Commonwealth: Superannuation Act 1922 (Cth)

Superannuation Act 1922 No. 33, 1922 Compilation No. 28 Compilation date: 11 December 2024 Includes amendments: Act No. 115, 2024 About this compilation This compilation This is a compilation of the Superannuation Act 1922 that shows the text of the law as amended and in force on 11 December 2024 (the compilation date). The notes at the end of this compilation (the endnotes) include information about amending laws and the amendment history of provisions of the compiled law. Uncommenced amendments The effect of uncommenced amendments is not shown in the text of the compiled law. Any uncommenced amendments affecting the law are accessible on the Register (www.legislation.gov.au). The details of amendments made up to, but not commenced at, the compilation date are underlined in the endnotes. For more information on any uncommenced amendments, see the Register for the compiled law. Application, saving and transitional provisions for provisions and amendments If the operation of a provision or amendment of the compiled law is affected by an application, saving or transitional provision that is not included in this compilation, details are included in the endnotes. Editorial changes For more information about any editorial changes made in this compilation, see the endnotes. Modifications If the compiled law is modified by another law, the compiled law operates as modified but the modification does not amend the text of the law. Accordingly, this compilation does not show the text of the compiled law as modified. For more information on any modifications, see the Register for the compiled law. Self‑repealing provisions If a provision of the compiled law has been repealed in accordance with a provision of the law, details are included in the endnotes. Contents Part I—Preliminary 1 Short title 2 Commencement 3 Operation of this Act on or after 1 July 2011 4 Interpretation 4AA Members of the Defence Force 4A Salaries of officers in First Division of Public Service and statutory offices 5 Medical examination of employees 6 Application of the Criminal Code 7 Superannuation provision for certain persons by way of life assurance Part III—Contributions Division 1—Contributions by employees 19 Commencement and cessation of contributions 19A Contributions not payable on or after 1 July 1976 Division 2—Units of pension 20 Units of pension 20AA Obligation to make additional contributions after 4 February 1976 20AB Elections consequential upon operation of section 20AA 20A Rights of employees over 40 years of age 20B Effect of reduction in salary or prescribed amount 21 Exemption of employee who has made adequate provision 22 Interpretation Division 2A—Non‑contributory units of pension 22A Election to take up rejected units as non‑contributory units 22B Election by certain contributors to convert existing units to non‑contributory units 22C Election to take up units as non‑contributory units where salary increased after attainment of maximum age for retirement 22D Election ineffective if number of contributory units is, or falls below, number of initial units 22E Election ineffective if number of contributory units is, or falls below, one‑half of full unit entitlement 22F Effect of election 22G Cessation of non‑contributory units where contributor exempted from contributing for more than two units 22H Election not to contribute for units, or to contribute for units at age sixty‑five rates, ineffective in certain cases 22J Election to reduce contributory units ineffective in certain cases 22K References to full unit entitlement 22L Effect of certain elections in relation to elections to take up non‑contributory units 22M Deferred contributions Division 3—Scale of contributions by employees 23 Contributions by employees 24 Election to contribute for full pension at 60 years of age 25 Election to contribute for additional units at 65 years of age Division 4—Contributions for additional benefits for widows 26 Additional contributions by existing contributors 27 Additional contributions by certain pensioners who become re‑employed 28 Cessation of additional contributions Division 5—Reserve units of pension 29 Reserve Units of Pension Account 30 Contributions for reserve units of pension 30A Completion of contributions for reserve unit 31 Transfer of contributions to Superannuation Fund 32 Discontinuance of contributions for reserve units Division 6—Contributions by the Commonwealth 33 Payments out of Consolidated Revenue Fund Division 7—General provisions as to contributions 34 Employees on leave of absence 35 Manner of payment—deduction from wages or salaries 35A Deferment of contributions of contributors under Defence Force Retirement and Death Benefits Act 35B Order in which reduction of contributory units to take effect 36 Salary Part IV—Pensions and benefits Division 1—Retirement on pension 37 Age of compulsory retirement 38 Breakdown, retirement 39 Retrenchment 40 Dismissal 41 Compulsory termination of service of certain contributors for whom no retiring age is fixed by law 41A Voluntary termination of service 41B Holders of statutory offices Division 2—Grant of pensions and benefits 42 Value of units of pension 43 Amount of pension on retirement in respect of units other than non‑contributory units 43A Additional pension in respect of non‑contributory units 44 Contributor remaining in Service after attaining maximum age for retirement 45 Retirement through invalidity—amount of pension 46 Pension to spouse and children on death of contributor 47 Pension to spouse and children on death of pensioner 48 Pension to orphans on death of contributor or pensioner 48AA Restoration of widow's or widower's pension previously cancelled on remarriage 48AB Special grants of pension 48ABA Deceased pensioner survived by more than one spouse 48AC Minimum pension rates payable in respect of children 48AD Application of section 47 on and after 1 July 1976 48A Pension not payable in respect of children in certain circumstances 48B Pension not payable in certain circumstances 48C Pension to or in respect of certain contributors under Defence Force Retirement and Death Benefits Act 49 Refund of contributions on death of contributor without dependants 50 Choice of benefits for contributor who is retrenched 51 Refund of contributions in event of resignation, dismissal or discharge 52 Rights of contributors who resign to contest elections 53 Certain contributors who change the nature of their employment to continue as contributors 54 Desertion by pensioner of spouse or child 58 Payments to children 59 Period for which pensions payable 60 Payment of pension instalments 61 Minimum pension 62 Payment to person other than pensioner Division 5—Existing pension rights 66 Application of Division 67 Certain pensioners who become employees not to contribute except in respect of difference 68 Rights under other Acts and State Acts 69 Election to come under Act for difference 70 Right of employee not electing under section 69 to come under Act for limited purposes 71 Exchange of pension rights for equivalent rights under this Act 72 Employee having right to refund or gratuity under other law may exchange his rights for equivalent rights under this Act 73 Increase in certain pensions Division 6—Assurance policies 74 Transfer of policies to Board Part V—The Provident Account 79 Contributors to Provident Account 79A Contributions not payable on or after 1 July 1976 80 Contributions to Provident Account 80A Obligation to make contributions where salary increased after 4 February 1976 81 Election to contribute to Provident Account 82 Payments on retirement 83 Payment on death of contributor with dependants 83A Payment on death or invalidity in certain circumstances 84 Payment on death of contributor to Provident Account without dependants 85 Payments on resignation or dismissal 86 Certain contributors to the Provident Account who change the nature of their employment to continue as contributors 87 Retrenchment 87A Dismissal 87B Compulsory termination of service of certain contributors to Provident Account for whom no retiring age is fixed by law 87C Voluntary termination of service 87D Holders of statutory offices 88 Rights of contributors to Provident Account who resign to contest elections 89 Payment to other person 90 Rate of interest 91 Commencement of benefit 92 Payments out of Consolidated Revenue Fund to Provident Account 93 Determination of annual salary Part VA—Family law superannuation splitting Division 1—Preliminary 93DA Definitions Division 2—Benefits for non‑member spouse 93DB Associate pension for non‑member spouse 93DC Commutation of small associate pension Division 3—Reduction of benefits for member spouse 93DD Reduction of standard pension Division 4—Miscellaneous 93DE Ministerial Orders Part VIA—Special provisions in relation to certain employees formerly in private employment Division 1—Preliminary 100A Interpretation Division 2—The Superannuation Fund 100B Definition 100C Contributions for pension by relevant employee 100D Payment of prescribed amount to Board 100E Refunds of contributions to prescribed employees 100F Preservation of other superannuation rights 100G Increased contributions by the Commonwealth 100H Certain amounts to be paid by the Commonwealth to the Fund 100J Rights of certain relevant employees Division 3—The Provident Account 100K Definition 100L Contributions by certain relevant employees to Provident Account Division 4—Miscellaneous 100M Full‑time employment otherwise than as contributor to superannuation scheme 100N Prescribed employee to furnish Board with authority to obtain certain information 100P References to Board Part VII—Special provisions in relation to certain former State employees 101 Definitions 102 Superannuation rights and obligations of persons formerly employed by States 104 Payments on retrenchment, resignation, dismissal or discharge 105 Certain amounts to be paid out of Consolidated Revenue Fund to Superannuation Fund 106 Increased contributions out of Consolidated Revenue Fund 107 Payment into the Fund of amounts received in respect of past contributions Part VIIA—Special provisions in relation to certain employees who transfer from State employment Division 1—Preliminary 107A Interpretation Division 2—The Superannuation Fund 107B Definition 107C Contributions for pension by State employees 107D Prescribed employees contributing for restricted benefits 107E Prescribed amount paid to Board 107F Refunds of contributions to prescribed employees 107G Preservation of other superannuation rights 107H Increased contributions by the Commonwealth 107J Certain amounts to be paid by the Commonwealth to the Fund 107K Rights of certain State employees Division 3—The Provident Account 107L Definition 107M Provident Account contributions by State employees Division 4—Miscellaneous 107N Full‑time employment otherwise than as contributor to State Fund 107P References to Board Part VIII—Special provisions in relation to certain former contributors to Public Service Superannuation Funds 108 Interpretation 108A Application 109 Former contributors to Public Service Superannuation Funds who elect to pay refunds to Board 110 Former contributors to Public Service Superannuation Funds who do not elect to pay refunds to Board 110A Determination in respect of employee who has not elected under section 24 110B Board to make determinations on actuarial advice 110C Part VIII not to apply in certain cases 110D Application of this Part on and after 1 July 1976 Part IX—Special provisions in relation to certain former contributors to the Defence Forces Retirement Benefits Fund 111 Application of Part 112 Contributions 113 Additional contributions 114 Date of becoming an employee or contributor for certain purposes 115 Certain amounts to be paid out of Consolidated Revenue Fund to the Superannuation Fund Part X—Special provisions in relation to certain members of the Police Force of the Australian Capital Territory 116 Interpretation 117 Superannuation rights and obligations of certain members of the Australian Capital Territory Police Force 118 Retrenchment 119 Payments to be made out of Consolidated Revenue Fund to the Superannuation Fund Part XA—Preservation of rights of certain contributors and former contributors Division 1—Preliminary 119A Interpretation 119B Determinations by the Board Division 2—Employees who have preserved rights from previous employment 119C Application of Division to former contributors to Provident Account 119D Transfer value payable in respect of previous employment 119E Pension payable in respect of previous employment 119F Deferred benefits applicable in respect of previous employment 119G Declaration by employee who has previously been in employment 119H Contributors with superannuation rights from previous employment 119J Rights of contributors who elect to pay transfer value to Board 119K Rights of contributors in other cases 119L Matters to be taken into account by actuary in furnishing advice to Board 119M Exemption of certain employees from medical examination 119MA Application of Division on and after 1 July 1976 Division 3—Preservation of rights of persons ceasing to be contributors 119N Interpretation 119P Eligible employment 119Q Public employment 119R Eligible superannuation schemes 119S Transfer value 119T Deferred benefits 119U Election that Division apply 119V Circumstances in which transfer value payable 119W Circumstances in which person entitled to deferred benefits 119WA Medical examination etc. of persons to whom deferred benefits by way of pension are payable under section 119W 119WB Cancellation of pension where pension suspended for 12 months etc. 119WC Election for transfer value by persons in relation to whom deferred benefits are applicable 119X Person who is entitled to rights under this Division not entitled to rights under other provisions of this Act 119Y Certain former contributors not entitled to benefits under this Division 119Z Contributor who resigned to contest an election 119ZA Invalid pensioner restored to health 119ZB Person entitled to deferred benefits becoming a contributor 119ZBA Application of Division on and after 1 July 1976 Division 4—Miscellaneous 119ZC Special provisions affecting former contributors under certain superannuation schemes 119ZD Special provisions in relation to persons to whom section 7 applies 119ZE Payments out of Consolidated Revenue Fund 119ZEA Application of Part on and after 1 July 1976 Part XI—Pension increases on and after 1 January 2002 120 Interpretation 121 Increases in pensions 122 Adjustment of increase in case of persons who become entitled to pension after previous increase 124 Modification of sections 46, 47 and 48 125 Death or invalidity retirement before attaining age 21 126 Date of effect of increases Part XIA—Review of decisions by CSC Division 1—Review of decisions by CSC 127 Review of decisions by CSC Division 2—Reconsideration Advisory Committees 128 Establishment of Committee 129 Members of Committee 130 Functions of Committee 131 Proceedings of Committee 132 Indemnification of members of a Committee 133 Remuneration and allowances 133A Recommendations by Committee to CSC Division 3—Review of decisions by the Administrative Review Tribunal 133B Review by the Administrative Review Tribunal Part XII—Miscellaneous 133C CSC to keep records with respect to benefits paid 134 Benefits to be paid out of Consolidated Revenue 135 Acceptance of election outside prescribed period 136 Election after retirement of employee 136A Death may be presumed in certain cases 137 Provisions in respect of a fraction of a unit 138 Contributions payable from next pay‑day 139 Refund of contributions 140 Question as to invalidity etc. determined by Board on Medical Officer's report 142 Returns 143 Assignment of pensions 143A Attachment of pensions 144 Employees paid in sterling 145 Payments to the Commonwealth by approved authorities 146 Cost of medical examinations 147 Retirement or death as result of war service 148 Power to recover 149 Delegation by Minister 149A Delegation by Public Service Board 149AA Minister may request the supply of information 149AB Making false statements to CSC 149B References to Board to include Commissioner 150 Regulations Third Schedule—Rates of contribution Table I Table II Table III Table IV Table V Table VI Table VII Table VIII Table IX Table X Table XI Table XII Table XIII Table XIV Table XV Table XVI Table XVII Table XVIII Fourth Schedule Table I Table II Fifth Schedule Sixth Schedule—Reduction in rates of contribution Table I Table II Table III Table IV Table V Table VI Table VII Table VIII Table IX Table X Table XI Table XII Table XIII Table XIV Table XV Table XVI Table XVII Seventh Schedule—Factors applicable under section 44 Table I Table II Endnotes Endnote 1—About the endnotes Endnote 2—Abbreviation key Endnote 3—Legislation history Endnote 4—Amendment history Endnote 5—Miscellaneous An Act to provide Superannuation Benefits for Persons employed by the Commonwealth and by certain Commonwealth Authorities and to make provision for the families of those persons Part I—Preliminary 1 Short title This Act may be cited as the Superannuation Act 1922. 2 Commencement (1) This Act shall, except where otherwise provided, commence on a date to be fixed by proclamation. (2) The date so fixed is, in this Act, referred to as the commencement of this Act. 3 Operation of this Act on or after 1 July 2011 For the purposes of applying this Act on or after 1 July 2011, any reference to the Board, the Commissioner or the Commissioner for Superannuation is, unless the context otherwise requires, taken to be a reference to CSC. 4 Interpretation (1) In this Act, unless the contrary intention appears: Actuary means a Fellow or Associate of the Institute of Actuaries (London), or a Fellow or Associate of the Faculty of Actuaries (Edinburgh), or any other person of whose actuarial knowledge and experience the Governor‑General approves. Approved authority means the Australian Broadcasting Commission, the Capital Territory Health Commission, the Australian National University, Aboriginal Hostels Limited and the Darwin Community College and includes such other Commonwealth authorities as are specified by the regulations to be approved authorities for the purposes of this Act. Children includes children adopted by a contributor or by a contributor to the Provident Account and dependent on him at the time of his death. Commissioner has the same meaning as in the Superannuation Act 1976. Commissioner for Superannuation has the same meaning as Commissioner. Contributor means an employee who is or has been contributing under this Act to the Fund. CSC (short for Commonwealth Superannuation Corporation) has the same meaning as in the Governance of Australian Government Superannuation Schemes Act 2011. decision has the same meaning as in the Administrative Review Tribunal Act 2024. decision of CSC means a decision of CSC, or a delegate of CSC, under this Act or the regulations. Department means any Department under the administration of a Minister of State for the Commonwealth. eligible child means: (a) in relation to a deceased contributor or deceased pensioner, a child of the contributor or pensioner who is: (i) under the age of 18 years; or (ii) a child: (A) who has reached the age of 18 years but is under the age of 21 years; and (B) who is receiving full‑time education at a school, college or university; or (iii) a child: (A) who has reached the age of 21 years but is under the age of 25 years; and (B) who is receiving full‑time education at a school, college or university; and (C) where the child was born before the death of the contributor or pensioner—who was living with, or, in the opinion of the Commissioner, was wholly or substantially dependent upon, the contributor or pensioner immediately before that death; and (D) where the child was born after the death of the contributor or pensioner—who, in the opinion of the Commissioner, would have been living with, or wholly or substantially dependent upon the contributor or pensioner immediately before that death if the child had been born before that death; and (b) in relation to a person, being the widow, widower, wife or husband of a deceased contributor or a deceased pensioner, a child of the person who is: (i) a child of the kind referred to in subparagraph (a)(i); (ii) a child of the kind referred to in subparagraph (a)(ii); or (iii) a child: (A) of the kind referred to in sub‑subparagraphs (a)(iii)(A) and (B); and (B) who was born before the death of the contributor or pensioner and, in the opinion of the Commissioner, was wholly or substantially dependent upon the contributor or pensioner immediately before that death; Employee means a person employed in a permanent capacity by the Commonwealth, who is by the terms of his employment required to give his whole time to the duties of his employment, and includes a person employed under section 81D or 81P of the Commonwealth Public Service Act 1922‑1947 who, immediately prior to his becoming so employed, was a contributor to a State Fund as defined by section 101 of this Act, but does not include a person who is a Judge as defined by subsection (1) of section 4 of the Judges' Pensions Act 1968. pension includes associate pension under section 93DB. Reconsideration Advisory Committee means a Committee established under section 128. Salary means salary or wages, and includes the value of allowances such as allowances for rent, house allowed rent free, light, fuel, rations, and fees allowed regularly as emoluments of office, but does not include bonuses, overtime payments, or allowances for forage, equipment, climatic disadvantages, cost of living or travelling expenses. Service means service under, or employment by, the Commonwealth or an approved authority and, in relation to any qualifying period of employment, includes: (a) continuous service as a member of the Permanent Navy, the Regular Army or the Permanent Air Force; and (b) where an employee is transferred from the service of a State or Territory to the service of the Commonwealth, such permanent service of the employee under the State or Territory as is continuous with his service under the Commonwealth. The Board means the Superannuation Board constituted by this Act. The Defence Forces Retirement Benefits Fund means the Defence Forces Retirement Benefits Fund established under the Defence Forces Retirement Benefits Act 1948‑1968. The Fund means the Superannuation Fund established under this Act. The maximum age for retirement means the age of sixty‑five years, or, in the case of a contributor the age for whose retirement is fixed by law at an earlier age than sixty‑five years, the age so fixed. The new Superannuation Fund means the Superannuation Fund established by the Superannuation Act 1976. The Provident Account means the Provident Account established under Part V. The Public Service Arbitrator means the Public Service Arbitrator holding office under the Public Service Arbitration Act 1920‑1969 and includes a Deputy Public Service Arbitrator holding office under that Act. The Public Service Board means the Public Service Board constituted under the Public Service Act 1922‑1950. The Superannuation Fund Investment Trust means the Superannuation Fund Investment Trust established by the Superannuation Act 1976. (1B) A person, other than a person who has been retired on the ground of invalidity or of physical or mental incapacity to perform his duties, who is or becomes employed by the Commonwealth shall not be taken, for the purposes of this Act, to be employed otherwise than in a permanent capacity by reason only that his appointment was or is on probation and has not been confirmed. (2) References in this Act to the retirement of an employee upon his attaining the age of sixty‑five years shall include the case of an employee whose retirement takes place on the day before he attains the age of sixty‑five years. (2A) A reference in this Act to the pension, or to the number of units of pension, for which a contributor is contributing or for which he is a contributor shall be read as including a reference to any units of pension or fractions of a unit of pension for which he has completed payment of contributions and, unless the contrary intention appears, shall, subject to section 73 of the Superannuation Act 1959 and section 33 of the Superannuation Act 1963, also be read as including a reference to any units of pension in respect of which the whole or a part of his contributions has been deferred by virtue of either of those sections. (2B) Subject to this Act, where, in pursuance of this Act, an employee becomes liable, or elects, to contribute for or in respect of a unit of pension or an additional unit of pension, or a fraction of a unit of pension or of an additional unit of pension, he shall be deemed to be a contributor for or in respect of that unit or additional unit, or that fraction of a unit or of an additional unit, as from the date when he becomes liable to contribute, or elects to contribute, as the case may be. (3) Where an employee has been or is appointed, whether before or after the commencement of this Act, for a term of years to a statutory office under the Commonwealth, he shall, for the purposes of this Act, be deemed to continue to be an employee so long as he continues to be employed by the Commonwealth in that office (whether during or after the expiration of the term for which he was appointed) or in any other statutory office under the Commonwealth to which he may be appointed for a term of years. (3A) A reference in subsection (3) to a statutory office does not include a reference to a statutory office the holder of which is not required by the terms of his appointment to give the whole of his time to the duties of his office. (4) Where a person is the holder for a term of years of a statutory office under the Commonwealth (whether his appointment was made before or is made after the commencement of this subsection) and, by the terms of his appointment, that person is required to give the whole of his time to the duties of his office, the Minister may direct that that person be deemed to be an employee within the meaning of this section, and that person shall be deemed to be such an employee as from the date of the direction or from such earlier date (not being a date earlier than the date of appointment to the statutory office) as the Board determines. (5) Where: (a) a person employed by the Commonwealth otherwise than in a permanent capacity is by the terms of his employment required to give the whole of his time to the duties of his employment; (b) that person has been so employed for a continuous period of not less than three years; and (c) the Public Service Board, or, on appeal from the Public Service Board, the Minister, certifies that that person's employment is likely to be continued for a period of at least seven years; the Minister may direct that that person be deemed to be an employee within the meaning of this section, and that person shall be deemed to be such an employee as from the date of the direction. (5A) Where: (a) a person employed by the Commonwealth under the Australian Security Intelligence Organization Act 1956 otherwise than in a permanent capacity is by the terms of his employment required to give the whole of his time to the duties of his employment; (b) that person has been so employed for a continuous period of not less than three years; and (c) the Director‑General of Security certifies that that person's employment is likely to be continued for a period of at least seven years; the Director‑General of Security may direct that that person be deemed to be an employee within the meaning of this section, and that person shall be deemed to be such an employee as from the date of the direction. (5B) Where: (a) a person referred to in paragraph (a) of subsection (5) or paragraph (a) of subsection (5A) was, during any period prior to the commencement of his employment by the Commonwealth, employed in employment within or outside Australia upon the termination of which: (i) a transfer value within the meaning of Division 2 of Part XA became payable to or in respect of him after the commencement of this subsection under a superannuation scheme applicable in relation to that employment; (ii) a prescribed pension within the meaning of that Division became payable to him under such a scheme; or (iii) any deferred benefits within the meaning of that Division became applicable in respect of him after the commencement of this subsection under such a scheme; and was, during that period, a member of that superannuation scheme; and (b) if the prior employment was employment in relation to which subparagraph (i) of paragraph (a) applies—an amount equal to the amount of the transfer value referred to in that subparagraph has been paid to the Board in accordance with subsection (1) of section 119J; then subsection (5) or subsection (5A), as the case may be, has effect in relation to the person subject to the modifications referred to in subsection (5C) of this section. (5C) The modifications referred to in subsection (5B) are as follows: (a) any period of the prior employment shall be deemed, for the purposes of paragraph (b) of subsection (5) or paragraph (b) of subsection (5A), as the case may be, to have been a period of employment of the same nature as the employment of the person referred to in paragraph (a) of that subsection and to have been continuous with that employment; (b) if the total of the periods of the prior employment is more than three years but less than ten years—the reference in paragraph (c) of subsection (5) or subsection (5A), as the case may be, to seven years shall be read as a reference to the difference between ten years and the total of the periods of the prior employment; and (c) if the total of the periods of the prior employment is not less than ten years—subsection (5) or subsection (5A), as the case may be, has effect as if paragraph (c) of that subsection were omitted. (6) Subject to subsection (7), where a person employed by an approved authority is required by the terms of his employment to give the whole of his time to the duties of his office and: (a) the approved authority certifies that the person's employment is likely to be continued for a period of at least seven years; (b) the person was, immediately prior to the commencement of his employment by the approved authority, a contributor to a Public Service Superannuation Fund as defined by section 108; or (c) the person was, during any period prior to the commencement of his employment by the approved authority, employed in employment within or outside Australia upon the termination of which: (i) a transfer value within the meaning of Division 2 of Part XA became payable to or in respect of him after the commencement of this subsection under a superannuation scheme applicable in relation to that employment; (ii) a prescribed pension within the meaning of that Division became payable to him under such a scheme; or (iii) any deferred benefits within the meaning of that Division became applicable in respect of him after the commencement of this subsection under such a scheme; and was, during that period, a member of that superannuation scheme and, if the prior employment was employment in relation to which subparagraph (i) of this paragraph applies, an amount equal to the amount of the transfer value referred to in that subparagraph has been paid to the Board in accordance with subsection (1) of section 119J; the Minister administering the Act or other law by or under which the approved authority is constituted, or a person authorized in writing by the Minister so administering that Act or that other law to exercise his powers under this subsection, may, on the recommendation of the approved authority, direct that the first‑mentioned person be deemed to be an employee within the meaning of this section, and that person shall be deemed to be such an employee as from the date of the direction or, in the case of a person referred to in paragraph (b), shall be deemed to have been such an employee as from the date on which his employment by the approved authority commenced. (7) Where, in the case of a person referred to in paragraph (c) of subsection (6), the total of the periods of the prior employment referred to in that paragraph was less than seven years, that subsection does not apply in relation to that person unless the approved authority certifies that the person's employment is likely to be continued for a period that is not less than the difference between seven years and the total of the periods of his prior employment. (8) For the purposes of this Act, the Principal of the Darwin Community College shall be deemed to be employed by the College. (9) For the purposes of subsection (6) in its application in relation to Aboriginal Hostels Limited, that body shall be deemed to be constituted under an Act administered by the Minister administering the Aboriginal Land and Waters (Jervis Bay Territory) Act 1986. (11) Where a person was born on 29 February in any year, then, in any subsequent year that is not a leap year, the anniversary of the birth of the person shall, for the purposes of this Act, be deemed to occur on 1 March of that subsequent year. 4AA Members of the Defence Force (1) A member of the Defence Force shall not, by reason only of being a member of the Defence Force, be deemed to be an employee. (2) Where a member of the Defence Force who is liable to contribute to the Commonwealth under the Defence Force Retirement and Death Benefits Act 1973 would, but for this section, by reason of becoming employed in a permanent capacity by the Commonwealth or for any other reason, become an employee, he shall be deemed not to be an employee until he ceases to be liable to contribute to the Commonwealth under that Act. 4A Salaries of officers in First Division of Public Service and statutory offices (1) Where: (a) the Parliament has not made provision determining the rate of salary payable in respect of an office in the First Division of the Public Service of the Commonwealth; and (b) the Minister, by instrument in writing, declares that, for the purposes of this Act, the rate of salary payable in respect of that office is to be deemed to be such rate as is specified in the instrument; salary at the rate specified in the instrument shall, for the purposes of this Act but not otherwise, be deemed to be payable in respect of that office as from the date on which the declaration is made, or as from the date as from which the declaration is expressed to have effect, whichever is the later, until: (c) the Parliament makes provision determining the rate of salary payable in respect of that office; or (d) salary is, by virtue of a further instrument in writing by the Minister under this subsection, to be deemed, for the purposes of this Act, to be payable in respect of that office at a rate specified in the further instrument, being a rate that is greater or lesser than the rate specified in the first‑mentioned instrument; whichever first occurs. (2) Where: (a) the Parliament has made provision determining the rate of salary payable in respect of an office in the First Division of the Public Service of the Commonwealth or in respect of a statutory office under the Commonwealth; and (b) the Minister, by instrument in writing, declares that, for the purposes of this Act, the rate of salary payable in respect of that office is to be deemed to be such rate as is specified in the instrument, being a rate that is greater or lesser than the rate determined by the provision made by the Parliament; salary at the rate specified in the instrument shall, for the purposes of this Act but not otherwise, be deemed to be payable in respect of that office as from the date on which the declaration is made, or as from the date as from which the declaration is expressed to have effect, whichever is the later, until: (c) the Parliament makes further provision determining the rate of salary payable in respect of that office; or (d) salary is, by virtue of a further instrument in writing by the Minister under this subsection, to be deemed, for the purposes of this Act, to be payable in respect of that office at a rate specified in the further instrument, being a rate that is greater or lesser than the rate specified in the first‑mentioned instrument; whichever first occurs. 5 Medical examination of employees (1) Except as otherwise provided by this Act, and notwithstanding anything contained in any other Act, a person who becomes an employee after the commencement of the Superannuation Act 1965 shall not contribute to the Fund under Part III or to the Provident Account unless: (a) he has, before becoming an employee, or within such period after becoming an employee as the Board allows, undergone a medical examination by a legally qualified medical practitioner approved by the Board; (b) a report of the result of the examination has been furnished by the medical practitioner to the Board; and (c) the Board is satisfied, after considering the report of the medical practitioner, that the health and physical fitness of the person are such as to justify his being accepted as a contributor to the Fund under Part III or to the Provident Account, as the case may be. (2) Where: (a) a person who becomes an employee after the commencement of the Superannuation Act 1965 has, whether before or after becoming an employee, undergone a medical examination by a legally qualified medical practitioner approved by the Public Service Board; (b) a report of the result of the examination has been furnished by the medical practitioner to the Public Service Board; and (c) the Public Service Board certifies, after considering the report of the medical practitioner, that the health and physical fitness of the person are such as to justify his being accepted as a contributor to the Fund under Part III or to the Provident Account; the Superannuation Board may, in its discretion, accept him as a contributor to the Fund under Part III or to the Provident Account. 6 Application of the Criminal Code Chapter 2 of the Criminal Code applies to all offences against this Act. Note: Chapter 2 of the Criminal Code sets out the general principles of criminal responsibility. 7 Superannuation provision for certain persons by way of life assurance (1) Where: (a) a person employed by the Commonwealth or by an approved authority was, immediately before the commencement of the employment, a contributor under: (i) a superannuation scheme conducted in accordance with the system established in the United Kingdom and known as the Federated Superannuation System for Universities; or (ii) a prescribed superannuation scheme, being a scheme under which benefits are provided for by means of life assurance policies; and (b) the Treasurer considers that, by reason of special circumstances, an arrangement should be made under this section; the Commonwealth or the approved authority may make an arrangement with that person for assurance of his life by means of a life assurance policy, and for the payment of contributions by the Commonwealth or the approved authority and that person for that purpose. (1A) An arrangement shall not be made under subsection (1) on or after 1 July 1976. (2) Where a person with whom an arrangement has been made under this section: (a) is or becomes an employee; and (b) has not, before he became or becomes an employee, or within such period after he became or becomes an employee or after the commencement of the Superannuation Act 1965, whichever is the later, as the Board allows, undergone a medical examination referred to in section 5; the Commonwealth or the approved authority, as the case may be, may, by notice in writing to the person, terminate the arrangement and, if the arrangement is so terminated: (c) the person shall, within two months after the termination or within such further period as the Minister allows, pay to the Commonwealth or to the approved authority, as the case may be, an amount equal to the sum of the contributions paid by the Commonwealth or the authority under the arrangement and compound interest on those contributions at the rate of three and three‑quarters per centum per annum, and: (i) if the amount is not paid within that period, it is recoverable by the Commonwealth or by the authority as a debt due to the Commonwealth or to the authority in any court of competent jurisdiction; and (ii) if the amount is not paid within that period and is not recovered in pursuance of subparagraph (i) (whether or not any action is taken so to recover the amount) and, in pursuance of the arrangement, a life assurance policy has been assigned to the Commonwealth or to the authority—the Commonwealth or the authority, as the case may be, may, notwithstanding any obligation on the Commonwealth or the authority to assign the policy to the person, surrender the policy and apply the proceeds of the surrender in reduction of the amount and, if the proceeds exceed the amount, shall pay an amount equal to the excess to the person; and (d) where, in pursuance of the arrangement, a life assurance policy has been assigned to the Commonwealth or to the authority and the policy has not been surrendered in accordance with paragraph (c), the Commonwealth or the authority, as the case may be, shall, upon payment or recovery of the amount referred to in that paragraph, assign the policy to the person. (2A) Where a person with whom an arrangement has been made under this section is or becomes a contributor to the Fund under Part III or to the Provident Account and the arrangement has not been terminated under subsection (2): (a) if the arrangement has not otherwise terminated, the arrangement is, by force of this subsection, terminated; (b) the person shall, within two months after the date of commencement of the Superannuation Act 1965 or the date on which he became or becomes a contributor, whichever is the later date, or within such further period as the Minister allows, pay to the Commonwealth or to the approved authority, as the case may be, an amount equal to the sum of the contributions paid by the Commonwealth or the authority under the arrangement and compound interest on those contributions at the rate of three and three‑quarters per centum per annum, and: (i) if the amount is not paid within that period, it is recoverable by the Commonwealth or the authority as a debt due to the Commonwealth or to the authority in any court of competent jurisdiction; and (ii) if the amount is not paid within that period and is not recovered in pursuance of subparagraph (i) (whether or not any action is taken so to recover the amount) and, in pursuance of the arrangement, a life assurance policy has been assigned to the Commonwealth or to the authority—the Commonwealth or the authority, as the case may be, may, notwithstanding any obligation on the Commonwealth or the authority to assign the policy to the person, surrender the policy and apply the proceeds of the surrender in reduction of the amount and, if the proceeds exceed the amount, shall pay an amount equal to the excess to the person; and (c) if, in pursuance of the arrangement, a life assurance policy has been assigned to the Commonwealth or to the authority and the policy has not been surrendered in accordance with paragraph (b), the Commonwealth or the authority, as the case may be, shall, upon payment or recovery of the amount referred to in that paragraph, assign the policy to the person. (3) An approved authority may apply for the purposes of an arrangement under this section any moneys under the control of the approved authority. (5) This section has effect subject to section 119ZD. Part III—Contributions Division 1—Contributions by employees 19 Commencement and cessation of contributions (1) Every employee (not being a State employee within the meaning of Part VII) shall (except as otherwise provided in this Act) contribute to the Fund from such date as the Governor‑General notifies in the Gazette, or, in the case of an employee whose employment commences after the date so notified, as from the prescribed date. (1A) For the purpose of subsection (1), the prescribed date is: (a) in the case of a person other than a person to whom paragraph (b) or (c) applies—the date on which he becomes an employee or, if that date is not a pay‑day, the next succeeding pay‑day after that date; (b) in the case of a person who has been retired on the ground of invalidity or of physical or mental incapacity to perform his duties and is re‑appointed on probation—the date on which his re‑appointment is confirmed or, if that date is not a pay‑day, the next succeeding pay‑day after that date; or (c) in the case of a person who is to be deemed to be an employee within the meaning of section 4 by virtue of subsection (4), (5), (5A) or (6) of that section—the date as from which he is to be deemed to be, or to have been, an employee or, if that date is not, or was not, a pay‑day, the next succeeding pay‑day after that date. (2) In respect of units of pension the initial contributions for which were made before 9 August 1930, the contributor shall, subject to this section, be liable to pay the contributions until immediately after the last fortnightly payment before he ceases to be an employee or before the anniversary of his initial contribution next preceding the attainment by him of the maximum age for retirement, whichever first happens. (2A) In respect of units of pension the initial contributions for which were or are made on or after 9 August 1930, the contributor shall, subject to this section, be liable, in respect of each unit of pension or fraction of a unit of pension, to pay the contributions until immediately after the last fortnightly payment before he ceases to be an employee or before the anniversary of his initial contribution in respect of that unit or fraction of a unit next preceding the attainment by him of the maximum age for retirement, whichever first happens. (2B) In the case of a contributor whose initial contribution in respect of a unit of pension or fraction of a unit of pension is made within twelve months before he attains the maximum age for retirement, twenty‑six contributions at the fortnightly rates applicable to the contributor in respect of that unit or fraction shall be made before a pension in respect of superannuation as regards that unit or fraction becomes payable. (2BA) For the purposes of subsections (2), (2A) and (2B), the initial contribution of an employee in respect of any additional unit of pension or fraction of a unit of pension shall be deemed to have been made on the date as from which the contribution became payable. (2BB) After the attainment by a contributor of the anniversary of his birth next preceding the attainment by him of the maximum age for retirement in respect of any units of pension, he shall be liable to continue, subject to subsection (2BC), to make fortnightly payments of contributions for those units of pension at a rate equal to the sum of the rates of the contributions payable by him for those units of pension immediately before that anniversary until he has completed payment of contributions for those units. (2BC) The amount of the last payment by a contributor (not being a contributor who ceases to be an employee before he has completed payment of his contributions) shall, if necessary, be reduced so that the amount of the payments made by the contributor does not exceed the amount of the contributions that the contributor would, but for subsection (2BB), have been liable to pay. (2BD) Subsection (2BB) does not apply in relation to contributions in respect of which this Act provides that twenty‑six contributions shall be payable. (2BE) Subject to this Act, where a contributor is retired on the ground of invalidity or physical or mental incapacity to perform his duties, or dies, before he has commenced to make contributions, or additional contributions, for or in respect of a unit of pension or an additional unit of pension for or in respect of which he has become liable, or has elected, to contribute, such contributions as are due by him for or in respect of that unit or additional unit, or, if a pay‑day has not occurred before the retirement or death, one contribution at the fortnightly rate applicable to the contributor for or in respect of that unit or additional unit, shall be made before a pension in respect of that unit or additional unit becomes payable and may be deducted from any payments of pension or benefit that become payable to or in respect of that contributor. (2C) A contributor: (a) who elects, or is called upon, to retire on or after attaining the age of sixty years; or (b) the age for whose retirement is fixed at an earlier age than sixty‑five years, but not less than sixty years, and who retires on attaining the age so fixed; may, notwithstanding anything contained in this section contribute, in a lump sum, or in such smaller sums and at such periods as the Board approves, such amount as the Board considers necessary to enable a pension in respect of units of pension for which he is a contributor to be paid to him on retirement equal to the pension in respect of those units which would have been paid to him if he had retired at such later age (not exceeding the age of sixty‑five years) as the Board approves. (2D) A contributor: (a) who elects, or is called upon, to retire on or after attaining the age of sixty years; or (b) the age for whose retirement is fixed at an earlier age than sixty‑five years, but not less than sixty years, and who retires on attaining the age so fixed; may, notwithstanding anything contained in this section, contribute, in a lump sum, or in such smaller sums and at such periods as the Board approves, the amount necessary to enable a pension in respect of non‑contributory units of pension applicable in relation to him to be paid to him on retirement equal to the pension in respect of those units that would have been paid to him if he had retired at such later age (not exceeding the age of sixty‑five years) as the Board approves. (2E) For the purposes of subsection (2D), the amount necessary to be contributed to enable a pension in respect of non‑contributory units of pension to be paid to a contributor on retirement equal to the pension in respect of those units that would have been paid to him if he had retired at a later age is an amount equal to five‑sevenths of the amount that would be required to be contributed by him under subsection (2C) in respect of those units in relation to that age if he had become liable to contribute for those units on the respective dates when those units became applicable in relation to him as non‑contributory units and he had contributed for those units at the appropriate rates based on a retiring age of sixty‑five years. (2F) Amounts equal to amounts contributed under subsection (2D) are payable to the Commonwealth out of the Fund. (3) Where: (a) after, but as from a date before, the attainment by an employee of the maximum age for retirement; or (b) after, but as from a date before, the attainment by a pensioner of the maximum age for retirement, being a pensioner who retired on or after attaining that age; his salary is increased and the number of units of pension ascertained in accordance with subsection (2) of section 20 as it applied at the time when he attained the maximum age for retirement having regard to his salary immediately after the increase is greater than the number of units of pension ascertained in accordance with that subsection as it applied at the time when he attained the maximum age for retirement having regard to his salary immediately before the increase, he may elect to contribute for additional units of pension but so that the total number of units of pension (including non‑contributory units of pension applicable in relation to him) does not exceed the first‑mentioned number of units of pension. (4) In respect of units of pension for which an employee or pensioner elects to contribute under subsection (3), twenty‑six contributions at the fortnightly rate applicable to the maximum age for retirement shall be made before pension in respect of superannuation becomes payable and, upon payment of those contributions, pension becomes payable as from the date of retirement. 19A Contributions not payable on or after 1 July 1976 Contributions shall not be made under this Act on or after 1 July 1976 except: (a) contributions the obligation for the payment of which came into existence before that date; or (b) contributions payable by virtue of an election made under subsection (3) of section 19, whether made before or after that date. Division 2—Units of pension 20 Units of pension (1) Subject to this Act, contributions by an employee shall be for units for pension. (2) Subject to this Act, the number of units of pension for which an employee shall contribute at any time (in this subsection referred to as the relevant time) is: (a) in the case of an employee to whom paragraph (b) does not apply: (i) if the salary of the employee at the relevant time does not exceed the prescribed amount—the number of units ascertained in accordance with the formula ; or (ii) if the salary of the employee at the relevant time exceeds the prescribed amount—the number of units ascertained in accordance with the formula ; and (b) in the case of an employee: (i) who became or becomes an employee on or after 14 December 1959; (ii) whose salary at the relevant time exceeds $2,600; and (iii) the number of years of whose prospective service is less than twenty; the number of units, disregarding any fraction of a unit, ascertained in accordance with the formula (3) For the purpose of the application at any time in relation to an employee of a formula contained in subsection (2): A is the number of dollars in the salary of the employee at that time or, if the number of dollars in the salary of the employee at that time is not a multiple of one hundred and thirty, the next lower number that is such a multiple. B is the number of dollars in the prescribed amount. C is the number of dollars in the amount by which the salary of the employee at that time exceeds the prescribed amount or, if the number so ascertained is not a multiple of one hundred and sixty‑three, the next lower number that is such a multiple. D is the number by which the number of years of prospective service of the employee exceeds ten; and E is the number of units of pension for which the employee would be required to contribute at that time under paragraph (a) of subsection (2) if that paragraph were applicable to him. (4) Subject to this Act, a contributor is not eligible or required to begin to contribute for an additional unit of pension as from a date after he has attained the maximum age for retirement. (4A) Where the obligation of a contributor to contribute for an additional unit of pension came into existence on or before the date on which he attained the maximum age for retirement but, by reason of subsection (1) of section 138, contributions for that unit are payable as from a date after he attained that age: (a) the last preceding subsection and subsection (2) of section 138 do not apply in relation to that unit; and (b) subsection (2B) of section 19 applies as if his initial contribution in respect of that unit were made on the date on which his obligation to contribute for that unit came into existence. (5) The number of units of pension for which an employee would otherwise be required to contribute at any time shall be reduced by the number of units of pension (if any) by which the number of units of pension ascertained in accordance with subsection (2) as it applied in relation to him immediately before that time exceeds the number of units of pension for which he was then a contributor. (6) Where, at the time when an employee became or becomes a contributor, he was or is not less than forty years of age, he may, subject to section 22, elect to reduce the number of initial units in respect of which he is required to contribute to a number not being less than two, but a person is not entitled to make an election under this subsection after 30 June 1976. (7) Any additional contribution payable by reason of an increase in the salary of an employee is payable as from the date upon which his salary is increased, or as from the date as from which his salary is increased, whichever is the later. (8) Any additional contribution payable by reason of an increase in the prescribed amount is payable as from the date of the increase. (8A) Where: (a) the number of units of pension ascertained in relation to an employee in accordance with subsection (2) is reduced by reason of an election made by the employee under section 24; and (b) the sum of the number of units of pension for which he is a contributor and the number of non‑contributory units of pension (if any) applicable in relation to him exceeds the reduced number of units so ascertained; the number of non‑contributory units of pension (if any) applicable in relation to him shall, where necessary, be deemed to have been reduced accordingly and, if there are no non‑contributory units of pension applicable in relation to him, whether by reason of the operation of this subsection or otherwise, the number of units of pension for which he was required to contribute shall, where necessary, be deemed to have been reduced accordingly. (9) Where an employee who became or becomes an employee on or after 14 December 1959, and to whom the proviso to section 43 applies ceases to be an employee at an earlier age than his selected retiring age: (a) that earlier age shall be deemed to have been his selected retiring age; (b) where necessary, the number of non‑contributory units of pension (if any) applicable in relation to him shall be deemed to have been reduced accordingly; and (c) if there are no non‑contributory units of pension applicable in relation to him, whether by reason of the operation of paragraph (b) or otherwise, the number of units of pension for which he was required to contribute shall, where necessary, be deemed to have been reduced accordingly. (10) For the purposes of this section: (a) the selected retiring age of an employee is, subject to subsection (9): (i) in the case of an employee who has made an election under section 24—the age of sixty years; and (ii) in any other case—the age of sixty‑five years; and (b) the number of years of prospective service of an employee is the number of complete years included in the sum of the following periods: (i) the period that commenced on the date upon which he became an employee and ends on the date upon which he will attain his selected retiring age; (ia) in the case of an employee who is a contributor to the Fund in accordance with Part VIA and was, immediately before he became an employee, a member of a superannuation scheme within the meaning of that Part—the period during which he was a member of that scheme; (ib) in the case of an employee who is contributing to the Fund in accordance with Part VIIA and was, immediately before he became an employee, a contributor to a State Fund within the meaning of that Part—the period during which he was a contributor to that Fund; (ii) in the case of an employee who became an employee after the commencement of the Superannuation Act 1971 and was, immediately before he became an employee, a contributor to a Public Service Superannuation Fund within the meaning of Part VIII—the period during which he was a contributor to that Fund; and (iii) in the case of an employee who became an employee after the commencement of the Superannuation Act 1971 and was, at any time before he became an employee, employed in employment of a kind referred to in section 119H—any periods of such employment during which he was a member of a superannuation scheme applicable in relation to the employment. (11) Where by reason of subsection (8A) or paragraph (b) of subsection (9) the number of non‑contributory units of pension applicable in relation to an employee is to be deemed to have been reduced, those units shall be deemed to have been reduced in the reverse of the order in which they became applicable in relation to him as non‑contributory units of pension. 20AA Obligation to make additional contributions after 4 February 1976 (1) Subject to subsection (2), a contributor is not eligible, and shall not be required, to contribute for an additional unit of pension by reason of: (a) an increase in his salary that takes effect after 4 February 1976; or (b) an increase in the prescribed amount that takes effect after that date. (2) Where: (a) a contributor ceases to be an employee after 4 February 1976 and before 1 July 1976, otherwise than by reason of death, and: (i) pension is payable to him; (ii) he makes an election under section 119U; or (iii) he is entitled to benefit under section 50; or (b) a contributor dies after 4 February 1976 and before 1 July 1976 and pension is payable in respect of him; subsection (1) does not apply, and shall be deemed not to have applied, to or in relation to him. (3) For the purposes of subsection (1), an increase in the salary of an employee shall be deemed to take effect as from the date upon which his salary is increased, or as from the date as from which his salary is increased, whichever is the later. 20AB Elections consequential upon operation of section 20AA (1) In this section: election to which this section applies means an election under subsection (1) or (2) of section 20A, under subsection (1) of section 22A, under subsection (1) or (2) of section 25, or under subsection (1) of section 31. person in respect of whom this section applies means a person who has ceased to be an employee and to whom subsection (1) of section 20AA would apply but for the operation of subsection (2) of that section. (2) A person in respect of whom this section applies is not disqualified from making an election to which this section applies by reason that he has ceased to be an employee if the election is made within a period of 3 months after he ceased to be an employee, or within such further period as the Board (or, on and after 1 July 1976, the Commissioner for Superannuation), in special circumstances, allows and, if he makes such an election within that period, this Act has effect, and shall be deemed to have had effect, as if the election had been made before he ceased to be an employee. (3) Where a person in respect of whom this section applies: (a) ceases to be an employee by reason of his death; or (b) dies after he has ceased to be an employee but before the expiration of the period referred to in subsection (2); the person (if any) who, by virtue of subsection (4), is eligible to make an election under this subsection may, within a period of 3 months after the death of the deceased person or within such further period as the Board (or, on and after 1 July 1976, the Commissioner for Superannuation), in special circumstances, allows, make any election to which this section applies that could have been made by the deceased person but which was not made by him and, if the person so eligible makes such an election, this Act has effect, and shall be deemed to have had effect, as if the election had been made by the deceased person before he ceased to be an employee. (4) For the purposes of subsection (3), the person who is eligible to make an election under that subsection is: (a) if the deceased person left a widow or widower—the widow or widower; or (b) in any other case—such person (if any) as the Board (or, on and after 1 July 1976, the Commissioner for Superannuation) determines. (5) Where an election is made under subsection (1) of section 22A of this Act by virtue of subsection (2) or (3) by or in respect of a person in respect of whom this section applies, the election shall specify the date as from which the election is to have effect, being a date not earlier than 5 February 1976 and not later than the date on which the person ceased to be an employee, and, for the purposes of subsection (2) of section 22A, the date so specified shall be dee