Document ID: chunk:federal_register_of_legislation:F2012C00542:body:0:p4
Version: federal_register_of_legislation:F2012C00542
Segment Type: other
Provision Reference: 
Character Range: 7513–10236

— amount

 (1) For subsection 49C (1) of the Act, the amount is $1 303.03.

 (2) On 1 January 2005, the amount mentioned in subsection (1) is indexed in accordance with section 2.05.

 (3) On 1 July 2005, and on 1 January and 1 July in each year following 2005, the indexed amount in force immediately before that date is indexed in accordance with section 2.05.

2.05 Indexation of amount for small associate pension

 (1) If the all groups consumer price index number for the weighted average of the 8 capital cities published by the Statistician in respect of the first quarter of the half‑year before the date of the indexation (factor A) exceeds the highest all groups consumer price index number for the weighted average of the 8 capital cities published by the Statistician in respect of the first quarter of any earlier half‑year, not being a half‑year earlier than the half-year that commenced on 1 January 2004 (factor B), the amount is increased at the rate worked out in accordance with subsection (2).

 (2) The rate is A – B expressed as a percentage of B.

2.06 Reduction of later standard pension

 (1) For subsection 49D (1) of the Act, this section applies to a standard pension in respect of an original interest if the standard pension becomes payable to a member spouse at a time after the operative time.

Note   This section applies to a pension that becomes payable to a DFRDB Scheme member at a time after the family law superannuation splitting process. At the time of the family law superannuation splitting process, the member's benefit was in the growth phase because the member was still serving or had a deferred benefit.

 (2) The amount to which the annual rate of standard pension payable to the member spouse after the operative time is to be reduced is calculated as follows:

Step 1  Identify the percentage of the annual rate of salary that would have been applicable to the member spouse at retirement if there had not been a payment split (pre-split retirement percentage).
Step 2  Identify the percentage of the annual rate of salary that would have been attributable to the member spouse as pension immediately before the operative time, if the member spouse had been able to retire at the operative time, (using factors identified by the Actuary) (hypothetical percentage entitlement).
Step 3  Establish the proportion of the hypothetical percentage entitlement that relates to the non‑member spouse (non-member spouse percentage).

        Example
        If, at the operative time, under the payment split the non-member spouse was entitled to 70% and the hypothetical percentage entitlement of the member spouse was 25%, the non-member spouse percentage is:

         = 17.5%