Superannuation Industry (Supervision) Regulations 1994

SCHEDULE 1A  

Subregulations 1.05(4) and 1.06(4)

PAYMENT LIMITS FOR ANNUITIES AND PENSIONS WITH A COMMENCEMENT DAY BEFORE 1 JANUARY 2006

SECTION 5.  

5.    
In a year in which a PVF of 1 is used in calculating the maximum limit under clause 1 , payment of the full account balance may be made at any time during the year.

TABLE

TABLE

Column 1	Column 2	Column 3	Column 4
Item	Age of Beneficiary	Maximum Pension Valuation Factor	Minimum Pension Valuation Factor
1	20 or less	10	28.6
2	21	10	28.5
3	22	10	28.3
4	23	10	28.1
5	24	10	28.0
6	25	10	27.8
7	26	10	27.6
8	27	10	27.5
9	28	10	27.3
10	29	10	27.1
11	30	10	26.9
12	31	10	26.7
13	32	10	26.5
14	33	10	26.3
15	34	10	26.0
16	35	10	25.8
17	36	10	25.6
18	37	10	25.3
19	38	10	25.1
20	39	10	24.8
21	40	10	24.6
22	41	10	24.3
23	42	10	24.0
24	43	10	23.7
25	44	10	23.4
26	45	10	23.1
27	46	10	22.8
28	47	10	22.5
29	48	10	22.2
30	49	10	21.9
31	50	9.9	21.5
32	51	9.9	21.2
33	52	9.8	20.9
34	53	9.7	20.5
35	54	9.7	20.1
36	55	9.6	19.8
37	56	9.5	19.4
38	57	9.4	19.0
39	58	9.3	18.6
40	59	9.1	18.2
41	60	9.0	17.8
42	61	8.9	17.4
43	62	8.7	17.0
44	63	8.5	16.6
45	64	8.3	16.2
46	65	8.1	15.7
47	66	7.9	15.3
48	67	7.6	14.9
49	68	7.3	14.4
50	69	7.0	14.0
51	70	6.6	13.5
52	71	6.2	13.1
53	72	5.8	12.6
54	73	5.4	12.2
55	74	4.8	11.7
56	75	4.3	11.3
57	76	3.7	10.8
58	77	3.0	10.4
59	78	2.2	10.0
60	79	1.4	9.5
61	80	1	9.1
62	81	1	8.7
63	82	1	8.3
64	83	1	7.9
65	84	1	7.5
66	85	1	7.1
67	86	1	6.8
68	87	1	6.4
69	88	1	6.1
70	89	1	5.8
71	90	1	5.5
72	91	1	5.3
73	92	1	5.0
74	93	1	4.8
75	94	1	4.6
76	95	1	4.4
77	96	1	4.2
78	97	1	4.0
79	98	1	3.8
80	99	1	3.7
81	100 or more	1	3.5

Example :
Iva Fortune, who turns 60 on 5 September 1994, invests $ 100,000 in an allocated pension fund on 1 October 1994. The date of the first payment to Ms Fortune is 1 January 1995.
Assume a fund earning rate of 7 % .
1994 / 95: The maximum and minimum payments for 1994 / 95 are based on:
	(a) the account balance on the day of purchase; and
	(b) the beneficiary ' s age of 60 on the day of purchase:

$ 100,000 9.0	×	273 365	=	$ 8,310.50 (maximum limit, rounded to $ 8,310)
$ 100,000 17.8	×	273 365	=	$ 4,201.93 (minimum limit, rounded to $ 4,200)

Assume that total payments to Ms Fortune at 30 June 1995 are $ 6,000.
1995 / 96: The maximum and minimum payments for the year 1995 / 96 are based on:
	(a) the account balance on 1 July 1995 which is $ 99,145 (residue $ 94,000 + interest of $ 5,145); and
	(b) the beneficiary ' s age of 60 on 1 July 1995:

$ 99,145 9.0	=	$ 11,016.11 (maximum limit, rounded to $ 11,020)
$ 99,145 17.8	=	$ 5,569.94 (minimum limit, rounded to $ 5,570)