Important changes to PSSap Ancillary
We wish to inform you of the following changes to PSSap:
- you can now make personal (after tax) contributions into your Ancillary account and additional payments can be made into your account by your spouse
- current and prospective CSCri members have options to add additional money into CSCri
- the cost of providing 'single issue' financial advice over the phone to eligible PSSap members will be paid from the PSSap Fund from 1 July 2015
- the Exit Fee will increase from $38 to $50 per withdrawal and Family Law Fees will be introduced, with both fee changes effective from 1 July 2015.
Personal (after tax) and spouse contributions now available
You can now contribute to your PSSap Ancillary account in the following ways:
- salary sacrifice
- personal (after tax) contributions
- spouse contributions
- post 1995 accumulation transfer amounts (PSS members only).
Personal and spouse contributions can be made via BPAY, cheque and money order.
For details visit pssap.gov.au/contributions
New options to add additional money into CSCri
CSCri is an account-based income stream product offered through PSSap to CSS, PSS and PSSap members. CSCri now provides greater flexibility to members who want to receive regular and tax effective income payments through the introduction of:
- a restart option that allows current CSCri members to restart their CSCri account with additional money (eg, from the sale of an investment property, an inheritance or other windfall, or from other superannuation savings)
- a rollover option that allows prospective CSCri members to use superannuation savings from outside the Government super environment (such as a rollover from another superannuation fund) to commence a CSCri income stream.
Cost of providing 'single issue advice' to eligible PSSap members will be charged to the PSSap Fund
The cost of this service is not charged directly to members and is currently paid by the trustee, Commonwealth Superannuation Corporation. It will be charged to the PSSap Fund from 1 July 2015.
Due to the complicated nature of the CSS and PSS defined benefit schemes, PSSap Ancillary members cannot use this service. By law a financial planner must take your defined benefit scheme into account if providing you personal financial advice, even if the advice you receive is limited to certain aspects of your PSSap Ancillary account such as your contribution level.
Industry Fund Services provides fee for service financial advice to CSS and PSS members. For more on the financial advice services available, please visit your CSS or PSS website.
Increase in Exit Fee and introduction of Family Law Fees
The following fees will be charged from 1 July 2015:
- Exit Fee – $50 per withdrawal (increased from $38 per withdrawal)
This fee recovers the cost of disposing of all or part of your interest in PSSap.
Family Law Fees
A fee of $170 will be payable upon initial request for family law related services for the preparation of a response to a request for superannuation information made in accordance with family law legislation. The fee covers the cost of the administrative work required to respond to a request.
A fee of $110 will be charged to split a member's account due to family law arrangements.
Existing fees and costs paid by members and additional explanations of fees and costs can be viewed in the PSSap Product Disclosure Statement.