Document ID: chunk:federal_register_of_legislation:F2023C01022:clause:2_34
Version: federal_register_of_legislation:F2023C01022
Segment Type: clause
Provision Reference: sch 2 cl 34
Character Range: 378406–380658

34  Method—pension payable periodically
 (1) This clause applies if the amount of the pension that would be payable in respect of the interest is, at the time when payment of the pension commences, a fixed amount or an amount determined by increasing a fixed amount in accordance with an index over the minimum deferral period.
 (2) The method is:

where:
DBP is the annual amount of pension at the relevant date if the pension were to commence on completion of the minimum deferral period.
Pda is the pension valuation factor mentioned in the clause of Part 3 of this Schedule that applies to the pension, its indexation rate (if any), guarantee period (if any) and the member spouse's age at the end of the minimum deferral period.
Rsa is the reversion valuation factor mentioned in the clause of Part 3 of this Schedule that applies to the pension and the member spouse's age in completed years at the relevant date.
r is the proportion of pension that a non‑member spouse would receive, as the reversionary beneficiary of the member spouse, on the death of the member spouse, as provided by the trustee under section 90XZB or 90YZR of the Act.
Dy+m is the discount valuation factor calculated in accordance with subclause (3).
 (3) For subclause (2), the discount valuation factor (Dy+m) at the relevant date is:

where:
Dy is the discount valuation factor mentioned in clause 35 that applies to the pension at the relevant date and the minimum deferral period in complete years at that date.
m is the number of complete months of the minimum deferral period applicable to the pension at the relevant date that are not included in the remaining complete years of that period at that date.
Dy+1 is the discount valuation factor specified in clause 35 that would apply in respect of the pension at the relevant date if the minimum deferral period (in complete years) applying to the pension at that date were one year more than the minimum deferral period applying to the pension at that date.
 (4) In this clause and clause 35:
minimum deferral period in relation to the benefit payable to the member spouse in respect of the interest, means the period until the earliest date at which the benefit may be paid (other than for death or disability).