An Act to provide for the making of superannuation contributions in respect of members of Parliament, and for related purposes
Part 1—Preliminary
1 Short title
This Act may be cited as the Parliamentary Superannuation Act 2004.
2 Commencement
(1) Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.
<table cellspacing="0" cellpadding="0" style="width:355.55pt; border-collapse:collapse"><thead><tr><td colspan="3" style="width:344.85pt; border-top:1.5pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.35pt; padding-left:5.35pt; vertical-align:top"><p class="TableHeading"><span>Commencement information</span></p></td></tr><tr><td style="width:74.35pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.35pt; padding-left:5.35pt; vertical-align:top"><p class="Tabletext" style="page-break-after:avoid"><span style="font-weight:bold">Column 1</span></p></td><td style="width:180.7pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.35pt; padding-left:5.35pt; vertical-align:top"><p class="Tabletext" style="page-break-after:avoid"><span style="font-weight:bold">Column 2</span></p></td><td style="width:68.4pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.35pt; padding-left:5.35pt; vertical-align:top"><p class="Tabletext" style="page-break-after:avoid"><span style="font-weight:bold">Column 3</span></p></td></tr><tr><td style="width:74.35pt; border-top:0.75pt solid #000000; border-bottom:1.5pt solid #000000; padding-right:5.35pt; padding-left:5.35pt; vertical-align:top"><p class="Tabletext" style="page-break-after:avoid"><span style="font-weight:bold">Provision(s)</span></p></td><td style="width:180.7pt; border-top:0.75pt solid #000000; border-bottom:1.5pt solid #000000; padding-right:5.35pt; padding-left:5.35pt; vertical-align:top"><p class="Tabletext" style="page-break-after:avoid"><span style="font-weight:bold">Commencement</span></p></td><td style="width:68.4pt; border-top:0.75pt solid #000000; border-bottom:1.5pt solid #000000; padding-right:5.35pt; padding-left:5.35pt; vertical-align:top"><p class="Tabletext" style="page-break-after:avoid"><span style="font-weight:bold">Date/Details</span></p></td></tr></thead><tbody><tr><td style="width:74.35pt; border-top:1.5pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.35pt; padding-left:5.35pt; vertical-align:top"><p class="Tabletext"><span>1.</span><span> </span><span>Sections</span><span> </span><span>1 and 2 and anything in this Act not elsewhere covered by this table</span></p></td><td style="width:180.7pt; border-top:1.5pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.35pt; padding-left:5.35pt; vertical-align:top"><p class="Tabletext"><span>The day after the day on which this Act receives the Royal Assent.</span></p></td><td style="width:68.4pt; border-top:1.5pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.35pt; padding-left:5.35pt; vertical-align:top"><p class="Tabletext"><span>24</span><span> </span><span>June 2004</span></p></td></tr><tr><td style="width:74.35pt; border-top:0.75pt solid #000000; border-bottom:1.5pt solid #000000; padding-right:5.35pt; padding-left:5.35pt; vertical-align:top"><p class="Tabletext"><span>2.</span><span> </span><span>Sections</span><span> </span><span>3 to 19</span></p></td><td style="width:180.7pt; border-top:0.75pt solid #000000; border-bottom:1.5pt solid #000000; padding-right:5.35pt; padding-left:5.35pt; vertical-align:top"><p class="Tabletext"><span>At the same time as Schedule</span><span> </span><span>1</span><span style="font-style:italic"> </span><span>to the </span><span style="font-style:italic">Parliamentary Superannuation and Other Entitlements Legislation Amendment Act 2004</span><span>.</span></p></td><td style="width:68.4pt; border-top:0.75pt solid #000000; border-bottom:1.5pt solid #000000; padding-right:5.35pt; padding-left:5.35pt; vertical-align:top"><p class="Tabletext"><span>26</span><span> </span><span>June 2004</span></p></td></tr></tbody></table>
Note: This table relates only to the provisions of this Act as originally passed by the Parliament and assented to. It will not be expanded to deal with provisions inserted in this Act after assent.
(2) Column 3 of the table contains additional information that is not part of this Act. Information in this column may be added to or edited in any published version of this Act.
3 Definitions
In this Act:
administering authority means:
(a) in relation to a person who is or will be a senator—the Clerk of the Senate; and
(b) in relation to a person who is a member of the House of Representatives—the Clerk of the House of Representatives.
allowance by way of salary means office holder’s salary (within the meaning of the Parliamentary Business Resources Act 2017).
basic contributions fund, in relation to a person at a particular time, means:
(a) if a choice notice given by the member is in force under Division 2 of Part 2 at that time—the fund that is, at that time, specified in the notice as the chosen fund; or
(b) otherwise—the fund or scheme that is, at that time, the default fund under Division 3 of Part 2.
complying superannuation fund has the meaning given by section 4.
new scheme contribution period, in relation to a person, has the meaning given by section 6.
new scheme entry time, in relation to a person, has the meaning given by section 5.
office holder means an office holder (within the meaning of the Parliamentary Business Resources Act 2017) to whom a parliamentary allowance is payable.
parliamentary allowance means:
(a) an allowance by way of salary under clause 1 of Schedule 3 to the Remuneration and Allowances Act 1990:
(i) as in force before the commencement of Schedule 2 (the amending Schedule) to the Remuneration and Other Legislation Amendment Act 2011; or
(ii) as continued in force by item 21 of the amending Schedule; or
(b) parliamentary base salary (within the meaning of the Remuneration Tribunal Act 1973, as in force before the commencement of the Parliamentary Business Resources Act 2017); or
(c) base salary (within the meaning of the Parliamentary Business Resources Act 2017).
RSA has the same meaning as in the Retirement Savings Accounts Act 1997.
salary, in relation to a Minister of State, means Ministerial salary (within the meaning of the Parliamentary Business Resources Act 2017).
self managed superannuation fund has the same meaning as in the Superannuation Industry (Supervision) Act 1993.
4 Meaning of complying superannuation fund
(1) For the purposes of this Act, a fund or scheme is a complying superannuation fund at a particular time if, and only if:
(a) the fund or scheme is a complying superannuation fund for the purposes of the Income Tax Assessment Act 1997 in relation to the year of income in which the time occurs; and
(b) the fund or scheme is a superannuation fund as defined by subsection 6(1) of the Income Tax Assessment Act 1936.
(2) In applying paragraph (1)(a) in relation to a fund or scheme and a particular time, the following are to be disregarded:
(a) any notice that is given after that time under section 40 of the Superannuation Industry (Supervision) Act 1993 and that relates to the fund or scheme and the year of income in which the time occurs;
(b) any revocation or setting aside, after that time, of a notice given before that time under section 40 of the Superannuation Industry (Supervision) Act 1993 and that relates to the fund or scheme and the year of income in which the time occurs or an earlier year of income.
5 Meaning of new scheme entry time
(1) For the purposes of this Act, the new scheme entry time for a person is the first time after the commencement of this Act in relation to which the following conditions are satisfied:
(a) the time is on or after the polling day for the first general election following the commencement of this Act;
(b) the person becomes entitled to a parliamentary allowance at that time;
(c) the person was not entitled to a parliamentary allowance immediately before that time.
(2) For the purposes of subsection (1), if a person:
(a) ceased to be a member of the House of Representatives upon the dissolution or expiration of that House; and
(b) was elected as a member of the Senate within 3 months after so ceasing to be a member of the House of Representatives;
then the person is taken to have been entitled to a parliamentary allowance from the time of so ceasing to be a member of the House of Representatives until the time the person first becomes entitled to parliamentary allowance after being so elected as a member of the Senate.
(3) For the purposes of subsection (1), if a person:
(a) resigned as a member of the Senate; and
(b) was elected as a member of the House of Representatives within 3 months after the resignation;
then the person is taken to have been entitled to a parliamentary allowance from the time the person resigned as a member of the Senate until the time the person was elected as a member of the House of Representatives.
(4) For the purposes of subsections (2) and (3), a person who is elected as a result of a polling is taken to be elected on the polling day.
(5) In this section:
general election means a general election of the members of the House of Representatives.
6 Meaning of new scheme contribution period
(1) For the purposes of this Act, a new scheme contribution period of a person is a period described in subsection (2) or (3).
(2) The period that starts at the new scheme entry time for the person and that ends when the person next ceases to be entitled to a parliamentary allowance is a new scheme contribution period of the person.
(3) The period that starts at any later time in relation to which the following conditions are satisfied:
(a) the person becomes entitled to a parliamentary allowance at that time;
(b) the person was not entitled to a parliamentary allowance immediately before that time;
and that ends when the person next ceases to be entitled to a parliamentary allowance is a new scheme contribution period of the person.
Part 2—The new parliamentary superannuation scheme
Division 1—Commonwealth’s obligations to make contributions
7 Persons to whom this Division applies
This Division applies to a person (the member) in respect of a fortnight if all or part of the fortnight is in a new scheme contribution period of the person.
8 The Commonwealth’s obligations to make contributions
(1) If this Division applies to the member in respect of a fortnight, the Commonwealth must make a contribution, in respect of the member, to the basic contributions fund of the member.
Note: The basic contributions fund of the member is defined in section 3. It will be either a fund, scheme or account chosen by the member under Division 2 or the default fund under Division 3.
(2) Subject to subsections (3) and (4), the amount of the contribution is an amount equal to 15.4% of the sum of:
(a) the amount of parliamentary allowance payable to the member in respect of the fortnight; and
(b) the amount (if any) of salary to which the member is entitled because he or she was a Minister of State for some or all of the fortnight; and
(c) the amount (if any) of allowance by way of salary payable to the member in respect of the fortnight because the member was an office holder for some or all of the fortnight.
(2A) For the purposes of paragraph (2)(a), the amount of parliamentary allowance, being base salary (within the meaning of the Parliamentary Business Resources Act 2017), payable to the member in respect of the fortnight is the fortnightly amount of base salary worked out under regulations made for the purposes of subsection 52A(2) of that Act.
(2B) For the purposes of paragraph (2)(a), the amount of parliamentary allowance, within the meaning of paragraph (a) or (b) of the definition of parliamentary allowance in section 3, payable to the member in respect of the fortnight is to be worked out in accordance with regulations made under this Act for the purposes of this subsection.
(2C) For the purposes of paragraph (2)(c), the amount of allowance by way of salary payable to the member in respect of the fortnight, because the member was an office holder for some or all of the fortnight, is the fortnightly amount of office‑holder’s salary (within the meaning of the Parliamentary Business Resources Act 2017) worked out under regulations made for the purposes of subsection 52A(2) of that Act.
(3) For the purpose of paragraph (2)(a), any reduction under Division 3 of Part 2 of the Parliamentary Business Resources Act 2017 (about salary sacrifice) of the member’s entitlement to parliamentary allowance is to be disregarded.
(4) An amount of parliamentary allowance, salary, or allowance by way of salary, is not to be taken into account under subsection (2) to the extent (if any) that it does not count as salary or wages for the purposes of section 19 of the Superannuation Guarantee (Administration) Act 1992.
(5) If:
(a) this Division applies to the member in respect of one or more of the fortnights ending in a quarter (as defined in the Superannuation Guarantee (Administration) Act 1992); and
(b) the Commonwealth makes contributions as required by this section in respect of the member and the fortnight or fortnights ending in the quarter in respect of which this Division applies; and
(c) the Commonwealth would otherwise have an individual superannuation guarantee shortfall, in respect of the member and the quarter, for the purposes of the Superannuation Guarantee (Administration) Act 1992;
then, for the purposes of the Superannuation Guarantee (Administration) Act 1992, the Commonwealth is, by making those contributions, taken to have reduced its charge percentage for the quarter to nil under whichever of section 22 or 23 of that Act is applicable.
(6) Despite anything else in this section, the Commonwealth is not required by this section to pay contributions to the person’s basic contributions fund if, under the Superannuation Industry (Supervision) Act 1993 (including the regulations under that Act), the basic contributions fund is not permitted to receive those contributions.
(7) The regulations may make modifications of this Act that are required as a result of the amendments of the Parliamentary Business Resources Act 2017 made by Schedule 4 to the Parliamentary Business Resources Legislation Amendment (Review Implementation and Other Measures) Act 2024.
Division 2—Choice of funds
9 Meaning of fund—includes schemes and accounts
In this Division:
fund includes a scheme or account.
10 When may a person choose a fund?
A person (the member) may choose a fund as described in section 11 if, and only if:
(a) the choice is made during a new scheme contribution period of the person; or
(b) the choice is made before the start of a new scheme contribution period of the person and at a time when:
(i) the person has been elected to the Senate, but his or her entitlement to parliamentary allowance as a senator has not yet commenced; or
(ii) the person has been chosen or appointed to hold the place of a senator in accordance with section 15 of the Constitution, but his or her entitlement to parliamentary allowance as a senator has not yet commenced.
11 The nature of the choice
(1) The member may choose a fund (the chosen fund) to be the fund to which contributions are made under this Act in respect of the member.
Note: The choice can be varied or revoked (see sections 14 and 15).
(2) The chosen fund must, at the time the choice is made, be either:
(a) a complying superannuation fund; or
(b) an RSA.
(3) There can only be one chosen fund at any particular time in relation to the member.
12 How to make a choice
(1) A choice of a fund must be made by notice in writing (a choice notice) signed by the member.
(2) The notice must:
(a) specify the name of, and contact details for, the chosen fund; and
(b) specify the date (the start date) from which the notice is to have effect, being the date the notice is given or a later date; and
(c) contain such other information (if any) as is required by the regulations.
(3) The notice must be accompanied by evidence that the chosen fund will accept contributions under this Act.
(4) The notice must be given to the administering authority.
13 Duration of a choice notice
If sections 10, 11 and 12 are complied with, a choice notice comes into force on the start date for the notice and remains in force until whichever of the following occurs first:
(a) the contribution payable under this Act in respect of the fortnight in which the member next ceases to be entitled to parliamentary allowance has been paid; or
(b) a revocation of the notice takes effect (see section 15); or
(c) the chosen fund ceases to exist; or
(d) the chosen fund ceases to accept contributions under this Act; or
(e) the chosen fund ceases to be a complying superannuation fund or an RSA.
14 Variation of a choice notice
(1) The member may vary a choice notice he or she has given by notice in writing signed by the member and given to the administering authority.
(2) The only variations that are permitted are:
(a) to change the chosen fund to another fund that is, at the time the notice is given:
(i) a complying superannuation fund; or
(ii) an RSA; or
(b) to change the start date to a later date (but only if the start date has not already occurred).
(3) The notice of variation must specify a date (the variation date) from which the variation is to take effect, being the date on which the notice is given or a later date.
(4) A notice of variation to change the chosen fund to another complying superannuation fund or RSA (the new fund) must:
(a) specify the name of, and contact details for, the new fund; and
(b) be accompanied by evidence that the new fund will accept contributions under this Act.
(5) If the notice of variation complies with this section, it varies the choice notice accordingly (subject to any later variations) with effect from the variation date.
15 Revocation of a choice notice
(1) The member may revoke a choice notice he or she has given by notice in writing signed by the member and given to the administering authority.
(2) The notice of revocation must specify a date from which the revocation is to take effect, being the date on which the notice of revocation is given or a later date.
(3) If the notice of revocation complies with this section, the revocation takes effect on the specified date.
16 Obligation to notify person of right to choose a fund
(1) Within 28 days after a person (the member) becomes a person who, under section 10, can choose a fund as described in section 11, the administering authority must cause the member to be given written notice containing the following information:
(a) a statement that the member may choose a complying superannuation fund or an RSA as the fund to which contributions in respect of the member will be paid under this Act;
(b) a statement to the effect that if the member does not choose a fund, the contributions will be paid to the fund that is, from time to time, the default fund;
(c) such other information (if any) as is required by the regulations.
(2) For the purposes of subsection (1), a person becomes a person who, under section 10, can choose a fund as described in section 11, on whichever of the following days applies:
(a) in the case of a person to whom paragraph 10(a) applies:
(i) unless subparagraph (ii) applies—the first day of the relevant new scheme contribution period of the person; or
(ii) if the day on which the person is declared, under section 283 or 284 of the Commonwealth Electoral Act 1918, to have been elected is later than the day applicable under subparagraph (i)—that later day;
(b) in the case of a person to whom subparagraph 10(b)(i) applies—the day on which the person is declared, under section 283 of the Commonwealth Electoral Act 1918, to have been elected to the Senate;
(c) in the case of a person to whom subparagraph 10(b)(ii) applies—the day on which the person is chosen or appointed as mentioned in that subparagraph.
Division 3—The default fund
17 Declaration of the default fund
(1) The Minister may, by notice in writing signed by the Minister, declare that a fund or scheme is the default fund for the purposes of this Act. At the time the declaration is made, the fund or scheme must be a complying superannuation fund (other than a self managed superannuation fund).
(2) A declaration under subsection (1) must specify the date of effect of the declaration. The specified date may be the day on which the declaration is signed, or an earlier or later day.
(3) The Minister must make a declaration under subsection (1) as soon as practicable after the commencement of this section.
(4) The Minister must ensure that there is only one default fund at any one time.
(5) The Minister may, by notice in writing signed by the Minister, revoke a declaration made under subsection (1) at any time.
(6) A revocation under subsection (5) must specify the date of effect of the revocation. The specified date may be the day on which the notice is signed, or an earlier or later day.
(7) If the Minister, under subsection (5), revokes a declaration under subsection (1), the Minister must make another declaration under subsection (1) which takes effect immediately after the revocation takes effect.
Part 3—Miscellaneous
18 Appropriation
The Consolidated Revenue Fund is appropriated for the purposes of paying contributions under this Act.
19 Regulations
The Governor‑General may make regulations prescribing matters:
(a) required or permitted by this Act to be prescribed; or
(b) necessary or convenient to be prescribed for carrying out or giving effect to this Act.