KELLOGG RETIREMENT FUND

Transcription

1 KELLOGG RETIREMENT FUND

2 Disclaimer This Super Guide has been issued by Kellogg Superannuation Pty Limited (ABN ), the Trustee of the Fund. It describes the main benefits and features of the Kellogg Retirement Fund. The information in this Super Guide is general information only and does not take into account any person s individual financial objectives, financial situation or needs. Any examples included are for illustration only and are not intended to be recommendations or preferred courses of action. We recommend that you speak to a licensed or appropriately authorised financial adviser if you need any specific advice. The value of investments may rise and fall from time to time. Investment returns can be negative in some years. The Trustee and Kellogg do not guarantee the investment performance, earnings or return of capital invested in the Fund. Please remember that past performance is not necessarily a guide to future performance. All statements of law or matters affecting superannuation policy are up-to-date as at 20 May The terms of your membership in the Fund are set out in the Trust Deed and the insurance policy taken out by the Trustee in respect of the death and disablement benefits (Insurance Policy). If there is any inconsistency between this booklet and the Trust Deed and the Insurance Policy, the terms of the Trust Deed and, where applicable, the Insurance Policy, will prevail. While all due care has been taken in the preparation of this document, the Trustee reserves its right to correct any errors and omissions. Any reference throughout this booklet to the Trustee, we, or us means Kellogg Superannuation Pty Limited. Any reference to employer, Company or Kellogg is to Kellogg (Aust.) Pty Ltd. Fund means the Kellogg Retirement Fund.

3 2 Welcome 4 Your choices 5 Contributions 7 Benefits for Category A members 9 Benefits for Category B members 10 Other information about your benefits 12 Insurance information for death and total and permanent disablement 14 Tax and super 16 How your Fund is managed 19 Receiving your benefit and leaving your employer 21 Enquiries and complaints 22 Online service 22 Further information 1

4 WELCOME Welcome to the Kellogg Retirement Fund ( the Fund ). The Fund is a defined benefit fund that provides benefits on retirement, resignation, or in the event of your death or disablement. You can keep your superannuation in the Fund after you leave Kellogg. This booklet explains how your Fund works. It will help you understand: ~ ~ Contributions to your super; ~ ~ Benefits you receive in the Fund; ~ ~ Insurance coverage on death or total and permanent disablement; ~ ~ How the Fund is managed; and ~ ~ How to find out further information. A feature of the Fund is that most employees have a choice of their category of membership. The benefits of each category are summarised on the opposite page. The Fund closed to new members on 1 September This change has no impact on your existing benefits. This booklet describes benefits in the Kellogg Retirement Fund for: ~ ~ Category A members after 1 December 1993; and ~ ~ Category B members after 1 July If you were a member of the Kellogg Retirement Fund or any predecessor fund before these dates you may also have other benefits. For information on the Fund s investments and fees and charges, please see the latest Annual Report. Copies are available from the Fund s Administrator, see page 22 for contact details or from the Fund s website at 2

5 Your Fund at a glance Most members belong to either Category A or Category B. Fixed-term employees, casuals and Expatriate members must belong to Category B. Members of Category A choose to make fixed contributions and receive higher benefits from the Fund, as shown in the table below. Fixed contributions Additional voluntary contributions If your total contributions exceed the contribution caps, additional tax may apply. Refer to pages for details. Retirement benefit (after 25 years service or on reaching age 65) Resignation benefit Death/disablement benefit CATEGORY A Make contributions of 5.88% of beforetax salary to the Fund. These contributions will be made from before-tax or after-tax salary (by special arrangement). These can be made from before-tax or after-tax salary (by special arrangement). 18.5% x final average earnings x eligible service as a Category A member. Note: An early retirement benefit is also available once you reach age 55 if you have more than 15 years eligible service. 16% x final average earnings x Category A membership. This amount is discounted by 1.5% for each year you are aged less than 65 at the date of leaving. You are paid a minimum of the Resignation Benefit for a Category B member plus the amount in your Member account. 18.5% x salary (at the date of death or disablement) x years from date of joining Category A to age 65. Note: Employees on a fixed-term contract of less than 12 months are not eligible for insurance for death and total and permanent disablement. CATEGORY B (INCLUDING CASUALS) Do not make fixed contributions to the Fund. These can be made from before-tax or after- tax salary (by special arrangement). 9.72% x final average earnings x eligible service as a Category B member. 9.72% x final average earnings x Category B membership. This amount is discounted by 1.5% for each year you are aged less than 65 at the date of leaving up to a maximum discount of 30%. Equal to the resignation benefit without discounting plus an amount of insurance equal to: 10% x salary (at the date of death or disablement) x years from the date of death or disablement to age 65. Note: Casuals, employees on a fixed-term contract of less than 12 months and Expatriate members are not eligible for insurance for death and total and permanent disablement. final average earnings is the average of your three highest consecutive salaries in the last 10 years. salary is your annual salary, Shift Allowance and Rollin Factor excluding any overtime, Annual Incentive Plan (AIP), or other bonus or allowance payments. It is determined by Kellogg and is used to calculate your defined benefit in the Fund. Note 1: For part-time employees, the salary used for the purpose of calculating your defined benefit in the Fund is your equivalent full-time salary. Note 2: For most members who were in receipt of a car allowance at 30 June 2009, it excludes the value of that member s car allowance as at 30 June 2009 which is determined by Kellogg as a fixed equivalent percentage of the member s annual salary. Note 3: To satisfy the Superannuation Guarantee requirements, 9% of a member s AIP or bonus is paid into the member s accumulation benefit in the Fund. eligible service is your years and days as a Fund member. For part-time employees, eligible service reflects the proportion of part-time hours worked. Category A membership is your years and days as a Category A member. For part-time employees, Category A membership reflects the proportion of part-time hours worked. Category B membership is your years and days as a Category B member. For part-time employees, Category B membership reflects the proportion of part-time hours worked. 3

6 YOUR CHOICES Choice of membership category You can choose which category of membership you belong to. Category A members are required to make fixed contributions of 5.88% of before-tax salary and receive higher benefits in the Fund including higher insurance on death or total and permanent disablement. Category B members do not make fixed contributions and receive lower benefits than Category A members. Fixed-term employees, casual employees and Expatriate members are only eligible for membership of Category B. Membership options As a member of the Fund, you have the opportunity to change your preferences including: ~ ~ Your membership category; ~ ~ To change or start making additional voluntary contributions; and ~ ~ Your preferred beneficiaries in the event of your death. Before making your decisions we recommend you see a financial adviser. Changes to your membership category and contributions can be made on the Contribution Choice Form. You can nominate your preferred beneficiaries on the Nomination of Dependants Form. Copies of these forms are available from Human Resources or from the Fund s website at www. krf. superfacts.com. You will have two opportunities each year to vary your category of membership (see page 6 for details). 4

7 CONTRIBUTIONS Company contributions As the Fund is a defined benefit fund, Kellogg contributes the balance of the costs of providing your benefits. An actuary determines the amount required to fund the benefits of all members and ensures that benefits provided meet the minimum as specified by the Superannuation Guarantee legislation. The amount of Company contributions may vary from time to time depending on the financial position of the Fund. The Company will also contribute an amount equal to 9% of any former car allowance for eligible members. After the Government s 15% contributions tax is deducted, these amounts are credited to your Voluntary account. The net investment return at the determined rate is applied to these contributions and the accumulated amount is included in your superannuation benefit when you leave the Fund. Member contributions Fixed contributions Category A members are required to contribute 5.88% of their before-tax salary to the Fund. This contribution partly funds the higher benefits provided to this category of members. Contributions are automatically deducted from each pay on a before-tax basis and are credited to your Member account in the Fund. The Government s 15% contributions tax is deducted from these contributions. The net investment return at the determined rate is applied to these contributions. Category B members do not make fixed regular contributions. Casual employees are only eligible for membership of Category B. All eligible members have 9% of their Annual Incentive Plan/bonuses deducted and paid into super. After the Government s 15% contributions tax is deducted, these amounts are credited to your Voluntary account. The net investment return at the determined rate is applied to these contributions and the accumulated amount is included in your superannuation benefit when you leave the Fund. Additional voluntary contributions Both Category A and Category B members can make additional voluntary contributions to the Fund. These contributions can be for any multiple of $50 from your before-tax salary and are automatically deducted from each pay and are credited to your Voluntary account in the Fund. The Government s 15% contributions tax is deducted from these contributions. The net investment return at the determined rate is applied to these contributions. Your Voluntary account will be included in your superannuation benefit when you leave the Fund. Before-tax contributions are concessional contributions. There are Government caps on the amount of concessional contributions that can receive favourable tax treatment. Refer to pages for details on the caps and the tax treatment of concessional contributions. You can also make after-tax lump sum contributions of any amount to the Fund at any time, in which case contributions tax will not be payable. After-tax contributions are nonconcessional contributions. There are Government caps on the amount of non-concessional contributions that can receive favourable tax treatment. Refer to pages for details on the caps and the tax treatment of non-concessional contributions. Refer to page 15 for a table which summarises the key differences between before-tax and after-tax contributions. Qualifying for co-contributions The Government may provide an additional contribution of up to $1,000 to your superannuation account if you make additional voluntary contributions into the Fund from your after-tax salary. The co-contribution applies to members on annual incomes up to $61,920. For those on incomes of $31,920 p.a. or less, the Government will contribute $1.00 for every dollar of after-tax contributions you make up to a maximum of $1,000 per year. The co-contribution gradually reduces as your income level rises and phases out altogether when your income reaches $61,920 p.a. To help determine your eligibility for the co-contribution, income is defined as total assessable income plus any reportable fringe benefits. Income also includes any voluntary before-tax (salary sacrifice) contributions you make and may include certain other employer contributions. Other eligibilty conditions apply. The Government automatically determines eligibility for a cocontribution and pays contributions directly to the Fund on the member s behalf. If you are in the relevant income bracket and eligible to receive a co-contribution, the Trustee recommends you speak to a licensed financial adviser. If you wish to take advantage of the Government s co-contribution, you have the option of making a one-off lump sum contribution or requesting regular after-tax contributions by contacting the Fund s Administrator (contact details are on page 22). Note: The above income amounts apply until 30 June If you are unsure of the tax implications of any additional contributions, you should consult your licensed or appropriately authorised financial adviser. 5

8 Rollovers If you have super in other funds (e.g. super relating to your previous employment) you can roll it over into the Fund. Amounts rolled over (after deducting any applicable contributions tax) are placed in your Rollover account, adjusted for the net investment return at the determined rate and included in your superannuation benefit when you leave the Fund. Keeping all of your super together makes it easier to manage and means that you are only paying fees to one super fund. No fee applies to rolling other super into the Fund; however, you may want to check if you will be charged an exit fee for withdrawing your benefit from your previous fund or if you will lose other valuable benefits such as insurance. Splitting contributions with your spouse You may apply once per year to split any of your additional voluntary contributions you have made with your spouse. You cannot split fixed contributions (i.e. Category A members 5.88% of before-tax salary contribution) or amounts rolled into the Fund. You can split up to 85% of any additional before-tax contributions (concessional contributions) subject to your available balance. Split contributions must be paid into an account for your spouse in another complying superannuation fund. At the end of each financial year, you can apply to the Trustee to split the contributions you have made during that financial year. If you are leaving the Fund, you may apply at the time of exiting the Fund. To split contributions, you must complete a Contribution Splitting Form, available from Human Resources or from the Fund s website at www. krf. superfacts.com. Any concessional contributions you split will count towards your concessional contributions cap, not your spouse s. See pages for more information on this cap. Changing your contributions You have two opportunities each year to make changes to your level of contributions and category of membership. You can arrange any changes by completing a Contribution Choice Form available from Human Resources or from the Fund s website. You should include the amount of contributions you wish to make and whether you wish to change categories or cease contributions. You must return the completed form to Human Resources by 1 June for changes to be effective from 1 July or by 1 December for changes to be effective from the following 1 January. Each time you change your contribution level, you must wait 12 months before you can make another change. Making contributions after age 65 Employer contributions after age 65 If you are still working after 65, generally contributions will continue. However the law will not allow such contributions in certain circumstances. After age 65, the Fund can accept mandated employer contributions for you. Mandated employer contributions are Superannuation Guarantee (SG) and/or contributions required under an Award or Certified Agreement. There are currently no SG requirements for employees over age 70. After age 70 the Fund can receive mandated employer contributions that are required to be made under an Award or Certified Agreement. The Fund can accept other employer contributions (including before-tax contributions) for you up to age 75 if you have worked at least 40 hours in any 30 consecutive days during the financial year. These contributions cannot be made after age 75. Your contributions after age 65 Between ages 65 and 75, the Fund can only accept your personal after-tax contributions if you have worked at least 40 hours in any 30 consecutive days during the financial year. Once you reach age 75, the Fund cannot accept your personal contributions. How your Fund is invested The law requires the Trustee to set investment objectives for the Fund. The investment objectives are neither forecasts nor a guarantee of future investment returns. The Fund s assets are invested in accordance with its investment objectives and strategies. Your main defined benefits are not dependent on investment performance as Kellogg contributes whatever amount is required to provide these benefits. However, investment returns affect the value of your Voluntary and Rollover accounts. For Retained Benefit members, investment returns also affect the value of your Retained Benefit account. Investment returns at the determined rate (which can be positive or negative) are applied to these accounts. Refer to the latest Annual Report for full details on investments and the latest investment returns. Determined rate The Trustee s current policy on the determined rate is summarised in the latest Annual Report. 6

9 BENEFITS FOR CATEGORY A MEMBERS Retirement You are eligible for a retirement benefit after you complete 25 years eligible service or reach age 65*. Your benefit is calculated as: 18.5% x final average earnings x eligible service in Category A your Voluntary account your Rollover account. * Refer to page 10 for details of benefits if you are over age 70. Early retirement You are eligible for an early retirement benefit if you have reached at least age 55 and the sum of your age and your years of eligible service is at least 70. Accordingly, if you wish to retire at age 55 your years of eligible service must be at least 15, or 10 if you wish to retire at age 60. The early retirement benefit is calculated similarly to the retirement benefit; however, it is discounted due to the shorter period of membership. It cannot be less than your leaving service benefit. Your benefit is calculated as: 18.5% x final average earnings x eligible service in Category A x a discount factor which is years of eligible service age 80 your Voluntary account your Rollover account. EXAMPLES Dave has been a Category A member since age 33 and retires at age 66 on final average earnings of $60,000. He has not made any additional voluntary contributions or rollovers. His eligible service is 33 years (i.e ). Therefore his retirement benefit is: 18.5% x $60,000 x 33 years = $366,300 Maria has been a Category A member since age 35 and retires at age 55 on final average earnings of $60,000. She has not made any additional voluntary contributions or rollovers. Her Category A eligible service is 20 years (i.e ). Her discount factor is = % 80 Therefore her retirement benefit is: 18.5% x $60,000 x 20 years x discount factor = 18.5% x $60,000 x 20 x 93.75% = $208,125 Death and disablement Your benefits on death or total and permanent disablement may be partly provided through the Fund s Insurance Policy if you qualify. For details on insurance and the definition of total and permanent disablement, please see pages Your benefit is calculated in the same way as a retirement benefit, assuming that you had remained in this category until age 65 on the same salary and the same working hours as at the date of death or disablement. The benefit is a lump sum equal to 18.5% of salary for each year from the date of joining to age 65. For members within three years of normal retirement date (age 65), salary is progressively replaced by final average earnings. No insurance for total and permanent disablement is payable if you work less than 15 hours per week. You would be eligible for either the Retirement, Early Retirement or Leaving Service benefit depending on your age and years of service. Tina joined the Fund at age 32 and was totally and permanently disabled at age 42. At the time, she was on a salary of $52,000. She has not made any additional voluntary contributions or rollovers. In this case her years of eligible service are 33 years (65 years 32 years). Therefore Tina s benefit is 18.5% x $52,000 x 33 years = $317,460 7

10 EXAMPLES Ivan has been a Category A member since age 32 and resigns after 10 years service aged 42. His final average earnings are $50,000. He has not made any additional voluntary contributions or rollovers. The balance of his Member account, including net investment returns, is $30,000. At age 42, Ivan is 23 years less than age 65. Therefore, his discount factor is: 100% - (1.5% x 23) = 65.5% His leaving service benefit under the formula for Category A is: 16% x $50,000 x 10 years x discount factor =16% x $50,000 x 10 x 65.5% = $52,400 However, this $52,400 benefit is less than the minimum leaving service benefit of $64,020 which is calculated below. He would therefore be paid $64,020. His minimum leaving service benefit is: (9.72% x $50,000 x 10 years x discount factor) Member account At age 42, Ivan is 23 years less than age 65. Therefore, his discount is: (1.5% x 23) = 34.5%. This discount is greater than the maximum discount of 30%, which means that the 70% discount factor will be used. His leaving service benefit is: = (9.72% x $50,000 x 10 x 70%) $30,000 = $64,020 Therefore, Ivan would be paid $64,020. Leaving service If you leave the Company and are not entitled to any other benefit, you will be eligible for a leaving service benefit. Your benefit is calculated as: 16% x final average earnings x Category A membership x 100% - 1.5% discount factor for each year you are less than age 65 your Voluntary account your Rollover account. Note: To ensure that your leaving service benefit will not be less than the amount required to be paid under Superannuation Guarantee legislation, the Fund will also calculate a minimum leaving service benefit (see below). You will receive the greater of the two. Your minimum leaving service benefit is calculated as: 9.72% x final average earnings x eligible service in Category A x 100% - 1.5% discount factor for each year you are less than age 65 up to a maximum discount of 30% (which is equivalent to a minimum discount factor of 70%) your Member account your Voluntary account your Rollover account. 8

11 BENEFITS FOR CATEGORY B MEMBERS Retirement You are eligible for a retirement benefit after you complete 25 years eligible service or reach age 65*. Your benefit is calculated as: 9.72% x final average earnings x eligible service in Category B your Voluntary account your Rollover account. * Refer to page 10 for details of benefits if you are over age 70. Leaving service If you leave the Company and are not entitled to any other benefit, you will be eligible for a leaving service benefit. Your benefit is calculated as: 9.72% x final average earnings x eligible service in Category B x 100% - 1.5% discount factor for each year you are less than age 65 up to a maximum discount of 30% (or a minimum discount factor of 70%.) your Voluntary account your Rollover account. EXAMPLES Dave has been a Category B member since age 33 and retires at age 66 on final average earnings of $60,000. He has not made any additional voluntary contributions or rollovers. His eligible service is 33 years (i.e ). Therefore his retirement benefit is: 9.72% x $60,000 x 33 years = $192,456 Ivan has been a Category B member since age 32 and resigns after 10 years service, aged 42. His final average earnings are $50,000. He has not made any additional voluntary contributions or rollovers. At age 42, Ivan is 23 years less than age 65. Therefore, his discount is: (1.5% x 23) = 34.5%. As this is a discount greater than 30%, the 70% discount factor will be used. His leaving service benefit is: 9.72% x $50,000 x 10 years x discount factor = 9.72% x $50,000 x 10 x 70% = $34,020 Death and disablement Your benefits on death or total and permanent disablement may be partly provided through the Fund s Insurance Policy if you qualify. For details on insurance and the definition of total and permanent disablement, please see pages Employees working less than 15 hours per week are not eligible for total and permanent disablement insurance. Casual employees and employees on a fixed-term contract of less than 12 months are not eligible for insurance for death and total and permanent disablement. Your benefit is calculated as: 9.72% x final average earnings x eligible service in Category B an insured amount equal to 10% x salary x years remaining from the date of death or disablement to age 65 your Voluntary account your Rollover account. Tina joined the Fund at age 32 and was totally and permanently disabled at age 42. At the time, she was on a salary and final average earnings of $52,000. She has 10 years of eligible service. There are 23 years remaining to age 65. She has not made any additional voluntary contributions or rollovers. The benefit is calculated as: 9.72% x $52,000 x 10 years = $50,544 The insurance is 10% x $52,000 x 23 years = $119,600 The total benefit is $50,544 $119,600 = $170,144 9

12 10 OTHER INFORMATION ABOUT YOUR BENEFITS Changing category If you have changed membership category, your retirement and leaving service benefit consists of the sum of your benefit as a Category A member plus your benefit as a Category B member. Each benefit is calculated using your period of membership in the relevant category. In the case of death or disablement, your benefit is calculated using your period of membership in each category and your category at the date of death or disablement. Benefits over age 70 Your defined benefit will be converted to a lump sum accumulation benefit at age 70. This amount will be transferred to your Rollover account and will receive the earning rate of the Fund s bank account for the first 60 days. After 60 days this amount receives the investment return, net of tax and management costs, at the Fund s determined rate (which may be positive or negative). Any contributions you make will be allocated to your Voluntary account. When you leave the Fund you will receive the balance of your Rollover and Voluntary accounts. Part-time members Special conditions apply to members working part time: ~ ~ Salary and final average earnings are calculated using the equivalent full-time salary; ~ ~ Your eligible service, Category A membership and Category B membership is adjusted to reflect your part-time hours. For example if you work 50% of full-time hours, your eligible service would be halved; ~ ~ It is assumed that your part-time hours would have continued at the same level to age 65 in order to calculate your death or disablement benefit; and ~ ~ If you work less than 15 hours each week you are not eligible for total and permanent disablement insurance. In this case your total and permanent disablement benefit would equal what you would have received if you were age 65 at the date of your disablement, but counting service only to your date of disablement. Casual members and Expatriates Casual members and Expatriate members are eligible to join Category B but are not eligible for any insurance on death or total and permanent disablement. Fixed-term contracts Employees on fixed-term contracts of less than 12 months are not eligible for any insurance on death or total and permanent disablement. Employees on fixed-term contracts of more than 12 months and who work 15 hours or more per week are eligible for insurance on death and total and permanent disablement. Super and preservation Preservation laws are designed to make sure that your super is used for retirement. They restrict when you can access your super benefit in cash. Preserved amounts must be kept in the superannuation system. Preserved amounts over $200 are only accessible in cash if: ~ ~ You have permanently retired from work on or after your preservation age (see page 11); ~ ~ You are age 60 or more and you resign or retire from your current employer; ~ ~ You are age 65 or more; ~ ~ The Trustee is satisfied that you are permanently incapacitated*; ~ ~ You have compassionate grounds for applying*; ~ ~ You suffer severe financial hardship*; or ~ ~ You leave Australia permanently (if you are a temporary resident and satisfy certain conditions contact the Fund s Administrator for details). * As specified under superannuation law and permitted under the Trust Deed. Temporary residents If you have not claimed your super within six months of departing Australia, the Fund may be required to pay your benefit to the Australian Taxation Office (ATO) without your consent. You will be able to contact the ATO to arrange payment (net of any taxes due), however, your benefit may not earn any investment earnings while in the hands of the ATO.

13 Your preservation age Your preservation age is the age at which your preserved super can be paid to you in cash if you have permanently retired from the workforce. It depends on your date of birth: DATE OF BIRTH PRESERVATION AGE Before 1 July Between 1 July 1960 and 30 June Between 1 July 1961 and 30 June Between 1 July 1962 and 30 June Between 1 July 1963 and 30 June After 30 June Transfers and portability Under superannuation portability rules, you may request to transfer part or all of your additional voluntary contributions and rollovers to another complying superannuation fund at any time. While some exemptions apply, otherwise the Trustee must comply with valid requests from members within 30 days. You should contact the Fund s Administrator for more details (see page 22 for contact details). If you are over age 65 and still working for Kellogg, you may apply to the Trustee to transfer your benefit out of the Fund. Special conditions apply, including a limit on the amount you can transfer. Please contact the Fund s Administrator for more information. Death benefit payments The Trustee will decide who receives your death benefit if you die. However, the Trustee will be guided by any nomination you make on your Nomination of Dependants Form. Copies are provided on joining and are also available from Human Resources and from the Fund s website. You can only nominate your dependants or your estate. Your dependants include: ~ ~ Your spouse (including de facto of either sex); ~ ~ Your children (including adopted and step children and your spouse s children); ~ ~ Any person with whom you have an interdependency relationship*; and ~ ~ Any person whom the Trustee considers to be dependent on you at the time of death. * An interdependency relationship is where: 1. Two people have a close personal relationship; 2. They live together; 3. One or each of them provides the other with financial support; and 4. One or each of them provides the other with domestic support and personal care. Note: If two people have a close personal relationship but do not satisfy the other three criteria because one or both suffer from a physical, intellectual or psychiatric disability, then they will still have an interdependency relationship. The law includes details of various matters that the Trustee must consider in deciding whether two people have an interdependency relationship. Total and permanent disablement (TPD) To qualify for a TPD benefit, you need to satisfy the definition contained in the Fund s Trust Deed which refers to the Fund s insurance policy. You must: ~ ~ Lose the use of two limbs or the sight of both eyes, or the loss of the use of one limb and the sight of one eye (where limb means the whole hand or foot); or ~ ~ Have been absent from work through injury or illness for an initial period of six consecutive months and, in the opinion of the insurer, be incapacitated to such an extent as to render you unable to ever engage in or work for reward in any occupation or work which you are reasonably capable of performing by reason of education, training or experience. Payment of TPD benefits You must provide sufficient evidence to the Trustee to qualify for a TPD benefit. The process to determine a claim is complex and may mean that months elapse before the claim is determined. In some cases it may take much longer. You should also note that to qualify for a TPD benefit you need to suffer from a severe injury or illness, and that injury or illness is the reason that you are unable to work for your employer. Qualifying for a WorkCover benefit, Centrelink disability benefit or salary continuance payments does not automatically mean that you are entitled to a TPD benefit from the Fund. If you die, the Trustee is not bound by your nomination but will conduct its own investigations into your personal circumstances before deciding who should receive your benefit payment. In some cases, due to the legal processes involved, there may be a significant delay before the payment of the death benefit. Benefits paid to your estate will be distributed according to your Will. It is important that you keep your Will up to date. 11

14 INSURANCE INFORMATION FOR DEATH AND TOTAL AND PERMANENT DISABLEMENT 12 Eligibility The insurance benefits are provided under an Insurance Policy maintained by the Trustee. There are conditions attached to this insurance. The current insurer is shown in the latest Annual Report. Please note that you are only eligible for insured death and total and permanent disablement (TPD) benefits if you are a permanent employee working at least 15 hours per week. Part-time employees working less than 15 hours per week are not eligible for TPD cover. If you are on a fixed-term contract of less than 12 months, you are not eligible for either death or TPD cover. Employees on fixedterm contracts of more than 12 months and who work 15 hours or more per week are eligible for insurance for death and total and permanent disablement. Casual employees are not eligible for either death or TPD cover. If you are eligible, cover up to the Automatic Acceptance Limit will be granted automatically if you join the Fund as soon as you become eligible. In some cases, you may be required to provide evidence of good health. You may also be required to undergo a medical examination and tests nominated by the Fund s insurer. If the insurer refuses or restricts your insurance cover or refuses to pay all or part of your claim, then your death and TPD benefits will be restricted. Your benefits may also be adjusted by the Trustee if you do not provide information as required or in any way prejudice your insurance cover. If the Trustee cannot arrange cover for you on standard terms, or if the insurer doesn t pay the insured part of your super, your benefit will be reduced accordingly. If you are not at work performing your normal duties on the date you join the Fund, then the insurer will not provide cover until you commence your normal duties. The insurer may require evidence of good health before providing cover for you. You will be advised if this applies. Making a claim If you wish to make a claim for TPD, you must complete a Statement of Claim Form, available from the Fund s Administrator (see page 22 for contact details) and return it to Kellogg s Human Resources Department. An employer s statement will be completed and all documentation sent to the Fund s Administrator, who will then contact the insurer. You are required to lodge a claim for disablement as soon as possible, and within 12 months of the date you were first absent from work because of your illness or injury. The insurer will review all documentation and will probably ask you to have a medical examination with a specialist that the insurer nominates. Based on all the information and medical evidence, the insurer will reach a decision. The insurer will then advise the Fund s Administrator who will then advise the Trustee. The Trustee will review the information and decide whether to accept the claim. Claim checklist ~ ~ See your doctor and discuss the type of claim you intend to make. ~ ~ Complete a Statement of Claim Form and return it to the Fund s Administrator. ~ ~ The insurer may require you to have further specialist medical examinations. Cover while on leave without pay Your death and TPD cover will automatically continue for up to one year if you take approved leave without pay, including maternity and paternity leave. The amount of cover will be frozen at the dollar amount that applied immediately before your leave. If you don t want cover while on leave without pay, you can suspend it but you will need to provide satisfactory evidence of your good health in order to resume your cover when you return from leave.

15 When your cover ceases Death and TPD cover ceases at the earliest of the following events: ~ ~ You reach age 65; ~ ~ You receive a death or TPD benefit; ~ ~ Thirty days after you cease employment with Kellogg; ~ ~ You become a member of any other employer-sponsored superannuation fund; ~ ~ You receive a retirement benefit; ~ ~ You commence active employment with the armed forces; or ~ ~ You do not make a claim for TPD within 12 months of becoming absent from work provided such absence is the subject of the claim. Continuing your cover after you leave your employer If you are under age 60 when leaving Kellogg and are not leaving because of disablement or to join the armed forces, you may have the option of continuing insurance cover (for death cover only and at your own expense via a personal insurance policy) at the insurer s current retail rates. The amount of insurance cover is limited to the lesser of $750,000 and the amount of cover that you had while a member of the Fund. Satisfactory evidence of your good health may be required and other conditions may apply. You need to apply to the insurer within 60 days of leaving Kellogg. If your employer doesn t advise the Fund that you have ceased employment within 60 days, cover may be denied. Risks Refer to pages for details of risks related to insurance cover. 13

16 TAX AND SUPER 14 Some terms These terms describe superannuation contributions. Concessional contributions any Company contributions including notional contributions or personal before-tax (salary sacrifice) contributions are included in concessional contributions. Non-concessional contributions after-tax contributions, excess concessional contributions and any other contributions you make from non-salary sources (such as spouse contributions and certain overseas transfers) are non-concessional contributions. Rollovers and co-contributions do not count towards either of the contributions caps described below. Tax and your super A number of taxes may apply to your super. These are: 1. Contributions tax at the rate of 15%, which is deducted from all concessional contributions. If you have not provided your Tax File Number (TFN) to the Fund, the tax rate on concessional contributions will increase to the top marginal personal tax rate plus 1.5%. However, if you were a Fund member before 1 July 2007, the higher tax rate only applies if your concessional contributions are above $1,000 p.a. 2. Tax on investment earnings at the rate of 15% less any applicable deductions that may be available to the Fund s investment managers. This tax is deducted from the Fund s investment earnings before being applied to your accounts. 3. Excess contributions tax may apply if your contributions exceed certain caps set by the Government (see right and on page 15). 4. Tax on benefits paid in cash before age 60. The amount of tax payable by members under age 60 depends on a number of factors including: ~ ~ What type of benefit is paid (retirement, resignation, disability or death); ~ ~ Who receives the benefit; ~ ~ Whether you were an Australian citizen or permanent resident when the benefit was paid. For example, if you are a temporary resident who has permanently left Australia you may pay higher tax on your benefit; and ~ ~ How you receive the benefit (e.g. lump sum or pension). If you are over age 60, all super benefits paid from the Fund will be tax free. (Death benefits paid to non-dependants will continue to be taxed.) If you are less than age 60, any lump sum amounts paid to you will consist of two tax components a tax-free component and a taxable component. 5. The superannuation surcharge was an additional tax of up to 15% levied against the Company and before-tax (salary sacrifice) contributions of high income earners. The surcharge was abolished from 1 July 2005; however, the Fund may still receive surcharge assessments from the ATO in the future relating to contributions before 1 July If you have previously rolled over money into the Fund, any surcharge liability transferred will be deducted from your benefit. The Company pays for any surcharge relating to your period of Fund membership as a Kellogg employee. Tax limits A number of caps affect how your super contributions and benefits are taxed. These limits may be indexed annually so refer to the Fund s latest Annual Report for the current limits. The limits given on the right and on page 15 apply for 2009/10 and 2010/11. $25,000 p.a. cap on employer and before- tax contributions A flat $25,000 p.a. cap applies to concessional contributions (see the box to the left). Any concessional contributions above this cap will be taxed at 46.5% (including the 15% contributions tax that applies to all concessional contributions). The amount of Kellogg s contribution that counts toward your $25,000 concessional contributions cap is determined by the Fund s Actuary using a formula set by the Government. This depends on your category as shown below. Category A members A notional amount of salary is treated by the ATO as Kellogg s contribution to count toward your concessional contributions cap of $25,000 p.a. Note: Your own 5.88% pre- tax contribution is included in the notional amount of salary as this amount goes toward providing your defined benefit. Category B members (including casuals) A notional amount of salary is treated by the ATO as Kellogg s contribution to count toward your concessional contributions cap of $25,000 p.a. Transitional limit members over age 50 Transitional concessional contribution limits apply for members over age 50. If you reach age 50 between 1 July 2009 and 30 June 2012, you have a higher concessional limit of $50,000 p.a. from the financial year of your 50th birthday to July For example, a person who turns 50 in January 2010 is able to make $50,000 of concessional contributions in each of the 2009/10, 2010/11 and 2011/12 financial years. If any excess tax applies you will receive an assessment notice from the ATO. You must either pay the excess tax directly to the ATO, or arrange with the Fund to pay the tax on your behalf by deducting it from your accumulation benefit in the Fund. The cost cannot be met from your defined benefit.

17 $150,000 p.a. cap on after-tax contributions Any non-concessional contributions (see box on previous page) you make to super are subject to a cap of $150,000 p.a. If necessary, members under age 65 will be able to bring forward the following two years limits to accommodate larger one-off contributions up to $450,000. The Fund cannot accept lump sum amounts in excess of the cap and any such contributions will be returned to you. If you exceed this cap you will be taxed at the maximum personal tax rate of 46.5%. Any excess non-concessional contributions tax must be paid from your accumulation benefit in the Fund. Providing your TFN Comparison of before-tax and after-tax contributions While providing your TFN to the Fund is not compulsory, it does ensure you don t pay any unnecessary contributions tax. Significant consequences apply to Fund members who have not advised the Fund of their TFN. These include: ~ ~ Taxing all concessional contributions at the top marginal tax rate; and ~ ~ Prohibiting the Fund from accepting any of your nonconcessional contributions. If you have not provided your TFN to the Fund, please contact the Fund s Administrator (refer to page 22 for contact details). Please note, Kellogg is required to pass on the TFNs of all new employees to the Fund (or their nominated super fund) within 14 days of receipt (or when the first contribution to the Fund is made, if later). Definition Income tax Contributions tax Contribution caps Excess contributions tax Eligibility for the Government co-contributions (refer to page 5 for more details) CONCESSIONAL CONTRIBUTIONS (BEFORE-TAX CONTRIBUTIONS) Concessional contributions include Company contributions and personal before-tax (salary sacrifice) contributions. Is not paid. Your gross income is reduced by the amount of superannuation contributions and then tax is paid. Contributions tax of 15% is deducted from your contribution in the Fund if your contributions are less than the concessional cap. A $25,000 p.a. cap applies to concessional contributions. A transitional cap of $50,000 applies for members over age 50 from 1 July 2009 to 30 June If you turn age 50 between these dates, the higher cap applies from the financial year of your 50th birthday to 30 June Any contributions above the cap will be taxed at 31.5%, taking the total contributions tax to 46.5%. You must pay it directly to the ATO or arrange for the Fund to pay it on your behalf. This tax cannot be paid from any part of your super that is in defined benefit form. Are not eligible. NON-CONCESSIONAL CONTRIBUTIONS (AFTER-TAX CONTRIBUTIONS) Non-concessional contributions include after-tax contributions, excess concessional contributions, and some other contributions you make from non-salary sources (e.g. certain overseas transfers). It does not include rollovers or co-contributions. Is paid. Your contribution is taken out of your salary after tax has been paid. You don t have to pay contributions tax if your contributions are less than the non-concessional cap. A $150,000 p.a. cap applies to non-concessional contributions. Members under age 65 can bring forward the following two years limits to accommodate larger contributions up to $450,000. Any contributions above the cap will be taxed at 46.5%. The tax must be withdrawn from your benefit in the Fund. It cannot be paid from any part of your super that is in defined benefit form. Are eligible provided you satisfy other requirements. 15

18 HOW YOUR FUND IS MANAGED 16 Trustee The Trustee of the Fund is Kellogg Superannuation Pty Limited. The sole purpose of this company is to be the Trustee of the Fund. The Trustee s responsibilities are carried out by a Board of six Directors. Half of the Directors are appointed by Kellogg and half are elected by Fund members. Directors of the Trustee are named in the latest Annual Report. The Trustee s main responsibilities are to: ~ ~ Protect your rights as a Fund member; ~ ~ Pay out benefits; ~ ~ Invest the Fund s assets; and ~ ~ Comply with superannuation law. Trust Deed The Trust Deed is the legal document that sets out the rules of the Fund. If there is any disagreement between the Trust Deed and this booklet, the Trust Deed is the final authority. Advisers Professional independent advisers such as investment managers, administrators, consultants, actuaries and auditors can be appointed by the Trustee to help it fulfill its responsibilities. Advisers are named in the latest Annual Report. Fees and insurance premiums Kellogg meets the fees and costs associated with providing the defined benefits in the Fund. The fees and costs associated with running the Fund s accumulation accounts and managing related investments are deducted from the Fund s investment earnings before being allocated to your accounts. Refer to the latest Annual Report for full details of fees and other costs. The cost of death and total and permanent disablement cover is paid by the Fund. No premiums for insurance are deducted from your accounts. Member protection Government legislation limits the amount of fees and charges that can be applied to members with small account balances and/or benefits. The Fund complies with these requirements. Protecting your privacy In order to provide your super benefits and properly manage the Fund, it s necessary for the Fund to hold personal information about you. This information identifies you as a Fund member and typically includes your name, address, date of birth, gender, occupation, salary, Tax File Number and any other required information. The Fund generally collects this information from either you or your employer. Your personal information may be disclosed to the Fund s Administrator and professional advisers, insurers, government bodies, your employer and other parties as required and permitted by law, including the trustee of any other fund you may transfer to. By becoming a member of the Fund, you consent to this handling of your personal information. If you do not provide the Fund with your personal information, the Fund may not be able to provide all of your super benefits. You may request access to your personal information held by the Fund. Should any of your personal information be incorrect, you have the opportunity to correct it. There are, however, some circumstances where you may be denied access to your information. The Fund s Privacy Officer will advise if any of these circumstances apply. The Fund abides by the National Privacy Principles under the Privacy Act 1988 (Commonwealth) and has adopted a Privacy Policy which sets out in detail the way it handles members personal information. If you would like a copy of the Fund s Privacy Policy, please contact the Fund s Administrator. Risks of membership As with any investment, there are certain risks associated with joining this Fund. Some of the risks are common to all superannuation funds. These risks generally fall into two categories investment risks and other risks. Investment risks You need to be aware that the value of any additional voluntary contributions and rollovers you make to the Fund may rise or fall in line with the investment performance of the Fund. There is the risk that if you leave the Fund, you may receive less than the amount of contributions paid in because of taxes, expenses, and low or negative investment returns. Generally, investment risk is the chance that your investment will be different to what you expect. The types of investment risks that may have an impact on your investment in the Fund include: Individual asset risk the risk attributable to individual assets within a particular asset class. Market risk the risk of major movements within a particular asset class. Political risk the risk that current domestic and international political stability will impact your investment. Inflation risk the risk that money may not maintain its purchasing power due to increases in the price of goods and services (inflation). Timing risk the risk that, at the date of investment, your money is invested at higher market prices than those available soon thereafter. Alternatively, it can also mean the risk that, at the date of redemption, your investments are redeemed at lower market prices than those that were recently available or that would have been available soon thereafter.

19 Investment manager risk the risk that a particular investment manager will under-perform (this could be, for example, because their view on markets is wrong, because of their investment style or because they lose key investment personnel). Credit risk the risk that a debt issuer will default on payment of interest and principal. Liquidity risk the risk that you cannot redeem your investment at your chosen time. Currency risk the risk that overseas investments gain or lose value as a result of a falling or rising Australian dollar. You should be aware that investment returns can be volatile and the value of your investments may increase or decrease over time. Also, you should not rely on past performance as an indicator of the future performance of any investments. We recommend you speak to a licensed financial adviser before making any investment decisions. Other risks There is also the possibility that your employer may decide to stop or reduce its contributions to the Fund, amend the Fund s Trust Deed, or even wind up the Fund at some point in the future. This may affect the value of your super account balance or payout. We will keep you informed if any of these things happen. A change in the laws that govern super may also impact on your ability to access your money in the future or affect the tax effectiveness of your super savings. We will keep you informed about any material changes to law that may affect your super. You should discuss any changes with your licensed financial adviser. There is also the risk that the Fund will lose its compliance status and therefore lose its tax concessions. The Trustee manages this risk by ensuring that the Fund is administered professionally, that it operates in accordance with the requirements of the Trust Deed and law, and the Trustee uses the services of a professional consulting firm to keep up to date. The Trustee uses an Insurance Policy to meet part of the benefits payable on death or total and permanent disablement. As a result there are risks associated with conditions imposed by the insurance company. These include the risk that: ~ ~ The maximum amount of cover the insurer is willing to provide is lower than the benefit calculated in accordance with the formula or is insufficient for your needs; ~ ~ You may suffer injury or illness such that you cannot work but not be sufficiently injured or ill to satisfy the Fund s definition of total and permanent disablement in which case an insured benefit may not be paid; ~ ~ The insurance company may decline your cover which may also affect your ability to obtain insurance coverage in the future; and ~ ~ The insurance company may not provide cover if you are required to work overseas for extended periods. 17

20 Family Law and your super Government legislation allows couples to make binding agreements or obtain court orders from the Family Court concerning how each partner s super will be divided upon a marriage breakdown. Your super benefit may need to be adjusted to reflect any agreements or court orders which may be binding on the Trustee. Splitting super entitlements with your spouse will also affect the preservation components of your super and may have tax consequences. You should seek professional advice about the consequences of separation on your super. Legislation provides for eligible people to make enquiries about a member s benefit. Refer to the latest Annual Report for details of the fees that may apply if a request for information is made or your super is split by a court order. Termination of the Fund While Kellogg intends to continue the Fund indefinitely, future events may make it necessary to change the Fund, or Kellogg may reduce, suspend or cease employer contributions to the Fund. In the event that Kellogg goes into liquidation or ceases to carry on business and no other company wants to take on Kellogg s role, the Fund would have to be wound up. If any of these events happened, your benefits may be adjusted accordingly. Loans You can t borrow from the Fund or use your super as security for a loan from any lender. Information available on request As well as sending you regular information and answering your questions, the Trustee can provide you with further information including: ~ ~ The Fund s Trust Deed; ~ ~ The Fund s Risk Management Plan; ~ ~ The Fund s Investment Policy statement; ~ ~ The latest audited Fund accounts; ~ ~ The Fund s Privacy Policy statement; ~ ~ The rules covering the appointment and removal of memberrepresentative Directors on the Trustee Board; ~ ~ The Fund s enquiries and complaints procedures; and ~ ~ A summary of the most recent actuarial report. If you would like to see copies of any of these documents, contact the Fund s Administrator (refer to page 22 for contact details). Generally, there is no charge for this information. Super contributions and bankruptcy Contributions to super made by you (or on behalf of you) may be recoverable by creditors in the event of your bankruptcy. This applies to contributions (excluding Superannuation Guarantee contributions) made on or after 27 July 2006 if these contributions are demonstrated to have been made with the specific intention of defeating creditors. You will be advised if this affects you. Other information The latest Annual Report normally contains information about the following: ~ ~ The Fund s investments and recent investment performance, and relevance of ethical matters when investing; ~ ~ A summary of the financial statements; ~ ~ Fees and charges; ~ ~ Taxation and recent legislative developments affecting your super; ~ ~ The Fund s ERF; and ~ ~ Enquiries and complaints. 18

21 RECEIVING YOUR BENEFIT AND LEAVING YOUR EMPLOYER When you leave Kellogg When you leave Kellogg, the Fund s Administrator will provide you with a statement from the Fund that shows how your benefit was calculated, including: ~ ~ The gross dollar value of your super; ~ ~ How much must be preserved; and ~ ~ Any tax payable on your benefit. They will also seek payment instructions from you. To provide instructions, you should complete a Payment Instructions form. If your benefit is $2,000 or more The Fund has a Retained Benefit facility which allows you to leave your super in the Fund if you leave Kellogg and your benefit is $2,000 or more. You can also: ~ ~ Roll over your benefit to another superannuation fund; ~ ~ Withdraw your benefit in cash, subject to the preservation rules, described on pages 10 11; or ~ ~ Take a retirement income stream from another superannuation fund. See page 21 for further information. On the day you retire or leave employment with Kellogg, your defined benefit is converted to a lump sum amount, which becomes an accumulation benefit. Your former defined benefit receives the earning rate of the Fund s bank account for the first 60 days, or less if you provide payment instructions earlier. If you request that your benefit goes to the Retained Benefit Facility, you then start receiving the Fund s determined rate. After 60 days (if you have not provided payment instructions), your benefit will be automatically transferred to the Retained Benefit facility. Your former defined benefit will then start receiving the Fund s determined rate. In all cases, your Rollover and Voluntary accounts continue to receive investment returns at the Fund s determined rate from the day you leave employment with Kellogg. The determined rate is the Fund s investment return net of applicable tax and management costs. A positive rate increases the amount in your account, while a negative rate reduces your account balance. If your benefit is less than $2,000 If your benefit is less than $2,000, you have 60 days to instruct the Fund s Administrator on how you would like your benefit to be paid. Your options will be set out on the Payment Instructions form sent to you by the Fund s Administrator. On the day you retire or leave employment with Kellogg, your defined benefit is converted to a lump sum amount, which becomes an accumulation benefit. Your former defined benefit receives the earning rate of the Fund s bank account until the benefit is paid. Your Rollover and Voluntary accounts will continue to receive investment returns at the Fund s determined rate from the day you leave employment with Kellogg. The determined rate is the Fund s investment return net of applicable tax and management costs. A positive rate increases the amount in your account, while a negative rate reduces your account balance. If you don t provide instructions within 60 days of leaving Kellogg, or your chosen fund refuses to accept your benefit, your benefit will be transferred to an Eligible Rollover Fund (ERF). An ERF is designed for holding unclaimed money and has been approved by the Australian Prudential Regulation Authority. The ERF currently used by the Fund is: AUSfund PO Box 2468 Kent Town SA 5071 Phone: Fax: admin@ausfund.net.au Contact: The Administrator Refer to the latest Annual Report for more information on the Fund s ERF. Retained Benefit facility If you leave Kellogg and do not provide payment instructions within 60 days, your super benefit will be automatically transferred to the Fund s Retained Benefit facility if it is $2,000 or more. The amount of your lump sum super benefit will become the opening balance of your new Retained Benefit account. Your account will receive the investment return net of management costs at the determined rate. You can access your benefits at any time subject to the preservation rules described on pages If you leave the Fund, your benefit will be the balance of your account. You may be able to continue your death-only insurance by purchasing a personal policy with the Fund s insurer provided you are under age 60 and apply within 60 days of leaving Kellogg (see page 13 for details). 19

22 If you have any enquiries about the Retained Benefit facility, you should contact: The Fund s Administrator Kellogg Retirement Fund Mercer Human Resource Consulting GPO Box 4303 Melbourne VIC 3001 Phone: Fax: (03) kelloggretirementfund@mercer.com Fees There is no fee to establish a Retained Benefit account. However, the following costs may apply: ~ ~ An administration fee which is deducted from your account; ~ ~ A management fee which is deducted from the Fund s determined rate; ~ ~ An investment management fee which is deducted from the earning rate before the determined rate is set; ~ ~ A withdrawal fee will be deducted from any withdrawals made from the Fund; and ~ ~ Family law fees apply for family law matters. Refer to the Fund s latest Annual Report for full details on the fees that apply. Making after-tax contributions You can make lump sum contributions or rollovers into your Retained Benefit account at any time. However, you cannot make before-tax contributions to the Fund or have your new employer make regular contributions to the Fund for you. To make contributions, you should send a cheque made payable to the Kellogg Retirement Fund to the Fund s Administrator (see page 22 for contact details). To make a rollover you should complete a Member Transfer/Rollover Authority available from the Fund s Administrator (see page 22 for contact details) or from the Fund s website at www. krf. superfacts.com. Caps apply to the amount that you may contribute to super at concessional tax rates. Refer to pages for more details. Withdrawals You can make withdrawals from your Retained Benefit account at any time as a rollover to another superannuation fund or as a cash withdrawal subject to the preservation rules described on pages You must withdraw a minimum of $1,000 (or the balance of your account if less than $2,000). Tax and fees will be deducted if applicable. Refer to page 14 for details of the taxes that may apply. 20

23 ENQUIRIES AND COMPLAINTS Retirement income streams (pensions) Once you reach your preservation age (generally at least age 55) you may be able to access your superannuation as a pension. There are generally two types of pension available: ~ ~ An Account-Based Pension including a Transition to Retirement Account-Based Pension; and ~ ~ An annuity. Account-Based Pensions provide a regular income while a balance remains in your account. An annuity provides regular payments for a specified period. The Fund does not directly offer pensions to members. In order to obtain a pension, you would need to transfer your superannuation to another superannuation fund. Taking a Transition to Retirement Pension A Transition to Retirement Pension can be taken while you continue to work once you reach your preservation age. Transition to Retirement Pensions generally do not allow your lump sum super to be converted into cash (except in limited circumstances) prior to your retirement from the workforce. The Fund does not directly offer Transition to Retirement Pensions to members, however, you can access such a pension by making a portability transfer (see page 11 for details) to another superannuation fund. While receiving a Transition to Retirement Pension, Kellogg will continue to contribute to your super in the Fund and you can also make member contributions to the Fund while you are still working. If you are nearing your preservation age and are interested in knowing more about retirement income streams including Transition to Retirement Pensions, it may be worthwhile discussing your options with a licensed financial adviser. Refer to the Fund s latest Annual Report for details on how to obtain financial advice. Most queries can be sorted out over the phone, but if we are unable to help you immediately, you may be asked to put your question in writing. You can write to: Enquiries and Complaints Officer Kellogg Retirement Fund Wentworth Avenue Pagewood NSW 2035 We will generally reply to your enquiry within 28 days. By law we are required to try and resolve any complaints within 90 days. Sometimes further time is required for complicated matters. If we need more time we will let you know. If you have a complaint and you are not satisfied with the response, or the matter can t be resolved within 90 days, you may be able to refer the matter to the Superannuation Complaints Tribunal (SCT). The SCT is an independent government body which is set up to help resolve disputes between super funds and their members. Any complaints must be lodged with the SCT within certain time limits. Please note that there are some complaints that the Tribunal cannot consider, such as those relating to the management of the Fund as a whole. In addition, time limits apply to certain complaints relating to total and permanent disability claims and to complaints about objections to the payment of death benefits. If your complaint is in relation to one of these areas, please contact the Fund s Administrator or refer to the Tribunal s website at as soon as possible for further information. For more information you can contact the SCT on or write to: Superannuation Complaints Tribunal Locked Bag 3060 GPO Melbourne VIC info@sct.gov.au 21

24 ONLINE SERVICE The Fund provides online services to members through its website at This secure website makes it easy to manage your super online. Using a PIN, you can: ~ ~ See what your super s worth; ~ ~ Update your personal information including your nominated beneficiaries; ~ ~ Check your contribution details; and ~ ~ View a history for your account. You can also download the Fund s latest publications and forms. The website also has articles and planning tools to assist you to manage your super. FURTHER INFORMATION If you have any questions about the Fund or wish to contact the Trustee, please contact: The Fund s Administrator Kellogg Retirement Fund Mercer (Australia) Pty Ltd GPO Box 4303 Melbourne VIC 3001 Phone: Fax: (03) kelloggretirementfund@mercer.com 22 Issued by Kellogg Superannuation Pty Limited (ABN ) as Trustee of the Kellogg Retirement Fund (ABN ). 20 May 2011.