State Authorities Non-contributory Superannuation Scheme (SANCS)
Generally, all members of State Super schemes are also automatically members of the State Authorities Non-contributory Superannuation Scheme (SANCS) which includes the employer-funded basic benefit of up to 3% of your final average salary for each year of service from 1 April 1988.
You are entitled to a lump sum basic benefit in addition to your other scheme benefits. The basic benefit is 100% employer funded and generally accrues at the rate of 3% of your final average salary for each year of service.1
You are eligible for the basic benefit as long as you do not receive a similar employer-financed benefit from another scheme. It is paid to you when you reach your preservation age and satisfy a Commonwealth Government condition of release for payment.
For further information refer to STC Fact Sheet 10: Basic Benefit
1 Due to tax payable by the fund on employer contributions since 1 July 1988, the basic benefit is effectively paid at around 2.55% per year of service.
SANCS may also include the following benefits:
Additional employer contribution (AEC)
The Additional Employer Contribution (AEC) account is an accumulation style superannuation benefit which employers make contributions into each month for eligible employees. If you are an eligible employee, your employer will contribute the equivalent of 0.25% of your salary for the 2013–14 financial year and 0.5% of your salary for the 2014–15 and later financial years. This rate may change should the Superannuation Guarantee rate change. This component applies to members whose employment after 30 June 2013 was subject to NSW Public Sector Wages Policy.
Each monthly contribution is allocated to a member’s AEC account with contribution tax of 15% being deducted. The contributions accumulate in the AEC account and are adjusted for investment earnings each month, with the balance of the account payable as a lump sum benefit at exit. If a benefit is deferred the AEC account is rolled into the basic benefit account and will, from that time, form part of the deferred basic benefit account.
For further information on the AEC refer to STC Fact Sheet 20: SANCS Additional Employer Contributions (AEC) account.
If you are eligible and make personal after-tax contributions to your super, the Commonwealth Government will match your personal after-tax contributions with a co-contribution (up to a certain limit).
To find out how to calculate the maximum contribution amount and whether you are eligible for the Government co-contribution, please visit www.ato.gov.au or see STC Fact Sheet 13: Information about the Commonwealth Government's superannuation co-contribution and low income superannuation tax offset.
Low income superannuation tax offset (LISTO)
The Low Income Superannuation Tax Offset (LISTO) is a contribution tax refund of up to $500 annually for low-income earners and is payable in respect of concessional contributions made in the 2017-18 and future income years. The LISTO was previously known as the Low Income Super Contribution (LISC).
If you earn less than $37,000 a year, and you or your employer make concessional (before tax) contributions on your behalf, then you can expect a refund of the contributions tax deducted from your superannuation account. It is calculated at a rate of 15% of your total eligible concessional contributions for the year, up to a maximum of $500.
For further information on the LISTO see STC Fact Sheet 13: Information about the Commonwealth Government's superannuation co-contribution and low income superannuation tax offset.
Superannuation Guarantee (SG) shortfall amount
If your employer-financed benefit is less than the SG, your benefits will be increased to the SG level through an additional benefit called the the SG shortfall amount. For further information, refer to the superannuation guarantee section in your schemes "Contributions" page.