Member Questions

RBF has identified our members' most frequently asked questions (FAQ). The answers below should help you with some superannuation issues.

To make it easier to find the questions that interest you, they are grouped into the following topics:

• Membership
• Member Investment Choice
• Contributions
• Contributory Scheme
• Tasmanian Accumulation Scheme
• Retirement
• Accessing Superannuation

Membership

Which Scheme or Account am I in?

You are probably in the RBF Contributory Scheme if you are a Public Sector employee and:

• a permanent employee with an appointment date before 15 May 1999; or
• a temporary employee with more than 2 years service and who elected to join the Contributory Scheme; or
• a contract employee who entered your contract prior to 15 May 1999, the contract being for at least 3 years, and who elected to join the Contributory Scheme.

You are probably in TAS if you are a Public Sector employee and:

• a casual, temporary or contract employee appointed at any time; or
• a permanent employee appointed on or after 15 May 1999.

You are probably in the RBF Investment Account if you are:

• a Public Sector employee who was appointed on or after 15 May 1999 (your 5% contributions are paid into this account unless you elect otherwise); or
• a spouse of a member; or
• a former employee of the Tasmanian Public Sector as a Contributory Scheme member and have left money with RBF or you are working elsewhere now and keeping your superannuation together by continuing to pay your superannuation into RBF.

If you are still unsure which scheme you are in, please contact us.

Can I add to my RBF Investment Account after I have ceased being a Public Sector employee?

You can contribute to your super:

• if you are aged under 65, regardless of whether you are in paid employment; or
• if you are aged 65 but less than 75, and were employed for at least 40 hours in any period of not more than 30 consecutive days in the financial year in which the contribution is to be made.

I've already got a member number, so why have I been given another one?

Your previous account may contain amounts from your former employing Agency. These amounts may not be paid to the RBF Board until you reach preservation age. In this case, your previous account number needs to be kept open, to identify the correct Agency from which the RBF Board needs to collect money. You are not charged extra for multiple accounts.

How do I make a payment to RBF?

If you are making payments to RBF for any reason to meet your superannuation surcharge debt, upgrade of service or voluntary contributions to the RBF Investment Account, it would assist in processing your payment more efficiently if you would

• quote your member number (shown on your member statement);
• print your name and contact details; and
• state the reason for your payment.

You can also use the forms provided.

Member Investment Choice

Can I choose how my money is invested?

RBF offers Member Investment Choice on your money in the RBF Investment Account and in RBF-TAS SG Account (employer contributions for TAS members).

Does the administration fee include all costs?

In addition to the tax RBF has to pay, the administration fee and investment management fee covers RBF's costs and the costs of investment managers and consultants.

How is the administration fee deducted from my RBF Investment Account money?

The administration fee is deducted from the crediting rate before it is applied to your account.

What will my crediting rate be?

Crediting rates are published on this site at the end of each month.

How do I know which investment choice is for me?

You will find out more in the Member Investment Choice section.

Does Member Investment Choice apply to the Contributory Scheme?

No, your Contributory Scheme benefit is based on a multiple of your end salary, years of contributing, and the contribution rate. Therefore, MIC does not apply to Contributory Scheme benefits.

Can I claim a tax deduction for my super contributions?

To claim superannuation contributions as a tax deduction, you need to satisfy certain criteria.

Generally, eligibility to claim a tax deduction for superannuation contributions is restricted to individuals who receive less than 10% of their assessable income and reportable fringe benefits as an employee eligible for superannuation guarantee contributions.

Members over age 18 can claim a tax deduction, provided they satisfy the following criteria.

• Any employee-like income (including director’s fee etc.) plus related reportable fringe benefits is less than 10% of their total assessable income plus total reportable fringe benefits, then they are able to claim the deduction.
• The contribution is now already being used to reduce tax payable on a capital gain.
• The contribution is made no later than 28 days after the end of the month in which the member turned 75 years of age.
• A valid notice of intention to claim tax deductions is lodged no later than the day on which the tax return for the financial year is lodged, or the end of the following financial year if no tax return is lodged within the subsequent 12 months.

RBF does not take responsibility for ensuring your eligibility.

Where you notify RBF of your intention to claim a tax deduction, the contributions become subject to 15% Contributions Tax and will count towards your annual concessional contributions limit.

Use the Tax Deductible Contributions form to make these contributions to your super.

Contributory Scheme

Is it better to increase my contribution rate into the Contributory Scheme or should extra contributions go into the RBF Investment Account?

This is an individual decision for each member to make. Contact us for a free personal interview.

What is a full benefits member?

Full benefits cover is only available if you are a Contributory Scheme member with at least 10 years of contributory service or have passed an RBF medical examination. If you are a full benefits member, your death and disability cover will be greater.

If you are a full benefits member, you do not have to pay any extra contributions - the only cost is the medical examination with your doctor. Contact us for a medical form.

If I change from full-time work to part-time, how will this affect my superannuation benefit?

Contributory Scheme benefits are calculated using your full-time equivalent salary. The only effect of changing to part-time work is that your service accumulates at a slower rate. You may increase your rate of contribution to the RBF Contributory Scheme (maximum 15%) or make additional contributions to the RBF Investment Account. However this does not fully compensate for the reduction in the length of service.

In general the basic RBF Contributory Scheme benefits are calculated:

Say Jenny had a FAS (3) of $43,000. She had contributed for 15 years at 5% as a full time employee. Jenny's benefit would be:

If instead Jenny had worked 13 years at full time and 2 years at 60% part time, Jenny's benefit would be:

If I am in the RBF Contributory Scheme and my salary is reduced, how can I protect my superannuation?

If your salary is reduced, you may apply to maintain your super contributions on the basis of your former higher salary. This would maintain your level of entitlements. RBF will advise you if your application meets the criteria. This option does not apply to situations where the reduction in salary is because of a change to part-time work.

What can I do about my super if I take leave without pay?

If you are an RBF Contributory Scheme member you should notify the RBF Board as soon as possible if you are taking leave without pay, to ensure that you select the most suitable option.

• If you are going on parental leave, you can elect whether or not you wish to take a 'contributions holiday' and, if not, how you wish to pay the contributions.
• If you are on sick leave without pay, you must decide how you wish to pay the contributions.
• For other types of leave without pay, you must take a contributions holiday, but you can apply to purchase that service period when you return to work. However, you would have to pay your own and your employer's contribution.

You would continue to be covered for death and disability and be eligible to make voluntary contributions, during any period of leave without pay.

Tasmanian Accumulation Scheme

Can I increase my ill health and death cover?

Yes, you can increase your cover, subject to passing a medical. The ill health cover and death cover sections have more information.

Can I choose different investment choice options for my employer contributions and my own contributions to the RBF Investment Account?

Yes, you can. Use the Member Investment Choice Transfer and Election Form.

What am I contributing?

If you were appointed on or after 15 May 1999, you are contributing 5% into the RBF Investment Account unless you elect otherwise.

If I change from full-time work to part-time, how will this affect my superannuation benefit?

The change will result in a reduction in employer superannuation contributions made on your behalf. This occurs because of the reduction in your salary. This would result in a smaller benefit when you leave work but you could counter this effect by making voluntary contributions.

What can I do about my super if I take leave without pay?

For TAS members, employer contributions to super would cease during a period of leave without pay. Your money would continue to accumulate investment returns according to the Member Investment Choice option that you had selected.

After 4 months (12 months if you were on sick or parental leave without pay) you would not have death and incapacity cover for prospective service until you returned to work and employer contributions recommenced.

Retirement

How do I choose a retirement option?

There are many options available to you. You would benefit from planning your retirement carefully before making any decision.

Accessing Superannuation

Is it true I can't access my benefit until I reach preservation age, and are there any exceptions to this?

Current Commonwealth legislation requires that most monies put into superannuation must be kept in superannuation until preservation age. The Commonwealth Government's aim is to ensure that superannuation savings are used only when a person has retired from the workforce.

If amounts are accessed before preservation age, they are generally taxed at a higher rate. Preserved monies can usually only be accessed before preservation age in the case of death, permanent incapacity, severe financial hardship or on compassionate grounds. Applications should be made to the RBF Board if you believe one of these conditions is satisfied.