Document ID: chunk:federal_register_of_legislation:F2025L00178:clause:10_3
Version: federal_register_of_legislation:F2025L00178
Segment Type: clause
Provision Reference: sch 10 cl 3
Character Range: 709082–710321

3  Method
 (1) The method is:
where:
GVP means the gross value of the pension, determined in accordance with section 66.
GVLS means the gross value of the lump sum, determined using the method of valuation set out in subclause (2).
 (2) For the purposes of subclause (1), the method of determining the gross value of the lump sum (GVLS) is:
where:
LS means the nominal value of the lump sum at the relevant date.
Dy+m means the discount valuation factor calculated in accordance with subclause (3).
 (3) For the purposes of subclause (2), the discount valuation factor (Dy+m) at the relevant date is:
where:
Dy means 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 means 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.
Dy+1 means 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 Dy.