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Annuity Bonus

The Northern Territory Government and Public Authorities Superannuation Scheme (NTGPASS), offers an annuity bonus to members who purchase an Approved Annuity with part or all of their superannuation retirement benefit.

If you are retiring from the workforce and intend using your NTGPASS benefit to purchase an approved annuity, you may be eligible for an additional payment from the NTGPASS to offset the initial fees charged for the purchase of the annuity.

An annuity is a private pension from an insurance company or similar institution. To be eligible, an approved annuity must be a lifetime annuity or for a minimum term of 10 years.

An Approved Annuity means:

(a) an annuity purchased by a former member for his or her life or for minimum term of 10 years and;

(b) in relation to a death benefit – an annuity purchased by a dependant with monies from a deceased member’s estate solely attributable to the contributions made under the scheme by the deceased member and to the benefits received under the scheme by the estate.

(c) in relation to an invalidity retirement benefit – where a benefit is paid due to invalidity retirement and after it is paid to the former member, the former member purchases an approved annuity for his or her life or for a minimum term of 10 years.

The calculation of the annuity bonus is restricted to 5% of your compulsory employee contributions and the employer component of the benefit paid. Employee contributions
exclude salary sacrifice, interest, voluntary contributions and rollover amounts. The bonus will be paid as an Eligible Termination Payment (ETP) and subject to taxation.

To qualify for the bonus, the Annuity must have been purchased within 90 days of you claiming your benefit from the Scheme.

To find out more about the annuity bonus, please contact the NT Superannuation Office on +6 8 8901 4200 or toll free on 1800 631 630.