Document ID: chunk:federal_register_of_legislation:F2021C00237:reg:7:p26
Version: federal_register_of_legislation:F2021C00237
Segment Type: reg
Provision Reference: reg 7 (pt 26/46)
Character Range: 106721–109506

an account‑based pension under Rule 3.6.1, the following conditions, in addition to any terms and conditions determined by CSC under Rule 3.6.2, shall apply to the pension:
           (a) the pension shall be paid from the pension account;
           (b) payment of the pension shall be made at least annually until the earlier of the member's death or the date that the pension account balance is exhausted;
           (c) the amount of any pension payment cannot be greater than balance of the pension account at the time of the payment;
           (d) the amount of the pension shall be subject to the minimum and maximum limits specified by the SIS Act;
           (e) once the pension is commenced, no amounts can be added to it by way of contribution or roll‑over to the pension account;
           (f) the pension is transferable to another person only on the death of the PSSAP pensioner or reversionary beneficiary or as otherwise permitted under the SIS Act;
           (g) the capital value of the pension and income from the pension cannot be used by a person as security for a borrowing;
           (h) the pension is to be commuted in whole or part to a lump sum only if permitted or required by the SIS Act; and
           (i) the pension must be commuted in whole or part to a lump sum where CSC receives a commutation authority issued under the Taxation Administration Act 1953 and the SIS Act permits the commutation.
Note:  Under the SIS Regulations, account‑based pensions are subject to an annual minimum based on the pensioner's age. Where a PSSAP pensioner has reached their relevant preservation age and is taking their pension as a transition to retirement income stream, the SIS Regulations also prescribe an annual maximum for the payments, based on the total account balance.

   Pension account

 3.6.4 Where CSC provides one or more account‑based pensions to a PSSAP member under Rule 3.6.1, CSC shall establish and maintain a separate pension account for each pension.
 3.6.5 At any particular time, the balance of the pension account of a PSSAP pensioner is equal to the total of the amounts credited to the pension account of the PSSAP pensioner under Rule 3.6.6 less the total of the amounts debited to the pension account under Rule 3.6.7.
 3.6.6 The following amounts are to be credited to a pension account:
           (a) the amount transferred from the personal accumulation account or non‑member spouse interest account of the PSSAP pensioner, as requested by the PSSAP pensioner;
           (b) the interest (if any) in respect of fund earnings on the pension account as determined by CSC;
           (c) the amount (if any) of roll‑over superannuation benefit transferred or rolled‑over under Rule 2.4.1D, unless that amount is credited to