Commonwealth Consolidated Acts

SUPERANNUATION ACT 1976 - SECT 62

  (1)   Where a person who ceases, or is about to cease, to be an eligible employee by reason of early retirement is deemed, or will, upon so ceasing, be deemed, by subsection   58(3), or by section   58A or 58B, to have retired involuntarily, the person may, not later than 3 months after, and not earlier than 3 months before, the day on which he or she so ceases to be an eligible employee, elect by notice in writing to CSC, that, in lieu of pension and lump sum benefit being payable under section   55 or 59, benefit be paid under this section.

  (2)   Subject to subsection   (2CA) and section   62B, if a person who ceases to be an eligible employee before 1   July 2000 makes an election under subsection   (1), the person is entitled, in lieu of pension and lump sum benefit to which, if the election had not been made, the person would be entitled under section   55 or 59, to payment of:

  (a)   if paragraph   (b) does not apply, a lump sum benefit equal to the sum of:

  (i)   3.5 times the amount of the person's accumulated basic contributions; and

  (ii)   the amount of the person's accumulated supplementary contributions (if any); or

  (b)   if the person had, at any time before ceasing to be an eligible employee, received a partial invalidity pension, a lump sum benefit equal to the sum of:

  (i)   the amount worked out using the formula:

    ; and

  (ii)   the amount of the person's accumulated supplementary contributions (if any).

  (2A)   Subject to subsection   (2CA) and section   62B, if a person who ceases to be an eligible employee on or after 1   July 2000 makes an election under subsection   (1), subsection   (2B) or (2C) has effect.

  (2B)   If the person has reached the age of 55 years at the time when he or she ceases to be an eligible employee and provides CSC with a statement to the effect that he or she has retired from the workforce upon so ceasing, the person is (subject to subsection   (2CA)) entitled, in lieu of pension and lump sum benefit to which, if the election had not been made, the person would be entitled under section   55 or 59, to payment of:

  (a)   if paragraph   (b) does not apply, a lump sum benefit equal to the sum of:

  (i)   3.5 times the amount of the person's accumulated basic contributions; and

  (ii)   the amount of the person's accumulated supplementary contributions (if any); or

  (b)   if the person had, at any time before ceasing to be an eligible employee, received a partial invalidity pension, a lump sum benefit equal to the sum of:

  (i)   the amount worked out using the formula:

    ; and

  (ii)   the amount of the person's accumulated supplementary contributions (if any).

  (2C)   If the person has not reached the age of 55 years at the time when he or she ceases to be an eligible employee or has not provided CSC with a statement to the effect that he or she has retired from the workforce upon so ceasing, the person is (subject to subsection   (2CA))   entitled, in lieu of pension and lump sum benefit to which, if the election had not been made, the person would be entitled under section   55 or 59:

  (a)   to have an amount equal to the lump sum benefit mentioned in subsection   (2B) treated as a preserved benefit under the SIS Act and dealt with accordingly; or

  (b)   to payment of an amount equal to the amount of the person's accumulated contributions and to have an amount equal to the balance of the lump sum benefit mentioned in subsection   (2B) treated as a preserved benefit under the SIS Act and dealt with accordingly.

  (2CA)   If the person's surcharge debt account is in debit when the lump sum benefit becomes payable to the person, the lump sum benefit to which the person is entitled is equal to the difference between:

  (a)   the lump sum benefit to which the person would be entitled if this subsection did not apply to the person; and

  (b)   the person's surcharge deduction amount.

  (2D)   In this section:

"Actual contributions" , in relation to a person, means the person's accumulated basic contributions.

"Notional contributions" , in relation to a person, means the amount that would have been the person's accumulated basic contributions if, during the period in respect of which partial invalidity pension was paid, the person's basic contributions had been paid at the rate at which they would have been paid (including, if the person has made an election that is in force under subsection   46(2), at the rate of nil) if:

  (a)   in respect of a partial invalidity pension paid under section   77--the person's annual rate of salary on the day on which the person again became an eligible employee had been the same as the annual rate of the person's retirement salary for the purposes of that section; or

  (b)   in respect of a partial invalidity pension paid under section   78--the person's annual rate of salary had not decreased as mentioned in that section.