Commonwealth Consolidated Regulations Commonwealth Consolidated Regulations(subregulation 43(3))
This Schedule sets out the method for determining the gross value, at the relevant date, of a superannuation interest that is in the payment phase at the relevant date, if:
(a) part of the benefits in respect of the interest is being paid as a pension at the relevant date; and
(b) the remaining part of the benefits is payable, at any time after the relevant date, as a lump sum that is not a commutation of the pension.
In this Schedule:
"minimum deferral period" , in relation to a lump sum that is to be paid to a member spouse at any time after the relevant date, means the minimum period until the lump sum may be paid to the member spouse.
"nominal value" , of a lump sum at a particular date, means:
(a) subject to paragraph (b), the value of the lump sum at that date; or
(b) if the value of the lump sum is expressed as an amount of dollars to be paid at a time after that date, that amount.
(1) The method is:
where:
"GVP" is the gross value of the pension, determined in accordance with regulation 42.
"GVLS" is the gross value of the lump sum, determined using the method of valuation set out in subclause (2).
(2) For subclause (1), the method of determining the gross value of the lump sum ( GVLS ) is:
where:
"LS" is the nominal value of the lump sum at the relevant date.
"D" y+m is the discount valuation factor calculated in accordance with subclause (3).
(3) For subclause (2), the discount valuation factor ( D y+m ) at the relevant date is:
where:
"D" y is the discount valuation factor mentioned in clause 4 of this Schedule that applies to the lump sum and the minimum deferral period in complete years at the relevant date.
"m" is the number of complete months of the minimum deferral period applicable to the lump sum that are not included in the remaining complete years of that period at the relevant date.
"D" y+1 is the discount valuation factor mentioned in clause 4 of this Schedule that applies to the lump sum and the minimum deferral period applicable to the lump sum at the completion of the next year after the year mentioned in the definition of the factor D y .
(1) This clause sets out the discount valuation factors.
(2) The factors in column 2 of the table in this clause apply if the lump sum is not indexed.
(3) The factors in column 3 of the table in this clause apply if the lump sum is indexed in accordance with the consumer price index.
(4) The factors in column 4 of the table in this clause apply if the lump sum is indexed in accordance with a general wage index (for example, average weekly earnings, or average weekly ordinary time earnings, published by the Australian Bureau of Statistics).
(5) If the lump sum is indexed in accordance with a fund crediting rate, the factor is 1.
(6) For this Schedule, a lump sum is taken to be not indexed if the nominal value of the lump sum is an amount within the meaning of paragraph (b) of the definition of nominal value in clause 2 of this Schedule.
Discount valuation factors | |||
Lump sum not indexed | CPI indexed lump sum | Wage indexed lump sum | |
0 | 1.000 | 1.000 | 1.000 |
1 | 0.939 | 0.963 | 0.977 |
2 | 0.882 | 0.927 | 0.954 |
3 | 0.829 | 0.892 | 0.932 |
4 | 0.779 | 0.859 | 0.910 |
5 | 0.733 | 0.828 | 0.889 |
6 | 0.690 | 0.798 | 0.869 |
7 | 0.649 | 0.769 | 0.850 |
8 | 0.612 | 0.742 | 0.831 |
9 | 0.577 | 0.716 | 0.813 |
10 | 0.545 | 0.691 | 0.795 |
11 | 0.515 | 0.668 | 0.779 |
12 | 0.487 | 0.645 | 0.763 |
13 | 0.461 | 0.625 | 0.748 |
14 | 0.438 | 0.605 | 0.733 |
15 | 0.416 | 0.587 | 0.720 |
16 | 0.396 | 0.570 | 0.707 |
17 | 0.378 | 0.554 | 0.695 |
18 | 0.362 | 0.539 | 0.685 |
19 | 0.348 | 0.526 | 0.675 |
20 | 0.334 | 0.514 | 0.666 |