Michael McCormack (Riverina, National Party, Parliamentary Secretary to the Minister for Finance) Share this | Link to this | Hansard source

I present a supplementary explanatory memorandum to the bill, and I ask leave of the House to move government amendments (1) to (8), as circulated, together.

Leave granted.

I move government amendments (1) to (8), as circulated, together:

(1) Schedule 6, page 47 (after line 6), after item 27, insert:

Parliamentary Superannuation Act 2004

27A Paragraph 11(2)(a)

  Omit ", other than a self managed superannuation fund".

(2) Schedule 6, page 47, after proposed item 27A, insert:

27B Paragraph 13(e)

  Omit "RSA; or", substitute "RSA.".

27C Paragraph 13(f)

  Repeal the paragraph.

(3) Schedule 6, page 47, after proposed item 27C, insert:

27D Subparagraph 14(2)(a)(i)

  Omit ", other than a self managed superannuation fund".

(4) Schedule 6, page 47, after proposed item 27D, insert:

27E Paragraph 16(1)(a)

  Omit "(other than a self managed superannuation fund)".

(5) Schedule 6, page 47, after proposed item 27E, insert:

Remuneration and Allowances Act 1990

27F Clause 1A of Schedule 3 (definition of self -managed superannuation fund )

  Repeal the definition.

(6) Schedule 6, page 47, after proposed item 27F, insert:

27G Paragraph 1D(2)(a) of Schedule 3

  Omit "that is not a self managed superannuation fund".

(7) Schedule 6, page 47, after proposed item 27G, insert:

27H Subparagraph 1G(5)(a)(iv) of Schedule 3

  Repeal the subparagraph.

(8) Schedule 6, page 47, after proposed item 27H, insert:

27J Subparagraph 1H(2)(a)(i) of Schedule 3

  Omit "that is not a self managed superannuation fund".

As foreshadowed in my summing-up on the second reading debate for this bill, these amendments allow parliamentarians to direct contributions into self-managed superannuation funds where they are in the accumulation scheme established by the Parliamentary Superannuation Act 2004. Amendments are also made to the Remuneration and Allowances Act 1990 to remove the restriction on salary sacrificing to self-managed superannuation funds.

The amendments will allow parliamentarians to have the same opportunity to manage their retirement savings through a self-managed superannuation fund as is currently available to Commonwealth public servants in equivalent accumulation schemes. Any member or senator elected since and including 9 October 2004 receives a monthly employer contribution during their parliamentary service. The vast majority of parliamentarians, some 70 per cent of the current parliament, are covered by these accumulation style arrangements, which better align with community standards and expectations. Importantly, these amendments are about how parliamentarians can direct their superannuation contributions, not how much they receive. The amendments will take effect after royal assent.

Question agreed to.

Bill, as amended, agreed to.