New South Wales Consolidated Acts

TRANSPORT EMPLOYEES RETIREMENT BENEFITS ACT 1967 - SECT 23

23 Benefit at age 65 years after 10 years service

(1) On the retirement of a contributor who has attained the age of sixty-five years and has completed at least ten years service there shall be paid from the Fund, as a lump sum benefit, the sum of:

(a) the amount of any lump sum benefit for which, at the time of his retirement, he is contributing in accordance with this Act, and

(b) an amount equivalent to the sum of:

(i) his initial credit, if any,

(ii) interest on his initial credit, if any, at the prescribed rate, compounded annually at the end of each financial year, for the period from the date he became a contributor to the date he attains the age of sixty-five years, and

(iii) one and one-half times the sum of his initial credit, if any, and that interest:

Provided that the amount of the lump sum benefit paid under this subsection shall not be less than the sum to which he would be entitled under paragraphs (d), (e) and (f) of subsection (3) were he eligible to receive a lump sum benefit under that subsection.

(2) Where the services of a contributor are retained by his employer after he has attained the age of sixty-five years, the lump sum benefit to which he would have been entitled had he retired at that age, together with interest at the prescribed rate, compounded annually at the end of each financial year, from the date of his sixty-fifth birthday, shall be paid from the Fund to him on his subsequent retirement or, in the event of his death prior thereto, that lump sum benefit and interest shall be paid in accordance with section 24.

(2A) Where the services of a contributor are retained by his employer after he has attained the age of sixty-five years and the date of completion of ten years’ service occurs while his services are so retained he shall, for the purposes of subsections (1) and (2), be deemed to have completed ten years’ service at the age of sixty-five years.

(3) A contributor who has completed at least ten years service and who:

(a) retires on or after the date on which he attains the age of sixty years but before he attains the age of sixty-five years,

(b) is retired from the service of his employer through infirmity of body or mind not caused by intemperate habits, the infirmity being certified to the satisfaction of the Board as being likely to be permanent, or

(c) is retrenched,

shall be paid from the Fund, as a lump sum benefit, an amount equivalent to the sum of:

(d) the difference between his contributions to the Fund, if any, and any such contributions previously refunded to him, together with interest on the difference at the prescribed rate, compounded annually at the end of each financial year, to the date on which he retires, is retired, or retrenched,

(e) his initial credit, if any, together with interest thereon at the prescribed rate, compounded annually at the end of each financial year, for the period from the date he became a contributor to the date on which he retires, is retired, or retrenched, and

(f) one and one-half times the sum of the amounts calculated in accordance with paragraphs (d) and (e).

(4) Notwithstanding the provisions of subsections (1), (2) and (3), where a contributor, not being a contributor referred to in paragraph (b) or (c) of subsection (3), so elects, there shall be paid from the Fund in lieu of the whole or part, as he specifies in the election, of the lump sum benefit to which he would, but for the election, be entitled under subsection (1), (2) or (3):

(a) in the case of a male contributor:

(i) a pension for himself for life from the day following his retirement, or

(ii) a pension for himself for life from the day following his retirement and five-eighths of that pension for his widow (being his wife at the date on which the lump sum benefit becomes payable) for her life from the day following his death, or

(b) in the case of a female contributor, a pension for herself for life from the day following her retirement.

(5) The provisions of this section do not apply so as to authorise a contributor to make an election whereby the amount of the pension payable to him would be less than ten dollars per fortnight.

(6) An election referred to in subsection (4) shall be made at least three months before the date on which the lump sum benefit becomes payable or on or before such later date as the Board in any particular case may allow and shall take effect on the date on which the lump sum benefit becomes payable.

(7) Where a contributor makes an election under this section whereby a pension for the contributor, as referred to in subparagraph (i) of paragraph (a), or in paragraph (b), of subsection (4), is payable from the Fund and the contributor’s age, in complete years, at the date the lump sum benefit would, but for the election, have become payable is included, in the case of a male contributor, in Schedule 4, or, in the case of a female contributor, in Schedule 6, the amount of the pension payable to the contributor shall be ascertained by multiplying the appropriate amount set out in Schedule 4, or Schedule 6, as the case may be, by the amount of the lump sum benefit and dividing the product by ten thousand.

(8) Where a contributor makes an election under this section whereby a pension for himself and his widow, as referred to in subparagraph (ii) of paragraph (a) of subsection (4), is payable from the Fund and the ages of the contributor and his wife in complete years at the date the lump sum benefit would, but for the election, have become payable are both included in Schedule 5, the amount of the pension pursuant to that subparagraph shall be:

(a) in respect of the contributor, ascertained by multiplying the appropriate amount set out in Schedule 5 by the amount of the lump sum benefit in respect of which he made the election and dividing the product by ten thousand, and

(b) in respect of his widow, five-eighths of the amount calculated under paragraph (a).

(9) Where the age, in complete years, of a contributor who has made an election under subsection (4) at the date the lump sum benefit would, but for the election, have become payable is not included in Schedule 4, or Schedule 6, as the case may be, and where the age, in complete years, of either the contributor or his wife at the date the lump sum benefit would, but for the election, have become payable, is not included in Schedule 5, the amount of the pension under this section shall be such amount as may be determined actuarially by the Board.

(10) If a contributor elected to take the benefit provided by subsection (4) (a) (ii), the benefit is taken to extend to the de facto partner of a deceased pensioner who dies on or after the commencement of this subsection.

(11) In this section:
"de facto partner" of a deceased pensioner means, if the deceased pensioner was, at the time of his or her death, in a de facto relationship within the meaning of the Property (Relationships) Act 1984 with a person, that person.