New Military Superannuation Arrangements
4 July 2016From 1 July 2016, all incoming ADF members will be covered by the new ADF superannuation arrangement, incorporating a new default superannuation accumulation fund, ADF Super.
The new ADF superannuation arrangement is accompanied by a new death and invalidity scheme called ADF Cover. ADF Cover benefits are consistent with those provided by the Military Superannuation and Benefits Scheme (MSBS).
The employer contribution rate under the ADF superannuation arrangement will be 16.4% of salary.
Members under the new arrangement are not required to make personal superannuation contributions. Members can rollover their accumulated superannuation benefits to another complying superannuation fund at any time.
The Military Superannuation and Benefits Scheme (MSBS) is now closed to new members.
Existing members of MSBS may choose to transfer to the new ADF superannuation arrangement or stay in MSBS. There is no time constraint to move to the new arrangement and members should seek independent financial advice before making any decision.
Existing members of the Defence Force Retirement and Death Benefits (DFRDB) scheme cannot transfer to the new ADF superannuation arrangement.
The Commonwealth Superannuation Corporation will manage ADF Super and ADF Cover.
Media note:
For more information about the Defence Superannuation arrangements visit the following links:
