Defined Benefit plans are required by law to have an actuarial investigation at least once every three years. Because LASF DB provides lifetime pensions, a mini review is held every in-between year. The vested benefit position of the sub-plan is reviewed on a quarterly basis. Details of the VBIs are as follows.
|VESTED BENEFIT INDEX (VBI)|
|Year||QTR 1 - September (estimated)||QTR 2 - December (estimated)||QTR 3 - March (estimated)||QTR 4 - June (actual)|
Regular updates previously sent to employers regarding Defined Benefit funding.
Employers are required to make specific superannuation disclosures in their financial statements in relation to the LASF DB in accordance with AASB 119 – Accounting for Employee Benefits. To help you we prepare a sample note as a guide each year. Downloadable PDF copies of these sample notes are available in the table below:
|Year ended 30 June||Short-form||Long-form|
|2021||Reduced sample superannuation note for the year ended 30 June 2021||Sample superannuation note for the year ended 30 June 2021|
|2020||Reduced sample superannuation note for the year ended 30 June 2020||Sample superannuation note for the year ended 30 June 2020|
|2019||Reduced sample superannuation note for the year ended 30 June 2019||Sample superannuation note for the year ended 30 June 2019|
|2018||Reduced sample superannuation note for the year ended 30 June 2018||Sample superannuation note for the year ended 30 June 2018|
|2017||Reduced sample superannuation note for the year ended 30 June 2017||Sample superannuation note for the year ended 30 June 2017|
|2016||Reduced sample superannuation note for the year ended 30 June 2016||Sample superannuation note for the year ended 30 June 2016|
|2015||Reduced sample superannuation note for the year ended 30 June 2015||Sample superannuation note for the year ended 30 June 2015|
|2014||N/A||Sample superannuation note for the year ended 30 June 2014|
|2013||N/A||Sample superannuation note for the year ended 30 June 2013|
At the end of each triennial/annual review, the Fund Actuary issues a report that outlines the findings and recommendations of the review. You’ll find copies of the reports below.
The Fund Actuary has issued the following Benefit Certificates, confirming that employers have met their Superannuation Guarantee obligations in relation to their defined benefit employees. The Certificates will remain current for five years unless a notifiable event occurs.
|Certificate||Effective date||Valid until*|
|LASF Benefit Certificate 2020||1 July 2020||1 June 2025|
|LASF Benefit Certificate 2018||1 July 2018||30 June 2023|
|LASF Benefit Certificate 2015||1 April 2015||31 March 2020|
|LASF Benefit Certificate 2013||1 July 2013||30 June 2018|
|LASF Benefit Certificate 2008||1 July 2008||1 July 2013|
|*Unless a notifiable event occurs.|
Vision Super regularly obtains a Funding and Solvency Certificate from the Fund Actuary. They are valid for five years unless a notifiable event occurs. Under the regulations, the Certificates must be replaced 12 months before they expire. Copies of the Certificates are below.
The same process for apportioning pension and active member liabilities has been applied since 1998 when LASF was set up under its trust deed. This reflects the methodology established in 1997 when LASF was operated under State legislation. Application of the process was externally reviewed by PriceWaterhouseCoopers in relation to the 2011 Funding call.
In summary, the methodology provides for two components:
Pre-30 June 1993 Component
Post-30 June 1993 Component
All employers pay Workers compensation premiums and some pay Payroll tax. Generally, 100% of an employer’s defined benefit contributions are included in the employer’s Workers compensation and Payroll tax calculations. However, where a funding call is made, a portion of the funding call payment may be excluded for Workers compensation/Payroll tax purposes. The Fund Actuary has provided letters advising what proportion of a funding call is assessable.
What are the LASF DB demographics at the dates of the recent actuarial reviews?
The fund membership statistics were as follows.
|Member type||Review date|
|30 June 2021||30 June 2020||30 June 2019||30 June 2018||30 June 2017||30 June 2014||31 Dec 2011|
|Average Age||57.7 years||57.3 years||56.9 years||56.7 years||56.3 years||55.2 years||54.1 years|
|Average Past Membership||33.0 years||32.2 years||31.3 years||30.4 years||29.5 years||26.9 years||24.6 years|
|Average Age||77.4 years||77.4 years||78.2 years||78.3 years||78.5 years||79.0 years||79.1 years|
|Average Annual Pension||$14,878||$14,184||$12,948||$12,102||$11,187||$8,862||$7,172|
|Average Age||57.0 years||56.3 years||55.6 years||55.0 years||54.3 years||52.9 years||51.7 years|
|Average Account Balance||$271,064||$240,311||$234,464||$218,851||$204,048||$180,571||$149,842|
You might find the answer to your question in the FAQ below. If you don’t find it there, you can call our Employer hotline on 1300 304 947.
The great news is you can now open your pension account online through the secure site.
You’ll just need to open a Vision Personal account first and then you can transfer across to a Vision Super pension.