APRIL 2020 - NSW Government
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APRIL 2020
SASS Deferred
State Authorities Superannuation Scheme
In this issue...... also inside...
02 Introducing Member State Super update
Advisory Forums Investment market
overview
04 Celebrating history
Ask an expert
Your member benefits
06 C
OVID-19 crisis and
our members
Keeping you informed on the latest news and updates at State Super
Member Satisfaction results are in! State Super National Average
2019 2019
We would like to thank all our members
who provided feedback as part of our 2019 Overall satisfaction 7.9 7.9
annual Member Satisfaction Survey, which Investment performance 8.0 7.7
was conducted in December last year.
Telephone service 8.1 7.5
We received very positive results in all areas Interview service 8.7 7.1
of service delivery and when compared to the
broader superannuation industry, our results sit Communication 8.0 7.7
well above the industry standard in investments,
Annual Statement 8.2 8.0
telephone and interview service, communication,
statements, seminars and financial planning. Website 7.8 7.9
This annual research, together with the comments
Seminars 8.9 7.3
and insights we receive from our members, has
become an integral part of our future planning and Financial Planning 8.6 7.5
will help us continue to identify ways to improve
the services we provide to you.
We welcome your feedback at any time via our online form at
www.statesuper.nsw.gov.au/help-centre/contact-us
New – Invitation to join our
Member Advisory Forums
In an environment that is
experiencing enormous change,
there is an opportunity for you
to come together with
likeminded peers.
Our new Member Advisory Forums will
give you this opportunity – to discuss
your concerns and opinions and share
your views with us on superannuation,
retirement and more.
In late 2020, we will be inviting
participation from members in the
greater Sydney area. If demand is
strong, we will also roll out our Member
Advisory Forums to regional areas.
There is no obligation to participate but
we hope you will consider joining us
and contributing to this exciting new
initiative.
If you would like to register to be
included email info@statesuper.nsw.
Initially, we will be inviting participation from members in the
gov.au and provide your full name
and member number. greater Sydney area. If demand is strong, we will also roll out
our Member Advisory Forums to regional areas.
2 superVIEWS ARPIL 2020
2020 Investment overview
Keep a level head during turmoil
Geopolitical developments, natural
disasters and the Covid-19 crisis in the
early part of this year present risks to
economies and markets, so it is important
to maintain a clear perspective and
balance in assessing what this may mean
for markets both short term as well as over
the longer term.
2019 a year of healthy The COVID-19 Virus outbreak is another Focus on fundamentals
returns left-field threat to confidence and
Global growth expectations for 2020 are
economic activity globally and while
Generally speaking, 2019 turned out to now marked down from prior estimates
experience from previous pandemics
be a bumper year for those invested due to COVID-19 and the prevailing low-
suggests that worst case scenarios will
in equity markets. While growth and interest, low-inflation environment sees
often not eventuate, there will almost
profits faltered marginally, the persisting no signs of being disrupted. Continuing
certainly be an impact on economic
accommodative monetary policy fiscal stimulus and possible quantitative
growth, at least in the short term. We are
settings, low inflation and the fiscal easing programs will be required to
carefully monitoring developments as
stimulus in key countries such as China support the economy and market
the impact still remains an unknown.
was enough to keep equity market expectations.
growth ticking along around the globe. Back home, the unprecedented bushfires
Australian growth may be below par
The fact that the year started from a low were (in the short term) a blow to
relative to many other countries, due
base, (thanks to the market slide of late our already fragile economic growth,
to such factors as weaker housing
2018), helped results look even better. especially in sectors such as tourism
construction, consumer spending
Looking ahead, we expect increased and agriculture. This is now being
and the drought. Continued growth
volatility in share markets. exacerbated by the COVID-19 Virus
in infrastructure spending and mining
which is having a significant adverse
The US trade brawl with China has been investment, as well as further reductions
impact on the education and tourism
calmed for now with the signing of phase in interest rates, should help offset these
sectors. We expect these drags on the
one of a trade deal. This suggests that risks to the domestic economy.
domestic economy will be countered by
any catastrophic expectations may be further interest rate reductions and likely
avoided, although there is still potential resumption of fiscal spending as the year
A balanced outlook
for volatility in the relationship between rolls on. On the whole, markets can expect
the world’s two biggest economies. The ongoing support from monetary
Iran conflict has similarly failed to see and fiscal policy, although there may
any threats to oil supply materialise and ...” these drags on the be increased short-term volatility.
markets will be keen to see this remain domestic economy will This by no means flags any sense of
the case. complacency with regard to our
be countered by further
A hard Brexit is also a potential threat prudent and active management of
this year, but there is some hope that
interest rate reductions fund risks, which remains a key plank of
free trade talks with Europe will help and likely resumption of our strategy.
avoid this. fiscal spending as the
year rolls on.”
3
Celebrating history
On 8 October 2019, State Super
marked the occasion of our
100-year anniversary with a
reception at the magnificent
Mitchell Galleries at the State
Library of New South Wales.
CEO John Livanas greets
100-year old member Dr Betty Hall
It was a venue filled with history – over “100 years ago, was a time of great
300 original artworks from the Library’s economic disruption, of accelerating
unique collection of landscape and political change, and of radical social
portrait painting focused on Sydney experiments, with impassioned heroes
and New South Wales. And it was a striding the political stage leading
great reminder of our own history of debates to put those new ideas into Dr Elizabeth (Betty) Hall
looking after the State’s public sector practice” he said.
employees.
“Not surprisingly, political thinking in Mr Perrottet went on to announce
Business partners, members, staff and Australia was influenced by the wave of the State Super Academic Scholarship
media attended the event – including a British immigrants, bringing European Program to support research into
very special guest member, Dr Elizabeth ideas for improving the working improving future retirement incomes.
(Betty) Hall, who was also celebrating conditions and supporting workers’
State Super is one of Australia’s oldest
her 100th birthday! expectations for better lives. And so,
and largest superannuation funds and
an idea whose moment had come…
State Super Chairperson, Nicholas the Scholarship Program has been
creating a decent pension plan for NSW
Johnson, opened proceedings with developed as part of the Fund’s 100-
government workers in their old age”.
some reflections on the conditions and year Anniversary celebrations.
expectations in Australian society that NSW Treasurer, the Hon. Dominic
State Super Chief Executive Officer,
led to the pension fund being founded Perrottet, followed as guest speaker.
John Livanas, said the superannuation
back in 1919. He remarked that “The history of
industry needs to look at how it can
State Super can teach us important
best provide a stable income stream
lessons about the very nature of public
for people in retirement over the
service itself.
long term.
“100 years ago, was a Behind the finances, the numbers and
time of great economic “We want to safeguard the financial
the spreadsheets State Super is really
future of our members. We need to
disruption, of accelerating in the business of providing people
keep evolving and look for new ways
with something priceless – the peace
political change, of mind knowing that their future is
to maximise the benefits for our
members in a challenging economic
and of radical social more secure and that their service is
environment,” said Mr Livanas.
recognised, valued and appreciated by
experiments...” a grateful state”. “The aim of the Scholarship Program
is to foster research in several
4 superVIEWS ARPIL 2020
“We want to safeguard
the financial future of our
members. We need to
keep evolving and look for
new ways to maximise the
benefits for our members
in a challenging economic
environment,”
NSW Treasurer, Dominic Perrottet with
State Super Chair Nicholas Johnson
priority areas including; innovation in
superannuation, the future of pensions
in the Public Sector and what this means
for attracting and retaining talent.”
Over its one hundred years of operation,
State Super has led the way in
investments and services to members.
“State Super’s focus is on delivering
financial surety for its members by
achieving strong investment returns,”
said Mr Livanas.
“The aim of the
Scholarship Program
is to foster research in
several priority areas
including; innovation in
superannuation.”
“Our focus, right from the start, has Some of the State Super team – Sheila Rebeiro, Leanne Lock and Kate Langton
been on supporting our members.
At the end of the fund’s first year of
operation, it had about $800,000 in “State Super’s focus is
investments. For information about the State Super
Academic Scholarship visit
on delivering financial
Today, 100 years since we began,
the State Super Pooled Fund is now www.statesuper.nsw.gov.au surety for its members
one of the largest superannuation by achieving strong
funds in Australia with assets
totalling around $44 billion.”
investment returns.”
5
COVID-19 crisis and our Members
State Super would like to assure our
members that they can keep in touch
with us in these difficult times.
We will continue to provide services and The legislative changes introduced What should I do if I want
support to members, many of whom are by the Federal Government allowing to apply for an early release
in professions that are heavily involved these payments to be made do not
in helping the community during the require defined benefit schemes to
payment?
COVID-19 crisis, particularly our health offer these payments. However, State In the first instance, we recommend
care workers, police, teachers, transport Super has decided to make these early you call one of our team in the State
workers and other public servants. release payments available to members Super Customer Service Centre (or
where they meet the eligibility criteria email enquiries@stc.nsw.gov.au)
In addition to our usual scheme
announced by the Government. For so they can explain the effect on your
information, important factsheets and
more information regarding eligibility benefit by having an early release
forms, the State Super website provides
conditions, please visit: www.ato.gov. payment. They will also guide you to
updates on investment strategies,
au/individuals/super/withdrawing- the relevant consent documentation –
monthly investment performance figures
and-using-your-super/early-access- see “Important note” above
and other news. Visit www.statesuper.
to-your-super/. State Super is now
nsw.gov.au hould you still wish to proceed,
S
working to ensure that all changes
you will need to make an application
The State Super Customer Service necessary to enable an early release
directly to the ATO via the myGov
Centre is open 8.30am to 5.30pm payment can be made in the timeframe
website. If you meet the eligibility
Monday to Friday (AEST). as set out by the ATO.
conditions and the ATO approves your
The number to call for SASS Deferred application, they will notify us directly.
members is 1300 130 094. Effect on future benefit
entitlements Please check for updates at
Please call for any assistance you www.statesuper.com.au.
may need with scheme rules, benefit If you are a deferred member, your
estimates or other administration of benefit will be reduced when the early Financial Advice
your account. Alternatively, you can release payment is made. Details of your
As a State Super member, you and your
email enquiries@stc.nsw.gov.au. deferred benefit reduction will be shown
family can access a range of services over
on your Annual Statement.
the phone with a professional financial
Important – Early Release of You may want to seek financial advice planner at StatePlus. Simply call 1800
benefit on compassionate to help you determine if this option is 620 305 to arrange an appointment.
grounds suitable for your personal circumstances.
The Federal Government has recently Important note: Your early release The latest government
announced a stimulus package to payment can only be made if you advice on COVID-19
combat economic pressures facing provide written consent to a reduction Please ensure you rely on the latest
Australians in the battle against in your scheme benefits to offset the information and advice on COVID-19
COVID-19. The package includes early release. for the New South Wales community
measures providing for the early partial and businesses by visiting the
release of superannuation benefits NSW Government health website
in certain circumstances. Under this preview.nsw.gov.au/covid-19 or the
initiative, members can request access We will continue to Federal Government website
of up to $10,000 of their benefit this www.health.gov.au/
financial year (2019/20) and up to provide services and
$10,000 next financial year (2020/21 - support to members.
only up to 24 September 2020) if they
meet the eligibility criteria.
6 superVIEWS ARPIL 2020
acy statement Positioning
Retire
Size on standard formats
ge principles
life
Rich
ng strategy, we will Where possible, the legacy statement should
appear in close visual proximity below the
in StatePlus as our brandmark. A minimum of clearspace
ame. However, should be observed.
o year transition
ences will be
our former name.
e, the new name will be
by the legacy statement,
Formerly State Super Financial Services
Super Financial Services’.
Where the brandmark is positioned top or
e at the end of the bottom right in a communication, the legacy
od, the legacy statement statement should be right aligned.
al purpose:
o our existing clients the
nd name change;
o new clients our history
“I retired from work.
usiness we operate in
ervices).
Formerly State Super Financial Services
Not from life.” Where the brandmark is positioned top left
in a communication, the legacy statement
should be left aligned.
A StatePlus financial planner can work with you to create successful strategies in the lead up
to your retirement. Such as whether it’s more appropriate to maximise your SASS benefit or
alternatively make extra payments towards your mortgage. You could also consider tax effective
options and planning for your desired retirement income.
We all have retirement goals. From planning the best time to retire to your ideal retirement
lifestyle, we’ve got you covered.
To ensure you are getting the most out of your SASS, book into a free seminar today. Formerly State Super
Visit stateplus.com.au or call 1800 841 633. Financial Services
Where horizontal space contraints apply, the
StatePlus is the trading name for State Super Financial Services Australia Limited, holder of Australian Financial Services Licence 238430, ABN 86 003 742 756. This information
legacyyou
is of a general nature only and is not specific to your objectives, financial situation or needs. Before making any decisions statement may
should consider appear in two
its appropriateness to you.lines.
Leading is set solid (the same as the point size).
7
Part time work is the new
retirement plan
For some people, the idea of
retirement can’t come soon
enough – no more alarm clocks
and plenty of time to yourself.
While for others, retirement evokes
thoughts of boredom, growing old
and concerns about having enough
retirement savings. The key is to
find a balance in retirement that
works for you.
Embrace the new “aged” 66 before they can receive the age Changing retirement trends
workforce pension. The age pension is also set to
increase to age 67 by 2023. Look after your mental and
Over the past 40 years, Australia
physical health in semi-
has experienced strong economic
performance, supported by a growing
Reducing your working retirement
population. week in the lead up to Psychologists have long known that
retirement our desire to keep busy has important
Over the next 40 years, Australians will
If you’re reducing your working hours benefits for both mental and physical
live longer thanks to improvements
in the lead-up to retirement, it may health. According to a study1 published
in healthcare. They’ll be more active,
allow you adjust to this major life in the Journal of Occupational Health
allowing many older Australians to
change and give you time to try out new Psychology, data from the 12,000+
remain in the workforce and community
activities while you’re still working. For participants showed those who
for longer, and enjoy a more active and
many people, this makes for an easier continue to work in a role related to
fulfilling retirement. According to the
transition into retirement. their previous career enjoy better
Intergenerational Report (produced by
The Commonwealth of Australia 2015) general mental health compared with
Yet for others, working part time may
over 17 percent of the workforce will be their retired peers. But switching to a
support working longer and delaying
aged over 65 by 2054-55, providing a retirement while freeing up time for
huge opportunity for Australia to benefit hobbies and carer responsibilities.
from their increased wisdom and
To supplement their take-home pay The federal government
experience.
when they reduce working hours, some
The federal government recognises super funds allow members to use recognises the need to
the need to keep older Australians in money from their super through keep older Australians in
the workplace for longer. Those born a transition to retirement income
between 1 January 1954 and 30 June stream. It is important to note that this the workplace for longer.
1955, now have to wait until they turn is not a feature of the SASS scheme.
8 superVIEWS ARPIL 2020
new career may not be so stress-free. Importantly, the flexibility of this way of It increases the amount you can earn
Familiarity is usually more beneficial for working helps balance other retirement from work before it affects your age
both income and wellbeing. activities such as hobbies, travel and pension entitlement. From 1 July 2019,
caring responsibilities. the first $300 of fortnightly work income
Still, for many people work is an
is excluded from the pension income
important part of their identity and
that work creates a sense of meaning Supplementing your income test. This means a single pensioner
and purpose. This strong connection in retirement can earn up to $474 made up of $300
from employment plus $174 from other
with career means that working part Perhaps the most obvious reason to
sources, before it will impact their age
time can help keep that sense of work part time in retirement is to help
pension entitlement under the income
accomplishment. make your retirement savings last the
test.
distance. By earning even a modest
Be part of the gig economy income you can reduce the amount you The good news for those with irregular
Many Australians prefer contract, are drawing down from your retirement incomes is that any unused amount of
temporary or freelance work over savings, giving those savings a chance to work bonus accumulates into your work
permanent positions. It’s become stay invested and grow. bonus balance up to a maximum of
known as ‘the gig economy’ and is $7,800, and can be offset against future
If you are planning to rely on the aged
increasingly popular in a surprising income from employment.
pension as a source of income in
number of industries across a range of retirement, the government’s recent
roles from administrative to executives. changes to the work bonus that
Talk to StatePlus about
Gig workers help manage skills came into effect from 1 July 2019 your plans
or labour shortages, providing will be of interest.
organisations with easy access to Retirement isn’t one size fits all.
The Work Bonus was introduced to
intellectual property. And while many Everyone has their own idea of what
make it more financially beneficial for
think the younger generation is behind their retirement should be. It’s a good
those above Age Pension age to keep
the move towards more flexible idea to seek financial advice to work
working by providing a concession on
working, older workers are equally keen employment income. out how to achieve your retirement
to set their own schedules and choose goals and find the right work/life
an alternative work environment. balance. Go to stateplus.com.au
or call 1800 620 305.
American Psychological Association Press Release, 13 October 2009
1
For many people, work
is an important part of
their identity and that
work creates a sense of
meaning and purpose.
9
Ask an expert
Q: I had SASS super many years ago and
had it frozen as I left my government
job. Now due to my health I am unable
to work and am trying to put all
my supers together. My question
is can I put all my supers into
my SASS super?
Generally, if you resign your position benefit over to another Super fund or In the event of total and permanent
and leave a SASS employer, you will you can choose to keep it in SASS and incapacity, your entire benefit may be
make the most of your employer your benefit will continue to grow in line paid to you.
financed benefit by deferring it in the with investment earnings.
scheme until you reach your scheme If you do not meet one of those
earliest retirement age, which for It’s important to note that you can’t add conditions, once you reach the
most members is age 58. If you roll it any additional money to your deferred scheme’s earliest retirement age the
out to another Super fund by taking a account either through additional amount you can access is determined
withdrawal benefit before that age, the contributions or rolling over money by your Commonwealth Preservation
benefit will likely be a lesser amount. from another Super fund. age. Your preservation age is based on
Once you reach your scheme earliest If you are thinking of accessing your your date of birth.
retirement age you can roll the whole deferred benefit to help meet day Between your scheme earliest
to day living expenses, your age and retirement age and your preservation
your employment status are going to age, you can access the non-preserved
determine when and how much you amount of your benefit.
can access.
Generally speaking, some of your
benefit can be paid to you at any age
if you meet the strict conditions to
It’s important to note demonstrate financial hardship or on
that you can’t add any compassionate grounds.
additional money to your
deferred account...
10 superVIEWS ARPIL 2020From your preservation age to age 60 Commonwealth Preservation age
you can access your whole benefit if you
leave an employment arrangement and Date of birth Preservation age
intend to permanently retire and not
work 10 hours or more per week. Before 1 July 1960 55 years
From age 60 you can access your Between 1 July 1960 and 30 June 1961 56 years
benefit if you leave an employment
arrangement, even if you intend to keep Between 1 July 1961 and 30 June 1962 57 years
working. After age 65 you can access
your benefit at any time even if you are Between 1 July 1962 and 30 June 1963 58 years
still working.
Between 1 July 1963 and 30 June 1964 59 years
After 30 June 1964 60 years
Between your scheme
earliest retirement age Whether accessing your SASS benefit is a good option for you, and how much
tax you may need to pay will depend on your individual circumstances. It is
and your preservation
therefore important that you obtain personal advice from a financial planner
age, you can access the skilled in your scheme, such as a StatePlus planner. Go to stateplus.com.au
non-preserved amount or call 1800 620 305.
of your benefit.
11Your member benefits
STOP PRESS
COVID-19 update - in coming months seminars
will be offered as online “webinars” and our
Interview Service conducted by phone.
Sign up for a seminar
State Super seminars are presented understand how and when the decisions you
ì
by qualified financial planners from make about your employment and superannuation
StatePlus on our behalf. They can help can affect your retirement benefits
you understand how to maximise your
superannuation and plan for the future. ì u
nderstand the Centrelink rules and the
StatePlus planners are specifically trained benefits you could be eligible for
in your superannuation scheme.
ì f
ind out how a financial plan can help you
(2018 Omnibus Survey)
Our seminars will help you to: make the most or you super.
ì learn more about your scheme – how To make a booking to attend a seminar call 1800 620 305
it works, what your choices are and or go to www.statesuper.nsw.gov.au/seminarsass,
how to make the most of your available where you can view dates and locations for seminars at a
benefits time and place that is convenient for you.
Visit our Interview Service at Clarence Street Sydney
State Super’s free Interview Service is about your scheme, superannuation If you don’t have time to visit,
available to all current and deferred information, even assist with information is available on our
benefit members as well as pension completing administrative forms or website - details about the rules,
members. other paperwork. benefit entitlements and membership
conditions of each of the State Super
Interview Services are available Call us to make an appointment at
schemes are provided in a series of
by appointment only from Clarence Street and at StatePlus
fact sheets. For copies, visit
9.00am to 5.00pm on Fridays. locations (Parramatta, Newcastle
www.statesuper.nsw.gov.au
and Wollongong).
Interviews take place at the
Need help with English?
Trustee’s office, centrally located at
SASS Deferred members For members who need help with
83 Clarence Street in the city.
1300 130 094 English, Customer Service can arrange
Customer service staff can meet with you
for information to be translated
face-to-face to assist with general advice
through the Government Interpreter
Service.
Please note that SAS Trustee Corporation (STC) is not licensed to provide financial product
advice in relation to State Super Schemes. Reasonable care has been taken in producing the
1300 130 094 information in this document and nothing in this document is intended to be or should be
regarded as personal advice. In preparing this document, STC has not taken into account your
objectives, financial situation or needs. You should consider your personal circumstances and
seek professional advice before making any decision that affects your future.
State Super, PO Box 1229
State Super Financial Services Australia Limited, trading as StatePlus, is the holder of an
Wollongong, NSW 2500 Australian Financial Services Licence 238430, ABN 86 003 742 756. StatePlus is a ‘for profit’
financial services organisation which also provides financial planning advice. StatePlus is wholly
owned by FSS Trustee Corporation (ABN 11 118 202 672 and AFSL 293340) as trustee of the
First State Superannuation Scheme (ABN 53 226 460 365). StatePlus has its own Board and
www.statesuper.nsw.gov.au Management team. State Super does not pay any fees to StatePlus for the financial advice
and member seminar services it provides to State Super members. State Super is not a
representative of StatePlus and receives no commission when making referrals to StatePlus
SASSD 0420
for financial planning services. Neither State Super nor the New South Wales Government take
enquiries@stc.nsw.gov.au any responsibility for the services offered by StatePlus, nor do they or StatePlus guarantee the
performance of any service or product provided by StatePlus.
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