Frequently Asked Questions
General Questions
- I can’t remember my membership number. What should I do?
- I have forgotten my PIN. What do I do?
- I want to open an account for my spouse, how do I do that?
- I have some superannuation in another fund, can I move it to my AvSuper account?
- I have separated from my husband/wife and need some information on superannuation for a property settlement. How do I get this?
- I don’t believe the salary being used to determine my superannuation is correct. What should I do?
- Are superannuation contributions tax deductible?
- Will I get the Government co-contribution?
- Who can be paid a superannuation benefit on my death?
- Can I determine who gets the benefit on my death?
- Can I only take my benefit as a lump sum from AvSuper?
- What is the difference between an after tax contribution to superannuation and a before tax (salary sacrifice) contribution to super?
- Can anyone contribute to superannuation and receive contributions from their employer?
- Can I leave my superannuation in the Fund as long as I like?
Questions relating solely to Defined Benefit Members
- What is a defined benefit?
- Can I transfer my defined benefit to the accumulation division of the Fund?
- As a defined benefit member my benefit is calculated using my Final Average Salary (FAS), what happens if I decide to work part-time?
- I was considering taking long service leave on half pay, how does this affect my Final Average Salary?
- I am a defined benefit member. What happens if I take unpaid leave?
- I am a defined benefit member. Can I exercise investment choice?
- What if I don’t make an investment choice for my voluntary contributions?
- My statement shows that I have a surcharge debt. What does this mean?
- What are the fees and charges applied to my account?
Questions relating solely to Accumulation/Voluntary Members
- I am an accumulation member. On what salary is my superannuation benefit calculated?
- I am an accumulation member. What happens if I take leave without pay or on reduced pay?
- I am an accumulation member. Can I choose how my money is invested?
- What if I don’t make an investment choice?
- What fees and charges do I pay as a member of AvSuper?
Answers - General
1. I can’t remember my membership number. What should I do?
Check your last statement or call us on 1800 805 088
2. I have forgotten my PIN. What do I do?
You can request a new PIN to be emailed to you via the Member Online login page or if you aren’t sure we have your email address, call us on 1800 805 088 for assistance. Once you have logged in, you can change your password to one you will remember easily.
3. I want to open an account for my spouse, how do I do that?
You should go to the Forms and Publications area of this website and download the Product Disclosure Statement – A guide to AvSuper for Eligible Spouse Members. This provides you with all the information you will need and also the forms you have to complete to open the account. Call AvSuper toll free on 1800 805 088 if you still have queries after reading the document.
4. I have some superannuation in another fund, can I move it to my AvSuper account?
Yes. To make this easier for you we have designed a form, called a Benefit Transfer form, which you can complete and send to your old fund. This form contains all the information on AvSuper that they will need and you can download it from the Forms and Publications area of this website. No fee is charged by AvSuper for the transfer, however, your old fund may charge an exit fee.
When the money is received it goes into the accumulation section of the Fund and accrues interest according to the investment choice you have made, or at the rate applicable to the Growth option if you haven’t made a choice.
5. I have separated from my husband/wife and need some information on superannuation for a property settlement. How do I get this?
Under the Fund Essentials area of our website is a section called Family Law Issues. This briefly describes the process which you need to follow to obtain the necessary information. It also provides a link to the Family Court website to enable you to download the prescribed forms which you must complete so that we can give you the information. The Fund does not charge for providing the information.
If you are a defined benefit member, it is advisable to obtain a valuation of your benefit as well. It is likely that the Family Court will require this information. Your legal adviser can normally arrange this. If you wish the Fund’s administrator can provide a valuation for a fee of $250.
If you decide to split your superannuation as part of the settlement, there is a charge of $410. $205 is deducted from the account balance of each party at the time the benefit is split.
Any queries on Family Law issues can be directed to Gemma McGann on 02-62684402 or toll free on 1800 805 088.
6. I don’t believe the salary being used to determine my superannuation is correct. What should I do?
The salary used by the Fund is provided to us by your employer. You need, therefore, to approach your employer with any queries regarding the salary we are using.
7. Are superannuation contributions tax deductible?
Generally, no. The rebate previously allowed for low income earners has been replaced by the Government co-contribution.
If you are self-employed (i.e. no more than 10% of your income is from an employment arrangement) you are able to claim a tax deduction for any personal contributions up to certain limits. You must, however, advise the Fund when you make a contribution that you intend to claim a deduction in respect of the contribution. You will then receive an acknowledgement of this from the Fund to support your claim to the ATO.
A tax offset may also be available for contributions made in respect of a spouse. To receive the full offset, currently $540, a contribution of $3,000 must be made and the spouse’s income must be less than $10,800. However, some rebate on contributions is available where the spouse earns less than $13,800.
Remember that for tax concessions to be claimed in respect of a contribution, it must be in the Fund’s bank account by 30 June of that financial year. Don’t leave the contribution until the last minute or you may miss out on the deduction!
8. Will I get the Government co-contribution?
The current eligibility requirements to receive a co-contribution in respect of a financial year are that:
- you have made personal superannuation contributions in that year. Contributions made from pre-tax salary (salary sacrifice) or contributions made on your behalf by a third party, e.g. your spouse or employer, are not considered personal superannuation contributions
- your total income (assessable income plus reportable fringe benefits, note it is assessable income not taxable income) for that year is less than $58,000
- you have received 10% or more of your total income from eligible employment, i.e. you must not have been substantially self-employed and you must have had a least some income from employment
- you have not held an “eligible temporary resident visa” at any time during the year
- you have lodged an income tax return for the year
- you are less than 71 years old at the end of the financial year.
If your total income is $28,000 or less the Government will put $1.50 into your superannuation fund for every $1 in personal contributions you make. Only personal contributions up to $1,000 will attract the co-contribution, making $1,500 the maximum that you can receive from the Government. The amount the Government contributes will reduce by 5 cents for each dollar by which your total income exceeds $28,000. Therefore the maximum available co-contribution is $1,000 on a total income of $38,000, $500 on a total income of $48,000 and no co-contribution is available where the total income is more than $58,000.
It makes it much easier for the Australian Taxation Office to determine your entitlement to a co-contribution if you have given the fund your Tax File Number. This enables the Fund’s reporting of contributions to be easily matched up with your tax return.
9. Who can be paid a superannuation benefit on my death?
The legislation governing superannuation schemes limits the payment of a benefit on the death of a member to a ‘dependant’ or their legal personal representative.
A dependant is your spouse (including de facto), children (including adopted children, step-children and ex-nuptial children) and anyone with whom you have an interdependency relationship.
Two persons are considered to have an interdependent relationship if each of these conditions is met:
- they have a close personal relationship
- they live together
- one or each of them provides the other with financial support
- one or each of them provides the other with domestic support and personal care.
An interdependent relationship also exists where there is a close personal relationship and either or both people suffer from a physical, intellectual or psychiatric disability. In these circumstances there is no requirement for cohabitation or provision of financial or domestic support.
A close personal relationship is one that involves a demonstrated and ongoing commitment to the emotional support and well-being of the two parties.
The definition is not intended to include people who share accommodation for convenience (eg flatmates) or people who provide care as part of an employment arrangement or on behalf of a charity.
10. Can I determine who gets the benefit on my death?
You can nominate your preferred beneficiary by completing the form Nomination of Beneficiaries which can be downloaded from the Forms and Publications section of the website. You can also enter your beneficiary information on-line through the Superfacts area of the website.
The person you nominate must meet the definition of dependant provided above or be your legal personal representative.
In determining who gets the benefit, the Trustee must consider the claims of all people who meet the definition of dependant. However, your wishes will be taken into consideration, but you must make sure that the person(s) you nominate meet the necessary definition.
You should revisit your nominations each year to make sure that they are still current e.g. you may have had another child who you need to list, you may divorce and the person nominated may therefore no longer be a spouse, you may move out of home and your parents or siblings who may have previously met the definition, will no longer do so.
In some circumstances, such as where you have no-one who meets the definition of dependant, the Trustee may pay the benefit to your legal personal representative, i.e. your estate. You should, therefore, ensure that you have an up to date will.
11. Can I only take my benefit as a lump sum from AvSuper?
No. The benefit is payable initially as a lump sum but you may purchase an allocated pension from AvSuper. Full details of how you do this are included in the document, Product Disclosure Statement – A guide to AvSuper’s Deferred Benefit Account and Allocated Pensions. The Trustee also recently agreed to provide Market linked pensions (also known as growth or term allocated pensions). These will be available shortly.
12. What is the difference between an after tax contribution to superannuation and a before tax (salary sacrifice) contribution to super?
An after tax contribution is one you have paid from your net salary. Your gross salary will have been taxed at the appropriate rate and your nominated contribution will then have been deducted from what is left. The technical term for these contribution is ‘undeducted contributions’.This term indicates that no tax deduction has been received for them.
As you have already been fully taxed on this money it will not be taxed again by the superannuation system, either on entry or exit. Any earnings on it will however be subject to taxation in the Fund and assessable for taxation purposes on exit. The actual contribution will not be counted towards your reasonable benefit limit. It is considered a personal contribution for purposes of attracting a Government co-contribution, providing other criteria are met.
If the contribution is ultimately used to purchase an income stream, the portion of the income considered to be attributable to these contributions is not subject to tax.
A before tax or salary sacrifice contribution is one taken from your gross salary. Not everyone is able to contribute in this way and you would need to check with your employer to see if this option is open to you and whether there is a limit on how much you can contribute.
The chosen contribution is taken from your gross salary and you are only taxed on what is left. A contribution made in this way is classed an employer contribution and 15% tax is deducted from it on entry to the Fund and earnings on it will be taxed. It will also be assessable for taxation purposes on exit from the Fund. It will count towards your reasonable benefit limit. It is not considered a personal contribution for purposes of attracting the Government co-contribution. Income purchased with the money will be taxable but a rebate may apply.
Whether there is any advantage to before tax contributions generally depends on the tax bracket you are in and the size of your end benefit.
The tables below illustrate how the two contribution methods work for someone earning $100,000 and someone earning $50,000. The tax rates are those for the 05/06 financial year and don’t include the medicare levy. As the $10,000 salary sacrifice contribution will be taxed at 15% on entry to the fund, both members will end up with a net superannuation contribution of $8,500.
| Member contribution from after tax salary | Salary sacrifice arrangement | |
| Gross salary | $100,000 | $90,000 ($10,000 deducted and paid as super by employer) |
| Tax (excluding medicare levy) | $30,550 | $26,100 |
| Net salary | $69450 | $63,900 |
| Less employee superannuation contribution | $8,500 | N/A |
| Net income after superannuation | $60,950 | $63,900 |
| Member contribution from after tax salary | Salary sacrifice arrangement | |
| Gross salary | $50,000 | $40,000 ($10,000 deducted and paid as super by the employer) |
| Tax (excluding medicare levy) | $10,860 | $7860 |
| Net salary | $39,140 | $32,140 |
| Less employee superannuation contribution | $8,500 | N/A |
| Net income after superannuation | $30,640 | $32,140 |
13. Can anyone contribute to superannuation and receive contributions from their employer?
Anyone aged between 18 and 65 can contribute to superannuation and in some cases those under 18 may also contribute if they are working. Contributions can also be paid by the employers of people referred to above. Once someone reaches age 65 restrictions are placed on contributing and also on receiving employer contributions. The table below explains these restrictions. An award contribution is one required under an industrial award to be paid in respect of a person.
| Age Group | Superannuation Guarantee employer contribution | Award employer contributions | Voluntary employer contributions (including member salary sacrifice contributions) | Member Contributions |
| 65-69 | Yes | Yes | Only if employee has worked at least 40 hours in not more than 30 consecutive days in the financial year | Only if contributor has worked at least 40 hours in not more than 30 consecutive days in the financial year |
| 70-74 | No | Yes | No | Only if the contributor has worked at least 40 hours in not more than 30 consecutive days in the financial year |
| 75 on | No | Yes | No | No |
14. Can I leave my superannuation in the Fund as long as I like?
No, your superannuation may only remain in the Fund once you reach age 65 if you have worked 240 hours in the previous financial year. At the end of the financial year in which you cease to meet this criterion, your benefit must be paid out.
Once you reach age 75 your benefit must be paid out regardless of your employment situation.
Answers - Defined Benefit Members
A defined benefit is one where the amount of your end benefit is determined by a formula based on your final average salary and your accrued benefit multiple. The level of salary increase you receive will therefore have a substantial impact on your retirement benefit. The size of the multiple will depend on the period of time you have been in the scheme and the amount you have personally contributed.
The earning rate of the fund has no bearing on the overall size of the benefit and the employer bears the investment risk. If returns are high the employer is not required to contribute as much to fund the benefit. However, if returns are low then the employer will have to contribute more to the Fund.
2. Can I transfer my defined benefit to the accumulation division of the Fund?
Yes, but only if you are an employee of Airservices Australia, not if you are a CASA employee. You should refer to the document Transfer guide – Defined benefit or accumulation on this website for information relevant to your choice. You should also consider seeking financial advice before you make such an important decision to ensure that it is the best option for you.
3. As a defined benefit member my benefit is calculated using my Final Average Salary (FAS), what happens if I decide to work part-time?
The salary used to determine your final average salary is always the full-time salary. Your part-time service will be reflected by a slow down in the growth of your multiple. For example, a full-time member might accrue 10% of FAS for each year of service. If that member worked part-time performing half the required hours for a year, they would accrue only 5% of FAS.
4. I was considering taking long service leave on half pay, how does this affect my Final Average Salary?
Taking leave on reduced pay has no effect on your FAS or your rate of benefit accrual.
5. I am a defined benefit member. What happens if I take unpaid leave?
Generally, you will continue to accrue the normal benefit for the first 12 weeks (84 days) of any period of leave without pay, and you will also have to continue any contributions you have chosen to make yourself. After 12 weeks you will cease to contribute and accrue benefits. If you do not want to personally contribute for the 12 weeks you would have to complete a Change of Contributions form and submit it to your payroll area before the payday on which you want your contributions to cease.
For periods of approved unpaid maternity, parental, study and sick leave you will continue to accrue benefits and be expected to pay any contributions you have chosen to make you. Again you can cease your personal contributions by completing the form mentioned above if you wish.
6. I am a defined benefit member. Can I exercise investment choice?
No. In the defined benefit scheme the investment return has no impact on your end benefit. Your employer bears the investment risk.
If you also have a voluntary account with AvSuper, you may choose between four options for the investment of this money. You may invest in one option only or spread your money across a number of options. You may also choose a different option for your existing balance and your future contributions. You may vary your options weekly and there is no charge for this. Information on the options and some helpful hints on investment choice are included in the publication on our website titled Member Investment Choice (MIC) Guide.
If you wish to exercise investment choice you should complete the form nomination or change of options and forward it to our administrator at the address or fax number shown on the form.
7. What if I don’t make an investment choice for my voluntary contributions?
If you don’t make an investment choice your monies will be invested in the Growth option.
8. My statement shows that I have a surcharge debt. What does this mean?
For the period 20 August 1996 to 30 June 2005 , the Government applied a tax surcharge to the employer contributions made for higher income earners. The 04/05 financial year was the last one for which the surcharge was applied. It has now been abolished.
The Fund paid the surcharge on members’ behalf and members then had a debt to the Fund. Interest is applied to this debt at the earning rate of the Fund’s core portfolio, and the debt is fully recovered when a benefit becomes payable.
If you wish to pay this debt off either in part or in full, you can forward a cheque to AvSuper at any time.
9. What are the fees and charges applied to my account?
The administration costs for defined benefit members are met by the employer.
If you also have a voluntary account, you need to refer to the fees and charges section of the Product Disclosure Statement – A guide to AvSuper’s Voluntary Account. This provides not only the fees charged but also gives examples of how they will affect your account.
Answers - Accumulation/Voluntary Members
1. I am an accumulation member. On what salary is my superannuation benefit calculated?
Your benefit will be calculated on the actual base salary you receive each fortnight including allowances in the nature of salary. This salary is determined by your employer and any queries you have on it, such as what allowances are actually included, should be referred to your payroll area.
2. I am an accumulation member. What happens if I take leave without pay or on reduced pay?
Your superannuation benefits are a percentage of the salary and recognised allowances you receive in a fortnight. Therefore if you receive no pay you will be entitled to no superannuation. If you receive only part of your normal pay, you will receive only part of your normal superannuation.
3. I am an accumulation member. Can I choose how my money is invested?
Yes, you may choose between four investment options and you can spread your investments across the options if you wish. You can also choose to have your existing balance invested differently to your future contributions. You may vary your options weekly and there is no charge for doing so. A description of the options and some points for you to consider are included in the publication Member Investment Choice (MIC) Guide which you will find on the Forms and Publications area of our website. If you wish to exercise investment choice you should complete the form nomination or change of options and forward it to our administrator at the address or fax number shown on the form.
4. What if I don’t make an investment choice?
If you don’t make an investment choice your monies will be invested in the Growth option.
5. What fees and charges do I pay as a member of AvSuper?
There are fees both for the administration and investment costs associated with your account. Some of these are deducted weekly from your account balance and others are taken into account in the calculation of unit prices. A full description of the fees payable, how they are applied and examples of this are included in the Fees and Charges section of the Product Disclosure Statement – A guide to AvSuper for Accumulation Members.
