Overview

The Superannuation Pension Conversion Factors Determination No 2/2004 was enacted to address the need for updated conversion factors in the calculation of yearly amounts for surcharge deductions in superannuation pensions. This legislative instrument was created by the Parliamentary Retiring Allowances Trust under subsection 22BA(1) of the Parliamentary Contributory Superannuation Act 1948. The primary objective of this determination is to establish specific conversion factors based on the age, gender, and type of pension (retirement or invalidity) of the member, ensuring accurate calculations for discharging liabilities equivalent to the surcharge deduction amount. This determination supersedes previous conversion factor determinations, aligning with the most recent legislative requirements and policy objectives.

Scope and Application

The Superannuation Pension Conversion Factors Determination No 2/2004 applies to members of the Parliamentary Contributory Superannuation Scheme who are entitled to a retirement pension or an invalidity pension. This Determination is applicable to both male and female members and is made by the Parliamentary Retiring Allowances Trust under subsection 22BA(1) of the Parliamentary Contributory Superannuation Act 1948. The Determination commenced on the date of its notification in the Gazette and supersedes the previous determination made on 19 September 2001, which in turn superseded the 1998 determination. The Determination outlines the conversion factors to be used in calculating the yearly amount payable to discharge a liability equal to the member’s surcharge deduction amount, with these factors varying according to the age of the member, their gender, and the type of pension they are receiving. The conversion factors are detailed in Tables A, B, C, and D of the Schedule, which provide specific factors for male and female retirement pensions, as well as male and female invalidity pensions. The scope of this Determination is limited to the calculation of conversion factors for the specified pensions within the Parliamentary Contributory Superannuation Scheme. It does not extend to other types of pensions or benefits within the scheme or to other superannuation arrangements outside the scheme. The Determination itself does not include any provisions for subordinate instruments to extend or restrict its application. The exclusions and limitations of the Determination are explicitly defined within the text, ensuring clarity on its jurisdictional and functional boundaries.

Key Provisions

The Superannuation Pension Conversion Factors Determination No 2/2004 sets forth the conversion factors that apply for calculating the yearly amount required to discharge a liability equivalent to a member's surcharge deduction amount, taking into account the member's age, gender, and the type of pension (retirement or invalidity). These conversion factors are detailed in the schedule, which includes Attachments A, B, C, and D (sections 4 and 5). The Determination commenced on the date of its notification in the Gazette (section 2) and superseded the previous determinations made by the Parliamentary Retiring Allowances Trust on 19 September 2001 and 10 September 1998 (sections 3 and 4). The Parliamentary Retiring Allowances Trust is obligated to apply these conversion factors when determining the yearly amount for discharging a member's surcharge deduction amount. The Trust must consider the age of the member when the benefit becomes payable, whether the member is male or female, and whether the benefit is a retirement pension or an invalidity pension. These obligations are explicitly stated in section 5 of the Determination, which references subsection 22A(1) of the Parliamentary Contributory Superannuation Act 1948. There are no specific offences, penalties, or consequences for breach mentioned in the Determination itself. However, any breach of the obligations under the Parliamentary Contributory Superannuation Act 1948 may result in penalties as prescribed by that Act. The Determination primarily serves to provide clarity and specificity in the application of conversion factors for superannuation pensions, ensuring that calculations are accurate and consistent with the member's individual circumstances.