4Definitions

4 Definitions

Note: A number of expressions used in this instrument are defined in the Act, including the following:

(a) asset‑tested income stream (lifetime) (see section 9E of the Act);
(b) assessment day (see subsections 1120AB(6) and (7) of the Act);
(c) governing rules (see section 9 of the Act).

In this instrument:

access amount, for a particular day (the access day) for an asset‑tested income stream (lifetime), means the sum of:

(a) the maximum amount that would have been payable for the income stream, as determined by the contract or governing rules for the provision of the income stream, if the income stream had been commuted on the assessment day for the income stream; and
(b) any instalments paid for the income stream after the assessment day and before the access day.

Act means the Social Security Act 1991.

death benefit, for a particular day for an asset‑tested income stream (lifetime), means the maximum commutation amount that would be payable for the income stream, as determined by the contract or governing rules for the provision of the income stream, if the person, or persons, eligible to receive the income stream died on that day.

death benefit comparison value has the meaning given by subsection 6(3).

first half of the life expectancy period, for an asset‑tested income stream (lifetime), means the number of days in the period:

(a) starting on the assessment day for the income stream; and
(b) ending when the number of days equal to the life expectancy period for the income stream divided by 2, and rounded down to the nearest whole number, have passed.

life expectancy period, for an asset‑tested income stream (lifetime), means the number of days worked out by:

(a) using the Life Tables to calculate the number of days, as at the assessment day, in the life expectancy of:
(i) the person eligible to receive the income stream; or
(ii) for a joint income stream—the eldest of those eligible to receive the income stream; and
(b) rounding that number of days down to the nearest whole number of years; and
(c) converting those years to a number of days, assuming 365 days in a year.

Life Tables means:

(a) if a person's assessment day for an asset-tested income stream (lifetime) is before 1 January 2020—the Australian Life Tables 2010‑12 published by the Australian Government Actuary; or
(b) if a person's assessment day for an asset-tested income stream (lifetime) is between 1 January 2020 and 31 December 2024—the Australian Life Tables 2015‑17 published by the Australian Government Actuary; or
(c) if a person's assessment day for an asset-tested income stream (lifetime) is on or after 1 January 2025—the Australian Life Tables 2020‑22 published by the Australian Government Actuary.