration under the Parliamentary Remuneration Tribunal Act 1975 to a member of the Legislative Assembly (other than a Minister of the Crown or a recognised office holder within the meaning of that Act), excluding any portion thereof specified under section 7A of that Act as being in the nature of an allowance for electoral or other expenses, and
(c) the total amount (if any) that, during any period during which that person was entitled to salary, was payable from time to time as remuneration by way of basic salary or additional salary under the Parliamentary Remuneration Act 1989 to a member of the Legislative Assembly (other than a recognised office holder within the meaning of that Act).
(5) Notwithstanding anything contained in this section, other than this subsection, where the annual pension of a former member who last served in the Legislative Council would, but for this subsection, be greater than his or her entitlement to the annual pension ascertained on the basis of this subsection, he or she shall be entitled to an annual pension at the rate to which he or she would have been entitled—
(a) had he or she been a member of the Legislative Assembly during the whole of the period he or she was a member of the Legislative Council,
(b) had he or she held an office in the Legislative Assembly of the like nature to that which he or she held in the Legislative Council (the office of Vice-President of the Executive Council being regarded for the purpose of this paragraph as the office of a Minister) for any period during which he or she held such an office in the Legislative Council, and
(c) had his or her total salary included, if he or she held at any time the office of Leader or Deputy Leader of the Government in the Legislative Council, any salary which he or she was entitled to receive as the holder of that office.
(6) If the trustees have made a determination under section 26D in relation to a benefit provided by this section, the amount of the benefit is reduced by the amount specified in the trustees’ determination.
(7) (Repealed)
(8) Where by the operation of section 13A of the Constitution Act 1902 the seat of a member becomes vacant, the member shall not be entitled to a pension under this Act but shall be entitled to have refunded to him or her the amounts deducted under this Act or the former Act from salary paid to him or her less any amount previously refunded to him or her under this subsection or under the former Act and the amount of any reduction resulting from a determination under section 26D.
(9) Notwithstanding anything contained in this Part, other than this subsection, where a former member has served in both the Legislative Council and the Legislative Assembly and the trustees are satisfied that the annual pension (in this subsection referred to as basic annual pension) of that former member is less than the annual pension to which he or she would have been entitled under this Part, other than this subsection, had that former member not served in the Legislative Council, the trustees may in their absolute discretion direct payment to that former member of an annual pension, additional to his or her basic annual pension, of such amount as the trustees think fit, but so that the aggregate of the amount of the basic annual pension and the amount of the additional annual pension under this subsection does not exceed the annual pension that would have been payable to him or her under this Part had that former member not served in the Legislative Council.
s 19: Am 1975 No 67, secs 12 (a), 13 (b); 1979 No 6, sec 3; 1979 No 132, Sch 1 (5); 1981 No 86, Sch 1 (2), 1989 No 160, Sch 3 (2); 1991 No 95, Sch 3 (18); 1997 No 149, Sch 1.2 [5] [6]; 2007 No 27, Sch 1.34.
19AA
Member or former member charged with or convicted of serious offence
19AA Member or former member charged with or convicted of serious offence
19AA Member or former member charged with or convicted of serious offence
(1) This section applies in respect of a person—
(a) who ceases to be a member while proceedings for a serious offence are pending against the person, or
(b) who ceased to be a member if proceedings for a serious offence are instituted against the person for conduct that occurred when the person was a member.
(2) Any entitlement of such a person as a former member to receive a pension under this Part is suspended while proceedings for the serious offence are pending against the former member. However, the trustees may lift the suspension and reinstate the person’s entitlement to a pension pending the finalisation of the proceedings if satisfied that the suspension is not in the public interest.
(3) If the finalisation of the proceedings results in the person not being convicted of any serious offence, the suspension of pension entitlement is lifted and the person’s entitlement to a pension is reinstated.
(4) If the finalisation of the proceedings results in the person being convicted of a serious offence—
(a) the person ceases to have any entitlement to receive a pension or any further payment of a pension under this Part, and any pension already paid is to be repaid to the Fund, and
(b) any election under section 20 (Right to convert pension to lump sum entitlement) in respect of the pension (since the person last became a member) is of no effect and is taken never to have been made, and any lump sum payment made under this Part pursuant to any such election is to be repaid to the Fund, and
(c) the person’s net contributions are to be refunded to the person,
except as otherwise provided by this section.
(4A) If the person, before being convicted of the serious offence, had been in receipt of a pension or had received a lump sum payment pursuant to an election under section 20, the trustees may refund net contributions by deducting the amount of the refund from any pension already paid, or any lump sum payment, that the person is required to repay to the Fund under subsection (4).
(4B) If the conviction of the person is quashed by a court after the finalisation of the proceedings for the serious offence, the trustees must, on application by the person, reinstate the person’s pension and repay to the person any amount of pension, or any part of the lump sum, that the person has repaid to the Fund.
(5) If proceedings for a serious offence cease to be pending before the proceedings are finalised, the suspension of pension entitlement is lifted and the person’s entitlement to a pension is reinstated.
(6) If a person’s entitlement to a pension is reinstated following the lifting of a suspension or following the quashing of the person’s conviction—
(a) the reinstatement has effect from immediately before the entitlement to pension was suspended or terminated and as if the entitlement had not been suspended or terminated, and
(b) an election may be made under section 20 (2) within 3 months after the entitlement is reinstated.
(7) While a former member’s entitlement to a pension is suspended under this section, the trustees may authorise payment to the former member from the Fund of an advance on the refund of the former member’s net contributions under subsection (4) (c). However, if the suspension of the former member’s entitlement to a pension is lifted, any such advance is to be repaid or recouped by the trustees by deduction from any pension or other payment due to the former member on the lifting of the suspension.
(8) Criminal proceedings are not considered finalised for the purposes of this section until the end of the appeal period and until any appeal against conviction or acquittal, lodged within the appeal period, has been determined or has lapsed or been withdrawn. The appeal period is—
(a) the period within which an appeal may be lodged (but excluding any extension to that period that a court may grant), or
(b) the period of 12 months after the conviction or acquittal,
whichever is the earlier.
(8A) Criminal proceedings that result in a person being convicted or acquitted are still pending for the purposes of this section until they are finalised for the purposes of this section.
(9) This section extends to proceedings taken outside New South Wales.
(10) In this section—
cease to be a member means cease to be a member and to be entitled to salary.
net contributions means the amounts deducted under this Act or the former Act from salary paid to the person less any amount previously refunded to him or her (under this section or otherwise) and less the amount of any reduction resulting from a determination under section 26D.
serious offence means—
(a) an offence committed in New South Wales that is punishable by imprisonment for life or for a term of 5 years or more or an offence committed elsewhere than in New South Wales that, if committed in New South Wales, would be an offence so punishable, or
(b) an infamous crime.
s 19AA: Ins 2006 No 93, Sch 1 [1]. Am 2017 No 18, Sch 1 [1]–[8].
19A
Variation of certain annual pensions
19A Variation of certain annual pensions
19A Variation of certain annual pensions
(1) In this section—
former member means a person who—
(a) last served as a member of the Legislative Council, and
(b) ceased to be such a member on or before 6 November 1978.
prescribed time means—
(a) 1 January 1980, and
(b) any time after 1 January 1980 at which the salary payable to a member of the Legislative Assembly (other than a Minister of the Crown or a recognised office holder within the meaning of the Parliamentary Remuneration Tribunal Act 1975 and other than a recognised office holder within the meaning of the Parliamentary Remuneration Act 1989) is varied.
(2) Notwithstanding anything in section 19 or 23, where—
(a) a former member is entitled to an annual pension under section 19, or
(b) the spouse or de facto partner of a former member is entitled to an annual pension under section 23,
the amount of the annual pension payable from the Fund to that former member or to that spouse or de facto partner, as the case may be, immediately before a prescribed time is varied at and from that prescribed time in the same manner and by the same percentage as the variation at that prescribed time of the salary payable to a member of the Legislative Assembly other than a Minister of the Crown or a recognised office holder within the meaning of the Parliamentary Remuneration Tribunal Act 1975 and other than a recognised office holder within the meaning of the Parliamentary Remuneration Act 1989.
(3) The amount of the annual pension payable from the Fund to a person to whom subsection (2) applies may be varied only in accordance with that subsection.
s 19A: Ins 1980 No 18, sec 3. Subst 1981 No 86, Sch 1 (3). Am 1989 No 160, Sch 3 (3); 1996 No 92, Sch 1.4 (2); 2010 No 19, Sch 3.71 [2].
19B
Deferral of certain pensions
19B Deferral of certain pensions
19B Deferral of certain pensions
(1) Despite any other provision of this Act, a pension, or part of a pension, payable under section 19 to a former member is payable by the trustees to the former member only if—
(a) the former member has attained the age of 55 years, or
(b) a pension is payable under section 19D or 19E.
(2) (Repealed)
(3) In this section, and sections 19C–19F, a pension, or part of a pension, that is not payable because of this section is a deferred pension.
s 19B: Ins 1999 No 89, Sch 1 [5]. Am 2005 No 110, Sch 1 [3].
19C
Calculation of deferred pension
19C Calculation of deferred pension
19C Calculation of deferred pension
(1) The value of a deferred pension when it first becomes payable is to be calculated in accordance with section 19 as at the date the former member ceased to be a member, except that the current basic salary for the purpose of that section is to be calculated as at the date the deferred pension becomes payable under section 19B.
(2) If a former member in respect of whom a pension has been deferred under section 19B dies—
(a) section 23 (2) applies in respect of the spouse or de facto partner of the former member in the same way as it applies in respect of the spouse or de facto partner of a member who has been entitled to salary for an aggregate period of 7 years or more, and
(b) section 23B applies in respect of a dependent child of the former member in the same way as it applies in respect of a dependent child of a deceased member or former member.
ss 19C–19F: Ins 1999 No 89, Sch 1 [5].
19D
Payment of deferred pension in cases of hardship
19D Payment of deferred pension in cases of hardship
19D Payment of deferred pension in cases of hardship
(1) The trustees may, on the written application of a former member, pay the former member the former member’s deferred pension on the ground of the former member’s financial hardship.
(2) In determining whether a pension is payable to a former member under this section, the trustees must have regard to the following matters—
(a) the financial circumstances of the former member and his or her capacity to meet reasonable and immediate financial commitments,
(b) any other matters the trustees think relevant and appropriate.
ss 19C–19F: Ins 1999 No 89, Sch 1 [5].
19E
Payment on grounds of ill-health or incapacity
19E Payment on grounds of ill-health or incapacity
19E Payment on grounds of ill-health or incapacity
(1) The trustees may, on the written application of a former member, pay the former member the former member’s deferred pension on the ground of the former member’s ill-health or physical or mental incapacity.
(2) The trustees must not determine that a pension is payable under this section unless the trustees are satisfied that the former member would, if still a member, be incapable of performing the duties of a member because of ill-health or physical or mental incapacity.
(3) For the purposes of satisfying the trustees that a pension is payable under this section, the former member must provide such medical and other evidence or information as the trustees require.
(4) In particular, the medical evidence must include a certificate or certificates acceptable to the trustees, signed by 2 medical practitioners, certifying that the former member would, if still a member, be incapable of performing the duties of a member due to ill-health or physical or mental incapacity.
ss 19C–19F: Ins 1999 No 89, Sch 1 [5].
19F
Applications for payment of deferred pensions
19F Applications for payment of deferred pensions
19F Applications for payment of deferred pensions
(1) A former member may, at any time, lodge with the trustees an application to vary or revoke an application under section 19D or 19E.
(2) An application under section 19D or 19E is to be in a form approved by the trustees for the purposes of this section.
ss 19C–19F: Ins 1999 No 89, Sch 1 [5].
20
Right to convert pension to lump sum entitlement
20 Right to convert pension to lump sum entitlement
20 Right to convert pension to lump sum entitlement
(1) In this section—
entitled to a pension means that a pension is payable by the trustees under this Part.
former member does not include a person who is entitled to a pension under section 22.
(2) Despite anything in this Act, except subsection (2A), the following former members may elect, by notice in writing served on the trustees, to convert the whole or part of the former members’ pension entitlements to lump sum entitlements determined in accordance with subsection (3)—
(a) a former member who is entitled to a pension under this Part but who is not a former member referred to in paragraph (b) or (c),
(b) a former member who becomes, on ceasing to be a person whose right to a pension is suspended under section 25 (2), entitled to a pension under this Part,
(c) a former member who is entitled to a pension as a result of a direction given by the trustees under section 26 (2).
(2A) Notwithstanding subsection (2), a former member referred to in subsection (2) (b) or (c) is not entitled to make an election under subsection (2) if he or she has in respect of any previous event had an opportunity to make an election under subsection (2) since he or she last ceased to be a member.
(2B) For the purposes of subsection (2A), where any event has occurred which entitled a former member to make an election under subsection (2) within the period of three months after the occurrence of that event, as referred to in subsection (11), that former member shall be deemed to have had, in respect of that event, an opportunity to make an election under subsection (2) if—
(a) his or her right to receive a pension under this Part was not suspended under section 25 (2) or section 26 (1) within the period of three months after the occurrence of that event, or
(b) having made an election under subsection (2) within the period of three months after the occurrence of that event, that election was not, by subsection (9), deemed never to have been made.
(3) A lump sum payment referred to in subsection (2) shall be the amount that is ten times the amount of the annual pension entitlement in respect of which the election is made.
(3A) For the purposes of subsection (2), the maximum amount of pension entitlement that may be the subject of an election under that subsection by a former member referred to in subsection (2) (c), is the lesser of the following amounts—
(a) the pension entitlement of the former member, if the entitlement had not been suspended under section 26 (1),
(b) the annual pension entitlement directed to be paid to the former member under section 26 (2) as at the date from which a pension is first payable to the former member under section 26 (2),
(c) the annual pension entitlement of the former member as at the date immediately before the election under this section is received by the trustees.
(4) A former member who makes an election under subsection (2) shall be entitled to receive from the trustees a lump sum payment calculated under subsection (3) and any pension payable under this Part to that former member in respect of any period which commenced on or after the day on which the election is received by the trustees shall (except a pension payable pursuant to a pension entitlement arising by virtue of a direction given under section 26 (2) the amount of which has been reduced by reason of his or her having received that lump sum) be reduced in accordance with section 21B.
(5) Notwithstanding any other provision of this section, any lump sum payment under this section shall first be applied by the trustees in or towards paying into the Fund the outstanding amount of any repayment under section 24 by the former member who made the election under this section in respect of that lump sum.
(6) Notwithstanding anything in this section, where the trustees are of the opinion that a former member—
(a) who has become entitled to a pension under this Part, and
(b) who has, under subsection (2), made an election in respect of a prescribed part of his or her pension entitlement,
would, within twelve months after his or her so becoming entitled, be likely to have his or her pension cease or suspended under section 25 or 19AA, the operation of that election shall, subject to subsection (7), be deferred for such period not exceeding twelve months as the trustees may determine.
(7) The trustees may at any time reduce the period of deferment of an election under subsection (6).
(8) During the period of deferment of his or her election, a former member is entitled to payment of his or her annual pension entitlement under this Part.
(9) If, during the period of deferment of his or her election, the pension of a former member ceases or is suspended under section 25 or 19AA, that election shall be deemed never to have been made.
(10) Where, during the period of deferment of his or her election, the pension of a former member does not cease or is not suspended under section 25 or 19AA, the lump sum that would have been payable under subsection (3) but for the deferment shall become payable to him or her less payments made to him or her pursuant to subsection (8) in respect of that part of his or her annual pension entitlement that was the subject of his or her election.
(11) An election under subsection (2) must be made—
(a) in the case of a former member referred to in subsection (2) (a)—not later than 3 months after the former member becomes entitled to a pension under this Part,
(b) in the case of a former member referred to in subsection (2) (b)—not later than 3 months after the former member ceases to be a person whose right to a pension is suspended under section 25 (2),
(c) in the case of a former member referred to in subsection (2) (c)—not later than 3 months after the giving of the direction under section 26 (2) that resulted in the former member first becoming entitled to a pension under section 26 (2) and that was given after the former member’s pension was last suspended under section 26 (1).
s 20: Am 1972 No 71, sec 2 (1) (a); 1979 No 132, Sch 1 (6); 1981 No 86, Sch 1 (4); 1989 No 159, Sch 1 (1); 1991 No 95, Sch 3 (19); 1999 No 89, Sch 1 [6]–[13]; 2005 No 110, Sch 1 [4] [5]; 2017 No 18, Sch 1 [9].
21
Provisions applicable when the person becomes a member after receiving a pension as a former member
21 Provisions applicable when the person becomes a member after receiving a pension as a former member
21 Provisions applicable when the person becomes a member after receiving a pension as a former member
Notwithstanding anything in this Act where a person who on ceasing to be a member converted part of his or her pension entitlement to a lump sum payment under section 20 and again becomes a member and that person again becomes entitled to a pension under this Part, the amount of the annual pension payable to him or her shall be reduced in accordance with section 21B.
s 21: Am 1989 No 159, Sch 1 (2).
21A
Interpretation of annual pension entitlement for purposes of secs 20, 21 and 25
21A Interpretation of annual pension entitlement for purposes of secs 20, 21 and 25
21A Interpretation of annual pension entitlement for purposes of secs 20, 21 and 25
For the purposes of sections 20, 21 and 25—
(a) the total annual pension to which a former member referred to in subsection (9) of section 19 is entitled, or
(b) the annual pension for the time being directed to be paid to a person under subsection (2) of section 26,
shall be deemed to be the annual pension entitlement of that former member or that person, as the case may be.
s 21A: Ins 1972 No 71, sec 2 (1) (b).
21B
Calculation of pensions following conversion to lump sum
21B Calculation of pensions following conversion to lump sum
21B Calculation of pensions following conversion to lump sum
(1) This section applies where the amount of pension payable to a person is to be reduced, under section 20 (4) or 21, because of an election under section 20 to convert part of a pension entitlement to a lump sum.
(2) The annual pension is to be reduced—
(a) in the case of a person who, immediately before the commencement of the Parliamentary Contributory Superannuation (Amendment) Act 1989, was a member or in receipt of a pension under this Part—by the amount of annual pension in respect of which the election was made, or
(b) in any other case—by an amount calculated in accordance with the following formula—
where—
R represents the amount of the reduction.
C represents the amount of annual pension in respect of which the election concerned was made.
E represents the annual pension entitlement immediately before the election concerned was made.
F represents the amount that would be the current annual pension entitlement of the former member if he or she had not made the election concerned.
(3) In the event that any person—
(a) by becoming a member on a second or subsequent occasion, has become for a second or subsequent time entitled to a pension under this Part, and
(b) has made an election or elections under section 20,
the person’s pension is to be reduced in accordance with subsection (2) in respect of the first and any subsequent election made.
(4) In the case of a person to whom subsection (3) applies who makes more than one election—
(a) successive reductions of pension are to be calculated using the formula given in subsection (2) (a), in the case of a member referred to in subsection (2) (a), or subsection (2) (b), in the case of a member referred to in subsection (2) (b), and
(b) for the purposes of any such calculation, the values to be assigned to the symbols E and F in that formula are to reflect any reduction of annual pension entitlement resulting from previous calculations.
s 21B: Ins 1989 No 159, Sch 1 (3). Am 1993 No 111, Sch 7.
22
Pension on retirement on grounds of ill-health
22 Pension on retirement on grounds of ill-health
22 Pension on retirement on grounds of ill-health
(1) Where a member produces to the trustees such medical and other evidence as satisfies them that he or she has ceased to be a member because he or she has been rendered incapable of performing the duties of a member by reason of ill-health or physical or mental incapacity, he or she shall if he or she is not entitled to a pension under this Part other than this section, be entitled to a pension calculated in accordance with the formula specified in subsection (1) of section 19.
(1A) The medical evidence referred to in subsection (1) must include a certificate or certificates acceptable to the trustees, signed by 2 medical practitioners, certifying that the member is incapable of performing the duties of a member due to ill-health or physical or mental incapacity.
(2) Notwithstanding the provisions of subsection (1), a person who, after the commencement of this Act, becomes, on any occasion, a member otherwise than by reason of his or her re-election at a general election immediately before which he or she was a member shall not be entitled to a pension under that subsection upon his or her next ceasing after that occasion to be a member unless between that occasion and his or her so next ceasing to be a member he or she has furnished to the trustees a certificate approved by the trustees of a medical practitioner so approved certifying that a medical practitioner authorised by the trustees for the purposes of this subsection has reported to the medical practitioner so approved that the medical practitioner so authorised has examined that person in accordance with the requirements of the trustees and that the medical practitioner so approved is satisfied that that person is not suffering from any physical or mental condition that is likely to render him or her incapable, before the expiration of 7 years from the date of the certificate, of performing the duties of a member.
(3) If the trustees have made a determination under section 26D in relation to a benefit provided by this section, the amount of the benefit is reduced by the amount specified in the trustees’ determination.
s 22: Am 1972 No 71, sec 2 (1) (c); 1979 No 132, Sch 1 (7); 1981 No 86, Sch 1 (5); 1991 No 95, Sch 3 (3) (20); 1997 No 149, Sch 1.2 [7].
22A
Contributors not entitled to pension
22A Contributors not entitled to pension
22A Contributors not entitled to pension
(1) In this section—
refund of contributions, in relation to a person who ceases to be a member, means a refund of that person’s contributions and any contributions made by the person under the former Act less any amount (not being an amount which that person has contracted to repay to the Fund pursuant to section 24) previously paid to the person under this Act or under the former Act as a refund of contributions.
supplementary benefit, in relation to a person who ceases to be a member, means the amount that is two and one-third times—
(a) in the case of a person who has been entitled to salary for an aggregate period of less than 7 years—the amount of the refund of contributions in relation to that person, or
(b) in any other case—the amount that would be the amount of the refund of contributions in relation to that person if the last 7 years during which the person was entitled to salary was the only period during which the person was entitled to salary.
(2) A person who ceases to be a member after the date of assent to the Parliamentary Contributory Superannuation (Amendment) Act 1981, otherwise than by reason of death or by reason of the operation of section 13A of the Constitution Act 1902, and who is not entitled to a pension under this Part shall be entitled to a refund of contributions and—
(a) where the person ceases to be a member involuntarily within the meaning of subsection (3)—payment of the supplementary benefit, or
(b) in any other case—payment of one-half of the supplementary benefit.
(3) For the purposes of subsection (2), a person ceases to be a member involuntarily if—
(a) notwithstanding anything in this subsection, the person has attained the age of 60 years at the time when the person ceases to be a member,
(b) the person ceases to be a member by reason of resignation for reasons which to the trustees appear to be good and sufficient, or
(c) the person ceases to be a member by reason of the termination, either by dissolution or expiry, of a Legislative Assembly and the person—
(i) does not become a candidate at the general election next following that termination by reason of not securing the support of the political party to which the person belonged immediately before so ceasing to be a member,
(ii) becomes a candidate but is defeated at that general election, or
(iii) does not stand for election at that general election for reasons which to the trustees appear to be good and sufficient.
(b) that person is not survived by a widow or widower or, if that person died on or after the commencement of Schedule 1.4 [3] to the Superannuation Legislation Amendment Act 1996, by a spouse or de facto partner, and
(c) no pension is payable under section 23B in respect of a dependent child of that person,
the personal representative of that person shall be entitled to the amount, if any, by which the aggregate of the refund of contributions and payment of the supplementary benefit in relation to that person exceeds the aggregate of any instalments of pension and any other benefit (except a refund of contributions and any interest thereon) paid or payable under this Part in relation to that person.
(5) Notwithstanding any other provision of this section, any payment under this section shall first be applied by the trustees in or towards paying into the Fund the outstanding amount of any repayment under section 24 by the person to whom or in respect of whom that payment is required to be made.
(6) If the trustees have made a determination under section 26D in relation to a benefit provided by this section, the amount of the benefit is reduced by the amount specified in the trustees’ determination.
s 22A: Ins 1979 No 132, Sch 1 (8). Subst 1981 No 86, Sch 1 (6). Am 1996 No 92, Sch 1.4 (3); 1997 No 149, Sch 1.2 [8].
22B
Compulsory preservation of benefits
22B Compulsory preservation of benefits
22B Compulsory preservation of benefits
(1) The trustees must, when a lump sum becomes payable under this Act, preserve all or so much of the lump sum as is required to be preserved so as to be consistent with a relevant Commonwealth superannuation standard.
(2) The amount of the lump sum that must be preserved under this section in respect of a former member is the amount determined by the trustees, after obtaining actuarial advice.
(3) The amount of a benefit that must be preserved under this section is to be preserved in the Fund together with interest from the member’s exit date to the date of payment at a rate determined by the trustees.
(4) The trustees may establish and maintain within the Fund such accounts and reserves as, in the opinion of the trustees, are necessary or convenient for the administration of this section.
(5) The trustees may, from time to time, adjust any account or reserve established under this section by—
(a) deducting amounts for the trustees’ administration costs in respect of the preserved benefit, and
(b) adjusting it for interest at a rate determined by the trustees, having regard to the income of the Fund and such other matters as the trustees consider relevant.
s 22B: Ins 1993 No 111, Sch 7. Am 1995 No 99, Sch 1; 1996 No 92, Sch 1.4 (4); 1997 No 42, Sch 1.2 [8]–[10]; 1997 No 149, Sch 1.2 [9]. Subst 1999 No 89, Sch 1 [14].
22BA
Payment of compulsorily preserved benefit
22BA Payment of compulsorily preserved benefit
22BA Payment of compulsorily preserved benefit
(1) The whole or part of a benefit preserved under section 22B is payable by the trustees in the circumstances in which the whole or part of a benefit may be paid under a relevant Commonwealth superannuation standard.
(2) The whole or part of a benefit preserved under section 22B must be paid by the trustees, if it is required to be paid under a relevant Commonwealth superannuation standard.
(3) The benefit is payable—
(a) unless the former member has died—to the former member, or
(b) if the former member has died and is survived by a spouse or de facto partner—to the surviving spouse or de facto partner, or
(c) if the former member has died and is not survived by a spouse or de facto partner—to the personal representatives of the former member or such other persons as the trustees direct.
(4) Nothing in this section affects payment of a benefit under section 28A or 28B.
(5) Without limiting subsection (1) or (2), the whole or part of a benefit preserved under section 22B may, at any time, on the election of the former member in respect of whom it is preserved, be paid in one or more of the following ways—
(a) to a regulated superannuation fund,
(b) to an approved deposit fund,
(c) to an RSA,
(d) to a life insurance company or a registered organisation, for the purchase of a deferred annuity, if the conditions set out in subsection (6) are satisfied.
(6) A deferred annuity may be purchased if it is issued by a life insurance company or a registered organisation for the benefit of the person or for the benefit of the dependants of the person in the event of the death of the person and—
(a) the annuity cannot be surrendered or assigned before the person is aged 55 years, and
(b) the annuity does not provide for the payment of amounts except in the following circumstances—
(i) the person retires from the workforce after reaching 55 years,
(ii) the person retires from the workforce before reaching 55 years on the ground of permanent incapacity or invalidity,
(iii) the person dies,
(iv) in such other circumstances as are approved by the trustees.
(1) On the death of a former member who immediately before his or her death was receiving, or was entitled to receive, a pension under this Part, the spouse or de facto partner (not being a person who became the spouse or de facto partner of the former member after the former member became entitled to that pension) of the former member shall be entitled to an annual pension at the rate of—
(a) three-quarters of the pension that would have been payable from time to time to the former member but for his or her death or if the former member, pursuant to section 20, had converted part of his or her pension entitlement to a lump sum payment, three-quarters of the pension that would have been payable to the former member but for his or her death and if the former member had not so converted part of his or her pension entitlement, or
(b) forty-five per cent of current basic salary,
according to whichever rate of pension calculated under paragraph (a) or (b) would have been greater at the date of the former member’s death.
(1A) On the death of a former member who, immediately before his or her death on or after the commencement of this subsection, was receiving or was entitled to receive a pension under this Part, an eligible spouse or de facto partner of the former member is entitled—
(a) if the former member and the eligible spouse or de facto partner had been married or living in the relationship for 3 years or more immediately before the death—to an annual pension calculated in accordance with subsection (1), or
(b) if the former member and the eligible spouse or de facto partner had been married or living in the relationship for less than 3 years immediately before the death—to an annual pension calculated in accordance with subsection (1), but reduced on a pro rata basis according to the proportion that the period of the marriage or relationship bears to 3 years.
(2) On the death of a member who has been entitled to salary for an aggregate period of 7 years or more, the spouse or de facto partner of the member shall be entitled to an annual pension at the rate of—
(a) three-quarters of the pension that would have been payable from time to time to the member but for his or her death if the member had ceased to be a member on the date of his or her death and been entitled to a pension under section 19 (1), or
(b) forty-five per cent of current basic salary,
according to whichever rate of pension calculated under paragraph (a) or (b) would have been the greater at the date of the member’s death.
(3) On the death of a member who has been entitled to salary for an aggregate period of less than 7 years, the spouse or de facto partner of the member shall be entitled to an annual pension at the rate of forty-five per cent of current basic salary.
(3A) A pension to which the spouse or de facto partner of a former member or of a member is entitled under this section shall cease on the death of that spouse or de facto partner.
(4) For the purposes of subsections (1), (2) and (3), current basic salary means—
(a) where the member who has died last served in the Legislative Council—the salary payable from time to time to a member of the Legislative Council (other than a Minister of the Crown or a recognised office holder within the meaning of the Parliamentary Remuneration Tribunal Act 1975 and other than a recognised office holder within the meaning of the Parliamentary Remuneration Act 1989) and expressed at an annual rate, or
(b) where the member who has died last served in the Legislative Assembly—the salary payable from time to time to a member of the Legislative Assembly (other than a Minister of the Crown or a recognised office holder within the meaning of the Parliamentary Remuneration Tribunal Act 1975 and other than a recognised office holder within the meaning of the Parliamentary Remuneration Act 1989) and expressed at an annual rate.
(4A) For the purposes of subsection (1) a former member shall be deemed to have been entitled to receive a pension under this Part at any time if he or she would, but for the provisions of section 25 (2) or 26 (1), have been entitled to receive a pension under this Part at that time.
(5) For the purposes of subsection (1A)—
eligible spouse or de facto partner of a former member means a person—
(a) who became the spouse or de facto partner of the former member after the former member became entitled to a pension, and
(b) who has or had in his or her marriage or relationship with the former member a child, being—
(i) a child of the eligible spouse or de facto partner and the former member who was, in the opinion of the trustees, wholly or substantially dependent on the former member at any time during the marriage or relationship, or
(ii) a child of the former member who was conceived before and born alive after the death of the former member.
(6) (Repealed)
(7) Where a spouse or de facto partner would, but for the provisions of this subsection, be entitled under this section to more than one pension, that spouse or de facto partner shall, subject to this Act, be entitled to the pension which is the higher or highest, or the equal higher or highest, of those pensions.
(8) Where but for this subsection a person entitled to a pension under this section by reason of being the spouse or de facto partner of a former member becomes entitled to a pension under section 19 in respect of service as a member, that person shall, subject to this Act, only be entitled to receive such one of those pensions as that person elects, by notice in writing served on the trustees within one month after becoming entitled to a pension as a former member, to receive.
(9) Notwithstanding anything contained in this Part, other than this subsection, where a former member has served in both the Legislative Council and the Legislative Assembly and the trustees are satisfied that the annual pension (in this subsection referred to as basic annual pension) of the spouse or de facto partner of that former member is less than the annual pension to which that spouse or de facto partner would have been entitled under this Part, other than this subsection, had that former member not served in the Legislative Council, the trustees may in their absolute discretion direct payment to that spouse or de facto partner of an annual pension, additional to her or his basic annual pension, of such amount as the trustees think fit, but so that the aggregate of the amount of the basic annual pension and the amount of the additional annual pension under this subsection does not exceed the annual pension that would have been payable to that spouse or de facto partner under this Part had that former member not served in the Legislative Council.
(a) a pension is not payable under the preceding provisions of this section to the spouse or de facto partner of the former member, but
(b) a pension is payable to the spouse or de facto partner if the spouse or de facto partner became the spouse or de facto partner of the former member before the former member became entitled to a pension, being the pension to which a widow of the former member was or would have been entitled under this section, as in force immediately before the commencement of the Parliamentary Contributory Superannuation (Amendment) Act 1979.
(12) If the trustees have made a determination under section 26D in relation to a benefit provided by subsection (1) (paragraph (a) excepted), (2) or (3), the amount of the benefit is reduced by the amount specified in the trustees’ determination.
s 23: Am 1972 No 71, sec 2 (1) (d); 1975 No 67, secs 12 (b), 13 (c); 1979 No 132, Sch 1 (9); 1981 No 86, Sch 1 (7); 1989 No 160, Sch 3 (4); 1991 No 95, Sch 3 (4) (21), 1996 No 92, Sch 1.4 (5)–(13); 1997 No 149, Sch 1.2 [11]; 2002 No 110, Sch 4 [12] [13]; 2005 No 110, Sch 1 [6].
23A
Right of certain spouses or de facto partners to convert part of pension entitlement to lump sum entitlement
23A Right of certain spouses or de facto partners to convert part of pension entitlement to lump sum entitlement
23A Right of certain spouses or de facto partners to convert part of pension entitlement to lump sum entitlement
(1) In this section, pensioner means a spouse or de facto partner who is, after the commencement of the Parliamentary Contributory Superannuation (Amendment) Act 1979, entitled to a pension under section 19C (2) (a) or 23 (2) or, where that pension is suspended under section 26, entitled to a pension under section 26 (2).
(2) The provisions of this Part (except section 19AA) apply to and in respect of a pensioner in the same way as they apply to and in respect of a former member.
(3) For the purposes of subsection (2), a reference in section 20 to a former member ceasing to be a member shall be construed as a reference to a pensioner becoming entitled to a pension.
s 23A: Ins 1979 No 132, Sch 1 (10). Am 1989 No 159, Sch 1 (4); 1996 No 92, Sch 1.4 (14); 1999 No 89, Sch 1 [15]; 2017 No 18, Sch 1 [10].
23B
Pension for children
23B Pension for children
23B Pension for children
(1) In this section—
child means a child—
(a) who has not attained the age of 18 years, or
(b) who has attained the age of 18 years but has not attained the age of 25 years and who is receiving full-time education from a school, college or university approved by the trustees.
current basic salary means—
(a) in relation to a deceased member or former member who last served as a member in the Legislative Council—the salary payable from time to time to a member of the Legislative Council (other than a Minister of the Crown or a recognised office holder within the meaning of the Parliamentary Remuneration Tribunal Act 1975 and other than a recognised office holder within the meaning of the Parliamentary Remuneration Act 1989) and expressed at an annual rate, or
(b) in relation to a deceased member or former member who last served as a member in the Legislative Assembly—the salary payable from time to time to a member of the Legislative Assembly (other than a Minister of the Crown or a recognised office holder within the meaning of the Parliamentary Remuneration Tribunal Act 1975 and other than a recognised office holder within the meaning of the Parliamentary Remuneration Act 1989) and expressed at an annual rate.
dependent child of a deceased member or former member means—
(a) a child of a deceased member or former member, or
(b) a child of a surviving spouse or de facto partner, or any former spouse or de facto partner, of the deceased member or former member,
being—
(c) a child who was, in the opinion of the trustees, wholly or substantially dependent on the deceased member immediately before his or her death or, as the case may be, wholly or substantially dependent on the deceased former member immediately before he or she last ceased to be a member, or
(d) a child of the deceased member who was conceived before but born after his or her death or, as the case may be, a child of the deceased former member who was conceived before but born after he or she last ceased to be a member.
(2) On the death of—
(a) a member, or
(b) a former member who immediately before his or her death was receiving, or was entitled to receive, a pension under this Part,
there shall be payable from the Fund in respect of each dependent child of the deceased member or former member an annual pension at the rate of—
(c) where the deceased member or former member is not survived by a spouse or de facto partner—10 per cent of current basic salary,
(d) subject to paragraph (e), where the deceased member or former member is survived by a spouse or de facto partner—5 per cent of current basic salary, or
(e) where the deceased member or former member is survived by a spouse or de facto partner but that spouse or de facto partner dies—10 per cent of current basic salary.
(3) A pension payable under this section in respect of a dependent child shall cease on his or her death or on the day he or she ceases to be a child.
(4) For the purposes of subsection (2), a former member shall be deemed to have been entitled to receive a pension under this Part at any time if he or she would, but for the provisions of section 25 (2) or 26 (1), have been entitled to receive a pension under this Part at that time.
(5) A pension payable under this section in respect of a dependent child of a deceased member or former member continues to be payable notwithstanding that the surviving spouse or de facto partner, if any, of the deceased member or former member remarries.
(6) A pension payable under this section in respect of a dependent child of a deceased member or former member shall be paid to—
(a) the surviving spouse or de facto partner, if any, of the deceased member or former member,
(b) the guardian of the dependent child,
(c) the dependent child, or
(d) some other person,
as the trustees in their discretion direct.
(7) A pension is not payable under this section in respect of a dependent child of a deceased member or former member if—
(b) in the case of a deceased former member—he or she last ceased to be a member before that date.
s 23B: Ins 1981 No 86, Sch 1 (8). Am 1989 No 160, Sch 3 (5); 1996 No 92, Sch 1.4 (15).
24
Repayments where person again becomes member
24 Repayments where person again becomes member
24 Repayments where person again becomes member
Where a person has received under this Act or the former Act an amount, being a refund of contributions (with or without interest) or a payment of the whole or a part of a supplementary benefit under section 22A, or both, and that person again becomes a member, any part of the period during which the person was entitled to salary before the person became entitled to that amount shall not be taken into account for the purposes of determining the person’s or any other person’s entitlement to a pension under this Part unless, within 3 months, or, if the trustees so allow, 6 months, after the person again becomes a member, the person contracts with the trustees, in the manner required by the trustees, to repay that amount to the Fund within 3 years.
s 24: Am 1972 No 71, sec 2 (1) (e). Subst 1979 No 132, Sch 1 (11); 1981 No 86, Sch 1 (9).
25
Termination or suspension of pension if recipient becomes a member of Parliament
25 Termination or suspension of pension if recipient becomes a member of Parliament
25 Termination or suspension of pension if recipient becomes a member of Parliament
(1) If a person who is receiving or is entitled to receive a pension under this Part in respect of his or her service as a member, or in respect of whom payment of a pension has been deferred under this Part, again becomes a member (and is at that time a continuing member referred to in section 4A) his or her right to that pension shall cease.
(2) If a person who is receiving or is entitled to receive a pension under this Part, or in respect of whom payment of a pension has been deferred under this Part—
(a) becomes a member of the Parliament of the Commonwealth or of any other State, or
(b) becomes a member or again becomes a member (not being a person to whom subsection (1) applies),
the right of that person to receive a pension under this Part shall be suspended while that person continues to be such a member.
(3) (Repealed)
s 25: Am 1980 No 14, sec 3; 1981 No 86, Sch 1 (10); 1999 No 89, Sch 1 [16] [17]; 2010 No 56, Sch 1 [2] [3].
26
Suspension of pension where another parliamentary pension received
26 Suspension of pension where another parliamentary pension received
26 Suspension of pension where another parliamentary pension received
(1) Where any person to whom a pension would be payable under this Part but for the provisions of this section, or in respect of whom payment of a pension has been deferred under this Part, has become entitled to payment of any pension by reason of having been a member or being the spouse or de facto partner of a member of the Parliament of the Commonwealth or of any other State, that person’s right to payment of a pension under this Part shall be suspended while that person is so entitled.
(2) Notwithstanding subsection (1), where a person has received a pension or other benefit pursuant to an entitlement referred to in subsection (1), the trustees may in their absolute discretion direct payment to that person of an annual pension of such amount as the trustees think fit, but so that the aggregate of the amount of the annual pension so directed to be paid and the amount of the annual pension, or the annual pension equivalent of the other benefit, that the person has received pursuant to that entitlement does not exceed the annual pension that would be payable under this Part but for the provisions of this section.
(3) A direction given by the trustees under subsection (2) may be amended or revoked at any time.
(4) This section does not apply so as to suspend a person’s rights under this Part on account of the person’s entitlement to a pension under the Parliamentary Contributory Superannuation Act 1948 of the Commonwealth if the person (or the person’s spouse or de facto partner, in a case where the entitlement concerned is that of a spouse or de facto partner)—
(a) made an election under section 20A (1AC) of that Act, or
(b) became a federal member on or after 1 July 1994.
(5) This section does not apply so as to suspend a person’s rights under this Part on account of the person’s entitlement to a retiring allowance under the Parliamentary Contributory Superannuation Act 1948 of the Commonwealth if the person pays an amount under section 26B in respect of the commuted value of the retiring allowance.
s 26: Am 1972 No 71, sec 2 (1) (f); 1979 No 132, Sch 1 (12); 1991 No 95, Sch 3 (22); 1995 No 99, Sch 1; 1996 No 92, Sch 1.4 (15) (16); 1999 No 89, Sch 1 [18].
26A
26A
26A (Repealed)
26B
Payment of benefit to Fund by former federal members
26B Payment of benefit to Fund by former federal members
26B Payment of benefit to Fund by former federal members
(1) This section applies to a member—
(a) who is entitled to, or has received, a retiring allowance or other benefit under a superannuation scheme applicable to federal members, and
(b) who became a member on or after 1 January 1996.
(2) A member may elect, not later than 3 months after the date of becoming a member, or within such further period as the trustees may determine in respect of the member, to pay to the Fund an amount of lump sum benefit received by the member as a federal member under a superannuation scheme applicable to federal members. The amount must be paid within the period of 3 months or the further period determined by the trustees.
(3) A member who was a member on the commencement of this section may elect, not later than 3 months after that commencement, or within such further period as the trustees may determine in respect of the member, to pay to the Fund an amount of lump sum benefit received by the member as a federal member under a superannuation scheme applicable to federal members. The amount must be paid within the period of 3 months or the further period determined by the trustees.
(4) The election must be in writing and given to the trustees.
s 26B: Ins 1996 No 92, Sch 1.4 (17).
26BA
Other payments to Fund by former federal members
26BA Other payments to Fund by former federal members
26BA Other payments to Fund by former federal members
(1) This section applies to a member—
(a) whose combined years of actual service as a member and former federal member will be at least 7 years on the day for the taking of the poll at the next general election following the date when the member became a member (the general election day), and
(b) who, under section 26B, paid into the Fund an amount of lump sum benefit received by the member as a federal member, and
(c) whose period of service as a member for the purposes of this Act (including any additional period as referred to in section 26C (2)) as at the general election day is less than 7 years.
(2) On the written application of a member to whom this section applies, the trustees must determine, after receiving actuarial advice, the additional amount that would be payable (the additional amount) in order to increase the aggregate period of service of the member as a member to 7 years on the general election day.
(3) A member to whom this section applies may pay to the Fund an amount that is, or amounts that in total are, equal to the additional amount.
(4) A payment under this section must be made—
(a) if the member was a member on the commencement of this section—not later than 3 months after that commencement, or
(b) if the member was not a member on the commencement of this section—not later than 3 months after the date of becoming a member, or
(c) within such further period as the trustees may determine in respect of the member.
s 26BA: Ins 2002 No 110, Sch 4 [14].
26C
Calculation of benefits for former federal members
26C Calculation of benefits for former federal members
26C Calculation of benefits for former federal members
(1) On payment of an amount under section 26B or 26BA, the trustees must determine, after receiving actuarial advice and, for the purposes of paragraph (b), after obtaining the advice of the trustees of the member’s former superannuation scheme—
(a) the additional period of service as a member attributable to the member in respect of the amount paid, and
(b) the amounts attributable to employee-financed and employer-financed components of the amount paid for the purposes of this Act.
(2) For the purposes of this Act, the period of service of the member is taken to be increased by the additional period attributable to the member under this section.
(3) For the purposes of section 19—
(a) the total salary of the member in respect of the additional period of service is taken to be the same as the total basic salary attributable to that member for that period, and
(b) the amount of total basic salary calculated in respect of a member under section 19 is to be increased by the amount of total basic salary under this subsection.
(4) For the purposes of section 22A, a member to whom section 26B or 26BA applies who is entitled to a benefit under section 22A or any other person to whom the benefit in respect of the member is payable—
(a) is not entitled to receive a supplementary benefit in respect of any amount paid under section 26B or 26BA, but
(b) is entitled to be refunded the whole of any amount paid under section 26B or 26BA.
s 26C: Ins 1996 No 92, Sch 1.4 (17). Am 2002 No 110, Sch 4 [15] [16].
26D
Power of trustees to adjust benefits in relation to certain liabilities
26D Power of trustees to adjust benefits in relation to certain liabilities
26D Power of trustees to adjust benefits in relation to certain liabilities
(1) Whenever—
(a) a right to a benefit under this Act accrues to or in respect of a member or former member, and
(b) the trustees have paid or are liable to pay an amount of superannuation contributions surcharge in respect of the employer contributions paid to the Fund on behalf of the member or former member,
the trustees must determine in writing the surcharge deduction amount that, in the opinion of the trustees, it would be fair and reasonable to take into account in working out the amount of the benefit and must make a determination reducing the benefit accordingly.
(2) In determining the surcharge deduction amount in respect of a benefit payable to a member or former member, the trustees may have regard to any or all of the following matters—
(a) the amount of superannuation contributions surcharge payable or paid by the trustees in respect of the member or former member,
(b) the amount by which the member’s or former member’s surcharge debt account is in debit when the benefit emerges or commences to be paid,
(c) the value of the employer-financed portion of the benefit,
(d) the value of the benefits that, for the purpose of working out (under the Superannuation Contributions Tax (Assessment and Collection) Act 1997 of the Commonwealth) the notional surchargeable contribution factors applicable to the member or former member, were assumed to be likely to be payable to the member or former member on his or her ceasing to hold office as a member of the Legislative Council or Legislative Assembly,
(e) whether the member or former member has qualified for a benefit after having been a member for an aggregate period of 7 years or more,
(f) the amount of any payments under section 31A,
(g) any other matter the trustees consider relevant.
(3) The surcharge deduction amount determined by the trustees must not exceed—
(a) an amount that is 15% of the employer-financed portion of that part of the benefit payable to the member or former member that accrued after 20 August 1996, or
(b) such other amount of the employer-financed portion of a benefit as is prescribed by the regulations in relation to the period when the benefit payable to the member or former member accrued.
(4) For the purpose of determining the surcharge deduction amount, the trustees may obtain actuarial advice or advice from any other persons, as the trustees think fit.
(5) The balance of any additional amount payable by the trustees for superannuation contributions surcharge in respect of a member or former member, after payment of the balance of the relevant surcharge debt account, is to be paid by the trustees from the Fund under section 6 (2).
(6) Subsection (1) does not authorise the reduction of a benefit as a result of a liability for superannuation contributions surcharge unless the benefit is a benefit under section 19, 22, 22A, 23 (1) (paragraph (a) excepted), (2) or (3) or 27.
(7) In this section—
surcharge debt account, in relation to a member or former member, means the surcharge debt account kept for the member or former member (while holding office as a member) under section 16 of the Superannuation Contributions Tax (Assessment and Collection) Act 1997 of the Commonwealth.
(8) Despite subsection (1), the benefit of a former member who has commenced to be paid that benefit may be adjusted by the trustees in accordance with the regulations if the former member receives (before, on or after the commencement of this subsection) notice of an assessment of superannuation contributions surcharge under the Superannuation Contributions Tax (Assessment and Collection) Act 1997 of the Commonwealth in respect of the employer contributions paid to the Fund on behalf of the former member.
(9) The regulations may make provision for or with respect to the following—
(a) the circumstances in which the trustees may or may not pay superannuation contributions surcharge on behalf of a former member,
(b) adjusting the amounts of benefits that have commenced to be paid or paying amounts in relation to a surcharge deduction amount or an assessment of superannuation contributions surcharge received by a former member before, on or after the commencement of this subsection.
(10) Without limiting subsection (9), the regulations may make provision for the payment by the trustees of an amount of additional surcharge payable by a former member above the amount determined under subsection (3).
s 26D: Ins 1997 No 149, Sch 1.2 [13]. Am 2002 No 110, Sch 4 [17]–[19]; 2005 No 110, Sch 1 [8].
27
Minimum benefit
27 Minimum benefit
27 Minimum benefit
(1) Where the aggregate of instalments of pension and any other benefit paid or payable under this Part in respect of any member who ceased to be a member after the date of assent to the Parliamentary Contributory Superannuation (Amendment) Act 1981 is less than the amount to which his or her personal representative would have been entitled under section 22A (4) had he or she ceased to be a member in the circumstances specified in section 22A (4), the difference shall, as soon as practicable after the death of the member and the member’s spouse or de facto partner (if any) and after any pensions under section 23B in respect of the dependent children of the member cease to be payable, be paid out of the Fund to such person or persons as the trustees direct.
(1A) (Repealed)
(2) A reference in subsection (1) to a member is, in the case of instalments of pension or other benefit paid or payable as determined under subsection (7) or (8) of section 23, a reference only to the member in respect of whom those instalments or that other benefit are or is paid or payable.
s 27: Am 1972 No 71, sec 2 (1) (g); 1979 No 132, Sch 1 (13); 1981 No 86, Sch 1 (11); 1996 No 92, Sch 1.4 (15).
27A
Power of trustees to adjust benefits to comply with certain standards relating to superannuation
27A Power of trustees to adjust benefits to comply with certain standards relating to superannuation
27A Power of trustees to adjust benefits to comply with certain standards relating to superannuation
(1) If—
(a) a member or former member becomes entitled to receive a pension under this Act, other than a pension under section 22, and
(b) payment of the pension to the member or former member would, but for this subsection, not be consistent with relevant Commonwealth superannuation standards,
the member or former member may, by notice in writing given to the trustees before the pension starts to be paid, elect to receive the pension—
(c) in a form that complies with those standards, or
(d) in a form that is in accordance with this Act (apart from this section).
(2) Even after such a pension has started to be paid to a member or former member in a form that is not consistent with relevant Commonwealth superannuation standards, the member or former member is, by notice in writing given to the trustees, entitled to make an election or a further election to receive payment of the pension in a form that is consistent with any relevant Commonwealth superannuation standards.
(3) An election made and notified to the trustees in accordance with this section is sufficient authority for the trustees to pay a pension in accordance with the election of the member or former member concerned.
(4) An election under this section to receive a pension in a form that is consistent with any relevant Commonwealth superannuation standards is irrevocable.
(5) A member or former member who does not notify the trustees of an election made by the member or former member under this section before the pension concerned starts to be paid is, subject to subsection (2), to be regarded as having elected to receive payment of the pension in the form provided by this Act (apart from this section).
(6) If a member or former member makes an election under this section to receive a pension in a form that is consistent with any relevant Commonwealth superannuation standards, the trustees must ensure that the pension is varied only to the extent necessary to comply with those standards.
(7) An election under this section to receive a pension in a form that is consistent with any relevant Commonwealth superannuation standards is binding not only on the member or former member who made the election but also on any person claiming a benefit under this Act through that member or former member.
(8) If an election is made under this section to receive a pension in a form that is consistent with any relevant Commonwealth superannuation standards, the pension is payable in that form despite any other provision of this Act to the contrary.
s 27A: Ins 1991 No 95, Sch 3 (5). Am 1997 No 42, Sch 1.2 [11]–[15]; 1997 No 149, Sch 1.2 [14].
27B
27B
27B, 27C (Repealed)
28
Pensions to be paid by instalments
28 Pensions to be paid by instalments
28 Pensions to be paid by instalments
Pensions payable under this Part shall be paid by instalments at such intervals as the trustees may from time to time determine.
s 28: Am 1991 No 95, Sch 3 (23).
28A
Payment or release of benefit in other circumstances
28A Payment or release of benefit in other circumstances
28A Payment or release of benefit in other circumstances
(1) The trustees may, on the written application of a former member who has preserved a benefit in the Fund, and who is not otherwise entitled to be paid a benefit under this Act, pay the former member a benefit on the grounds of the former member’s severe financial hardship.
(2) The trustees may only pay the benefit if they are satisfied that the circumstances are such that a benefit would be payable on the grounds of severe financial hardship if the former member were a member of a regulated superannuation fund within the meaning of the Superannuation Industry (Supervision) Act 1993 of the Commonwealth.
(3) The amount of the benefit—
(a) is to be the amount payable for the purpose of complying with the requirements of the Superannuation Industry (Supervision) Act 1993 of the Commonwealth for payment of such a benefit from a regulated superannuation fund, and
(b) is not to exceed the amount of any benefit preserved by the former member.
(4) A former member may, at any time, lodge with the trustees an election to vary or revoke an election under this section.
(5) An election under this section is to be in a form approved by the trustees for the purposes of this section.
s 28A: Ins 1997 No 149, Sch 1.2 [16].
28B
Payment or release of benefit on compassionate grounds
28B Payment or release of benefit on compassionate grounds
28B Payment or release of benefit on compassionate grounds
(1) The trustees may, on the written election of a former member who has preserved a benefit in the Fund, and who is not otherwise entitled to be paid a benefit under this Act, pay the former member a benefit on compassionate grounds.
(2) The trustees may only pay the benefit if they are satisfied that the circumstances are such that the Australian Prudential Regulation Authority would be entitled to determine that the amount could be released on compassionate grounds if the former member were a member of a regulated superannuation fund within the meaning of the Superannuation Industry (Supervision) Act 1993 of the Commonwealth.
(3) The amount of the benefit—
(a) is to be the amount payable for the purpose of complying with the requirements of the Superannuation Industry (Supervision) Act 1993 of the Commonwealth for payment of such a benefit from a regulated superannuation fund, and
(b) is not to exceed the amount of any benefit preserved by the former member.
(4) A former member may, at any time, lodge with the trustees an election to vary or revoke an election under this section.
(5) An election under this section is to be in a form approved by the trustees for the purposes of this section.
s 28B: Ins 1997 No 149, Sch 1.2 [16]. Am 1999 No 89, Sch 1 [19].
28C
Adjustment of benefit
28C Adjustment of benefit
28C Adjustment of benefit
If a benefit is paid to a person under section 28A or 28B, and the person subsequently becomes entitled to another benefit under this Act, the trustees must make a determination reducing the amount of the subsequent benefit to take into account any benefits previously paid under section 28A or 28B. The trustees may for that purpose obtain actuarial advice.
s 28C: Ins 1997 No 149, Sch 1.2 [16].
28D
Commutation of pensions for adjustment of benefit
28D Commutation of pensions for adjustment of benefit
28D Commutation of pensions for adjustment of benefit
(1) If a determination reducing a benefit that may be taken in the form of a pension is made under section 26D, the trustees may, at their discretion and with the consent of the member or former member concerned, commute part of the pension to a lump sum for the purposes of payment to the trustees of the amount of the reduction.
(2) Commutation of part of a pension under this section—
(a) does not affect any other right that the member or former member has to commute the pension under this Act, and
(b) is not to be taken into account for the purpose of determining whether, and to what extent, any such other right may be exercised, and
(c) is to be done on a basis determined by the trustees for the purposes of this section.
(3) The trustees may obtain actuarial advice for the purpose of determining the basis on which part of a pension is to be commuted under this section.
(4) This section has effect despite any other provision of this Act.
s 28D: Ins 1997 No 149, Sch 1.2 [16].
28E
Payment of benefit to members who have attained 65 years
28E Payment of benefit to members who have attained 65 years
28E Payment of benefit to members who have attained 65 years
Despite any provision of this Act, the trustees must pay a member who has attained the age of 65 years the whole or part of the member’s benefit under this Act if the trustees are of the opinion that it is necessary to do so in order to be consistent with a relevant Commonwealth superannuation standard.
s 28E: Ins 2002 No 110, Sch 4 [20].
Part 4
Transitional provisions
Part 4 Transitional provisions
Part 4 Transitional provisions
29
Continuation of former Act in certain circumstances
29 Continuation of former Act in certain circumstances
29 Continuation of former Act in certain circumstances
(1) Subject to subsection (2), this section applies to—
(a) any person who immediately before the commencement of this Act was receiving or entitled to receive a pension, allowance or other benefit under the former Act,
(b) any person who upon the death, after the commencement of this Act, of a person referred to in paragraph (a) would, but for the enactment of this Act, have been entitled to receive a pension, allowance or other benefit under the former Act,
(c) any person whose pension under the former Act was, at the commencement of this Act, suspended, and
(d) a person who—
(i) immediately before the commencement of this Act was a member to whom the former Act applied or, after that commencement, becomes the widow of such a person,
(ii) would, but for the enactment of this Act, have become at any time after that commencement entitled to a pension, allowance or other benefit under the former Act,
(iii) would, but for his or her being a person to whom this section applies by reason of this paragraph, have become at any time after that commencement entitled to a pension or other benefit under Part 3, and
(iv) elects, within one month after the time referred to in subparagraph (iii), by notice in writing served on the relevant person, to receive a pension, allowance or other benefit under the former Act,
and so applies as on and from the time referred to in subparagraph (iii).
(2) Where a person to whom this section applies becomes a member or the wife of a member after the commencement of this Act, any pension to which that person was entitled under the former Act immediately before he or she so became a member or, in the case of a person who was a widow when she so became a member, any pension or allowance to which she was entitled under the former Act immediately before she so became a member, shall be deemed to be a pension or other benefit payable to him or her under this Act and shall in all respects be subject to the provisions of Part 3 accordingly.
(3) Except as provided by subsections (2) and (6), the provisions of the former Act continue to apply to a person to whom this section applies to the exclusion of Part 3 in all respects as if the former Act had not been repealed and continue to apply in respect of any pension, allowance or other benefit for which the fund under the former Act was, immediately before the commencement of this Act, liable, and for the purpose of the application of those provisions a reference in those provisions to the trustees, the custodian trustee and the managing trustees shall respectively be construed as a reference to the relevant persons under this Act and any pension, allowance or other benefit payable under those provisions shall be paid out of the Fund under this Act.
(4) The reference in subsection (1) (d) (iv) to the relevant person is a reference—
(a) during the period beginning on 1 January 1972 and ending with 30 September 1991—to the custodian trustee within the meaning of this Act as then in force, and
(b) on and after 1 October 1991—to the trustees.
(5) The reference in subsection (3) to the relevant persons is a reference—
(a) during the period beginning on 1 January 1972 and ending with 30 September 1991—to the trustees and to the custodian trustee and the managing trustees within the meaning of this Act as then in force, and
(b) on and after 1 October 1991—to the trustees.
(6) Schedule 2 applies in respect of a pension or allowance referred to in subsection (3) but does not apply in respect of a pension or allowance referred to in subsection (2).
s 29: Am 1991 No 95, Sch 3 (24); 1999 No 89, Sch 1 [20]–[22].
Part 4A
Provisions relating to family law superannuation legislation
Part 4A Provisions relating to family law superannuation legislation
Part 4A Provisions relating to family law superannuation legislation
pt 4A: Ins 2003 No 77, Sch 5 [4].
29A
Definitions
29A Definitions
29A Definitions
In this Part—
Aware Super Fund means the Aware Super Fund established under the Aware Super Act 1992.
member spouse, in relation to a superannuation interest under this Act, means the spouse who has the superannuation interest.
non-member spouse, in relation to a superannuation interest under this Act, means the spouse who is not the member spouse in relation to that interest.
payment split has the same meaning as it has in Part VIIIB of the Family Law Act 1975 of the Commonwealth.
splitting order has the same meaning as it has in Part VIIIB of the Family Law Act 1975 of the Commonwealth.
spouse of a person means a person who is or was married to that person.
superannuation agreement has the same meaning as it has in Part VIIIB of the Family Law Act 1975 of the Commonwealth.
superannuation interest means an interest that a member or former member or other person has as a member or beneficiary of the superannuation scheme under this Act.
s 29A: Ins 2003 No 77, Sch 5 [4]. Am 2022 No 29, Sch 2.3[1]–[3].
29B
Payment of benefits where superannuation interests affected by flagging order or payment split
29B Payment of benefits where superannuation interests affected by flagging order or payment split
29B Payment of benefits where superannuation interests affected by flagging order or payment split
Nothing in this Act—
(a) requires the trustees to pay a benefit or to make any other payment under this Act, to the extent that any such payment would contravene provisions of the family law superannuation legislation or any order or agreement made under that legislation, or
(b) prevents the trustees from paying or reducing a benefit or making any other payment, to the extent that the payment or reduction is required to be made, or results from a requirement, under the family law superannuation legislation or any order or agreement made under that legislation.
s 29B: Ins 2003 No 77, Sch 5 [4].
29C
Payment splits
29C Payment splits
29C Payment splits
(1) The object of this section is to facilitate arrangements for payment splits under the family law superannuation legislation and to provide for family law superannuation payments to or in respect of non-member spouses for the purposes of satisfying the requirements of Division 2.2 of Part 2 of the Family Law (Superannuation) Regulations 2001 of the Commonwealth.
Note—
The effect of satisfying those requirements is that payments to the member spouse of a benefit under this Act will no longer be liable to be split for the purposes of the family law superannuation legislation.
(2) A non-member spouse has a family law superannuation entitlement to which this section applies if—
(a) the non-member spouse has an entitlement, that is operative, to be paid an amount under a superannuation agreement, flag lifting agreement or splitting order in respect of the superannuation interest of a member spouse (a family law superannuation entitlement), and
(b) the member spouse is, or was the spouse of, a person who has or had a period of service of not less than the period that entitles a member, who is otherwise eligible under this Act, to a pension, and
(c) the family law superannuation entitlement has not been paid to the non-member spouse by the member spouse, or waived by the non-member spouse, in accordance with the family law superannuation legislation.
(3) On written notice by a member spouse or a non-member spouse, or by any other person or court, of a family law superannuation entitlement of a non-member spouse to which this section applies, the trustees must take one of the following actions—
(a) pay or release to the non-member spouse an amount of the value of the family law superannuation entitlement (less any costs chargeable by the trustees),
(b) transfer or rollover to a complying superannuation fund or an RSA nominated by the non-member spouse an amount, of the value of the family law superannuation entitlement (less any costs chargeable by the trustees), to be held for the benefit of the non-member spouse.
(4) The trustees may take the action set out in subsection (3) (a) only if the member spouse is in receipt of a pension under this Act or the non-member spouse has satisfied a condition for payment or release of a benefit of a kind that would entitle a member to payment of a benefit if the Fund were a complying superannuation fund.
(5) The trustees must transfer a family law superannuation payment to FTC for crediting to the Aware Super Fund if—
(a) the payment is not payable under subsection (3) (a), and
(b) a non-member spouse fails, within the period prescribed by the regulations, to make a nomination for the purposes of subsection (3) (b) or a nominated fund or RSA does not accept the nomination.
(6) For the purposes of this section, the value of a family law superannuation entitlement or family law superannuation payment of a non-member spouse is to be determined by the trustees in accordance with any applicable provisions of the regulations and the family law superannuation legislation.
(7) The trustees must not pay a family law superannuation payment to or in respect of a non-member spouse under this section if the value of the payment that is or would be payable to or in respect of the non-member spouse at that time (taking into account any prior liability to pay a family law superannuation payment) is greater than the value of the member spouse’s superannuation interest (as calculated in accordance with the regulations) at that time.
(8) This section does not apply to or in respect of a pension while payment of the pension is suspended under this Act.
s 29C: Ins 2003 No 77, Sch 5 [4]. Am 2022 No 29, Sch 2.3[4].
29D
Reduction of benefits of member spouses
29D Reduction of benefits of member spouses
29D Reduction of benefits of member spouses
(1) The trustees may reduce the amount of any benefit payable under this Act to or in respect of a member spouse (or a spouse or de facto partner of a member spouse) if a family law superannuation entitlement is paid or payable to or in respect of the non-member spouse under the family law superannuation legislation or this Part or the regulations.
(2) A preserved or deferred benefit may be reduced under this section.
(3) A pension may be reduced under this section even though payment of the pension first commenced before the payment of the amount to or in respect of the non-member spouse.
(4) The benefit is to be reduced in accordance with the regulations and any applicable provisions of the family law superannuation legislation.
s 29D: Ins 2003 No 77, Sch 5 [4].
29E
Regulations
29E Regulations
29E Regulations
Regulations may be made for or with respect to the following matters—
(a) elections by non-member spouses for payment of family law superannuation entitlements,
(b) the persons or bodies to whom a family law superannuation payment may be paid,
(c) the composition of payments made for the purposes of the family law superannuation legislation or this Part, having regard to the composition of the member spouse’s superannuation interest under this Act before the payment is paid,
(d) the payment of fees for or with respect to family law superannuation payments,
(e) notice of family law superannuation entitlements and payment splits,
(f) the periods for payment of family law superannuation payments,
(g) the calculation of payments and entitlements for the purposes of the family law superannuation legislation or this Part,
(h) the calculation of the value of superannuation interests of member spouses for purposes relating to the family law superannuation legislation or this Part,
(i) the accrued benefit multiple for member spouses, or a class of member spouses, for the purposes of the family law superannuation legislation,
(j) the reduction of benefits (including deferred or preserved benefits) payable to or in respect of member spouses, or spouses or de facto partners of member spouses, as a consequence of payments under the family law superannuation legislation or this Part,
(k) without limiting paragraph (j), the commutation of pensions or parts of pensions for the purposes of the reduction of benefits as a consequence of payments under the family law superannuation legislation or this Part.
s 29E: Ins 2003 No 77, Sch 5 [4].
Part 5
Miscellaneous
Part 5 Miscellaneous
Part 5 Miscellaneous
30
Compliance with superannuation guarantee legislation
30 Compliance with superannuation guarantee legislation
30 Compliance with superannuation guarantee legislation
(1) Minimum benefits The trustees must, after obtaining actuarial advice, determine what the minimum employer-financed benefit would have to be to ensure that there is no superannuation guarantee shortfall.
(2) Increase in benefits So much of a pension or lump sum as is employer-financed is, despite any other provision of this or any other Act, not to be less than the minimum benefit determined under subsection (1). The pension or lump sum that would otherwise be payable under this Act is increased to the extent necessary for the purpose of complying with this section.
(3) Increase in benefit to be paid from Fund The amount of any increase in benefit is to be debited by the trustees from the Fund.
(4) Definition In this section, employer-financed benefit means the sum of so much of a pension or lump sum as is determined by the trustees to be employer-financed under this Act.
s 30: Rep 1991 No 95, Sch 3 (25). Ins 1993 No 111, Sch 7.
30A
Application of section 30 to period from 1.7.1992
30A Application of section 30 to period from 1.7.1992
30A Application of section 30 to period from 1.7.1992
A benefit that is paid after 1 July 1992 and before the commencement of section 30 is to be adjusted by the trustees in accordance with that section.
s 30A: Ins 1993 No 111, Sch 7.
30B
Competing claims for spouses’ or de facto partners’ benefits
30B Competing claims for spouses’ or de facto partners’ benefits
30B Competing claims for spouses’ or de facto partners’ benefits
(1) This section applies to a benefit (including a pension) under this Act that is payable to the spouse or de facto partner of a deceased person.
(2) Where, but for this subsection, a benefit to which this section applies would be payable to more than one person (because a deceased person has left more than one spouse or de facto partner)—
(a) the benefit is payable in accordance with a determination made by the trustees, and not otherwise, and
(b) the total amount of benefit payable to those persons at any time must not exceed the amount of a single benefit.
(3) For the purposes of subsection (2) (a), the trustees may determine in relation to a benefit to which this section applies—
(a) that the benefit is payable to such of the persons concerned as the trustees specify, or
(b) that, subject to subsection (2) (b), the amount of the benefit is to be apportioned between the persons concerned in such manner as the trustees specify.
(4) The trustees may withhold the payment of the whole or any part of a pension to which this section applies by reason of the death of a person or, if any such pension is commuted, withhold the payment of the whole or any part of the amount commuted—
(a) until the expiration of the period of 30 days after the death of the person, or
(b) if application has been made for the pension by more than one person, until the trustees are satisfied that only one of those persons is entitled to the pension or until a determination is made in relation to the matter by the trustees under this section.
(5) If, after the expiration of 30 days following the death of a person, a pension to which this section applies is paid in respect of any period to a spouse or de facto partner of the deceased person, a pension to which this section applies is not payable to any other spouse or de facto partner of the deceased person in respect of that period.
(6) If, after the expiration of 30 days following the death of a person, the whole or part of a pension to which this section applies is commuted by a spouse or de facto partner of the deceased person—
(a) where the whole of the pension is commuted—a pension to which this section applies is not payable to any other spouse or de facto partner of the deceased person, or
(b) where part of the pension is commuted—so much of a pension to which this section applies as is equal to the amount of the pension so commuted is not payable to any other spouse or de facto partner of the deceased person.
(7) For the purposes of subsections (5) and (6), an amount paid in good faith by the trustees to a person purporting to be the spouse or de facto partner of a deceased person is taken to have been paid to such a spouse or de facto partner.
(8) If, after the expiration of 30 days following the death of a person, any amount is paid under this Act to the person’s personal representatives or to such other persons as the trustees may determine, any pension to which this section applies that is payable to the spouse or de facto partner of the deceased person is to be reduced, in the prescribed manner, by the amount so paid.
(9) For the purposes of subsection (8), the prescribed manner of reducing a pension to which this section applies by a particular amount is—
(a) the manner prescribed by the regulations, or
(b) where no manner is prescribed by the regulations, such manner as the trustees determine.
s 30B: Ins 1996 No 92, Sch 1.4 (18).
31
Exemption from stamp duty
31 Exemption from stamp duty
31 Exemption from stamp duty
No stamp duty shall be payable on any instrument in respect of which the trustees would, but for the provisions of this subsection, be liable as the persons primarily liable for stamp duty under the Stamp Duties Act 1920.
s 31: Am 1991 No 95, Sch 3 (26).
31A
Payments to cover superannuation contributions surcharge
31A Payments to cover superannuation contributions surcharge
31A Payments to cover superannuation contributions surcharge
(1) A member may at any time lodge with the trustees an election to pay amounts to the Fund in respect of the superannuation contributions surcharge payable in respect of the member.
(2) Payments may be made on a periodic or a single payment basis.
(3) An election is to specify the amounts to be paid and the manner in which the payments are to be made.
(4) A member may, at any time, lodge with the trustees an election to vary or revoke an election under this section.
(5) An election under this section is to be in a form approved by the trustees for the purposes of this section.
(6) An election under this section remains in force until a subsequent election takes effect.
s 31A: Ins 1997 No 149, Sch 1.2 [17].
31B
Repayment of excess payments
31B Repayment of excess payments
31B Repayment of excess payments
The trustees must refund to a member or former member any excess amount of payments made under section 31A remaining in the Fund after payment of the debt owed for superannuation contributions surcharge in respect of the member or former member, together with interest on that excess amount at a rate determined by the trustees.
s 31B: Ins 1997 No 149, Sch 1.2 [17].
32
Non-assignability of benefits
32 Non-assignability of benefits
32 Non-assignability of benefits
Pensions and other benefits under this Act shall not be in any way assigned or charged or passed by operation of law to any person other than the person who is entitled thereto under this Act.
32A
Information that must be disclosed to members
32A Information that must be disclosed to members
32A Information that must be disclosed to members
(1) The trustees must from time to time give to a member or other person such information as the trustees determine under this section.
(2) The trustees must determine, having regard to the information required to be provided by the trustee of a regulated superannuation fund within the meaning of the Superannuation Industry (Supervision) Act 1993 of the Commonwealth, the information to be provided by the trustees to members and other persons and the circumstances in which information must or may be provided.
s 32A: Ins 1991 No 95, Sch 3 (6). Subst 1993 No 111, Sch 7; 1997 No 42, Sch 1.2 [18].
32B
Provision of information to Insurance and Superannuation Commissioner
32B Provision of information to Insurance and Superannuation Commissioner
32B Provision of information to Insurance and Superannuation Commissioner
The trustees must furnish to the Insurance and Superannuation Commissioner such information relating to the general administration and operation of the Fund as the Commissioner may reasonably require for the purpose of monitoring the Heads of Government Agreement, that commenced on 1 July 1996, relating to the exemption of certain State public sector superannuation schemes from the Superannuation Industry (Supervision) Act 1993 of the Commonwealth.
s 32B: Ins 1997 No 42, Sch 1.2 [19].
32C
Member who dies on polling day
32C Member who dies on polling day
32C Member who dies on polling day
For the purposes of this Act and the regulations, a person is taken to have been a member at the time of his or her death if—
(a) the person dies on the day of, and before the close of, a poll for an election of one or more members of the Legislative Assembly or the Legislative Council, and
(c) the person was seeking election on that day as a member (whether or not to represent the same electorate or to the same House of Parliament).
s 32C: Ins 2005 No 110, Sch 1 [9].
32D
Nominating commencement date of pension
32D Nominating commencement date of pension
32D Nominating commencement date of pension
(1) Despite any other provision of this Act, the payment period of a pension under this Act to which a person is entitled to payment commences on—
(a) if a date is nominated in accordance with this section—the date so nominated, or
(b) in any other case—the default date.
(2) A person who is, or is to be, entitled to be paid a pension under this Act may, by notice in writing served on the trustees, nominate the date on which the payment period commences, if such a nomination is not inconsistent with a relevant Commonwealth superannuation standard.
(3) A notice under this section must—
(a) nominate the date on which the payment period commences, and
(b) be in the form approved by the trustees, and
(c) be served on the trustees not later than the expiry date.
(4) A notice under this section must not nominate a date earlier than the default date.
(5) A notice under this section is irrevocable.
(6) This section does not affect whether any person is entitled to a pension or when any person becomes entitled to a pension.
(7) A person is not entitled to payment of a pension under this Act in respect of any period earlier than the commencement of the payment period of the pension.
(8) In this section—
default date means, in respect of a pension under this Act, the date on which the payment period of the pension would, but for this section, commence.
expiry date means, in respect of a pension under this Act, the date that is 3 months after the default date in respect of the pension.
payment period means, in respect of a pension under this Act, the period for which the pension is to be paid.
s 32D: Ins 2006 No 53, Sch 1.1.
33
Regulations
33 Regulations
33 Regulations
The Governor may make regulations, not inconsistent with this Act, for or with respect to all matters which by this Act are required or permitted to be prescribed or which are necessary or convenient to be prescribed for the carrying out or giving effect to this Act.
34
Savings and transitional provisions consequent on Superannuation Legislation Amendment Act 1996
34 Savings and transitional provisions consequent on Superannuation Legislation Amendment Act 1996
The amendments made by Schedule 1.4 to the Superannuation Legislation Amendment Act 1996 do not confer a right to a benefit under this Act on a person in relation to the death of a person that occurred before the commencement of this section.
s 34: Ins 1996 No 92, Sch 1.4 (19).
35
Savings, transitional and other provisions
35 Savings, transitional and other provisions
35 Savings, transitional and other provisions
Schedule 1 has effect.
s 35: Ins 1997 No 149, Sch 1.2 [18].
Sch: Rep 1997 No 149, Sch 1.2 [1].
Schedule 1
Savings, transitional and other provisions
Schedule 1 Savings, transitional and other provisions
Schedule 1 Savings, transitional and other provisions
(Section 35)
sch 1: Ins 1997 No 149, Sch 1.2 [19]. Am 1999 No 89, Sch 1 [23] [24]; 2000 No 114, Sch 1.1 [6] [7]; 2002 No 110, Sch 4 [21] [22]; 2003 No 77, Sch 5 [5]; 2005 No 110, Sch 1 [10]–[12]; 2006 No 93, Sch 1 [2] [3]; 2007 No 82, Sch 4.13; 2009 No 62, Sch 2.2 [5]; 2017 No 18, Sch 1 [11]–[13]; 2022 No 29, Sch 1.5[4] [5].
11A
Criminal charges and convictions—2017 amendments to sections 19AA etc
11A Criminal charges and convictions—2017 amendments to sections 19AA etc
11A Criminal charges and convictions—2017 amendments to sections 19AA etc
(a) any serious offence committed before the commencement of those amendments, and
(b) any conviction before the commencement of those amendments, and
(c) a person who ceased to be a member before the commencement of those amendments (and to any entitlement of the person to a pension or lump sum that accrued or was paid before that commencement).
Schedule 2
Provisions relating to pensions and allowances under former Act
Schedule 2 Provisions relating to pensions and allowances under former Act
Schedule 2 Provisions relating to pensions and allowances under former Act
(Section 29 (6))
sch 2: Ins 1999 No 89, Sch 1 [25].
Source text: opening excerpt
Sourced from legislation.nsw.gov.au, CC BY 4.0.
Part 1 Preliminary
Part 1 Preliminary
Part 1 Preliminary
1 Name of Act and commencement
1 Name of Act and commencement
1 Name of Act and commencement
(1) This Act may be cited as the Parliamentary Contributory Superannuation Act 1971.
(2) This Act shall commence upon a day to be appointed by the Governor and notified by proclamation published in the Gazette.
2
2 (Repealed)
2
s 2: Rep 1997 No 149, Sch 1.2 [1].
3 Definitions
3 Definitions
3 Definitions
(1) In this Act, except in so far as the context or subject-matter otherwise indicates or requires—
actuary means a person who is a Fellow or Accredited Member of the Institute of Actuaries of Australia.
Commonwealth taxation law means a law of the Commonwealth that provides for the levying and collection of a tax.
contributions, in relation to a person, means amounts deducted from that person’s salary pursuant to the provisions of this Act.
designated employer has the same meaning as in the Parliamentary Remuneration Act 1989.
family law superannuation legislation has the same meaning as it has in Part 4A.
federal member means a member of either House of the Parliament of the Commonwealth.
financial year means the period commencing on the first day of July in any year and ending on the thirtieth day of June in the next following year.
general election means a general election of Members of the Legislative Assembly.
Insurance and Superannuation Commissioner means the Insurance and Superannuation Commissioner holding office under the Insurance and Superannuation Commissioner Act 1987 of the Commonwealth, and includes a person acting in that office.
member means member of the Legislative Council or the Legislative Assembly or a person who has ceased to be such a member but is in receipt of salary.
other benefits includes a refund of contributions, and any interest payable thereon.
Parliamentary Contributory Superannuation Scheme means the contributory superannuation scheme established by this Act.
Closure and legacy. The Scheme is closed to persons first elected at or after the 2007 general election, except “continuing members” as defined (s 4A). Schedule 1 and Schedule 2 and a series of transitional clauses preserve pre-existing rights where the former Act applied (s 29, Sch 2).
Interaction with Commonwealth requirements and family law. The Act repeatedly cross-references that trustees, benefits and preserved amounts must be managed to be consistent with “relevant Commonwealth superannuation standards” under the Superannuation Industry (Supervision) Act 1993 (SIS Act) (see, e.g., ss 3 definition of relevant Commonwealth superannuation standard, 18A, 22B-22BA, 27A). Part 4A implements family law mechanics (ss 29A-29E): trustees must not make payments that would contravene family law superannuation legislation and must implement payment splits, transfers and reductions in member benefits to satisfy family law orders (s 29B, ss 29C-29D).
Trustees’ adjustment and enforcement powers. Trustees can reduce benefits to account for superannuation contributions surcharge liabilities (s 26D), with a cap calibrated in the Act. Trustees may suspend or terminate pension entitlement in defined circumstances, including where a former member is charged with or convicted of a “serious offence” (s 19AA). Trustees may pay reduced pensions where the member is entitled to another parliamentary pension (s 26).
Financial support and actuarial oversight. Trustees must commission triennial actuarial investigations (s 10) and may commission interim investigations (s 10A). After considering actuarial recommendations, trustees advise the Treasurer on contributions and interim advances, and the Treasurer pays annual contributions and interim advances into the Fund from Consolidated Fund appropriations (s 11).
Those are the primary mechanical operations of the Act. The text creates a trust-based, trustee-controlled fund with statutory duties to invest, preserve and pay benefits, sets mandatory member contribution mechanics and options (salary sacrifice, election to cease), creates defined benefit entitlement and conversion rights, prescribes trustee discretion to reduce or suspend benefits in specific circumstances, and embeds compliance obligations to Commonwealth superannuation standards and family law orders (ss 7-8; 10-11; 18-20; 22B-22BA; Part 4A).
Main concepts
The Act organises a small set of legal and financial primitives that govern entitlements and the Fund’s operation. Those concepts appear repeatedly and determine rights, process and discretion.
Fund and trustees (ss 5, 14-15, 14A). The trustees hold the Fund in trust under the Trustee Act 1925 and are the managers and decision-makers for investments, benefits and administration (s 15(2)-(4)). They are also a corporate entity (s 14A).
Member, salary and contributions (s 3; ss 18-18B). “Member” is a defined term capturing current and certain former members in receipt of salary (s 3). “Salary” is broadly defined to include a range of remuneration sources and certain cost-of-employment measures as determined by the designated employer (s 3). Contributions are amounts deducted from salary under s 18 or paid by salary sacrifice under s 18AA.
Benefit types: pensions, lump sums, preserved benefits (Pt 3). The Act provides defined annual pension entitlements calculated by formula (s 19), options to commute to lump sums (s 20), preservation and release rules consistent with Commonwealth standards (ss 22B-22BA) and payment-on-hardship/compassionate grounds (ss 28A-28B).
Relevant Commonwealth superannuation standards and compliance (multiple sections). The Act repeatedly requires trustees to act so as to be consistent with SIS Act standards and other Commonwealth rules (e.g., ss 3 definition, 18A, 22B(1), 27A). This concept imports external prudential, preservation and payment conditions into the Fund’s operation.
Actuarial oversight and government backing (ss 10-11). Triennial actuarial investigations are mandatory; actuaries must recommend amounts to be paid into the Fund and report to trustees; trustees forward reports to the Minister and advise the Treasurer (s 10(2A)-(3), s 11). The Treasurer pays contributions and interim advances from the Consolidated Fund (s 11(2)-(3)).
Trustee discretion and adjustment powers (ss 15, 26D, 27A). Trustees have broad administrative and management powers and may adjust benefits for superannuation contributions surcharge liabilities (s 26D), reduce benefits to satisfy family law payment splits (s 29D), and vary payment forms to comply with Commonwealth standards (s 27A).
Suspension and forfeiture triggers (s 19AA; ss 25-26). The Act specifies suspension of pension entitlement when certain events occur, including becoming a member again (s 25), receipt of other parliamentary pensions (s 26), and criminal charges/convictions for “serious offences” with specific consequences including repayment and forfeiture (s 19AA).
Family law mechanics (Pt 4A). The Act implements the Commonwealth family law splitting mechanics: trustees must facilitate payment splits, rollovers, transfers to complying funds or the Aware Super Fund in defined circumstances (ss 29B-29D), and regulations may specify composition, timing and reductions (s 29E).
Limitation and non-assignability (s 32). Pension rights are non-assignable and may only be claimed by entitled persons as specified.
These concepts structure incentives. The trustees’ role centralises discretionary decision-making about investments, actuarial funding and benefit adjustments. Members face both compulsory contributions and options (salary sacrifice, conversion to lump sums) that interact with tax and preservation rules imported from Commonwealth law (ss 18, 18AA, 22B, 22BA). Family law and surcharge provisions create potential reductions in benefits; the Act provides the machinery for those reductions (ss 26D, 29C-29D).
Who it affects
The Act allocates rights and obligations across a narrow set of actors. Identify who pays, who decides and whose choices change.
Members and former members. The primary beneficiaries and contributors are “members” as defined (s 3) , persons who are or were members of the Legislative Council or Legislative Assembly. Members pay mandatory contributions (12.5% of gross salary instalments, s 18) unless they have validly elected to cease deductions at age 65 and meet the service threshold (s 18B). Former members who meet eligibility (7+ aggregate years) receive defined pensions or may convert those to lump sums (ss 19, 20). The Act also prescribes benefits for spouses, de facto partners and dependent children (ss 23, 23B).
Trustees. Trustees are the Fund’s decision-makers and fiduciaries (ss 14-15). They appoint investment managers (s 7(2)-(3)), commission actuaries (s 10), determine whether to accept contributions to comply with Commonwealth standards (s 18A), may reduce benefits for surcharge or family law entitlements (ss 26D, 29D), and administer payment splits/transfers under family law (ss 29C-29D). Trustees also carry the ultimate discretion on suspensions, reinstatements and commutations in many circumstances (s 19AA, ss 26, 27A, 28D).
Designated employer and Treasury. The designated employer has roles in approving salary sacrifice arrangements (s 18AA(1), (5)(d)) and determining cost-of-employment elements included in “salary” (s 3). The Treasurer receives actuarial advice via trustees and pays annual contributions and interim advances into the Fund from the Consolidated Fund (s 11).
Non-member spouses and children. Part 4A and ss 23-23B set out rights and procedures affecting spouses, de facto partners and dependent children: payment of survivor’s pensions (s 23), children’s pensions (s 23B), and the family law payment split and rollovers (ss 29C-29D).
Commonwealth regulators and bodies. The Insurance and Superannuation Commissioner may request information about the Fund’s administration to monitor Heads of Government Agreement compliance (s 32B). The Act requires trustees to operate in a way consistent with SIS Act standards; APRA’s framework is therefore indirectly imported where “relevant Commonwealth superannuation standards” are referred to (see definition in s 3 and ss 22B, 27A).
Courts and family law officers. The Act requires trustees to give effect to family law orders or agreements (s 29B). Courts, parties and other persons may provide written notice to trustees to trigger payment split mechanics (s 29C(3)).
Members of Parliament and legislative processes. Section 4 (as inserted) states a procedural constraint: the Legislative Assembly may not originate or pass any vote, resolution or Bill for amendment of the Act unless the Parliamentary Remuneration Tribunal (or successor) has issued a certificate approving the amendment during that Session (s 4). This affects the legislative process for altering the Act.
Who pays and who benefits. Members supply contributions (s 18), the Fund pays pensions and lump sums (s 6). The Treasurer supplies the governmental funding top-up determined after actuarial advice (s 11). Trustees decide investments, actuarial appointments, whether to accept contributions (s 18A), and determinations reducing benefits for surcharge or family law entitlements (ss 26D, 29D). Behavioural changes: members may choose salary sacrifice (s 18AA), elect to cease deductions at age 65 if eligible (s 18B), elect to commute pensions to lump sums within timeframes (s 20), elect to pay surcharge-cover payments (s 31A) or to repay refunded contributions if they re-enter membership (s 24). Non-member spouses can elect payment types or nominate rollover vehicles under Pt 4A and regs (ss 29C-29E).
Concentrated benefits and diffuse costs. The Act concentrates benefit accruals on current and former members and their immediate family; the costs of actuarial shortfalls are met by the Treasurer’s payments into the Fund (s 11) and, if surcharge liabilities arise, by trustees taking reductions from benefits (s 26D). The trustees’ power to adjust benefits for surcharge and family law splits transfers some funding risk and administrative cost onto individual benefit recipients (ss 26D, 29D).
Key duties and rights
This section summarises statutory duties, procedural requirements and private rights created or preserved by the Act, with section references.
Trustees’ duties and powers. Trustees must administer the scheme and ensure the Fund is invested and managed in accordance with the Act (s 15(1)-(3)). They must establish an investment strategy and reserves strategy, having regard to specified matters (s 8). Trustees must appoint actuaries for triennial investigations (s 10), forward actuarial reports to the Minister and advise the Treasurer, and pay benefits and fees from the Fund (ss 10, 11, 6(2)-(3)). Trustees have power to delegate (s 15A), establish committees (s 15C), appoint investment managers (s 7(3)) and engage advisers (s 15(4)(a)). Trustees must act in the interests of members and other persons entitled to benefits and have regard to the Heads of Government Agreement and future liabilities (s 15(5)(a)-(c)).
Duties on investment practices. Trustees must invest Fund money through investment managers (s 7(2)-(3)), and must not lend to contributors or invest otherwise than on arms‑length terms (s 7(4)(a)-(c)). The trustees must ensure their investment strategy considers risk, composition, liquidity and the Fund’s capacity to meet liabilities (s 8).
Actuarial obligations and funding. Trustees must appoint actuaries for triennial investigations (s 10(1)-(2)), receive reports within six months (s 10(2A)) and forward reports to the Minister within three months of receiving them (s 10(2C)). Trustees advise the Treasurer on contributions and interim advances (s 11(1)), and the Treasurer pays contributions after considering trustees’ advice (s 11(2)).
Members’ duties and entitlements. Members must have deductions equal to 12.5% of each salary instalment deducted (s 18), unless a valid election applies (s 18B) or trustees have determined a period not to accept contributions to be consistent with Commonwealth standards (s 18A). Members have rights to pensions on satisfying the eligibility test (7+ years) (s 19(1)); may elect salary sacrifice subject to employer and trustees’ approval (s 18AA); may elect under specified timeframes to commute pensions to lump sums (s 20(2), (11)); and may elect to pay into the Fund to cover superannuation contributions surcharge (s 31A).
Rights of spouses, de facto partners and children. The Act confers survivor pensions on spouse or de facto partners at specified rates or the greater of alternatives (s 23). Children who are dependent may be entitled to pensions at defined percentages of current basic salary (s 23B). Part 4A gives non-member spouses rights to family law superannuation entitlements and methods for payment splits and rollovers (ss 29C-29D).
Preservation and payment options. Trustees must preserve lump sums to satisfy relevant Commonwealth standards and determine preserved amounts after actuarial advice (s 22B(1)-(2)). Preserved benefits may be paid only in circumstances allowed by relevant Commonwealth standards or, where permitted, rolled into regulated funds or RSAs as specified (s 22BA).
Adjustment and suspension rights. Trustees have statutory authority to reduce benefits to take account of superannuation contributions surcharge liabilities, subject to prescribed limits (s 26D). Trustees may suspend or terminate pension entitlement where criminal proceedings for “serious offences” are pending or result in conviction, with specific consequences including repayment and forfeiture (s 19AA). Trustees may suspend rights if a recipient becomes a member or is entitled to another parliamentary pension (ss 25-26).
Procedural and information duties. Trustees must furnish information to members consistent with the information a trustee of a regulated superannuation fund would provide under the SIS regime (s 32A). Trustees must also supply information reasonably required by the Insurance and Superannuation Commissioner to monitor Heads of Government Agreement compliance (s 32B). The regulations may prescribe additional procedures (s 33).
Those duties and rights define the governance and benefit regime. Many rights (commutation, payment splits, cessation of contributions, salary sacrifice, preservation and hardship release) are exercisable only by notice or application and often within time-limited windows (see s 20(11), s 32D(3)). Trustees have broad discretionary powers and specific statutory powers to reduce or suspend benefits in defined circumstances, creating compliance responsibilities for members and beneficiaries and administrative obligations for trustees.
Penalties and enforcement
The Act’s enforcement architecture is administrative rather than criminal. Enforcement tools are concentrated with the trustees and operate through benefit suspensions, reductions, recoupments and withholding. There are no freestanding criminal penalties in this Act for non-compliance by members; instead the Act creates mechanisms to protect the Fund and ensure statutory obligations are met.
Suspension and forfeiture on criminal charge or conviction. Section 19AA is the clearest enforcement mechanism. If a person ceases to be a member while proceedings for a “serious offence” are pending, the person’s entitlement to receive a pension is suspended while proceedings are pending (s 19AA(2)). The trustees may lift the suspension in the public interest (s 19AA(2)). If conviction occurs, the Act requires cessation of entitlement, repayment to the Fund of any pension already paid, nullification of any election under s 20 and repayment of any lump-sum paid pursuant to such election, and refund of the person’s net contributions (s 19AA(4)). The section also permits trustees to deduct any advances made against refunds if reinstatement occurs (s 19AA(4A)). The definition of “serious offence” is statutory (s 19AA(10)) and the Act treats criminal proceedings as not final until appeal periods lapse or appeals are determined (s 19AA(8)-(8A)). These are administrative, statutory forfeiture and repayment obligations enforced by trustees.
Trustees’ power to adjust benefits for surcharge liabilities. Section 26D requires trustees to determine a surcharge deduction amount if they have paid or are liable to pay superannuation contributions surcharge on employer contributions. The trustees must make a written determination reducing the benefit accordingly (s 26D(1)). Trustees may consider multiple factors and must not exceed a statutory cap (s 26D(2)-(3)). The trustees may obtain actuarial advice and the balance of surcharge payments is to be paid from the Fund (s 26D(4)-(5)). The effect is an administrative adjustment to individual benefits to meet taxation liabilities.
Withholding and apportionment in competing claims. Section 30B permits trustees to withhold payments of a spouse’s pension where competing claims arise and to make determinations as to apportionment or payment (s 30B(2)-(4)). Trustees may withhold payment for up to 30 days after death or until they are satisfied as to the correct recipient (s 30B(4)).
Commutation and recoupment for adjustments. Where trustees reduce benefits under s 26D, they may, with consent, commute part of a pension to a lump sum to pay the amount of the reduction (s 28D). This is an enforcement/collection mechanism that converts ongoing entitlement into a lump-sum payment back to trustees.
Administrative limits and caps. The Act constrains trustees’ powers by prescription. For example, the surcharge deduction amount cannot exceed 15% of the employer-financed portion of the benefit that accrued after 20 August 1996, unless regulation prescribes otherwise (s 26D(3)). Regulations may also provide for payment of additional surcharge payable by a former member (s 26D(9)-(10)).
Regulatory and reporting enforcement. Trustees must furnish information to the Insurance and Superannuation Commissioner for monitoring purposes (s 32B). They must determine member information consistent with SIS fund requirements (s 32A). The Governor may make regulations to give effect to the Act (s 33), and regulations may impose procedural detail and timeframes (s 29E and Sch 1 cl 1).
No express private right of civil enforcement beyond trustees’ determinations. The Act grants trustees broad discretion and powers to determine entitlements, reductions and suspensions. It does not specify tribunals or internal appeal routes for challenging trustees’ determinations; disputes would arise in the absence of statutory appeal mechanisms, but the Act itself does not create prescribed enforcement proceedings beyond trustees’ determinations and administrative steps. Where family law or Commonwealth taxation law applies, separate enforcement or appeal processes under those regimes may operate in parallel, but the Act itself relies on trustees to implement orders and reduce payments as required (s 29B, s 26D).
In summary, enforcement is carried out administratively by trustees through suspensions, reductions, withholdings and commutations; certain events (conviction for serious offence) trigger mandatory consequences (s 19AA). Trustees’ decisions are central; the Act prescribes the mechanisms by which obligations are enforced rather than establishing new criminal sanctions or a separate statutory penalty regime within the Act itself.
How it interacts with other laws
The Act explicitly imports external legal regimes and requires compliance with and adjustment to Commonwealth law and family law. The principal interactions are statutory and operational.
Superannuation Industry (Supervision) Act 1993 and related Commonwealth standards. The Act frequently requires trustees and benefits to be consistent with “relevant Commonwealth superannuation standards” that would apply under the SIS Act if the Fund were a regulated superannuation fund (definition in s 3). Sections that operationalise this include trustees’ ability to stop accepting contributions to ensure consistency (s 18A), the compulsory preservation of lump sums in compliance with relevant standards (s 22B), varieties of permitted payment or rollover vehicles that mirror SIS outcomes (s 22BA(5)), the power to elect to receive pensions in forms consistent with Commonwealth standards (s 27A), and the trustees’ duty to determine member information by reference to what a trustee of a regulated fund must provide (s 32A). These references import prudential, preservation and release rules from Commonwealth superannuation law into the Fund.
Family Law Act 1975 (Part VIIIB) and Family Law (Superannuation) Regulations 2001. Part 4A explicitly implements the requirements of family law superannuation legislation. Trustees must not make payments that would contravene family law orders or agreements and must make or reduce payments as required under family law (s 29B). Trustees must provide mechanics to pay non-member spouses, transfer to complying funds or RSAs and, failing nomination, transfer to the Aware Super Fund via FTC (ss 29C(3)-(5), 29C(6)). Regulations may specify valuation, composition and timing (s 29E). Section 29C(6) and the definition of complying superannuation fund (s 29A) show direct referencing of Commonwealth family law machinery.
Superannuation Contributions Tax (Assessment and Collection) Act 1997 and Superannuation Contributions Tax Imposition Act 1997. The Act defines “superannuation contributions surcharge” and “surcharge debt account” by reference to Commonwealth law (s 3, s 26D(7)). Section 26D gives trustees the power and duty to reduce benefits to account for surcharge liabilities they have paid or are liable to pay, and contemplates regulation to address payment of surcharge obligations and adjustments to benefits where assessments are issued (s 26D(1), (8)-(10)). The Act therefore creates an interaction where Commonwealth taxation liabilities affecting the Fund can be recouped via trustees’ benefit adjustments.
Insurance and Superannuation Commissioner Act 1987. The Act defines “Insurance and Superannuation Commissioner” and requires trustees to furnish information the Commissioner reasonably requires to monitor the Heads of Government Agreement relating to the SIS exemption of certain State schemes (s 3 definition; s 32B). That is a reporting link for oversight purposes.
Government Sector Finance Act 2018. Trustees may enter into financial arrangements under and subject to Part 6 of that Act (s 7(1)), so some Fund financial operations are governed by state public sector financial rules.
Parliamentary Remuneration Acts and Constitution Act. The Act consistently references the source and composition of salary for pension calculations (s 3; s 19(2)-(4A)); salary components for calculation purposes are taken from the Constitutional Act, Parliamentary Remuneration Tribunal Act 1975 and Parliamentary Remuneration Act 1989. Section 4 (amendments require certificate) links to the Parliamentary Remuneration Tribunal but that text has amendment annotations.
Family law, taxation, APRA/Aware Super Fund mechanics. Part 4A sets up rollovers and payments to comply with Commonwealth family law processes and to the Aware Super Fund (s 29A, s 29C(5)). Section 22BA and related sections use Commonwealth-defined terms (regulated superannuation fund, RSA, approved deposit fund) and permit rollovers, transfers and annuities consistent with SIS Act definitions and APRA rules (s 22BA(5)-(7)).
Regulations and ministerial oversight. The Minister may extend actuarial report timeframes (s 10(2B)); the Governor may make regulations consistent with the Act (s 33). Regulations may prescribe many technical matters including surcharge payment mechanics and family law procedures (s 26D(9), s 29E, Sch 1 cl 1). Trustees must forward triennial actuarial reports to the Minister (s 10(2C)).
Net effect. The Act establishes a state-managed defined-benefit arrangement that operates in a web of Commonwealth prudential, tax and family law regimes. Trustees must interpret and apply the scheme consistent with relevant Commonwealth standards, implement family law splits and cooperate with Commonwealth tax assessments by adjusting benefits as necessary (ss 18A, 22B, 26D, 29B-29C). This creates layered compliance: trustees must reconcile state statutory entitlements with external obligations and orders.
Amendment history
The Act’s marginal annotations and insertion notes within the text record numerous amendments, insertions and repeals. The annotations in the text are the source for this timeline of key legislative changes and additions (these notes follow the structure of the Act and indicate the years and schedules effecting changes).
Early and structural amendments. The Act’s initial operative provisions were substituted and amended variously over time. Section 3’s definition block records a series of amendments dating from 1975 through 2010 (s 3: Am 1975 No 67; 1979 No 132; 1981 No 86; 1989 No 160; 1991 No 95; 1992 No 35; 1993 No 111; 1995 No 99; 1996 No 92; 1997 No 42; 1997 No 147; 1997 No 149; 1998 No 13; 2000 No 114; 2002 No 110; 2003 No 77; 2009 No 62; 2010 No 19). These entries indicate ongoing legislative updates to definitions and cross-references.
Closure of the Scheme to new entrants. Part 1A was inserted in 2005 (Ins 2005 No 110, Sch 1) and s 4A (Closure from the 2007 general election) was inserted by that amending Act (s 4A: Ins 2005 No 110). That provision closes the Parliamentary Contributory Superannuation Scheme to members elected at or after the 2007 general election except continuing members (s 4A).
Trustee governance and corporatisation. Substantial trustee governance changes were made in 1991 (Ins 1991 No 95, Sch 3) inserting corporate status for trustees and delegation powers (ss 14A, 15A-15C). Later, in 2022 the trustees’ composition and related provisions were updated (s 14 annotation: Subst 2022 No 29, Sch 1.5).
Family law mechanics. Part 4A, covering family law interaction, was inserted in 2003 (Ins 2003 No 77, Sch 5). It added ss 29A-29E implementing family law superannuation payment splits, rollovers and related regulation-making powers.
Criminal charges and convictions. Section 19AA, dealing with suspension and forfeiture where a member or former member is charged with or convicted of a serious offence, was inserted in 2006 (s 19AA: Ins 2006 No 93, Sch 1) and further amended in 2017 (Am 2017 No 18, Sch 1).
Salary sacrifice. Section 18AA (salary sacrifice contributions) was inserted in 2009 (s 18AA: Ins 2009 No 62, Sch 2.2).
Preservation and Commonwealth consistency. Several amendments in the 1990s and later inserted preservation mechanics and explicit references to relevant Commonwealth superannuation standards (s 22B Ins 1993 No 111, Sch 7; s 27A Ins 1991 No 95, Sch 3 (5); further amendments through 1997-1999 addressing surcharge and preservation).
Surcharge and surcharge-payment mechanics. Section 26D (trustees’ power to adjust benefits for surcharge) was inserted in 1997 (Ins 1997 No 149, Sch 1.2) and subsequently amended by Acts in 2002 and 2005 (s 26D: Am 2002 No 110; 2005 No 110).
Transitional savings. Schedule 1 and Schedule 2 and various clauses have been inserted or amended across multiple Acts to preserve prior rights, validate reductions and manage transitional arrangements (Sch 1: Ins 1997 No 149; subsequent amendments recorded through 2022).
This list is not exhaustive but highlights how the Act has been amended to: align Fund operation with Commonwealth superannuation law and family law; introduce salary-sacrifice mechanics; create criminal-related suspension and forfeiture provisions; preserve accrued rights; and reform trustee governance. Each amended or inserted provision in the text carries an annotation recording the amending Act and schedule , those annotations are the textual source for the amendment history cited here (see annotations following the individual sections throughout the Act).
Litigation history
The text of the Act does not itself record case law or adjudicated disputes and contains no named judicial decisions. The statute provides administrative mechanisms for trustees to make determinations, reductions and suspensions, but it does not set out judicial review processes or list litigated cases.
Nevertheless, the Act creates multiple decision points and discretionary determinations that are natural candidates for dispute and litigation in practice. The statutory text itself identifies the following loci where disputes or litigation risks could arise, because the Act vests decision-making and adjustment powers in trustees or requires reconciliation with external regimes:
Trustees’ determinations under s 26D. Trustees must determine a surcharge deduction amount and reduce benefits accordingly (s 26D(1)-(3)). Disputes may arise over the fairness, basis and calculation of the surcharge deduction amount and the trustees’ weighting of factors in s 26D(2). The Act permits trustees to obtain actuarial advice (s 26D(4)), but it does not specify an internal appeals process for members contesting a trustees’ determination.
Family law payment splits and valuation under Pt 4A. Section 29C requires trustees to calculate the value of a family law entitlement in accordance with regulations and the family law superannuation legislation, and to effect payments, rollovers or transfers. Disagreement over valuation, composition or whether the trustees have complied with a splitting order may be litigated under family law processes or judicial review if trustees’ statutory obligations are disputed (s 29C(6)).
Suspension and reinstatement under s 19AA. The Act authorises trustees to suspend pension entitlements while criminal proceedings are pending and prescribe mandatory consequences on conviction (s 19AA). Questions of whether suspension was properly applied, whether reinstatement should occur, or the trustees’ exercise of discretion in lifting suspension “in the public interest” (s 19AA(2)) may be the subject of litigation or administrative review.
Trustees’ discretion and fiduciary duties. Trustees’ investment decisions (s 7(2)-(4), s 8), their duty to consider members’ interests (s 15(5)(a)), and their powers to withhold payment pending competing claims (s 30B) could generate disputes if beneficiaries allege breaches of trust, failure to follow required procedures or unreasonable withholding.
Preservation, release and Commonwealth standard compliance. Sections requiring compliance with “relevant Commonwealth superannuation standards” (definition s 3; ss 22B, 27A) create potential conflict about the correct application of those external standards, particularly where Commonwealth law changes or where trustees elect to apply alternate forms under s 27A. Disagreements on whether trustees have properly preserved or released benefits consistent with Commonwealth requirements could be litigated or reviewed.
Because the Act vests administrative authority primarily in trustees and prescribes statutory avenues for reductions and suspensions rather than prescribing internal appeal routes, disputes are likely to be litigated by beneficiaries seeking judicial review of trustees’ decisions or through family law or taxation channels where holdings intersect with those regimes. The Act itself contains no case citations or judicial guidance; any litigation history would need to be identified from court records and is not recited in the statute.
Gotchas
Practical traps and points where statutory detail can produce unintended consequences, friction or operational risk for trustees, members and advisors. Each item is tied to the statutory text.
Closure risk: limited eligibility for new entrants. The Scheme closed to members first elected at or after the 2007 general election, except “continuing members” as narrowly defined (s 4A). That means advisers must check the status of any person’s election date and whether they qualify as a continuing member; a candidate elected after the 2007 general election who is not a continuing member is not entitled to deductions or to have that later service counted for benefits (s 4A(1)-(2)).
Mandatory timing windows for elections and repayments. Many member choices are time-limited and irrevocable. For example, conversion of pension to lump sum (s 20) must be made within specified three-month windows after entitlement events (s 20(11)); an election to cease salary deductions at age 65 is irrevocable (s 18B(2)); nomination of commencement date for pension is irrevocable and must be served within three months after the default date (s 32D(3)-(5)). Failure to meet deadlines results in loss of optionality.
Salary-sacrifice tax composition and employer approval. Under s 18AA, salary sacrifice contributions must include both the contribution element and the amount required to meet any tax payable under Commonwealth law with respect to that contribution (s 18AA(3)(b)). The salary-sacrifice arrangement requires designated employer and trustees’ approval (s 18AA(1), (5)(d)), and is effective only for future instalments once approved (s 18AA(5)(a), (d)). Practically, this means administrative processes must capture the tax gross-up element and secure approvals in advance.
Trustees may refuse contributions to align with Commonwealth standards. Section 18A allows trustees to determine that deductions not be made for periods where accepting contributions would conflict with relevant Commonwealth superannuation standards. If trustees make such a determination, the period is excluded from benefit calculation (s 18A(1)-(3)). Members must be aware that trustee determinations can reduce credited service.
Surcharge reduction mechanics and caps. Section 26D permits trustees to reduce benefits to take account of superannuation contributions surcharge liabilities but caps the deduction (generally 15% of the employer-financed portion of post-20 August 1996 accrual) (s 26D(3)). Trustees must calculate surcharge deduction amounts fairly (s 26D(2)) and may adjust benefits even after payment has commenced if a surcharge assessment is issued (s 26D(8)). Members may find benefits reduced years after they accrued if surcharge assessments occur.
Criminal-charge suspension consequences. Section 19AA suspends entitlement while proceedings for “serious offences” are pending; on conviction, entitlement ceases and pensions and lump sums paid must be repaid (s 19AA(2), (4)). Elections under s 20 are voided if conviction occurs (s 19AA(4)(b)). Trustees can authorise advances on refunds while suspension operates, but those advances must be recouped if entitlement is reinstated (s 19AA(7), (4A)). The practical consequence is that criminal proceedings can cause immediate financial disruption for recipients and may require prompt recoupment accounting.
Family law payment splits can reduce member benefits and trigger transfers. Part 4A requires trustees to comply with family law splitting orders and to make payments or transfers to non-member spouses, including rollovers to complying funds or, failing nomination, transferring to the Aware Super Fund via FTC (s 29C(3)-(5)). Trustees may reduce member benefits to effect family law payments (s 29D). This creates administrative and valuation complexity and potential timing risk if a non-member spouse fails to nominate a destination, as trustees must then transfer to FTC (s 29C(5)).
Preservation and payment constraints. Trustees must preserve lump sums to meet relevant Commonwealth standards and determine preserved amounts with actuarial advice (s 22B(1)-(3)). The trustees may adjust reserves and deduct administration costs from preserved accounts (s 22B(4)-(5)). Members expecting immediate cashouts may instead find amounts preserved and available only under Commonwealth-standard release conditions (s 22BA(1)-(2)).
Trustee discretion without detailed appeal pathways. The Act vests broad fiduciary and adjustment powers in trustees (ss 15, 26D, 27A) but does not set out a detailed, statute-based appeals or review mechanism for dissatisfied members beyond existing administrative and external legal remedies. Trustees’ determinations (e.g., allocation among competing spouse claimants under s 30B) may be final absent judicial challenge.
Default and irrevocable nomination risks. Nominating a commencement date for pension payments is irrevocable (s 32D(5)). A late or incorrect nomination may lock the person into an undesired payment commencement date.
Non-assignability and estate treatment. Pensions and benefits are non-assignable (s 32). Payments on death are governed by the Act’s survivor and children provisions (ss 23, 23B), and trustees have discretion to direct payments to particular persons (s 23B(6)). Personal representatives may in some limited circumstances be entitled to residual amounts where no survivor or child pension applies (s 22A(4)).
Awareness of these clauses and their interaction is necessary for trustees, members and advisers to manage timing, taxation, family law outcomes and potential reductions.
How to comply
A practical compliance checklist, organised by actor, with statutory references to implement the Act’s requirements and minimise operational risk.
For trustees and Fund administrators
Governance and documentation. Ensure trustees have formally adopted and documented an investment strategy and a reserves strategy that address the matters listed in s 8(2)-(3). Maintain committee charters where committees are used (s 15C), record delegation instruments under s 15A and ensure the corporate entity details under s 14A are up to date.
Investment and financial arrangements. Appoint investment manager(s) in writing and ensure all investments are arms-length unless they are permissible in-house assets (s 7(2)-(4)). Use Part 6 Government Sector Finance Act 2018 processes where relevant (s 7(1)).
Actuarial program and Minister/Treasurer interface. Schedule triennial actuarial investigations to meet s 10(1) and ensure actuaries complete reports within six months of the investigation date (s 10(2A)). Where special circumstances apply, seek Ministerial extension under s 10(2B). Forward reports to the Minister within three months of receipt (s 10(2C)). After receiving actuarial recommendations, prepare formal advice to the Treasurer so the Treasurer can determine contributions and interim advances (s 11(1)-(2)).
Benefit calculation controls and preservation. Establish actuarial methodology and document how total salary and total basic salary are calculated for s 19 purposes, including historical salary exclusions (s 19(3)-(4A)). For lump sums, implement the trustees’ process for determining preserved amounts consistent with relevant Commonwealth superannuation standards, including actuarial advice (s 22B(1)-(3)). Maintain preserved accounts and records of interest and administrative deductions (s 22B(3)-(5)).
Surcharge accounting and communications. Track surcharge exposures and surcharge debt accounts (s 26D(7)). If trustees are required to make a surcharge deduction amount, document the determination in writing and the factors considered under s 26D(2). Observe the statutory cap in s 26D(3). Provide clear member notices on potential reductions and the basis for calculations.
Family law mechanics. Implement procedures for receiving notice of family law entitlements, valuing family law superannuation entitlements according to the regulations, and effecting payment, transfer or rollover options under s 29C(3)-(6). Require non-member spouses to make timely nominations and, if they do not, prepare for transfer to FTC as prescribed (s 29C(5)). Maintain compliance with s 29D on reductions to member benefits and with any regulations under s 29E.
Member information and regulatory reporting. Produce member information consistent with SIS trustees’ required disclosures (s 32A) and maintain systems to supply information reasonably required by the Insurance and Superannuation Commissioner for monitoring purposes (s 32B). Ensure routine compliance reporting is scheduled.
Administrative safeguards. Maintain forms and processes for elections (salary sacrifice s 18AA(5), surcharge payments s 31A, lump-sum conversion s 20(11), nomination of pension commencement s 32D) and record service of notices and timings to avoid missed windows. For competitive spouse claims, apply the withholding powers under s 30B and maintain clear records of determinations and communications.
For members and designated employers
Contributions and salary sacrifice. Members must expect 12.5% deductions from each salary instalment unless they validly elect to cease deductions under s 18B or trustees elect not to accept contributions for a specified period under s 18A. If using salary sacrifice, obtain both designated employer and trustees’ approval, ensure the election is in writing and includes required information (s 18AA(1), (5)(b)-(c)) and understand that the salary-sacrifice contribution must include any tax payable on the contribution element (s 18AA(3)).
Elections and timeframes. If entitled to a pension and considering commutation to a lump sum, make the election within the statutory time limits (s 20(11)). If electing a pension payment commencement date, serve the nomination in the required form and within three months after the default date (s 32D(3)). If repaying previously refunded contributions on re-entry to membership, enter into a contract to repay within three months (or up to six months if trustees permit) after re-entering (s 24).
Surcharge and repayment elections. To manage superannuation contributions surcharge exposure, use s 31A to lodge an election to pay amounts to the Fund for surcharge cover and specify payment timing and amounts; the trustees must refund any excess after the surcharge debt is paid (ss 31A-31B).
Family law disclosure. Where a family law splitting order or agreement exists, members should promptly provide trustees with required notices and cooperate with valuation and payment processes (s 29C). Non-member spouses must make timely nominations for transfers/rollovers.
For practitioners advising on disputes and review
Document trustees’ reasoning. Where trustees exercise discretion (s 26D, s 27A, s 29D), ensure determinations are made in writing and the facts, actuarial advice and legal reasons are recorded. The Act requires written determination for surcharge reductions (s 26D(1)), and written elections and notices are prerequisites for many member actions (s 18AA(5), s 20(11), s 32D(3)).
Consider external regimes and strategic timing. Because the Act requires consistency with Commonwealth standards (s 3 definition; ss 22B, 27A), timing and form of payments may be constrained by Commonwealth rules. For example, preservation rules may prevent an immediate cash release even where an Act election is made.
Manage criminal-charge contingencies. If a member is charged with a serious offence, counsel clients on the administrative consequences (s 19AA): suspension while proceedings are pending, possible lifting of suspension by trustees, and mandatory cessation and repayments on conviction. Advise on appeal timelines and potential reinstatement mechanics (s 19AA(8)-(6)).
Prepare for family law valuations and rollovers. Ensure accurate valuation methodologies in collaboration with actuaries so that the trustees’ valuation under s 29C(6) is defensible and conforms to the regulations.
Timeliness and record-keeping are central. Many rights depend on written elections, statutory notice periods and trustees’ approvals. Trustees and advisers must operate to the statute’s timing, preservation and notice requirements (ss 18AA(5), 20(11), 32D(3), 24). Compliance with Commonwealth standards and family law mechanics requires coordinated administrative, actuarial and legal practices aligned with the Act’s specific cross-references (ss 22B, 22BA, 27A, 29B-29E).
Part 1AClosure of Scheme from 2007 general election
penalty, in relation to a Commonwealth taxation law, includes (but is not limited to)—
(a) a penalty rate of taxation under that law, and
(b) the loss of a concessional rate of taxation under that law.
relevant Commonwealth superannuation standard means a standard that would be applicable under the Superannuation Industry (Supervision) Act 1993 of the Commonwealth if the Fund was a regulated superannuation fund under that Act.
salary, in relation to a member or a former member, means—
(a) all moneys payable, whether before or after the commencement of this Act, by way of salary or special allowance to him or her under the Constitution Act 1902, the Parliamentary Allowances and Salaries Act 1956 or any corresponding previous enactment, and
(b) all remuneration payable to him or her under the Parliamentary Remuneration Tribunal Act 1975, excluding any portion specified under section 7A of that Act as being in the nature of an allowance for electoral or other expenses, and
(c) all remuneration payable to him or her under the Parliamentary Remuneration Act 1989 by way of basic salary or additional salary, and
(d) the cost of any employment benefits (within the meaning of the Parliamentary Remuneration Act 1989) provided to the member or former member (as determined by the designated employer), and
(e) if salary sacrifice contributions are made in respect of the member or former member under this Act, the amounts payable for those contributions under section 18AA, and
(f) if salary sacrifice contributions are made in respect of the member or former member under section 14F of the Parliamentary Remuneration Act 1989, the amounts of those contributions,
and includes any allowance (other than a living away from home allowance) payable to a member under section 17G or 28 of the Constitution Act 1902, as in force at any time before the commencement of the Parliamentary Allowances and Salaries (Amendment) Act 1966, but does not include any electoral allowance payable under section 28 of the Constitution Act 1902, as in force at any time before the commencement of section 15 of the Parliamentary Remuneration Tribunal Act 1975.
salary sacrifice contribution—see section 18AA.
spouse of a member, or former member, who has died means the widow or widower, as the case may be, of the member or former member.
the former Act means the Legislative Assembly Members Superannuation Act 1946.
the Fund means the Parliamentary Contributory Superannuation Fund maintained under this Act.
triennial actuarial investigation means an actuarial investigation under section 10 (1).
trustees means the Trustees of the Parliamentary Contributory Superannuation Fund constituted by this Act.
Note—
The Interpretation Act 1987 contains definitions and other provisions that affect the interpretation and application of this Act.
(2) In this Act—
(a) a reference to a function includes a reference to a power, authority and duty, and
(b) a reference to the exercise of a function includes, where the function is a duty, a reference to the performance of the duty.
(3) Notes included in this Act do not form part of this Act.
s 3: Am 1975 No 67, sec 13 (a); 1979 No 132, Sch 1 (1); 1981 No 86, Sch 1 (1); 1989 No 160, Sch 3 (1); 1991 No 95, Sch 3 (1) (7); 1992 No 35, Sch 3; 1993 No 111, Sch 7; 1995 No 99, Sch 1; 1996 No 92, Sch 1.4 (1); 1997 No 42, Sch 1.2 [1] [2]; 1997 No 147, Sch 1.18; 1997 No 149, Sch 1.2 [2] (am 1998 No 13, sec 6) [3]; 1998 No 13, Sch 1; 2000 No 114, Sch 1.1 [1] [2]; 2002 No 110, Sch 4 [1]; 2003 No 77, Sch 5 [1] [2]; 2009 No 62, Sch 2.2 [1] [2]; 2010 No 19, Sch 3.71 [1].
4 Amendments require certificate of approval
4 Amendments require certificate of approval
4 Amendments require certificate of approval
It is not lawful for the Legislative Assembly to originate or pass any vote, resolution or Bill for the amendment of this Act unless a certificate approving the amendment made by the vote, resolution or Bill has been first issued by the Parliamentary Remuneration Tribunal, or any successor of the Tribunal, during the Session in which the vote, resolution or Bill is proposed to be passed.
s 4: Rep 1997 No 149, Sch 1.2 [1]. Ins 1998 No 13, Sch 2.
Part 1A Closure of Scheme from 2007 general election
Part 1A Closure of Scheme from 2007 general election
Part 1A Closure of Scheme from 2007 general election
pt 1A: Ins 2005 No 110, Sch 1 [1].
4A Closure of Parliamentary Contributory Superannuation Scheme
4A Closure of Parliamentary Contributory Superannuation Scheme
4A Closure of Parliamentary Contributory Superannuation Scheme
(1) The Parliamentary Contributory Superannuation Scheme is closed to members elected at or after the 2007 general election, other than continuing members.
(2) Accordingly, a member elected at or after the 2007 general election who is not a continuing member is not entitled—
(a) to have deductions made from the member’s salary under this Act, or
(b) to have any period of service during which the member is not a continuing member after that election taken into account in determining any benefit payable to or in respect of the member under this Act.
(3) For the purposes of this Act, a person is a continuing member if—
(a) the person was a member of either House of Parliament at any time within the period of 3 months before polling day at the 2007 general election, and
(b) (Repealed)
(c) since polling day at that election, the person has not ceased to be a member of either House of Parliament for a continuous period exceeding 3 months.
(4) In this Part, 2007 general election means the first State general election held after the commencement of this section.
s 4A: Ins 2005 No 110, Sch 1 [1]. Am 2010 No 56, Sch 1 [1].
Part 2 Administration
Part 2 Administration
Part 2 Administration
Division 1 The Parliamentary Contributory Superannuation Fund
Division 1 The Parliamentary Contributory Superannuation Fund
Division 1 The Parliamentary Contributory Superannuation Fund
5 Parliamentary Contributory Superannuation Fund
5 Parliamentary Contributory Superannuation Fund
5 Parliamentary Contributory Superannuation Fund
The trustees must maintain in the Treasury, or in such other place as the trustees determine, a fund to be called the Parliamentary Contributory Superannuation Fund.
s 5: Subst 1991 No 95, Sch 3 (8).
6 Payments into and out of the Fund
6 Payments into and out of the Fund
6 Payments into and out of the Fund
(1) The Fund shall consist of—
(a) the moneys and investments that immediately before the commencement of this Act constituted the Legislative Assembly Members Provident Fund under the Legislative Assembly Members Superannuation Act 1946,
(b) all deductions from the salaries of members and salary sacrifice contributions made pursuant to Part 3 and any payments made by members under section 31A,
(c) payments, advances and loans made by the Treasurer as provided for by this Act, and
(d) all moneys howsoever arising by reason of investment of the Fund.
(2) There shall be paid from the Fund all pensions and other benefits, lump sums, interest payable on preserved benefits, allowances and other payments provided for in this Act.
(3) There is to be paid from the Fund fees payable to the trustees arising under the family law superannuation legislation or Part 4A, including administration costs arising under the family law superannuation legislation or Part 4A.
s 6: Am 1997 No 149, Sch 1.2 [4]; 1999 No 89, Sch 1 [1]; 2003 No 77, Sch 5 [3]; 2009 No 62, Sch 2.2 [3].
7 Financial arrangements
7 Financial arrangements
7 Financial arrangements
(1) The trustees may, under and subject to Part 6 of the Government Sector Finance Act 2018, enter into financial arrangements within the meaning of that Part.
(2) The trustees must invest money standing to the credit of the Fund that is available for investment through an investment manager or managers who undertake to invest and manage that money on behalf of the trustees.
(3) The trustees may appoint one or more investment managers for the purposes of this section.
(4) The trustees must not, from the assets of the Fund or in obtaining borrowings—
(a) lend money to a contributor for, or to a person entitled to or receiving, a benefit under this Act, either by lending the money directly or by lending it under arrangements entered into in the exercise of a general power of investment of the assets of the Fund, or
(b) borrow money or maintain an existing borrowing of money, whether by way of a secured or unsecured loan, otherwise than to obtain temporary finance, or
(c) invest any of the assets of the Fund otherwise than on an arms-length basis, unless it is an investment in an in-house asset within the meaning of Part 8 of the Superannuation Industry (Supervision) Act 1993 of the Commonwealth.
(5) The trustees are taken to have complied with subsection (4) from 1 July 1990 to the commencement of that subsection.
s 7: Am GG No 99 of 10.7.1981, p 3735. Subst 1991 No 95, Sch 3 (9). Am 1992 No 35, Sch 1; 1997 No 42, Sch 1.2 [3]; 2018 No 70, Sch 3.47 [1] [2].
8 Investment strategy
8 Investment strategy
8 Investment strategy
(1) The trustees must determine and give effect to an investment strategy for the Fund (the investment strategy) and a strategy for the prudential management of any reserves of the Fund (the reserves strategy).
(2) The investment strategy must have regard to the circumstances of the Fund, including but not limited to the following—
(a) the risk involved in making, holding and realising, and the likely return from, the investments having regard to the schemes’ objectives and their cash flow requirements,
(b) the composition of the investments as a whole, including the extent to which the investments are diverse or involve exposure to risks from inadequate diversification,
(c) the liquidity of the investments having regard to the schemes’ cash flow requirements,
(d) the ability of the Fund to discharge its existing and prospective liabilities,
(3) The reserves strategy must be consistent with the investment strategy and the ability to discharge the existing and prospective liabilities of the Fund (whether actual or contingent) as and when they fall due.
(4) In determining the reserves strategy, the trustees must have regard to any other matter which a trustee is required to consider in determining a reserves strategy under the Superannuation Industry (Supervision) Act 1993 of the Commonwealth.
s 8: Rep 1991 No 95, Sch 3 (10). Ins 1997 No 42, Sch 1.2 [4].
9
9 (Repealed)
9
s 9: Rep 1991 No 95, Sch 3 (10).
10 Actuarial investigations
10 Actuarial investigations
10 Actuarial investigations
(1) An investigation as to the state and sufficiency of the Fund shall be made as at the thirtieth day of June, one thousand nine hundred and seventy-two, and as at the expiration of each period of three years thereafter.
(2) Any such investigation shall be made by an actuary appointed by the trustees.
(2A) The actuary must complete the investigation, and report the result to the trustees, not later than 6 months after the date as at which the investigation is made.
(2B) The Minister may, in relation to a particular investigation, extend or further extend the period referred to in subsection (2A) if the Minister considers that special circumstances exist to justify an extension or further extension.
(2C) The trustees must, not later than 3 months (or such other period as is approved by the Minister) after receiving a report under this section, forward the report to the Minister with such comments as the trustees think fit.
(3) The actuary must recommend to the trustees the amount that, in addition to any other money payable into the Fund, should, in the actuary’s opinion, be paid into the Fund in resp
This is an opening excerpt, not the complete document.