The AGA provides superannuation advice primarily to Government Agencies, which involves the estimation of future cash flows of their superannuation schemes and the associated quantification of financial risk.
This results in advice to Agencies covering:
- Annual accounting disclosures in accordance with AASB119;
- Cash flow and liability projections for Budget and MYEFO each year, and for the Intergenerational Report every five years;
- Major reviews of long-term costs and underlying demographic assumptions every three years;
- Costs of changes to the benefit design of super schemes; and
- Valuation factors and legislative advice relating to superannuation interests for Family Law purposes.
Advice is also provided on behalf of individuals where damages are claimed for someone who was deemed ineligible for a super scheme but later found to have been eligible for that scheme, or for any other circumstance where benefits have been adversely affected.
Some of the publicly available work the Australian Government Actuary has done in this space has been:
- Long-term costs of Military Superannuation (ADF Cover, MSBS, DFRDB and DFRB) - These reports estimate the long-term superannuation costs of the Military Superannuation and Benefits Scheme (MSBS) the Defence Force Retirement and Death Benefits Scheme (DFRDB), the Defence Forces Retirement Benefits Scheme (DFRB) and ADF Cover to be charged to the Consolidated Revenue Fund (CRF).
- The Financing and Cost of Government Superannuation Schemes
|Report title||Release Date|
|The Financing and Costing of Government Superannuation Schemes||16-08-2000|
Military Superannuation Schemes: Review of Long-Term Costs
These reports set out estimates every three years of the long-term costs of superannuation benefits payable in respect of the members of the four defined benefit superannuation schemes covering the vast majority of the Australian Defence Force (ADF) personnel. The Most recent report was prepared using data as at 30 June 2017.
The estimates require the setting of a range of demographic assumptions, such as retirement rates, mortality and invalidity rates and pension take up rates, after reviewing the experience of each scheme over the preceding three years. Financial assumptions relating to salary growth and pension indexation are also required.
The schemes covered in these reports are:
- the ADF Cover scheme which provides insurance benefits to those ADF personnel under the new ADF Super accumulation arrangements which cover new ADF personnel with effect from 1 July 2016;
- the Military Superannuation and Benefits Scheme (MSBS) which commenced on 1 October 1991 and which closed to new ADF personnel from 1 July 2016;
- the Defence Force Retirement and Death Benefits Scheme (DFRDB) which commenced on 1 October 1972 and which has been closed to new members since the commencement of the MSBS; and
- the Defence Forces Retirement Benefits Scheme (DFRB) which commenced on 1 July 1948 and only covers those who were in receipt of a pension at the time DFRDB commenced, or their reversionary dependants.