In the case of separation or divorce, super can be divided similarly to other assets.

Getting information from the Scheme

Who can get access?

The law allows the following people to ask for information about a member’s benefits in a super fund:

  1. The member
  2. The member’s spouse
  3. A person who intends to enter into a superannuation agreement with the member.

How to get information

To obtain information you must complete an Application for Information and a Declaration which are available on the Family Court website.

For an Application for Information received from someone other than the member of the Scheme, the Trustee cannot tell the member that the Application has been received.

All documents relating to Family Law matters should be sent by email to eiss@mercer.com or mail to:

The Administrator
Electricity Industry Superannuation Scheme
GPO Box 4303
MELBOURNE    VIC 3001

The Trustee is not permitted to provide you with any advice in relation to Family Law matters. If you have any queries it is recommended that you seek legal advice from an appropriately qualified person. It may also be in your best interests to speak to a licensed financial adviser about the impact of the changes to the Family Law Act in your particular circumstances.

Call 1300 307 844

For help managing your super and your membership.

Splitting super

The superannuation benefit will be split in accordance with a Court Order.

When a Court Order is made

A copy of the Court Order should be provided to the Trustee along with any other required documents (your legal adviser will tell you what needs to be done).

If it is a Flagging Order, the recipient spouse must provide details of their full name and postal address to the Trustee.

If it is a Splitting Order, the recipient spouse must provide the Trustee with details of their date of birth and, if the recipient spouse is also a member of the Scheme, their membership number in the Scheme.

What happens to my benefits?

In the case of a Flagging Order, the decision on how to split the benefit is deferred until a later date. If the member becomes entitled to a super benefit from the EISS while a flag is in place, the benefit cannot be paid, and the Trustee must notify the parties, or the Court. The Trustee must then wait for further instructions from the parties or the Court before paying the benefit to the member.

In the case of a Splitting Order where a payment is made to a recipient spouse, the Trustee will check to confirm that the Court’s instructions can be followed within the EISS Rules.  Once this has been confirmed, the Trustee will instruct the EISS administrator to pay the appropriate amount to the recipient spouse.

For Division 2,3 or 4 members, the amount paid to the recipient spouse is noted on the member’s EISS record as a debt and the amount of this debt will continue to accrue with interest (currently at AWOTE + 2.5% pa).  This debt is shown on your annual statement as a Family Law Offset Account or FLOA. When you become entitled to receive a super benefit from EISS, the FLOA account would be applied against your super benefit.

The FLOA will continue to be shown as a debt against your benefit until you are entitled to a super benefit from EISS.  The debt cannot be extinguished prior to this time.

For Accumulation Scheme members, the amount paid to a recipient spouse is shown as an immediate deduction against your account balances as at the date of payment.

Fees

We do not charge any fees for information requests or Court Order splits.

 

Important Notes

The amount allocated to the recipient spouse is not usually immediately available in cash.  It must remain in the superannuation system until age 65 in most cases, or until the person meets one of the legal conditions that allows their benefit to be paid in cash.

When allocating the required amount to the recipient spouse, the Trustee must also split some of the tax components of the member’s benefit.  The components to be split, and the method by which they are to be divided between the parties, are set down in the legislation.

The amount allocated to the recipient spouse, once applied against your benefits, will not be reduced further for the Contribution Tax Offset that applies to the Scheme. Therefore, it is important that the amount advised to be allocated to the recipient spouse should already take into account the application of the Contribution Tax Offset. The Scheme will provide you with enough information so that the necessary allowance can be made.

Book a meeting

For more information about your options.

What else should I do?

You may wish to review your options after a relationship breakdown.

Beneficiaries

As your circumstances change, you may wish to review who you want to receive your super balance and relevant benefits if something happens to you. You can’t always know what’s around the corner, but you can prepare for the future by nominating beneficiaries today.

Learn more

Insurance

If your level of debt or expenses changes, you may want to review your insurance options to make sure you have the right level of cover. If something happens to you and you are unable to work, your insurance cover should be enough to pay your outgoing expenses.

Learn more

What our members say

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My life changes

As your life changes, you may wish to make changes to your options to secure your financial future. Major life events such as separating or getting divorced, taking out a mortgage or turning a milestone age may all be reasons for you to consider your options.

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