New South Wales Consolidated Regulations

PARLIAMENTARY CONTRIBUTORY SUPERANNUATION REGULATION 2008 - REG 19

19 Reduction of benefits of member spouses

(1) This clause applies if the amount of the family law superannuation entitlement of a non-member spouse is paid, released, transferred or rolled over under Part 4A of the Act (a "family law superannuation payment" is made).

(2) A benefit payable to the member spouse (including a benefit transferred under the Act), other than a deferred benefit, is to be reduced in accordance with this clause at the time it is paid to the member spouse or transferred.

(3) A deferred benefit of the member spouse is to be reduced in accordance with this clause:

(a) if the benefit was deferred before the superannuation entitlement of the non-member spouse was paid, released, transferred or rolled over-at the time the entitlement is paid, released, transferred or rolled over, or

(b) in any other case-when the benefit is deferred.

(4) The amount of the reduced benefit is to be calculated as follows:

"r" is the amount of the reduced benefit.
"v" is the amount of the benefit that would have been payable to the member spouse if the family law superannuation payment had not been made.
"A" is the ratio of the amount paid in respect of the non-member spouse to the value of the benefit of the member spouse when the payment split occurred.
"C" is the ratio of the benefit accrual when the payment split occurred to the benefit accrual when the benefit is payable or deferred or transferred (as the case requires).

(5) If family law superannuation payments are made in respect of more than one spouse of the member spouse, the amount of the reduced benefit (other than a deferred benefit) is to be calculated by applying to the amount of the benefit payable (as calculated in accordance with subclause (4)) the reduction factor for each family law superannuation payment. Each reduction factor is to be calculated as follows:

"f" is the reduction factor.
"A" and "C" have the same meanings as in subclause (4).

(6) In this clause:
"benefit accrual" at any point in time means the benefit accrual as at that time as determined by the trustees on actuarial advice.
"value of a benefit" means the value of the benefit as determined by the trustees on actuarial advice.