The cost of prior service - Since 1 December 1993

The current number of days recognised additional service is multiplied by your current contribution rate and your current salary and dividing by the number if days in a year:

COST		Number of days recognised  X  salary  X  % contribution rate 365.25

Note: The number of days recognised is pro-rata part time.

Quote validity

Quotes for the cost of additonal service are available from ESSSuper and are valid for one month from the date of receipt of the letter advising of the cost of the additional service. After that time, a new quote will be required. Quotes are based on your salary and contribution rate at the time the quote is prepared.

The effect of LWOP and part-time work

The additional benefits and associated costs of your additional service will be reduced, if you have had leave without pay or worked on a part-time basis during the period of employment that is approved as recognised service.

Why do I have to pay?

ESSSuper is allowing you to pay to have past service recognised even though you had not contributed to the Scheme at the time.

And, even though there is no direct correlation between the cost of additional service and the resulting benefit, by paying for this past service,  the period of additional service will be treated as 'recognised service' in the calculation of any benefit you ultimately receive.

These calculations are done in accordance with the relevant benefit formula in the Act which does not take contribution rates into account, whereas the cost for the additional service is based on your contribution rate at the time of payment.

Check out how and when you are required to pay for your prior service