Common use of Superannuation arrangements Clause in Contracts

Superannuation arrangements. (1) An employee’s salary for superannuation purposes is determined in accordance with the rules of the CSS or PSS scheme, as relevant to the particular employee. (2) However, a salary maintenance lump sum payment paid to an employee does not count as salary for superannuation purposes. (3) Where an employee has chosen a superannuation fund other than the PSSap the employer contribution rates and arrangements will be the same as for members of the PSSap. (4) The employer contribution rates for employees who are members of the PSSap will be 15.4% of the fortnightly contribution salary or such higher amount as may be set out in the PSSap Trust Deed. (5) Notwithstanding subparagraph (1), where an employee has chosen a superannuation fund other than the PSSap on commencement with the department, their initial salary for superannuation purposes will be the salary they receive on commencement with the department. (6) The Secretary may limit the superannuation funds to which an employee may choose to have employer superannuation contributions made to funds: (a) that allow the Department to make a superannuation contribution for the benefit of the employee by means of an electronic funds transfer; and (b) that accept a remittance advice in the form preferred by the Department. Note The Superannuation Act 1976 and the PSS Rules (which also apply to determination of salary for PSSap members, and through the application of subparagraph (3) of this clause, choice fund members) allow employees and employers to agree to an annual rate of salary or an annual rate of basic salary and recognised allowances, respectively. This clause is such an agreement.