42APensioner may elect to convert part of pension entitlement to lump sum payment entitlement

42A Pensioner may elect to convert part of pension entitlement to lump sum payment entitlement

S. 42A(1) amended by Nos 9672
s. 49(a), 120/1994
s. 9(1).

(1) Notwithstanding anything in this Act but subject to this section a pensioner who is receiving a pension under section 42 provided that he has not made an election under subsection (3) may, within the period of three months immediately prior to his attaining the age of 65 years, elect in writing to convert not more than 30 per centum of his fortnightly pension entitlement or $46.50, whichever is the greater to an equivalent entitlement by way of a lump sum payment as determined by an actuary appointed by the ESS Board.

(2) Where a pensioner makes an election under subsection (1) he shall be entitled to the lump sum payment when he attains the age of 65 years and his pension shall thereupon be reduced by the amount of the pension entitlement converted to a lump sum.

S. 42A(3) amended by No. 9672
s. 49(b), 120/1994
s. 9(1).

s. 42A

(3) Notwithstanding anything in this Act but subject to this section a contributor or pensioner (not being a pensioner at the commencement of the Superannuation Act 1980) who is or will be entitled to a pension under section 42 may, within the period commencing three months prior to his retirement and ending three months after his retirement, elect in writing to convert not more than 30 per centum of his fortnightly pension entitlement or $46.50, whichever is the greater to an equivalent entitlement by way of a lump sum payment as determined by an actuary appointed by the ESS Board.

(4) Where a contributor or pensioner makes an election under subsection (3) he shall be entitled to the lump sum payment on retirement or on the day on which he makes the election (whichever is the later) and his pension shall be reduced by the amount of the pension entitlement converted to a lump sum on the day on which he becomes entitled to the lump sum payment.

(5) Any election under this section shall apply only in relation to that part of the entitlement of the applicant which relates to the pension that would be payable to him after he becomes entitled to the lump sum payment, until his death.

(6) The provisions of this section shall not apply to enable a contributor or pensioner, who, at any time after he has attained the age of 55 years, has received a pension under section 43 to elect to convert any of his fortnightly pension entitlement under section 42 to a lump sum entitlement.

S. 42A(9) re‑numbered as s. 42A(7) by No. 9549
s. 2(1)(Sch. item 161).

(7) A person shall not be entitled to make more than one election under this section.