Document ID: chunk:federal_register_of_legislation:C2004A03971:section:50:p9
Version: federal_register_of_legislation:C2004A03971
Segment Type: section
Provision Reference: s 50 (pt 9/12)
Character Range: 240547–243178

fund becomes a member of the nominated fund unless he or she has elected to be a member of another approved fund.

"(3) Where a fund employee revokes his or her election to be a member of an approved fund without electing to be a member of another approved fund, he or she becomes a member of the nominated fund.

"(4) Where a fund ceases to be the nominated fund, then, for the purposes of this Act, all remainder employees who were members of it immediately before it ceased are taken not to remain members of it and are taken to become members of the nominated fund that, because of subsection 4b (3), replaces it.".

When benefit payable

101. Section 6 of the Principal Act is amended by omitting subsection (1) and substituting the following subsection:

"(1) Subject to subsection (2) and section 5, where an interim arrangement employee:

    (a) ceases to be a qualified employee; or

    (b) in the case of an employee who is employed by an approved authority—ceases to be employed by that authority; or

    (c) in the case of an employee who is not employed by an approved authority—becomes employed by an approved authority;

an interim benefit becomes payable in respect of the person.".

Amount of interim benefit before 1 July 1990

102. Section 8 of the Principal Act is amended:

    (a) by omitting from subsection (1) "the year commencing on 1 January 1988 or a subsequent year" and substituting "a year commencing on 1 January 1988, 1 January 1989 or 1 January 1990";

    (b) by inserting in subsection (2) "and before 1 July 1990" after "year" (first occurring).

103. The Principal Act is amended by inserting after section 8 the following section:

Amount of interim benefit from 1 July 1990

"8a. (1) In this section:

'notional interim benefit', in relation to a person, means the amount of the interim benefit that, under section 8, would have been payable in respect of the person if he or she had ceased to be a qualified employee on 30 June 1990.

"(2) The amount of interim benefit that accumulates in respect of service by an interim arrangement employee in the year commencing on 1 July 1990 or a subsequent year is the amount calculated using the formula:

Notional contributions + (First factor × Notional contributions)

+ Second factor × (Notional benefit + Past accumulations)

where:

'Notional contributions' means the sum of what would have been the continuing contributions for the employee in respect of the employee's pay periods in the year if he or she had been a fund employee in the year;

'First factor' means the declared first interest factor for the year applied in relation to