Contribution splitting is now available from your RBF accounts. Contribution splitting will allow members to split superannuation contributions with their spouse. Each year, members will be able to make an election to split certain contributions.

The initiative may assist couples to achieve their retirement goals and can provide flexibility to access funds where one partner is about to retire.

The splitting of superannuation contributions is designed to:

• Assist families to maximise their superannuation benefits;
• Provide an avenue for middle to high income spouses to split their contributions to low income or non-working spouses, thereby increasing the superannuation assets of the low income or non-working spouse;
• Allow couples who take all or part of their retirement benefit as a lump sum to take advantage of the tax benefits of gaining access to two eligible termination payment (ETP) tax-free thresholds;
• Allow couples who take all or part of the retirement benefits as an income stream to take advantage of the tax benefits of gaining access to two:
• tax free thresholds;
• pension rebates; and
• non-assessable amounts.

What is contribution splitting?

Which accounts can be split?

What contributions can be split?

How much of my super account can I split?

Who can complete contribution splitting?

How often can I make a split?

Taxation

Fees

Membership Statements

How do I make an election for contribution splitting?

What is contribution splitting?

• In any year, members can elect to split their previous year's contributions with an 'eligible spouse'.
• Under Commonwealth rules the definition of eligible spouse includes married and de facto partners but does not include same sex relationship partners.
• Members can elect to split personal (after tax) contributions made before 5 April 2007.
• Members can also elect to split salary sacrifice contributions and Superannuation Guarantee contributions made by their employer, all made after 1 January 2006.
• Members can only make one election each year to split their super.

Which accounts can be split?

Generally, it will be possible to split contributions to the following accounts:

• RBF Investment Account
• RBF-TAS SG Account

Check your member statement or register on the web to see which accounts you hold with RBF.
A contribution split cannot proceed if the account is subject to a family law payment split or flag.

Under the Commonwealth rules, contributions made to a defined benefit scheme cannot be split. For RBF members this means contributions to the following accounts cannot be split.

• RBF Contributory Scheme
• Tasmanian Ambulance Service Superannuation Scheme
• State Fire Commission Superannuation Scheme
• Parliamentary Retiring Benefits Fund
• Parliamentary Superannuation Fund

What contributions can be split?

Members can elect to split contributions made in the previous financial year, including:

• Personal Contributions (after tax) including spouse contributions provided they were received by the Fund prior to 5 April 2007
• Salary Sacrifice contributions
• Superannuation Guarantee contributions made by their employer.

Members cannot split contributions from years prior to the previous financial year and cannot split rollovers or funds received as a result of a contribution split already processed or a family law splitting payment.

How much of my super account can I split?

• The splittable amount is limited to the amount of contributions made in the previous financial year less any contributions tax (paid on employer contributions including salary sacrifice).
• Where a member is completing a rollover or transfer to move their entire benefit to another fund, they may split both last financial year and the current year's contributions.

Who can complete contribution splitting?

• Splits can be made to an 'eligible spouse' according to the Commonwealth government's definition which includes married or de facto couples.
• Contribution splitting is not available to same sex couples due to the Commonwealth definition of 'eligible spouse'.
• The Sending Spouse can be any age and may be working or retired.
• The Receiving Spouse must be eligible to receive superannuation contributions at the time of the split (i.e. under age 65 and not retired).
• Pensioners who hold splittable contributions in their account can apply to split their contributions to their spouse (provided their spouse satisfies the eligibility criteria).

How often can I make a split?

• Once per year members can make application to split the previous financial year's contributions from their account.
• Members can make application to split the current financial year's contributions only where they are completing a rollover or transfer of their entire benefit to another Fund.

Taxation

No tax is payable at time of the split.

The sending partner is liable for any contributions tax payable on the initial contribution. This tax is deducted when the contribution is received by RBF.

Fees

At this time, RBF will not charge a fee for processing a contribution splitting application. The Board reserves the right to review this decision at any time.

Membership Statements

• Membership statements will reflect the rollover in for the receiving partner and show a rollover out for sending partner.
• Membership statements are sent to members two times each year or can be printed on request by contacting RBF directly. If you are registered on the RBF website, you can print a statement whenever you require.

How do I make an election for contribution splitting?

• Contact RBF and request a contribution splitting application form. The form will be forwarded to you with the eligible amounts already calculated for each of your accounts.
• If you complete the form and return it to RBF, your contribution split will be processed. Once completed, RBF will confirm the transfer in writing.