Document ID: chunk:federal_register_of_legislation:F2024C01248:reg:6:p14
Version: federal_register_of_legislation:F2024C01248
Segment Type: reg
Provision Reference: reg 6 (pt 14/21)
Character Range: 160245–163020

2007; and
                (b) had elected to do so.

                  Note: If the member is no longer in the employment which gave rise to the interest, but the interest is preserved in the scheme, retirement is taken to be the point at which the benefit is payable without penalty to the member.
           Step 2. If a superannuation lump sum benefit, including a roll‑over superannuation benefit, would have been payable had the member resigned, or withdrawn the benefit, immediately before 1 July 2007, calculate the value of that benefit.
           Step 3. The value of the superannuation interest is the greater of the values worked out using steps 1 and 2.
            If no value can be determined under step 2, the value of the superannuation interest is the value determined under step 1.

Interest other than defined benefit interest
 (3) For a superannuation interest that is not a defined benefit interest, the method is as follows.

      Method statement
           Step 1. Assume that the member was eligible to retire immediately before 1 July 2007, and work out the total amount of all the superannuation lump sums that could be payable from the interest at that time. The value of the superannuation interest is the total amount, unless step 2 applies.
           Step 2. If the total amount worked out under step 1 is less than the total amount actually or notionally allocated to the member (other than because of superannuation contributions surcharge liabilities, insurance costs or other fees, taxes and charges), the value of the superannuation interest is the amount actually or notionally allocated to the member.

307‑205.01A  How to calculate the value of a retirement benefit for step 1 of the method in subsection 307‑205.01(2)
 (1) This section sets out how to calculate the value of a retirement benefit for the purposes of step 1 of the method in subsection 307‑205.01(2).
 (2) If the retirement benefit depends upon the member's age, service or salary, or upon the employer's consent, the value is to be calculated on the assumption that:
 (a) the member's service was the member's actual service immediately before 1 July 2007; and
 (b) the member's age was the greater of:
 (i) the minimum age at which a retirement benefit could be taken without requiring the employer's consent; and
 (ii) the member's actual age immediately before 1 July 2007; and
 (c) the member's salary was the member's salary for superannuation purposes immediately before 1 July 2007; and
 (d) the employer consents to the retirement.
 (3) If part or all of the retirement benefit can be paid as a superannuation income stream, then the value of that income stream is determined as the product of:
 (a) the annual rate of the superannuation income stream that