2010/2011 Report to Members
Colonial Mutual Superannuation Pty Ltd
ABN 56 006 831 983 AFSL 235025
Abbreviations Inside front cover
Account Your account in the Fund Introduction 2
APRA Australian Prudential Regulation Authority Information about the Fund 8
ATO Australian Taxation Office
Information about the Fund’s investments 12
CMLA, the Insurer, the The Colonial Mutual Life Assurance Society
Administrator Limited ABN 12 004 021 809 AFSL 235035 Contribution information 16
Colonial First State Colonial First State Investments Limited Taxation information 20
ABN 98 002 348 352 AFSL 232468
Colonial First State Property Colonial First State Property Limited Access to your benefits 22
ABN 20 085 313 926 Lost members and unclaimed monies 25
Corporations Act Corporations Act 2001 and Regulations
Eligible rollover fund 26
Member, you A Member with an investment in the Fund
RSEL Registrable Superannuation Entity Licence Your personal information 27
SIS Superannuation Industry (Supervision) Act 1993 and Regulations Enquiries and complaints 30
SuperTrace SuperTrace Eligible Rollover Fund
ABN 73 703 878 235 Directory 32
the Fund Colonial Super Retirement Fund
ABN 40 328 908 469
the Group Commonwealth Bank of Australia
ABN 48 123 123 124 AFSL 234945
and its subsidiaries
this Report Colonial Super Retirement Fund 2010/2011 Report to Members
TFN Tax File Number
Trustee, we, us, our Colonial Mutual Superannuation Pty Ltd
ABN 56 006 831 983 AFSL 235025
This Report is issued by Colonial Mutual Superannuation Pty Ltd, trustee of the Colonial Super
The Trustee and CMLA are both wholly owned subsidiaries of Commonwealth Bank of Australia.
The Group, except to the extent expressly stated otherwise in this 2010/2011 Report to Members,
does not guarantee, or in any way stand behind, the performance of the Fund or the repayment of
the capital or interest from the Fund. Investments in the Fund are not deposits or liabilities of the
Group (other than CMLA or the Trustee), and investment-type products are subject to investment risk
including possible delays in payment of benefits and loss of principal invested.
It is important to remember that your rights and benefits will be determined in accordance with the
Fund Trust Deed and Rules and the respective life insurance policies where applicable, between the
Trustee and the Insurer.
Products within the Colonial Super Retirement Fund The Trustee is pleased to present its This Report provides you with an update
on issues concerning your investment
2010/2011 Report to Members (this
Report) for the Fund. in the Fund and general information and
details of the management of the Fund.
Refer below for a listing of the Customer Service Representatives’ phone number applicable to your product If your product has a savings benefit the
This Report also outlines how you can obtain
Customer Service Customer Service Customer Service Customer Service Report will be provided in two parts:
Representatives Representatives Representatives Representatives additional information about the Fund.
1800 624 100 1800 631 600 13 17 78 1800 552 660 Part 1 – Colonial Super Retirement Fund
Your Annual Statement and this Report
Colonial Living Money Managed Investment Superannuation Bond Colonial Flexible Income 2010/2011 Report to Members and
SuperPlan (Personal) “Capital Guaranteed” Retirement Plan
gives details of your benefits in the Fund.
Part 2 – Investment performance
Life Umbrella Managed Lifebuilder Colonial Personal If you have any questions about your
Personal SuperPlan Superannuation Portfolio and other important information.
Superannuation Multi-Bond superannuation benefits, please contact
Personal Super Personal SuperCare Pru Bond Colonial Select Allocated Part 2 – Investment performance and your financial adviser or one of our
Investment Growth Bond Personal SuperCare Bond Pru-Plan MK I other important information contains Customer Service Representatives
Colonial Select Personal
Personal Super Retirement Saver Pru-Plan MK II details of investment objectives and using the contact details listed on
Umbrella Financial Plan Superannuation
Retirement Saver Plus Pru-Plan Plus strategies, investment performance page 2 of this Report.
Personal Super Umbrella CPSL Master Fund
Retirement Saver Pru-Plan Superannuation Superannuation and asset allocations relevant to your
Investment Plan Series 2 The information in this Report has been
“PruLink” investment. If your product has a savings
Retirement Super GuaranteeCARE
Customer Service prepared without taking into account your
Pru-Plan Superannuation Representatives benefit and you have not received Part 1
Accumulation Plan objectives, financial situation or needs.
Super Units “Unit Linked” 13 10 56 and Part 2 please call one of our Customer
Retirement You should, before acting on this information
Investment Plan Superlink Superannuation Bond 90 Endowment Service Representatives using the contact
consider its appropriateness to your
Rollover Investment Superlink Plus Series 2 Superannuation Bond 91 Pure Endowment details listed on page 2 of this Report.
circumstances. You should speak to your
Growth Bond Superlink Plus Series 3 Superannuation Bond 92 Whole of Life
However, if you have a Term Life Insurance tax adviser in relation to taxation issues and
SGIC No Fee Superwise Series 4 Superannuation Bond 93 Term Life Insurance1
product or a CPI Pension product, these consider talking to a financial adviser before
Rollover Bond Superwise Series 5 Superannuation Bond 91
products do not have a savings benefit. making any investment decision.
SGIC Personal S Series
Super Bond Accordingly, your Report will be provided
Superannuation Bond 92 in only one part, being Part 1 – Colonial
Plus Account S Series Super Retirement Fund 2010/2011 Report
SGIC Rollover SuperFlex to Members.
Deposit Plan SuperPlan
SGIC Super Money Plan Wealth Portfolio
Low Cost Life
SGIC Term Plan
Umbrella Term Plan
Total Care Plan Super
1 These policies do not have a savings benefit.
Important superannuation information
Proposed Federal Budget Where your employer is already making Income threshold for Contribution Caps – higher caps
contributions above the current SG co-contributions unchanged for the over 50s
changes impacting minimum you will need to check with
The Government has proposed to continue From 1 July 2012, eligible individuals aged
superannuation them what changes, if any, they may
the freeze for an additional year up to over 50 with total superannuation balances
introduce as a consequence of the
The Commonwealth Government Government’s proposal. 2012/13 the income threshold above of less than $500,000 will be able to
(‘the Government’) announced as which the maximum superannuation contribute an additional $25,000 above
part of its May 2010 and 2011 Federal Government superannuation co-contribution begins to phase down. the general concessional cap.
Budgets a number of changes affecting contributions tax rebate for Under the superannuation co-contribution The general concessional cap is set at
superannuation. Please note that these low income earners scheme, the Government provides a $25,000 and is subject to indexation.
changes are currently in the proposal stage
The Government has proposed to provide matching contribution for contributions
and may change prior to becoming law. Refund of excess concessional
a superannuation contributions tax rebate made into superannuation out of after-
Increasing the superannuation of up to $500 annually for low income tax income. The matching contribution contributions
guarantee (SG) rate to 12% earners with effect from the 2012/2013 is up to $1,000 for people with incomes The Government will provide eligible
financial year. of up to $31,920 in 2010/2011 (with the individuals with the option to have excess
The Government has proposed to introduce amount available phasing down to $0 for
This measure will effectively rebate concessional contributions taken out of
a phased increase in the SG rate from 9% people with incomes of $61,920 or more).
most of the tax payable on concessional their superannuation fund and assessed
to 12%, with the initial increase from 9% to This proposal will look at continuing the
superannuation contributions made by as income at their marginal rate of tax,
9.25% proposed to commence from 1 July freeze of these thresholds at $31,920
or for low-income earners. The amount rather than incurring excess contributions
2013. The table below shows the proposed and $61,920 respectively until 2012/2013
payable under this measure will be tax. The measure will apply where an
increases in the SG rate for each financial financial year.
calculated by applying a 15% rebate of individual has made excess concessional
year commencing from 1 July 2013.
tax to the concessional contributions Raising the SG age limit contributions of up to $10,000 (not
indexed) in a particular year and is only
Financial year SG rate (%) made by or for individuals on adjusted from 70 to 75
taxable incomes of up to $37 ,000 (not available for breaches in respect of
2013/2014 9.25 indexed), with an annual maximum The Government has proposed to raise 2011/2012 or later years, and only for the
amount payable of $500 (not indexed). the SG age limit from 70 to 75 with effect first year, commencing from 2011/2012,
The proposed rebate will be paid to the from 1 July 2013. Currently under the SG in which a breach occurs.
2015/2016 10.0 individual’s superannuation fund to directly legislation your employer only needs to
boost their retirement savings. pay your SG contribution up to age 70.
Concessional superannuation contributions
made in the 2012/2013 financial year and
2018/2019 11.5 later financial years will be eligible for the
first superannuation contributions tax
2019/2020 12.0 rebate paid in the 2013/2014 financial year.
Important superannuation information
Additional disclosure payments paid to a person under 60 Levy to recoup financial efficient consolidation of multiple
on pay-slips regarding however may be subject to the flood levy. member accounts, with effect from
assistance 1 January 2012, if not proclaimed earlier.
superannuation The table below outlines the amount
payable according to your taxable income. In April 2011, the Government announced Reduction in the minimum
With effect from 1 July 2012, the it will provide approximately $55 million in
Taxable income is assessable income less payment amounts for
Government will ensure that employees financial assistance to affected members
receive information on their payslips about of four superannuation funds formerly under account-based pensions
the amount of superannuation actually paid Taxable Income Flood Levy the trusteeship of Trio Capital Limited.
into their Account, and employees and The Government will phase out the pension
employers will receive quarterly notification $0 to $50,000 Nil In accordance with the Superannuation drawdown relief that has been provided
from their superannuation fund if regular $50,001 to 0.5% for each $1 (Financial Assistance Funding) Levy over the last three years. Minimum payment
payments cease. This measure will help $100,000 over $50,000 Act 1993, the Government will recover amounts for account-based and allocated
employees to keep track of their employer’s the cost of the financial assistance by pensions will be reduced by 25% for 2011-12
Over $100,000 $250 plus 1% for each
contributions and take action where there imposing a levy on certain superannuation and will return to normal in 2012-13. The
$1 over $100,000
is a shortfall. funds and approved deposit funds. Your below table illustrates the minimum
If you were affected by certain natural superannuation fund is subject to the levy. payment amounts applicable per year.
Legislated changes disasters you may be able to apply for an
exemption to the flood levy by completing
The levy is calculated as 0.01347% of the
Age 2010-2011 2011-2012 Normal
fund’s total assets as at 30 June 2010. It is
impacting superannuation and submitting the ATO approved form proposed that this will be deducted from
pension pension pension
% of % of % of
These changes are legislated and “Flood Levy Exemption Declaration” the assets of the fund where practical. account account account
depending on your individual circumstance (NAT 73797) to your income provider.
balance balance balance
may have an impact on you. Greater use of tax file numbers
For more information go to: Under 65 2% 3% 4%
www.ato.gov.au/floodlevy The Government will allow superannuation
Flood Levy fund trustees and Retirement Savings
65 -74 2.5% 3.75% 5%
The Temporary Flood and Cyclone Account (RSA) providers to make greater 75 - 79 3% 4.5% 6%
Reconstruction Levy (flood levy) is to apply use of TFNs to locate member accounts 80 - 84 3.5% 5.25% 7%
during the 2011/2012 income year only. and to facilitate the consolidation of
85 - 89 4.5% 6.75% 9%
multiple member accounts. This measure
The flood levy will apply to the taxable 90 - 94 5.5% 8.25% 11%
will improve superannuation industry
income of individuals (unless an exemption
administration by removing the existing 95 or 7% 10.5% 14%
applies). This means that superannuation
requirement for fund trustees and RSA more
benefit payments (i.e. lump sum and
providers to use other methods of
income stream) paid to a person over
identification to locate accounts before
60 will not be subject to the flood levy
TFNs can be used, with effect from
as these amounts are non-assessable
1 July 2011. It will also assist fund trustees
non-exempt. Superannuation benefit
and RSA providers to carry out more
Information about the Fund
About the Trustee? All benefits due to the Trustee under the The Trust Deed and Risk to ensure that the Fund continues as a
respective Investment and Life Policies are complying superannuation fund.
Colonial Mutual Superannuation Pty Ltd paid from, or from a combination of, the Management Strategy & Plan
is the trustee of the Fund. The Trustee holds CMLA No. 1, 2L, 3 and 4 Statutory Funds The Fund Trust Deed outlines the rights and Nomination of dependant
an RSEL under SIS and is an ultimately
wholly owned subsidiary of Commonwealth
(depending upon the nature of the benefit
obligations of the Trustee and Members. beneficiary(ies)
The Trust Deed can be changed at any time,
Bank of Australia. The Fund is a regulated Non-binding nomination
Benefits applicable to each member are although any change that may adversely
and registrable superannuation entity in
wholly determined by reference to the affect your benefits can generally only be You can nominate one or more dependants
accordance with SIS.
respective life insurance policy/policies. made if: and/or your legal personal representative
The Trustee’s role is to make sure that (i.e. the representative of the estate) in
• it is expressly permitted by SIS or
the Fund is administered in accordance Who manages any proportions to receive your benefits on
with the Trust Deed, SIS and other • all affected Members agree to the
superannuation law, and in the best
your investment? change or
your death. The Trustee will consider your
nomination but is not bound by it and has
interest of members of the Fund. CMLA manages all investments of the sole discretion to determine to whom the
• APRA agrees.
Statutory Funds. CMLA has appointed benefit is paid.
No penalties have been imposed on the
Colonial First State and Colonial First State We will let you know if a change is made to
Trustee under superannuation law. A dependant means:
Property as investment managers. Colonial the Trust Deed that affects you as required
by law. If you would like a copy of the
Indemnity insurance First State may outsource investment
management to external fund managers. Fund’s Trust Deed and/or Risk Management
• your spouse (legal or de facto, including
same sex) and a person with whom you
The Trustee as a member of the Group Strategy & Plan for the Fund, they are are in a relationship that is registered
is covered under the Group’s ‘Directors Access to further available on request by calling one of our under State and Territory law, including
& Officers’ indemnity and professional Customer Service Representatives (see
indemnity insurance policies.
information about the Fund page 2 of this Report for contact details).
When requested in writing, we will make • a child (includes an adopted child, step-
Financial information copies of the following information available Trust Deed changes child or an ex-nuptial child, a child of
to you free of charge once each year: your spouse and your child within the
During the reporting period, all assets of There were no changes made to the meaning of the Family Law Act 1975)
the Fund were invested in life insurance • a copy of the recent audited accounts of Trust Deed for the period 1 July 2010 of any age
policies (Investment Policies) issued by the Fund; and to 30 June 2011.
CMLA. Insurance benefits (if applicable) are • any person with whom you have an
provided to the respective products in the
• a copy of the auditor’s report.
Complying status of the Fund interdependency relationship or
Fund through life insurance policies (Life You can also request certain other • any person financially dependent on
The Fund is a complying superannuation
Policies) issued to us by CMLA. information relevant to the Fund or your you on the date of your death.
fund and is eligible for concessional tax
entitlements. In some cases, however, a
treatment. The complying status of the
fee may be charged.
Fund can only be revoked in exceptional
circumstances. It is the Trustee’s intention
Information about the Fund
SIS outlines a number of circumstances Your binding nomination will remain valid for • Payment flag may be placed on your For full details regarding the Family Law
the trustee should take into account when three years from the date you signed it, or superannuation account through an processes which can occur on your
identifying whether an ‘interdependency later if you renew or update it, unless you agreement by you and your spouse or Account, please contact your financial
relationship’ exits, and provides some cancel it. Making a new binding nomination through a court order. The presence of adviser or simply call 1300 730 324
examples of interdependency relationships. revokes a previous one. this flag requires the Trustee to prevent between 9am and 5pm (Sydney time),
certain types of withdrawals from being Monday to Friday.
To make or change your nomination,
please contact one of our Customer
Family law made from your Account.
Service Representatives (see page 2 Family law legislation allows the • Splitting instructions specify how your
of this Report for contact details) to superannuation of married and de facto superannuation account is to be divided.
obtain the necessary documentation. (including same-sex), who have separated This may be expressed as a dollar
or divorced, as the case may be, to be amount or as a percentage. These
Please note, if your circumstances have
divided. Provisions of this legislation splitting instructions may be made
changed, e.g. you have married or divorced,
do not extend to Western Australia in in the form of a superannuation
you should review any nomination(s) you
respect of terminating de facto or agreement between you and your
have previously made. We suggest that
same sex relationships. spouse, or by a court order. In both
you consult with your financial adviser as
cases the instruction will be binding
this area is complex and involves different The legislation allows the following key
on the Trustee.
taxation implications. Family Law process to occur in relation
to your Account: If your spouse does not provide instructions
Binding nomination within a specified timeframe, their
• Information request is a written request
This facility is only available to members of entitlement may be established as a
for information about your account and
Total Care Plan Super. Where you have made separate account within Colonial Select
is used to determine the value of the
a binding nomination under Total Care Plan Personal Superannuation, or withdrawn
Super, and that nomination was accepted from your Account and transferred to
by the Trustee, the nomination is binding on This request may be made by you, your SuperTrace (see page 24 of this Report).
the Trustee if the nominated beneficiary is a spouse (including a de facto spouse) or a
The provisions of the family law legislation
dependant as defined in superannuation law person intending to enter a superannuation
allow for the charging of reasonable fees
at the time of your death. agreement with you (such as a pre-nuptial
for the administration of family law
agreement). The response to an information
If you were eligible to do so and had transactions. We have decided not to
request will only be issued to the requestor.
nominated a binding nomination for charge family law fees at this time.
If a request is received from your spouse or
Total Care Plan Super, you may change You will be notified if a decision is
intending spouse, the legislation states that
your nomination at any time. made to introduce fees for family law
you must not be informed of the request.
transactions in the future.
Information about the
Fund investment objectives To ensure the objective of a managed investment process. Responsible investing The holding of units is subject to investment
investment option is achieved, the is only concerned with the financial impact and other risks. The investment managers
and strategies managers of the underlying investments of ESG factors on investment decisions. do not endorse or otherwise recommend
The Trustee has determined investment may also use tactical asset allocation the Fund or guarantee or warrant the
CMLA believes that the consideration of
objectives and strategies for the Fund. methods which include investment performance of the Fund. The Trustee
ESG factors into investment decisions
Part 2 – Investment performance and in derivatives. is responsible for all applications,
enhances a portfolio’s long term
other important information which is mailed withdrawals, reports and enquiries
performance. Therefore, CMLA encourages
to you as part of your Annual Statement Labour standards, managers to take ESG factors into
relating to investment in the Fund.
and is also available online at commbank. environmental, social and consideration in their investment processes
Where is your money
contains details of the Trustee’s investment
ethical considerations and collaborates with fund managers, and
other industry participants, to advance the invested?
objectives and strategies for the Fund as The Trustee, CMLA, Colonial First State UN PRI and responsible investing.
it relates to those products that have a For unit-linked products, your investment is
Property and Colonial First State do not have
pooled with money from other investors in
savings benefit in the Fund. a predetermined approach for considering Valuation of unlisted assets one or more of CMLA’s Statutory Funds 1,
labour standards or environmental, social
An investment market commentary is The Fund may hold a variety of unlisted 2L, 3 and 4. The aim is to improve returns
or ethical considerations when making
available online at assets. CMLA has an Asset and Liability to all investors through the use of a range
investment decisions for the Fund. However,
Valuation policy in place to ensure the of investments usually unavailable to
commbank.com.au/personal/ should sustainability of earnings of those
valuation of investment assets and individual small investors. For unit-linked
investments/unit-prices-and- companies we invest in be adversely
associated liabilities is appropriate. This products, contributions are used to
performance.aspx affected due to poor labour standards
includes the valuation of real property and purchase units in your selected investment
or activities considered environmentally,
This commentary is updated on a other investments (including infrastructure) option/s. Changes in the value of these
socially or ethically unacceptable, we may
quarterly basis. which are not valued on a daily basis. units constitute the investment returns.
divest ourselves of the investment. Hence,
these factors may sometimes be considered
Trustee policy towards use when investment decisions are made.
Other investment In general terms, for participating and
non-participating traditional and investment
of derivatives information account business, your contributions
The Trustee does not use derivatives
Responsible investing In consideration of brokerage paid to
are used to increase the equity in the
directly. Investments in derivatives, such underlying insurance policy at a rate
CMLA aims to be a responsible investor. stockbrokers for purchases and sales
as futures and options, may be used by the determined by CMLA.
To help achieve this CMLA has become a of assets held in the Fund, certain
underlying investment manager to protect signatory to the United Nations Principles brokers directly or indirectly provide
the values of portfolios against major falls for Responsible Investment (UN PRI). research and/or data on financial
Important information about
in market prices, or to change the portfolio’s The UN PRI provides a framework for markets to the investment managers. your unit-linked investment
exposure to markets more rapidly and responsible investing, including the
All fees charged to the Fund in relation The Trustee ensures that CMLA has Unit
efficiently than could be done by consideration of environmental, social and
to the investments of the Fund are Pricing Policies and procedures in place
purchasing or selling the assets directly. corporate governance (ESG) factors into the
commercial fees. outlining how CMLA manages the unit
pricing of your investment.
Information about the Fund’s investments
These Unit Pricing Policies have been The calculation of unit prices and CMLA might also need to make investors to a financial position that is
adopted to ensure that your investment transaction processing will resume adjustments to unit prices to ensure they materially the same as if the error had not
is appropriately valued in all circumstances when the risk to investor interests as reflect the ‘best estimate’ of the net value occurred. If the error is material, you may
and that investors are treated consistently a whole has abated or been mitigated of the investment option and its units. be entitled to compensation. CMLA will
and equitably. to a level acceptable to CMLA based CMLA may adjust the calculation of its unit generally use a variance of 0.30% (0.05%
on the consideration of the interests prices, rather than suspend unit pricing, in for cash based investment options) in the
Original policy documents did not necessarily
of our investors. circumstances where: unit price in determining whether individual
cover all types of events that can affect
compensation is payable.
modern investment markets and computer During such events, information and • errors are known to have occurred in
systems. We set out below how CMLA might updates will be available to you by the calculation of a unit price before If a unit pricing error is greater than or
act under certain circumstances. contacting one of our Customer Service it is released, or there are reasonable equal to these variances, we may pay you
Representatives (see page 2 of this Report grounds to suspect an error has compensation:
Suspension policy for contact details). occurred, and these could not have been
• by crediting your Account with the
Under extraordinary circumstances, such corrected immediately or would have
Backdating and other events amount due
as during periods of market disruption or taken time to investigate further
other significant events, CMLA may need Backdating occurs when a transaction • where your Account is closed, if the
• CMLA believes that the available asset
to temporarily stop calculating unit prices or needs to be processed with an old unit amount of the adjustment is greater
valuations do not reflect the true or
the processing of transactions. price rather than the current unit price. than a payment threshold of between
fair value of those assets or there are
For example, to meet the obligations $5 and $20 (depending on the
The types of events that may result in the inconsistencies between the value of
under a policy, a unit price at the date circumstances), by sending you a
suspension of unit price calculations or assets and liabilities.
the instruction is received may be used payment by cheque or electronic funds
processing of transactions include (but are transfer. Note: for your superannuation
not limited to):
rather than the unit price at the date the Unit pricing adjustment and investment if you have not met a
instruction is processed.
• where there is a significant disruption to error compensation condition of release, compensation will
In relation to backdating, CMLA will: be paid to a new account in SuperTrace
the data, systems or other applications Unit prices are calculated on a daily basis
necessary to establish a reliable • backdate transactions where necessary (see page 24 of this Report) or another
by CMLA. The calculation process for these
estimate of the value of assets, liabilities to ensure that transacting investors superannuation or RSA product.
unit prices takes into account a number
or unit prices receive the appropriate unit prices of inputs and assumptions. Sometimes, The tolerance levels we use are in line with
required by the relevant policy obligations. it is discovered that an error has been industry standards and regulatory practice
• where unforeseen events mean that the
valuation of assets cannot in good faith • make appropriate adjustments to the made in the calculation process, resulting guidelines. In some cases we may provide
be estimated unit price of affected investment options in an incorrect unit price. In that case compensation where the unit pricing error
to mitigate the impacts of the backdating an adjustment in the unit price may be is less than the tolerance levels.
• where there is a significant market required. Also, if you have transacted at
and ensure that investors are not unduly For investment account policies,
movement and/or cash inflows/outflows the incorrect unit price, the value of your
affected by backdated transactions. we have adopted a similar error
which are large relative to the value of Account could be incorrect.
the investment option. compensation approach.
CMLA has established a compensation
policy to deal with these events and return
Contribution types You can provide your TFN by contacting one
of our Customer Service Representatives
31.5% (including Medicare levy of 1.5%) Non-concessional
on any excess concessional contributions.
The rules around how and when (see page 2 of this Report for contact details). contributions caps
contributions can be made to your super • If you are aged 50 and over, there is a
period until the 2011/12 financial year, There is a cap of six times the concessional
and the way that they are taxed depend Concessional and in which concessional contributions of contributions cap on non-concessional
upon the type of contribution.
non-concessional up to $50,000 p.a. can be made on a contributions (currently $150,000 p.a).
Contributions can be broadly classified into No tax will apply to contributions up
contributions concessionally taxed basis. The table
below sets out the limits (and transitional to this cap.
A concessional contribution will be subject arrangements) that apply:
• whether the contribution is an employer If you are aged under 65, you will be able
to tax. These contributions generally include
or member contribution and to contribute up to $450,000 averaged
employer contributions and personal Age of Financial year Concessional
over 3 years without incurring tax. Your
• whether the contribution is a concessional contributions for which you (if eligible)
caps 3 year averaging period starts in the year
or non-concessional contribution. claim a tax deduction.
in which your contributions first exceed
Under 50 2009/2010 $25,000
Non-concessional contributions include $150,000. If you are aged 65-74, you will
Employer and member contributions made from after-tax
not be able to average your contributions
contributions income for which you have not 50 and over 2009/2010 to $50,000 over 3 years and will only be able to make
claimed a tax deduction. 2011/2012 non-concessional contributions up to
An employer contribution is a
2012/2013 $25,000* $150,000 p.a. subject to satisfying the
contribution that an employer makes
to your super. These generally include
Concessional onwards (indexed) work test (i.e. being gainfully employed for
at least 40 hours in a consecutive period
employer superannuation guarantee contributions caps * Refer to page 5 of this Report for more
information on proposed changes to the not exceeding 30 days in the financial year
(SG) contributions and salary sacrifice concessional cap from 1 July 2012 for those
Concessional contributions that are made in which the contributions are being made).
contributions. If the Trustee does not have aged 50 and over.
to your Account from 1 July 2009 will be Any contributions received above these
a valid TFN for you or you do not quote it to
subject to the following rules: limits will be assessed by the ATO.
us, then all of your employer contributions
will be taxed at an additional 31.5% (in • There is a cap of $25,000 p.a. for
addition to the 15% contribution tax), concessionally taxed contributions.
regardless of the contribution amount. This threshold is indexed to Average
Weekly Ordinary Time Earnings (AWOTE).
A member contribution is a contribution
The $25,000 threshold will only increase
that is not an employer contribution and
once the indexed amount is greater than
includes a personal contribution. If we do
$5,000. Concessional contributions over
not have your valid TFN or you do not
$25,000 p.a. continue to be taxed at
quote it to us within 30 days of making
15% in the Fund and debited to your
a member contribution, then the
account. However, the ATO will also
contribution will be refunded.
assess you personally at the rate of
Acceptance of contributions Contribution Government
The following table provides general information only. Please contact one of our customer acceptance limits Co-contribution
service representatives (see page 2 of this Report for contact details) for details of the
If you are under 65 on 1 July of a financial Under the Government Co-contribution
specific contribution types that are applicable to your product.
year, then each member contribution scheme, the Government will provide a
Age Employer contributions (including Member contributions (your TFN you make is limited to three times the superannuation contribution in the form
salary sacrifice) must be provided) non-concessional contributions cap of a Government Co-contribution for a
(currently $450,000). qualifying low to medium income member
Under 65 Your employer may contribute to your You and others can contribute subject
who makes non-concessional contributions
Account subject to product limitations. to product limitations. Relevantly, if you are over 65 on 1 July
during a financial year. The entitlement
65–69 Your employer may contribute to your You and others may contribute of the financial year, then each member
to the Government Co-contribution is
Account (subject to product limitations) if: (subject to product limitations) on contribution you make is limited to the
dependent on, (amongst other things) your
• the contribution is a mandated employer your behalf if you have been gainfully non-concessional cap (currently $150,000).
income and the amount of non-concessional
contribution*; or employed at least 40 hours in a
period of 30 consecutive days during
To the extent that a single contribution contributions made during a financial year.
• you have been gainfully employed exceeds the above limits, then the excess
the same financial year in which the The ATO will assess your entitlement
at least 40 hours in a period of 30 must be refunded within 30 days.
contributions are made. to a co-contribution from the information
consecutive days during the same
financial year in which the contributions in your tax return as well as contribution
are made. information supplied to the ATO by us.
70–74 Your employer may contribute to your You may contribute (subject to Any contribution received from the
Account (subject to product limitations) if: product limitations) if you have been Government Co-contribution scheme
gainfully employed at least 40 hours will be credited to your Account.
• the contribution is a mandated employer
contribution*; or in a period of 30 consecutive days
We recommend you contact your financial
during the same financial year in
• you have been gainfully employed
which the contributions are made,
adviser to determine if you are eligible for
at least 40 hours in a period of 30 a Government Co-contribution.
provided that contributions made by
consecutive days during the same
you are received no later than 28 days
financial year in which the contributions
after the end of the month in which
are made, provided that contributions
you turn 75.
(other than mandated employer
contributions) are received no later than
28 days after the end of the month in
which you turn 75.
Age 75 and over Your employer may (subject to product You cannot contribute.
limitations) contribute only if the
contributions are mandated employer
* Mandated employer contributions means concessional contributions that the employer has to
make under Superannuation Guarantee legislation or arrangements such as awards. Superannuation
Guarantee contributions are not payable for a member after they turn 70.
How is your super taxed? If you cash Your benefits will be taxed A dependant for tax purposes is as at the A dependant includes a child of the deceased,
your super as follows date of your death: but note that the balance must be paid as a
We have only provided general statements when you • your spouse (legal, de facto or former, tax-free lump sum when the child turns 25
on taxation. You should seek professional are: (unless the child is disabled in accordance
component component including same sex) and a person
advice regarding your own specific (taxed with whom you were in a relationship with the Disability Services Act 1986).
registered under State or Territory law, ,
From 1 July 2007 non-dependants cannot
Age 60 Tax-free Tax-free including same sex receive a death benefit as a pension.
Tax components or over Payments to non-dependants must
• your child aged under 18 (including an
of your benefit Age 55 - Tax-free up Tax-free adopted child, step-child or ex-nuptial child, be made as a lump sum.
preservation to the low
Your lump sum benefit in the Fund is made age rate cap of a child of your spouse or your child within Death benefits may be able to be paid as
up of ‘tax-free’ and/or’ taxable’ components. $165,000*; the meaning of the Family Law Act 1975) a pension to a dependant if the member
16.5% • a person with whom you were in an dies before the pension has commenced.
Tax-free component thereafter
interdependency relationship, or This is taxed in the same manner as a
Under 21.5% Tax-free reversionary pension.
The tax-free component largely reflects the • a person financially dependent on you.
accumulation of your contributions to the age For payments to non-dependants Superannuation
Fund for which you have not claimed a tax
deduction. This component of your lump
* For the 2011/2012 financial year indexed in line (irrespective of their age) the taxable
component (taxed element) will attract
with Average Weekly Ordinary Times Earnings
sum benefit will be exempt from income (AWOTE) in increments of $5,000. The low 16.5% tax (inclusive of medicare levy The superannuation contributions surcharge
tax in your hands. rate cap amount is reduced by any amount of 1.5%), while the taxable component ceased to have effect 1 July 2005. Please
previously applied to the low rate threshold.
(untaxed element) will be taxed at 31.5% note the ATO will continue to issue surcharge
The tax-free component of your lump sum assessments after 1 July 2005 for prior
Please note different tax rates may apply (inclusive of medicare levy of 1.5%).
benefit will be exempt from tax. financial years.
when you have not provided your TFN or
Please note that higher tax rates may apply
Taxable component if you were a temporary resident who has
where a non-dependant beneficiary does not The ATO will contact you directly about any
departed from Australia and your benefit surcharge obligations. Any surcharge payable
The remaining portion of your provide their TFN.
is a Departing Australia Superannuation will be debited from your Account solely on
superannuation benefits is the taxable Payment (DASP). Death benefits paid as a pension instructions to us from the ATO.
component. The taxable component of your
A death benefit paid as a reversionary
lump sum benefit is taxed depending on To withdraw your benefit you must satisfy a
pension will generally be tax-free if either the Superannuation contribution
your age at the tax arrangements that apply condition of release. For further information
to each type of component element taxed on accessing your benefits please refer to primary or reversionary beneficiary is aged surcharge objections
pages 22 to 24 of this Report. 60 or over. If both are under age 60 at the If you are dissatisfied with your surcharge
or untaxed in the Fund.
time of death, then the pension, less any assessment you can lodge an objection with
A summary of these arrangements referable Tax treatment of death benefits tax-free portion will continue to be taxed at the ATO in your capital city of residence. In the
to ‘tax-free’ and ‘taxable’ components is the reversionary beneficiary’s marginal tax course of lodging an objection, you will need
Lump sum death benefit payments are rate (less 15% pension tax offset) until the
provided in the next column. Note all tax to include specific grounds for your objection.
tax-free if paid to a dependant (as defined reversionary beneficiary turns age 60 (at
rates include the medicare levy of 1.5%:
by tax legislation). which time it will become tax exempt). We recommend that you contact your
taxation adviser or accountant to discuss
your personal tax position.
Access to your benefits
Preservation rules • Restricted non-preserved benefits
are benefits which are not preserved
Your ‘preservation age’ is determined • your employer has contributed as a
according to your date of birth as follows: standard employer sponsor to the Fund
For policies with a savings benefit, but cannot be cashed until you satisfy and an arrangement under which you are
contributions to your Account, together a condition of release. Termination Date of birth Preservation gainfully employed with that employer
with transfers and any rollovers you add, age
of service with an employer who has come to an end and your preserved
are invested in the Fund and start building a contributes to your Account is an Before 1 July 1960 55 benefit in the Fund is less than $200
retirement benefit for you. Superannuation example of a condition of release 1 July 1960 to 30 June 1961 56 • you have previously been classified as
is generally a long-term investment. changing the classification of restricted
1 July 1961 to 30 June1962 57 a ‘lost member’ under superannuation
For all superannuation benefits (including non-preserved to unrestricted
legislation and are now found and your
insurance only benefits) the government non-preserved benefits. 1 July 1962 to 30 June 1963 58
total benefit in the Fund is less than $200
has placed restrictions on when you can • Unrestricted non-preserved benefits 1 July 1963 to 30 June 1964 59
get access to your benefits. • the Trustee or you receives a ‘release
are benefits that do not need to be After 30 June 1964 60
authority’ from the ATO relating to the
These restrictions relate to the type of preserved, usually because a condition
• you have reached age 65 withdrawal of money to meet a liability
benefit(s) you have had and whether you of release has been met. Accordingly,
for excess contributions tax or
need to satisfy a condition of release. such benefits are payable at any time on • you have reached age 60 and an
request. arrangement under which you were • you suffer a terminal medical condition.
Your Account may include ‘preserved This condition of release allows
From 30 June 1999 all earnings on gainfully employed has come to an end
benefits’, ‘restricted non-preserved benefits’ terminally ill members to apply for
and ‘unrestricted non-preserved benefits’. ‘restricted’ or ‘unrestricted non-preserved’ • you have reached age 55 and have release of their benefits regardless
benefits are preserved. elected to purchase a transition to
• Preserved benefits are benefits that of age or employment status.
retirement or non-commutable income
must be retained in the superannuation Restrictions on when you stream Conditions of release for
system, until you satisfy a condition of
release (refer below for ‘conditions of
can get access to your • you have become permanently temporary residents
release’). Generally, all superannuation benefits incapacitated
If you are or were a temporary resident,
contributions and earnings on your
From 1 April 2009, the conditions of release • you die from 1 April 2009 the conditions of release
superannuation benefits are required to
that apply to you depend on whether you that apply to you are:
be fully preserved and from 1 July 2004, • we believe that you satisfy the severe
are or were a temporary resident.
include all employer eligible termination financial hardship criteria (after meeting • you were a temporary resident who
payments rolled over into the Fund after The conditions of release that apply if you a number of regulatory requirements) has departed from Australia and your
that date. are not or were never a temporary resident visa has expired
• APRA approves payment on specified
compassionate grounds • you die
• you have permanently retired after
• other circumstances occur which are • you have become permanently
reaching your ‘preservation age’.
approved by APRA incapacitated
Access to your benefits Lost members and
• you suffer a terminal medical condition Lost members • as a result, the non-member spouse (or
their legal personal representative if they
• we have to pay your benefit to the Generally, you will be treated as ‘lost’ if you
have died) is entitled to be paid an amount
ATO as unclaimed money or are uncontactable, meaning:
• that we have no current address for you or
• the Trustee or you receives a ‘release • after making reasonable efforts and after
authority’ from the ATO relating to the • two written communications to your last a reasonable period has passed, we have
withdrawal of money to meet a liability known address have been returned as been unable to determine that the non-
for excess contributions tax. unclaimed. member spouse or their legal personal
If you are lost at any time, we will report representative received the amount
Portability this to the ATO. The ATO maintains a Lost or, in the case of a deceased Member where:
Member Register. We will also need to tell
Under superannuation portability rules, • we determine that, under the governing
the ATO if you are subsequently ‘found’, or if
superannuation balances may be moved rules of the Fund or by the operation of the
you are subsequently transferred to another
from one fund and consolidated into law, a benefit is immediately payable in
another fund upon your request. These respect of you (other than a pension) and
rules complement the Choice of Fund Unclaimed monies • we have not received an amount in
legislation and generally require the In some circumstances your benefits in the respect of you for at least two years and
trustee of a regulated superannuation Fund may become subject to unclaimed • after making reasonable efforts and after
fund to rollover or transfer benefits superannuation benefit laws. a reasonable period has passed, we have
within 30 days of your request. The Your superannuation benefits may become been unable to determine that the benefit
30 day period will commence after unclaimed where: is being received by the person who is
you have provided the transferring • you have reached age 65 and entitled to receive the benefit
fund all the required information. or, the ATO gives us notice that it is satisfied
• we have not received a contribution or an
Portability may also be subject to other amount in respect of you for at least two that a former temporary resident the member
important restrictions which may prevent years and has ceased to hold a temporary visa and left
you from transferring some or all of • after the end of a period of five years since Australia and the ATO requires payment of
your benefits. we last had contact with you, we have the Member’s benefit.
been unable to contact you again after The Trustee will transfer unclaimed benefits
making reasonable efforts to the ATO. Where the Trustee has transferred
or, in the case of a lost Member where: such benefits, any request for payment
should be directed to:
• your Account balance is less than $200,
termed ‘small accounts’ and Unclaimed Super Money
Australian Taxation Office
• you have been inactive for a period of
PO Box 3578
five years and for which we have
Albury NSW 2640
insufficient records to identify you,
termed ‘insoluble accounts’ You can also contact the ATO on 13 10 20
or +61 2 6216 1111 if calling from outside
or, in the case of a non-member spouse where:
Australia. Alternatively, you can do an online
• a payment split applies to a splittable
search using SuperSeeker, available at
payment in respect of a Member’s interest
in the Fund and
Eligible rollover fund Eligible rollover fund
Your personal information
The Trustee has selected SuperTrace as You should also note that: Collection and verification If you are an individual, the type of
information we may collect and verify
the fund where your benefits may be
• SuperTrace will apply a different of customer information includes your full name, date of birth and
fee structure. You should refer to the
‘Customer information’ is information about residential address. If you are commonly
• two pieces of written communications Product Disclosure Statement (PDS)
a customer. It includes personal information known by two or more different names, you
to you are returned unclaimed (i.e. you for SuperTrace for more details
such as name, age, gender, contact details as must give us full details of your other name
become a ‘lost member’ under SIS) or
• SuperTrace has a different investment well as your health and financial information. or names.
• we are unable to allocate a contribution approach. You will need to consider
The law requires us to identify our If you are a company, we may collect and
or rollover to your Account and the whether this is appropriate for your
customers. We do this by collecting and verify information, including company
transferor will not accept a refund of circumstances at the time of transfer
verifying information about you. We may also incorporation and registration details, as
the monies or to SuperTrace
collect and verify information about persons well as details of the company’s officers
• you exercise cooling-off rights and the • SuperTrace does not currently offer who act on your behalf. The collection and and its major shareholders.
nominated fund will not accept the insured benefits in the event of death verification of information helps to protect If you are acting as a trustee, we may ask
transfer or and disablement. against identity theft, money-laundering and you for, amongst other things, information
• you are a member of Colonial Select To obtain a copy of the current other illegal activities. on the beneficiaries of the trust and
Personal Superannuation, do not have SuperTrace Product Disclosure We use your customer information to evidence of the existence of the trust.
insurance cover, no contributions or Statement, please contact: manage our relationship with you, provide If you are a partnership, we may require
rollovers have been credited to your you with the products and services you
The Administrator information including evidence of the fact
Account for a period of at least request and also tell you about the products
SuperTrace Eligible Rollover Fund that the partnership exists, as well as the
12 months, and your Account balance and services offered by the Group, affiliated
Locked Bag 5429 full name of the partnership, the names of
is less than $1,000 or providers and external providers for whom
Parramatta NSW 2124 the partners and any business name owned
• to meet family law requirements we act as agent. If you have given us your by the partnership.
Telephone 1300 788 750 or visit their electronic contact details, we may provide
(refer to pages 9 and 10 of this Report).
website www.supertrace.com.au marketing information to you electronically. For other organisations, the kind of
The trustee of SuperTrace is information we collect and verify will
Colonial Mutual Superannuation Pty Ltd The collection and verification of customer depend on the type of organisation you are.
ABN 56 006 831 983. SuperTrace is part information may be carried out in different
ways and we will advise you of the most In addition, during your relationship with
of the Group’s range of products and is
acceptable methods of doing this. We us, we may also seek, and collect further
administered by CMLA.
may disclose your customer information in information about you and about your
On transfer, you cease to be a member carrying out verification, e.g. we may refer dealings with us.
of the Fund and become a member of to public records to verify information and You must provide us with accurate and
SuperTrace and your insurance cover documentation, or we may verify with an complete information. If you do not, you may
(if applicable) will cease in accordance employer that the information you have be in breach of the law and also we may not
with the conditions contained in the given us is accurate. be able to provide you with products and
relevant insurance policy document.
services that best suit your needs.
Your personal information
Protecting customer insurance reference agencies (where Access to your personal Anti-Money Laundering
we are considering whether to accept
information a proposal of insurance from you and, information and Counter-Terrorism
We comply with the National Privacy if so, on what terms) The law allows you (subject to permitted Financing laws
Principles as incorporated into the • external product providers into which you exceptions) to access your personal
These laws establish a regulatory regime
Privacy Act 1988 (Cth). might direct some of your investment, information. You can do this by contacting
to combat money laundering and the
other product providers to which your us as follows:
We disclose customer information to financing of terrorism. They impose
other members of the Group (including investment might be transferred and • emailing significant obligations upon the Trustee.
overseas members), so that the Group may • organisations to whom we may CustomerRelations@cba.com.au We are required to comply with these
have an integrated view of its customers outsource certain functions. laws, including the need to establish your
• calling 1800 805 605* between
and to facilitate the integrated treatment identity (and, if relevant, the identity of a
In all circumstances where our contractors, 8.30am and 5pm (Sydney time),
of its customers. It also enables other beneficiary and other persons associated
agents and outsourced service providers Monday to Friday
members of the Group to provide you with with your Account).
information on their products and services. become aware of customer information, • write to:
confidentiality arrangements apply. Additionally, from time to time, we may
require additional information to assist
Other disclosures Customer information may only be used Commonwealth Bank
with this process. You will be notified if
by our agents, contractors and outsourced Reply Paid 41
So that we can manage our relationships, service providers for our purposes. we need to establish your identity or if
Sydney NSW 2001
customer information may be disclosed to: we require further information.
We may be required to disclose customer We may charge you for providing access
• your employer (if any, to the extent information by law, e.g. under Court Orders We may be required to report information
to your personal information.
required to assist your employer to or Statutory Notices pursuant to taxation or about you to the relevant authorities.
meet their obligations) social security laws or under laws relating * A free call unless made from a mobile phone, We may not be able to tell you when this
which will be charged at the applicable occurs. We may not be able to transact
• brokers and agents who refer your to sanctions, anti-money laundering or mobile rate.
counter terrorism financing. with you or other persons. This may include
business to us
delaying, blocking, freezing or refusing to
• any person acting on your behalf, including We may send customer information Further information process a transaction. This may impact on
your financial adviser, solicitor, settlement overseas if: For further information on our privacy and your investment and could result in a loss
agent, accountant, executor, administrator, • that is necessary to complete a information handling practices, please of income and principal invested.
is available at commbank.com.au, upon
• if you have insurance, medical • we outsource certain functions request from us or at any Commonwealth
practitioners (to verify or clarify, if overseas. Bank branch.
necessary, any health information you
may provide), claims investigators We may also be permitted, as distinct from
and reinsurers (so that any claim you required, to disclose information in other
make can be assessed and managed) circumstances.
Enquiries and complaint resolution Consents
The Trustee is obliged to provide you with Superannuation Complaints No third party (other than CMLA) has
caused the issue of this Report and is not
any information you reasonably require to
understand your benefit entitlements. Tribunal (SCT) responsible for any statement within it.
If you require further information about the Before the SCT has jurisdiction to deal with
Fund, require assistance in understanding the matter it must be satisfied that the
your benefit entitlements, have any other complaint was referred to an appropriate
enquiries or have a complaint, please person under our internal enquiries and
contact one of our Customer Service complaints arrangements. The Tribunal
Representatives (see page 2 of this cannot deal with your complaint until
Report for contact details). you have made reasonable efforts to
have the complaint resolved by the Fund.
If you wish to lodge a complaint,
you should write to: If, after you have made a complaint to
the Fund, you are not satisfied with the
The Complaints Manager response, or do not receive a response,
Customer Relations within 90 days, you can then lodge a
Commonwealth Bank Group complaint with the Tribunal.
Reply Paid 41
Sydney NSW 2001 The Tribunal cannot deal with certain
matters for example, decisions that relate
Please mark your letter ‘Notice of to the management of the Fund as a whole,
Complaint’. Upon receipt of your complaint, such as investment performance, the level
the complaints manager will investigate the of fees and charges or employer decisions.
cause of your concern and respond to you
as quickly as possible. If the matter cannot If the SCT accepts the complaint, it will
be resolved quickly, you will be kept attempt to resolve the matter through
informed of progress. conciliation. If a complaint cannot be
resolved by conciliation and has not been
If you are not satisfied with our handling withdrawn by the Tribunal, it proceeds
of your complaint or our decision, you may to Review. This means the Tribunal will
have the right to lodge a complaint with consider submissions and make a decision
the Superannuation Complaints Tribunal. to determine the outcome of the complaint.
To contact the SCT, you can telephone
1300 884 114 between 9am and 5pm
(Sydney time), Monday to Friday from
anywhere in Australia. Alternatively,
visit their website at www.sct.gov.au
Colonial Mutual Superannuation Pty Ltd
Ground floor, Tower 1
201 Sussex Street
Sydney NSW 2000
Administration Manager and Insurer
The Colonial Mutual life Assurance
Locked Bag 5429
Parramatta NSW 2124
Principal Office of Administration
11 Harbour Street
Sydney NSW 2000