OCCUPATIONAL SUPERANNUATION STANDARDS REGULATIONS 1987 (REPEALED)

SCHEDULE 2 - CALCULATION OF OLD RBM  

(regulation 4A )

CLAUSE 6   CALCULATION METHOD 1 - NON-DEFINED BENEFITS  

6(1)    
Subject to subclause (2), the calculation is to be made in relation to a person using the formula:

1.08 × [ P × 1.0185 ×

(1.0185 n − 1) ] 0.0185

+ (1.08 × Q × 1.0185 n );

where:

P
means:

(a) in the case of a person who is a member of the fund as a result of having deferred any of his or her benefits in that fund - 0; or

(b) in any other case - the total proportion of the person ' s salary (expressed as a decimal number) that was:

(i) contributed to the fund during the financial year ending on 30 June 1990 (including any employer contributions); or

(ii) the highest proportion contributed to the fund during any earlier financial year (including any employer contributions);

whichever is the higher, and includes any amount paid by the employer in accordance with a prescribed agreement or award; and

Q
means the number worked out:

(a) if that person:

(i) was a member of the fund on 1 July 1990; and

(ii) had deferred any of his or her benefits in the fund before 1 July 1990;

by dividing the person ' s account balance on 1 July 1990 by an amount obtained by:

(iii) multiplying the person ' s salary on the date of deferral by the index number for the June quarter of the financial year that began on 1 July 1989; and

(iv) dividing the product of that multiplication by the index number for the March quarter of the financial year in which the benefits were deferred; or

(b) if the person ceased to be a member of the fund before 1 July 1990 - by dividing the person ' s account balance on the day when his or her membership ceased by his or her salary on the day when he or she ceased to be a member; or

(c) in any other case - by dividing the person ' s account balance on 1 July 1990 by his or her salary on that day; and

n
means the number of years in the period:

(a) beginning:

(i) if the person ceased to be a member of a superannuation fund before 1 July 1990 - on the day when that person ceased to be a member of the fund; or

(ii) in any other case - on 30 June 1990; and

(b) ending at the end of the day when the person reaches the age that is his or her retirement age for the purposes of the fund;

counting part of a year as a whole year.

6(2)    
If the governing rules of a superannuation fund of which a person is a member require the contributions to the fund in respect of the person to increase after 30 June 1990, the calculation is to be made in relation to that person by:

(a) adding together the amounts worked out, in accordance with subclause (3), in relation to the person separately in respect of each year from 1 July 1990 to the day on which he or she reaches the age that is his or her retirement age, counting part of a year as a whole year; and

(b) adding to the amounts referred to in paragraph (a) the amount specified in subregulation (4).

6(3)    
The amount referred to in paragraph (2)(a) to be worked out in relation to a person in respect of a year (in this subclause called " relevant year " ) is the amount worked out using the formula:

1.08 × P × 1.0185 n + 1-i

where:

P
means the proportion (expressed as a decimal number) of the amount of the salary of the person, being an amount that is assumed to increase by 8 % on each 1 July after 1 July 1990, that would be required to be contributed to the fund under the rules in respect of the relevant year; and

i
means:

(a) the number of years in the period that:

(i) began on 1 July 1990; and

(ii) ended at the end of the relevant year; or

(b) n ;

whichever is the lower number; and

n
has the same meaning as in subclause (1).

6(4)    
The amount referred to in paragraph (2)(b) is an amount worked out using the formula:

1.08 × Q × 1.0185 n

where Q and n have the same respective meanings as in subclause (1).