Increase to the employer additional contribution rate

April 30 2024

Significant event notice

Effective 1 July 2023, there's an important change to your ESSS Defined Benefit (DB) Fund account you need to know about.

If you're a member of the ESSS DB Fund who has reached your maximum benefit multiple, you're eligible to receive additional contributions from your employer. Those additional contributions are based on a percentage of your salary and paid into your ESSSuper Accumulation Plan account.

From 1 July 2023, the employer additional contribution rate into the Accumulation Plan will increase from 6% to 8%.

This rate will increase to 12% by 1 July 2026 as outlined in the table below:

  Financial year
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26 2026-27
Rate 3% 6% 6% 8% 9% 11% 12%

We will advise you and your employer in writing when you reach your maximum benefit multiple. Although your contributions to the ESSS DB Fund will cease, your benefit in the defined benefit fund will continue to grow in line with any increases in your superable salary. Any additional contributions paid into the Accumulation Plan by your employer will be paid in addition to any benefit you receive from the ESSS DB Fund.

Employer additional contributions paid into the Accumulation Plan will count towards your concessional contributions cap. For further information about contribution caps, please refer to our Tax and super web page.

Please note that the ESSS DB Fund is guaranteed by the Victorian State Government and your defined benefits are not impacted by investment performance. Any super you have in the Accumulation Plan is exposed to investment risks. You can learn more about this on our Investments web page. To choose your investment option, navigate to the Investments / Switch menu by logging into Members Online.

We're here to help

You can book an appointment with one of our expert Member Education Consultants for general advice about contributions and the ESSS DB Fund. If you’re looking for personal advice relating to your financial situation or needs, our qualified Financial Advisers* can help. To request an appointment, please call us or use our online enquiry form.

A copy of this significant event notice will be available to download by logging into your Members Online inbox.

Our ESSS Defined Benefit Fund Product Disclosure Statement (PDS), available on our PDS and handbooks web page, will be updated on 1 July 2023 to reflect these changes.

If you have any questions, please contact us on 1300 650 161 between 8:00am and 5:00pm Monday to Friday, or email us at info@esssuper.com.au

Warm regards

Duncan Winton
Group Executive, Strategy, Brand & Insights

 

* ESSSuper Financial Advisers are authorised representatives of Link Advice Pty Ltd (Link Advice). Link Advice holds a current Australian Financial Services Licence No. 258145 and is responsible for the financial services provided to you. ESSSuper has an arrangement with Link Advice Pty Ltd to provide financial advice to ESSSuper members. ESSSuper pays Link Advice a fee for this service. Neither the Board, nor the Victorian Government, guarantee or endorse any recommendations made by Link Advice, or are responsible for the advice and actions of Link Advice.

Emergency Services Superannuation Board (ABN 28 161 296 741) (ESSB), the Trustee of the Emergency Services Superannuation Scheme (ABN 85 894 637 037) (ESSSuper).

The information contained in this document is of a general nature only. It should not be considered as a substitute for reading ESSSuper's Product Disclosure Statement (PDS) that contains detailed information about ESSSuper products, services and features. Before making a decision about an ESSSuper product, you should consider the appropriateness of the product to your personal objectives, financial situation and needs. It may also be beneficial to seek professional advice from a licensed financial planner or adviser. An ESSSuper PDS is available at esssuper.com.au/pds or by calling 1300 650 161.

Investment returns are not guaranteed. All investments carry risks and past investment performance gives no indication of future performance. Benefits in ESSSuper's Accumulation Plan, Income Streams, and Beneficiary Account products are not guaranteed or underwritten by the Victorian Government or ESSSuper, and ESSSuper does not come under the jurisdiction of the Australian Financial Complaints Authority. ESSSuper comes under the jurisdiction of the Victorian Civil and Administrative Tribunal.