Superannuation: staff

Last updated
28 April 2021

Superannuation arrangements and legislation may change without this page reflecting those changes. For information on what arrangements are suitable for your personal circumstances, please consult a licensed financial adviser. MaPS is unable to provide this information.

Information regarding superannuation is also available form the Australian Taxation Office.

Nominating a superannuation fund

Employees can nominate a complying superannuation fund or retirement saving account (RSA) into which employer superannuation contributions will be made. You can choose your superannuation fund if you:

  • are currently a member of Public Sector Superannuation accumulation plan (PSSap) or
  • are a new employee who does not have an existing interest in the Public Sector Superannuation Scheme (PSS) or Commonwealth Superannuation Scheme (CSS) and you commenced your current term of employment under the MOP(S) Act after 1 July 2005.

If you wish to choose your superannuation fund, complete the superannuation options form (see related resources). Otherwise, your employer superannuation contributions will default to PSSap. Where you choose your superannuation fund, employer contributions are made at the rate of 15.4% of your ordinary time earnings.

If you are a member of the PSS and would like to choose your superannuation fund, you must first cease your PSS membership and join PSSap.

Existing employees who are currently contributing members in the CSS cannot generally choose their superannuation fund.

Public Sector Superannuation accumulation plan (PSSap)

The PSSap is the default fund under the choice of superannuation fund arrangements for MOP(S) Act employees who commenced their current term of employment on or after 1 July 2005. Employees automatically enter PSSap unless they choose an alternative complying superannuation fund or retirement savings account.

Eligible employees, who have not elected to join the PSSap, can still elect to join at any time.

Employer contributions are made at the rate of 15.4% of an employee’s ordinary time earnings. Employees also have the option of making voluntary personal contributions, including salary sacrifice contributions, to the PSSap.

Becoming an ancillary member of PSSap

Members of the CSS and PSS may choose to join the PSSap as an ancillary member in order to make personal (after tax) or salary sacrifice contributions. Ancillary membership of the PSSap has no effect on the employee’s membership of the CSS or PSS.

Public Sector Superannuation Scheme (PSS)

The PSS closed to new members on 1 July 2005 and is managed by the Commonwealth Superannuation Corporation (CSC). Depending on individual circumstances, employees with an existing interest in the PSS may be able to elect to recommence membership in the scheme when commencing MOP(S) Act employment or commencing a new term of MOP(S) Act employment.

PSS members can make contributions between 2% and 10% of their superannuation salary to the PSS, or they can elect to make no contributions at all. Employee contributions directly affect the benefit the employee receives on retirement. The amount contributed by the employer does not directly affect the benefit the employee receives on retirement. The Commonwealth Superannuation Corporation (CSC) website provides information on how the retirement benefit is calculated.

PSS members may cease their membership with the PSS at any time and join the PSSap. Employees who wish to do this should consult a licensed financial adviser.

Commonwealth Superannuation Scheme (CSS)

The CSS closed to new members from 1 July 1990. The CSS is a defined benefit scheme managed by the Commonwealth Superannuation Corporation (CSC).

Depending on individual circumstances, new employees with an existing interest in the CSS may be required to recommence in the scheme or elect to recommence in the scheme on commencing a new period of MOP(S) Act employment.

Former members of CSS who wish to join the PSS must notify the CSS within three months of recommencing employment.

Superannuation (Productivity Benefit) Act 1988

Access to provisions under the Superannuation (Productivity Benefit) Act 1988 (PB Act) closed for new employees from 1 July 2006.

A small number of MOP(S) Act employees remain covered by the PB Act. Employees covered by the PB Act continue to be paid employer superannuation contributions, unless they elect to join the PSS or PSSap.

Employer superannuation contributions are generally 9% of the employee’s superannuation salary and are unaffected by the Commonwealth Members of Parliament Staff Enterprise Agreement 2020-23. MOP(S) Act employees covered by the PB Act who commenced their current term of employment before 1 July 2005 may remain eligible to join the PSS.

Employees covered by the PB Act who commenced their current term of employment on or after 1 July 2005 may become eligible for choice of superannuation fund and employer superannuation contributions by electing to join the PSSap and then choosing another fund.

Superannuation allowance

Eligible employees may choose to receive superannuation allowance in exchange for a lower employer superannuation contribution.

You can request to receive superannuation allowance if:

  • you are an ongoing MOP(S) Act employee
  • your employer superannuation is paid under the Superannuation Guarantee (Administration) Act 1992. This does not include employees who are members of the CSS, PSS or PSSap.

If you choose to request superannuation allowance:

  • Your employer superannuation contribution will be reduced to 10% of your ordinary time earnings. Instead of the 15.4%, you will be paid an allowance of 4.90901% of your ordinary time earnings each pay.
  • The allowance is taxable and will also attract an employer superannuation contribution.
  • Your overall remuneration, including employer superannuation, will be unchanged.

To receive superannuation allowance complete the superannuation allowance request form (see related resources).

To  change your superannuation membership, complete the superannuation options form (see related resources).

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