|
|
|
|
|
|
Updating...
|
|
|
|
The governing rules of the New Scheme provide for earnings to be applied to member’s contributions at 30 June each year. The earnings rate applied in calculating benefits is called the ‘crediting rate’.
| CREDITING RATE |
 |
Average of the investment returns for the previous three (3) years. |
 |
Investment management and administration expenses. |
This means that in a year where investments perform well, the crediting rate may be less than the net investment return of the Scheme. However, in a year where the investments do not perform well, the crediting rate may be greater than the net return of the Scheme. The crediting rate applied will never be less than 0%.
Interim earning rate
An interim earning rate is used to calculate the cash component of your benefit on resignation if:
- you leave the Scheme before the final crediting rate at 30 June is determined, and
- you receive a benefit comprising of a refund of contributions and earnings.
INTERIM
CREDITING RATE |
 |
Average of:
1/ Investment returns for the previous two (2) years
+
2/ Estimated current financial year returns
|
 |
Investment management and administration expenses. |
Administration costs and investment management fees
No fees apply for New Scheme members unless they receive a benefit that comprises a refund of contributions and earnings.
Administration costs and investment management fees are deducted prior to calculating the annual rate of earnings.
An interim crediting rate is also applied to lump sum benefits paid more than 14 days following the date employment terminated.
For 2009-10, the total deduction was 0.51% of the average value of the Fund.
|
|
|
|
|
|
|
|
|