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Superannuation (Family Law—Superannuation Act 1922) Orders 2004
6Reduction of standard pension
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6 Reduction of standard pension
For subsection 93DD(1) of the Act, the amount to which an annual rate of standard pension payable in respect of an original interest is to be reduced is calculated as follows:
| Step 1 | Identify the annual rate of standard pension that was payable in relation to the member spouse immediately before the operative time. |
|---|---|
| Step 2 | If that annual rate of standard pension takes account of the existence of 1 or more eligible children, deduct the part of the annual rate that takes account of the existence of the eligible children. |
| Step 3A | If the standard pension payable in relation to the member spouse is a spouse pension or an associate pension, identify a factor for the member spouse that is equal to the valuePy+mspecified in clause 3 of Schedule 5 to the FLS Regulations, calculated immediately before the operative time. |
| Step 3B | If step 3A does not apply, identify a factor for the member spouse that is equal to the value(Py+m + (r Ry+m))specified in clause 3 of Schedule 5 to the FLS Regulations, calculated immediately before the operative time. |
| Step 4 | Multiply the annual rate of standard pension (or the rate worked out under step 2, if applicable) by the factor worked out in step 3A or 3B. |
| Step 5 | Identify the transfer amount in relation to the non‑member spouse and subtract it from the amount worked out in step 4. |
| Step 6 | Divide the amount worked out in step 5 by the factor worked out in step 3A or 3B. |
| Step 7 | If step 2 applies, increase the rate worked out in step 6 by the part of the rate that was deducted under step 2.The result is the annual rate of the standard pension payable after the operative time in respect of the original interest. |