Commonwealth Consolidated Acts

[Index] [Table] [Search] [Search this Act] [Notes] [Noteup] [Previous] [Next] [Download] [Help]


What is a chosen fund

  (1)   If an employee wants a fund to be a chosen fund for the employee, the employee must:

  (a)   give the employer written notice to that effect; or

  (b)   give the Commissioner a notice to that effect in the approved form.

Note:   A fund can only be a chosen fund if the employer is able to make contributions to the fund for the benefit of the employee (see subsection   32G(2)).

  (1A)   If:

  (a)   an employer has offered an employee a choice of fund before 1   July 2005; and

  (b)   the employee has chosen a fund in accordance with the choice of funds that is offered; and

  (c)   the limitations on that choice are consistent with section   32G or, if the choice was made before the commencement of that section, would have been consistent with section   32G if the section had been in force at the time the choice was made;

then, for the purposes of this Part, any fund chosen by the employee is taken to be the chosen fund for the employee with effect from:

  (d)   1   July 2005; or

  (e)   a date that is 2 months after the fund is so chosen (unless the employer determines an earlier time after 1   July 2005 but within that 2 months);

whichever last occurs.

  (2)   The fund becomes a chosen fund for the employee 2 months after the employee or the Commissioner gives the notice to the employer, or at such earlier time after the notice is given as the employer determines.

  (3)   A fund (the selected fund ) cannot become a chosen fund for an employee under this section if:

  (a)   immediately before the employee gave the notice to the employer or the Commissioner , the employee was a defined benefit member of a defined benefit superannuation scheme; and

  (b)   even if the selected fund were to become a chosen fund for the employee, the employee would be entitled, on the employee's retirement, resignation or retrenchment, to the same amount of benefit from the defined benefit superannuation scheme as the employee would be entitled if the selected fund were not a chosen fund for the employee.

AustLII: Copyright Policy | Disclaimers | Privacy Policy | Feedback