Below is a list of Australian Superannution related terms and their meanings.
Death insurance (Death cover)
Insurance arrangement whereby the member's beneficiaries and/or
dependants receive an insured amount in the event of the member's
death. Australian Primary offers a choice as to the level of cover,
expressed as the amount of cover per unit of insurance. Insurance
premiums are deducted from contributions as they are received by
Australian Primary. It is most important that you read the detail
of your fund's insurance arrangements, and decide what options,
if any, you wish to exercise.
Disability
The current policy defines Disability to mean "the member being
unable by reason solely of illness or injury to attend to his or
her occupation and provided the member is not otherwise gainfully
employed or gainfully engaged in gainful business activity".
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Inactive member
A fund member who is not currently receiving any contributions to his/her
account.
Insurance premiums
The sum of money paid to purchase insurance against death and permanent
disability. The premium is deducted from contributions as they are received
by the Australian Primary and is detailed on Member Statements.
Investment Management Fee
The fees charged by an investment manager for their services. The fee
is normally charged as a percentage of the funds invested, and may be
performance-based. The fees are normally deducted from the fund's earnings
before determination of the fund's earning rate. Because of our size and
efficiency, Australian Primary is able to get comparatively low investment
management fees.
Investment manager
An organisation appointed by a fund to manage the investment of part of
the fund's assets. Australian Primary appoints a range of investment managers,
who may have specialist expertise in particular areas of investment.
Lump sum
A benefit payable in a single cash payment rather than as pension or annuity.
Non-preserved benefit
The part of a member's benefit which is not subject to preservation.
Non-preserved benefit
The part of a member's benefit which is not subject to preservation.
Ordinary Time Earnings (OTE)
The earnings (before tax) on an employee's ordinary hours of work, generally
excluding overtime, but including commission payments, shift loadings,
casual loadings and some other payments. This is used as the basis for
calculating employer contributions for Superannuation Guarantee.
Participating employer
A partcipating employer is an employer who has already registered with
the Fund.
Portability
The ability to take your superannuation with you when you change your
job. Australian Primary is particularly well placed in this regard, as
members can often stay with us despite changing employers.
Preservation age
The age at which you can have access to your preserved benefits, provided
you have permanently retired from the workforce. The preservation age
gradually increases from 55 years depending on your date of birth as shown
below:
Date of Birth | Preservation Age
|
| Before 1/7/1960 |
55 |
| 1/7/1960-30/6/1961 |
56 |
| 1/7/1961-30/6/1962 |
57 |
| 1/7/1962-30/6/1963 |
58 |
| 1/7/1963-30/6/1964 |
59 |
| After 30/6/1964 |
60 |
Preserved benefit
That part of a member's benefit which is subject to preservation.
Product Disclosure Statement (PDS)
Product Disclosure Statements for the four categories of Australian
Primary Superannuation provide important information about the main
features, costs, benefits and risks of investing your super. To
view a PDS, go to the Forms & Publications page.
Superannuation Rollover
The transfer of a benefit or Eligible Termination Payment (ETP)
into a superannuation fund, ADF or deferred annuity.
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