NESS Pension Product Disclosure Statement (NESS Pension PDS)

Transcription

1 NESS Pension Product Disclosure Statement (NESS Pension PDS) 30 September 2017 Power up your retirement with a NESS Pension This Product Disclosure Statement is issued by NESS Super Pty Ltd ABN AFSL Trustee of NESS Super ABN

2 Contents 1. NESS Pensions 1 Making it super easy to retire 2. NESS Pensions 3 Flexible, low-fee with the advantages of super a. NESS Transition to Retirement Pension b. NESS Account Based Pension 3. At a glance summary 10 Choose the right NESS Pension for you 4. Getting started 11 Step 1. Choose your NESS Pension Step 2. Decide how much to invest Step 3. Select your pension payment Step 4. Make your investment choice Step 5. Nominate your beneficiaries Step 6. Manage your NESS pension online Step 7. Complete and return the forms 5. Investment options Fees and other costs Tax Additional information How to apply Forms Contact us Back cover Before you open a NESS Pension This Product Disclosure Statement (PDS) contains general information only and does not take account of your individual financial objectives, financial situation or needs. We recommend that you seek financial advice if you need help before investing in this financial product. The value of investments in NESS Pension or any underlying investment options may rise and fall from time to time. The NESS Super Trustee (Trustee) does not guarantee the investment performance, earnings or return of capital invested in any of the investment options of NESS Pension made available to members through this PDS. NESS Pension is governed by a legal document called a Trust Deed. If there is any discrepancy between the Trust Deed and this PDS, the Trust Deed prevails. While the Trustee has taken all due care in the preparation of this PDS, it reserves the right to correct any errors and omissions. The information contained in this PDS is current at the date of its preparation. However, some of the information can change from time to time, for example fees or the structure of investment options. We will issue a supplementary or replacement PDS if there is a materially adverse change of information to this PDS or a materially adverse omission from this PDS. For other changes and information about the performance of an investment option, you can call us on for an update or visit our website at nesssuper.com.au We can send you the updated information, free of charge. Our philosophy At NESS Super, our focus is on providing employers and members with simple, yet comprehensive super. As a fund that exists solely to service the electrotechnology industry, we concentrate on providing the greatest possible value to our employers and members. We do this by offering competitive pension products, investment returns, and efficient on-line solutions, while keeping fees low. And, most importantly, we don t spend our members money on unnecessary advertising and sponsorships. This Product Disclosure Statement is issued by NESS Super Pty Ltd ABN (RSE Licence No. L ) as Trustee of NESS Super ABN (RSE Registration No. R ) Australian Financial Services Licence No NESS Pension Product Disclosure Statement

3 1. NESS Pensions Making it super easy to retire NESS Super can keep your money working for you and take the stress out of retiring. Our flexible NESS Pensions allow you to continue to invest your super and receive a regular income when you are nearing, or have reached, retirement. Working, but nearing retirement A NESS Transition to Retirement Pension (NESS TTR Pension) lets you work less and draw on your super or build up your super savings before you retire fully. This could work for you if you re planning to work part-time and use your super to top up a reduced salary. Or you may want to keep working but boost your super in the lead up to retirement. No longer working, fully retired A NESS Account Based Pension lets you stop work and use your super savings to provide a regular income. It s ideal if you want to use your super to generate a regular income in retirement and keep your super invested in a taxfriendly environment. See page 4 for more See page 8 for more The NESS TTR Pension has the same features and benefits as the NESS Account Based Pension, but with some extra conditions around withdrawals and how investment earnings are taxed. Why a NESS pension Flexible, low-fee, professionally managed income with the tax advantages of super. Choose how much you get paid within Government limits. Choose how often twice monthly, monthly, quarterly, half-yearly or yearly payments. Paid directly into your bank account making it convenient and easy. Choose how you want your money invested in one or any combination of six investment options for the NESS Account Based Pension, designed to suit people in retirement, and in one or any combination of seven investment options for the NESS TTR Pension. Keep track of your money online manage your payments, investment choice and update your details online, anytime with Pension Member Access. Pay less tax no tax is payable when you transfer money from your NESS Super account to a NESS Pension account. If you re under age 60, you ll pay reduced tax on your payments, but if you re age 60 or over, no tax is payable on your income payments or lump sum withdrawals. Pay low fees our fees are competitive and there are no commissions. NESS Super is a not-for-profit industry super fund, which means lower fees for you. Take care of loved ones you can set up your NESS Pension so that your spouse (including de facto and same-sex partner) or dependant(s) can continue to receive any remaining income payments, or a lump sum, after your death

4 Why NESS Super We re Australia s super fund for the electrotechnology industry, providing simple, yet comprehensive super and pension solutions. At NESS Super, our focus is on providing employers and members with the greatest value from super. We do this by offering strong investment returns, affordable insurance and efficient online solutions, while keeping fees low. Importantly, we don t spend our members money on unnecessary advertising and sponsorships. Ready to take the next step? Starting a NESS Pension requires careful planning. This PDS explains how our pensions work, the benefits, the fees and how to open an account. Through our financial planning partner, Link Advice^, you can access general and simple personal advice over the phone about a NESS Pension and your retirement planning options. There s no additional cost for our phone based advice as this is included in your NESS membership. Call Link Advice^, on If you re ready to apply, you can: do it yourself: read the step-by-step instructions on page 11 and complete the NESS Pension Application Form let us help you: give us a call on ^ Advice is provided by Link Advice Pty Limited ABN AFSL No NESS Pension Product Disclosure Statement

5 2. NESS Pensions Flexible, low-fee with the advantages of super Super is there to provide you with greater financial security and independence in retirement. Once you reach your preservation age or reach a condition of release (see below), you can access your super to help you wind down your working hours or completely replace your income when you stop work altogether. Date of birth Preservation age Before 1 July July 1960 to 30 June July 1961 to 30 June July 1962 to 30 June July 1963 to 30 June After 30 June Condition of release Under super law, you are considered to be in retirement phase if you: Reach preservation age and permanently retire from the workforce Leave your employer on or after age 60 (even if you start another job) Reach age 65 Become permanently incapacitated (at any age). NESS Super offers a choice of two pension accounts that allow you to invest your super monies in a tax-effective way and draw a regular income: 1 NESS Transition to Retirement Pension or NESS Account Based Pension 2 Choose the pension that s right for you

6 NESS Transition to Retirement Pension (NESS TTR Pension) Reached your preservation age and still working? Let your super do the work while you ease off If you want to move to part-time work but don t want to reduce your take-home pay, a NESS TTR Pension lets you access your super to top up your income while you ease into retirement. You can open a NESS TTR Pension if you re: under age 65 and have reached your preservation age (see page 3) still working, and a NESS Super member. How it works You open a NESS TTR Pension by transferring a lump sum from your NESS Super account (a minimum of $20,000), leaving enough in your NESS Super account to cover ongoing administration, insurance and other fees. You receive regular payments from your NESS TTR Pension to top up your income. Your annual income payment must be between 4% and 10% of your TTR account balance (see page 10). You keep your NESS Super account open and continue to pay in super contributions. Benefits of a NESS TTR Pension potentially pay less tax increase your savings potential to build wealth top up your take-home pay How can I boost my super? You can salary sacrifice to your super and pay 15% tax, which may be lower than your marginal tax rate (assuming you earn less than $250,000 a year and do not exceed the before-tax contribution cap of $25,000). Or, you could add a lump sum to your super as an after-tax contribution, for example your tax refund or an inheritance, provided you do not exceed the after-tax contribution cap of $100,000 a year with a three year bring forward ($300,000) for those under 65. Individuals with a total superannuation balance of $1.6 million or more are not eligible to make after-tax contributions. On 1 July 2017, a number of super tax changes came into effect, including: 1. investment earnings in TTR pensions will be taxed up to 15%. 2. before-tax contributions cap of $25,000 for everyone (including SG contributions, salary sacrifice and employer additional contributions). Previously, it was $30,000 if you re 49 or under and $35,000 for those 50 and over. 3. after-tax contributions cap has also reduced from $180,000 to $100,000 a year and the three-year bring forward amount has reduced from $540,000 to $300,000 (if you re under age 65). 4. if your income is $250,000 or higher, you will pay an additional 15% tax on before-tax contributions. As transition to retirement strategies can be complex, we recommend you seek independent financial advice to see if the strategy is right for you. 4 NESS Pension Product Disclosure Statement

7 CASE STUDY 1: Ian winds down to part-time work Ian is 57 and would like to move to a 4-day week, without changing his take-home income. He moves $200,000 of his super into a NESS TTR Pension and leaves $10,000 in his NESS Super account, to which he continues to pay super contributions. Ian uses his NESS TTR Pension to top-up his reduced 4-day week salary. To do this he sets his NESS pension payments at 4.9% per year. Here s how it works: Current (work 5 days) ($) With a NESS TTR Pension (work 4 days) ($) Gross income 60,000 48,000 TTR pension income 1 0 9,722 Taxable income 60,000 57,722 Minus tax & Medicare Levy 2-12,147-9,869 Take home pay 47,853 47,853 Take home pay stays the same With a NESS TTR Pension, Ian s after-tax income can stay the same, even though he s working less. Ian s strategy above uses these assumptions: 1. the amount of TTR pension that can be withdrawn each year by Ian must be between the legislated minimum 4% and maximum 10% of the account balance. Ian is drawing the amount of pension necessary (in this example 4.9%) to replace the income he has lost by reducing his work to a 4-day week, so that his take home pay stays the same. 2. under the TTR strategy, Ian s tax is reduced by a pension rebate equivalent to 15% of his pension income. Age 60 or over? A TTR could help you build wealth In some situations, a TTR can help you build wealth while you are still working. Generally, to benefit from this you need to: be 60 or over and want to continue to work full-time to take advantage of potential tax benefits be able to make before-tax contributions to super (known as salary sacrifice) be in a financial position to salary sacrifice a large percentage of your pay. To make sure a TTR strategy is right for you, we recommend you get professional financial advice. As a NESS Super member you can access advice at no additional cost through LinkAdvice^. To get advice, you can: do it yourself: call Link Advice^ on let us help you: give us a call on ^ Advice is provided by Link Advice Pty Limited ABN AFSL No

8 NESS Transition to Retirement Pension (continued) CASE STUDY 2: Helena works the same hours and boosts her super Helena is age 60 and earns $60,000 a year. She has $200,000 in super and decides to start a NESS TTR Pension with $180,000 and salary sacrifice $12,000 into her NESS Super account. Let s look at the difference this makes to Helena s super and her net income: Income Current ($) With a NESS TTR Pension ($) Gross annual income (salary) 60,000 60,000 Minus salary sacrifice ,000 TTR pension income 2 0 7,680 Taxable income 60,000 48,000 Minus tax & Medicare Levy 3-12,147-7,827 Annual take home pay 47,853 47,853 Take home pay stays the same Super Current ($) With a NESS TTR Pension ($) Super contributions: employer contributions 5,700 5,700 Super contributions: salary sacrifice 0 12,000 Investment returns 4 12,600 12,600 Minus contributions tax ,655 Minus TTR pension drawdown 0-7,680 Minus tax on earnings 6-1,134-1,134 Annual net gain in super 16,311 18,831 Tax $2,520 more goes into super Current ($) With a NESS TTR Pension ($) Total tax paid 7 14,136 11,616 Combined tax savings 2,520 Tax savings are now in super 6 NESS Pension Product Disclosure Statement

9 Helena s strategy above uses these assumptions: 1. Helena s maximum concessional super contribution is $25,000 for 2017/ The amount of TTR pension that can be withdrawn each year by Helena must be between the legislated minimum 4% and maximum 10% of the account balance. Helena is drawing the amount of pension necessary (in this example 4.3%) to replace the income she has lost through salary sacrifice, so that her take home pay stays the same. 3. Investment returns are based on earnings of 7% and have only been calculated on Helena s current super and pension account balances. They do take account of returns on the current year s super contributions. In practice, investment returns would start to accumulate on contributions when they are received by the fund. 4. Concessional super contributions (employer and salary sacrifice contributions) are taxed at a rate of 15% when they are received by the super fund. 5. Investment returns are taxed at a maximum of 15%, however, the overall tax rate is often lower due to offsets such as dividend imputation credits that reduce tax payable. For this case study we have adopted an average tax rate of 9% on super fund earnings. Investment returns on a TTR pension account are now taxed at up to 15%. 6. This is the total of income tax, super contributions tax and tax on investment earnings. A TTR strategy to build wealth can be complex. If this is of interest to you, call Link Advice on to discuss your needs and whether it could work for you. Tell us when you re ready to retire fully and enjoy tax-free investment earnings! While you have a NESS TTR Pension, your investment earnings are taxed at up to 15%. Once you reach retirement phase (see page 3), this tax no longer applies. It s important you tell us when that happens, so we can transfer your investment into a NESS Account Based Pension, where no investment earnings tax applies. Remember, there s a $1.6 million limit on how much you can transfer to a tax-free retirement income stream

10 NESS Account Based Pension Fully retired? Sit back, relax and enjoy a regular income Once you ve left work altogether, you can use a retirement income stream to draw a regular income while your super savings stay invested in a tax friendly environment. That way you can spend your time enjoying retirement while your super savings work for you. You can open a NESS Account Based Pension if you: have reached your preservation age (see page 3) have stopped working, and transfer some (a minimum of $20,000) or all of your super to a NESS Account Based Pension. How it works You open a NESS Account Based Pension by transferring a lump sum from your NESS Super account (a minimum of $20,000). What if I need more money? You can withdraw money at any stage you re not locked in. This is useful if you want to make a lump sum withdrawal. Remember though, if you invest a lump sum yourself, you may pay tax on the income at your marginal tax rate. You receive regular income payments and/or lump sum withdrawals (see page 15) from your NESS Account Based Pension. You choose the amount of income you receive, as long as you withdraw at least the Government prescribed minimum payment, as a percentage of your account balance each year (see page 14). Benefits pay no tax on your income payments once you reach 60 investment earnings are tax free (up to the transfer balance cap, currently $1.6 million) control your income and investments without the stress of managing your money on your own you enjoy a regular retirement income you decide where your money goes when you die What about Centrelink? Your NESS Pension will be counted for both assets and income tests by Centrelink. However, Centrelink allows a substantial offset in the income test. To find out more, contact Department of Human Services on or visit humanservices.gov.au. New $1.6 million cap From 1 July 2017 a transfer balance cap of $1.6 million will apply to how much you can transfer from super into a tax-free retirement income account. The cap applies to the total combined amount of superannuation that has been transferred into retirement phase, it does not matter how many accounts these balances are held in. If you exceed the cap you will be required to remove the excess (including notional earnings on the excess capital). 8 NESS Pension Product Disclosure Statement

11 CASE STUDY 1: Frank retires fully Frank is age 65 and has decided it s time to stop work. Having relied on a regular income during his working life, he likes the idea of drawing a regular income in retirement. He decides to move all of his $200,000 super across to a NESS Account Based Pension. Frank decides he needs $20,000 a year for living expenses, so he sets his NESS pension payments at 10% a year. Let s have a look at Frank s account balance at the end of 12 months. Super With a NESS Account Based Pension ($) Opening balance 200,000 Less income payments for the year -20,000 Plus investment returns 1 13,300 Less fees 2-2,111 Balance after 12 months 191,189 Even after drawing $20,000 from his account and having fees deducted, Frank s account balance is only $8,774 less than at the beginning of the year. Importantly, in this example Frank has not paid any tax on his investment returns or the payments made from his NESS Account Based Pension account as he is over age 60. Frank s strategy above uses these assumptions: 1. investment returns based on earnings of 7% p.a. The investment earning is based on an average balance through the year after pension payments but excluding fees 2. fees of $2,111 based on NESS Pension moderate option (see more about fees and other costs on page 26). Control your income and investments without the stress of managing your money on your own

12 3. At a glance summary Choose the right NESS Pension for you NESS Transition to Retirement Pension NESS Account Based Pension Minimum initial investment $20,000 $20,000 Minimum annual payment Account balance x pension factor of 4% if you are under age 65 Account balance x Pension factor of between 4% and 14%, depending on your age Refer to the percentage factor table on page 14. Maximum annual payment Account balance x 10% No maximum Payment frequency You choose: twice monthly (15th or 28th) monthly (15th) quarterly (15th) half-yearly (15th) yearly (15th) You choose: twice monthly (15th or 28th) monthly (15th) quarterly (15th) half-yearly (15th) yearly (15th) You can nominate a dif erent payment date if you choose quarterly, half-yearly or yearly payments Payments made To your bank account by EFT To your bank account by EFT Rollbacks, withdrawals and commutation Yes: You can rollback. You can make a one-off withdrawal in addition to your regular payments (minimum of $1,000 applies) But: You cannot generally make a full or partial lump sum commutation unless you are age 65 or have fully retired. Yes You can rollback. You can make a one-off withdrawal in addition to your regular payments (minimum of $1,000 applies) You can make a full or partial lump sum commutation so long as you have reached your pro-rata minimum regular payment (a minimum of $1,000 applies). Find out more about withdrawals and commutation on page 16. Investment options Choice of seven taxed investment options or a combination of the seven. Choice of six tax-free investment options or a combination of the six. Refer to Investment options on page 22. Investment fee Fee depends on option chosen Fee depends on option chosen Refer to page 26. Administration fee Exit fee and withdrawal fee $1.50 per week plus 0.25% of your NESS Pension account balance up to a maximum of $650 per year * on each full or partial commutation from your Pension Account Estate planning Flexibility to make a: Reversionary beneficiary nomination Binding or non-binding beneficiary nomination $1.50 per week plus 0.25% of your NESS Pension account balance up to a maximum of $650 per year * on each full or partial commutation from your Pension Account Flexibility to make a: Reversionary beneficiary nomination Binding or non-binding beneficiary nomination Refer to the Fees and other costs on pages 26 to 29. Refer to page 20. Cooling-off period 14 days 14 days Refer to page 33. This table is a summary only. We encourage you to read this PDS before making any investment decisions. *Indexed each year in line with annual changes in the Wage Price Index for the March quarter. Ready to apply? Follow the steps on page 11 or call us on and let us help you. 10 NESS Pension Product Disclosure Statement

13 4. Getting started Opening a NESS Pension is easy! Just follow the steps below Choose your NESS Pension see page 12 Read this guide carefully Check that you can access your super Decide which NESS Pension account suits you Consider the risks Decide how much to invest see page 13 Bring your super together Choose how much to transfer from your super Select your pension payment see page 14 Choose how much and how often you get paid Make your investment choice see page 17 Who is managing your investment? Look at your investment options Decide how you d like your NESS Pension account invested Nominate your beneficiaries see page 20 Let us know how you want your benefit paid if you die Manage your NESS Pension online see page 21 It s easy to stay in touch with your NESS Pension using Pension Member Access Complete and return the forms at the back of this guide or simply go to the Pension tab in Your Member Access and join NESS Pension online* Need help opening your NESS Pension? Through our financial planning partner, Link Advice^, you can access general and simple personal advice over the phone about a NESS Pension and your retirement planning options. There s no additional cost for our phone based advice as this is included in your NESS membership. Call Link Advice on ^ Advice is provided by Link Advice Pty Limited ABN AFSL No * Available from 1 September

14 4. Getting started continued STEP 1 Choose your NESS Pension Read this guide carefully You should read this guide carefully and ensure you understand the information provided, including: The fees and costs see page 26 How your pension account is taxed see page 30. Check that you can access your super If you are a NESS Super member, have reached your preservation age or about to fully retire (see page 3) and have at least $20,000 to invest, you can join a NESS Pension. Decide which NESS Pension account suits you The right NESS Pension account for you depends on your retirement plans and whether you re eligible to access your super: If you want to ease into retirement by reducing your working hours but want to supplement your reduced income, a NESS TTR Pension could be the answer (see page 4 for more information). If you want to keep working full-time, a NESS TTR Pension could help you boost your super using the tax savings of salary sacrifice (see page 4 for more information). If you want to receive a regular income after you retire, a NESS Account Based Pension could be right for you (see page 8 for more information). Consider the risks As with any investment, there are certain risks associated with receiving your super benefit as an income stream. These include the risk that: your money may run out a NESS Pension is a not a lifetime pension, there is no guaranteed payment period any negative investment returns earned by your chosen investment option will reduce your account balance your income payments do not keep pace with inflation your eligibility for the Age Pension or other Centrelink benefits may be impacted the fund will close or wind up (if that were to happen, the Trust Deed determines how the Trustee must act) changes to superannuation law and taxation laws may affect your income account, including your ability to access your super benefits, how your super benefits and income payments are taxed and the value of your super benefits or income payments. There are also investment risks see Step 4 Make your investment choice, which forms part of this PDS on page NESS Pension Product Disclosure Statement

15 STEP 2 Decide how much to invest Funding for your NESS Pension It s important to get all your super money together first! Your NESS Pension account can be paid for only with money from your super account. Once you start your pension payments, you can no longer contribute to your pension account so you may wish to obtain financial advice regarding the consolidation of your super accounts before commencing your pension. If you want our help to consolidate your super accounts, please complete a Consolidate my Super into NESS Super Form located at the back of this PDS. A separate form is required for each account balance being transferred to NESS Super. Alternatively, if you are a NESS Super member, simply login to MemberAccess and click the Consolidate Super tab. Further forms can be downloaded from our website nesssuper.com.au or contact us on If you tell us that you will be transferring other super balances into NESS Super, we will commence the transfer into your NESS Pension account once all payments are received. All money being used to fund your NESS Pension account must be received by NESS Super before your pension can commence. Choose how much to transfer from your super To open a NESS Account Based Pension account, you ll need to transfer an amount (at least $20,000) from your existing super account. Similarly, you can start a NESS TTR Pension with $20,000 but you must leave a minimum amount in your NESS Super account to cover ongoing administration, insurance and other fees. It s important to get all your super money together before you open your NESS Pension

16 4. Getting started continued STEP 3 Select your pension payment Choose how much and how often you get paid Regular income payments A NESS Pension is designed to provide a flexible income stream to meet your financial needs. You choose how much income you receive (within the government s set minimum and maximum limits) as well as how often you receive your money twice monthly, monthly, quarterly, half-yearly or yearly. You can change your income or the frequency of your payments twice a year on 1 July and at one other time of your choice. The amount of income you choose will depend on your retirement goals and a legislated minimum annual income limit. According to government regulations you must: choose a payment amount at or above your minimum annual income limit receive at least your minimum payment each financial year receive at least one income payment each financial year (except for the first year where the pension commences after 1 June). New $1.6 million cap From 1 July 2017 a transfer balance cap of $1.6 million will apply to how much you can transfer from super into a tax-free retirement income account. The cap applies to the total combined amount of superannuation that has been transferred into retirement phase, it does not matter how many accounts these balances are held in. If you exceed the cap you will be required to remove the excess (including notional earnings on the excess capital). Minimum and maximum annual limits The government has set minimum and maximum payment limits in respect of withdrawals from your NESS Pension account each financial year. The minimum annual payment is based on your age and is calculated as a percentage of your account balance at 1 July: Age* Minimum annual payment** Under 65 4% % % % % % % * Pensioner s age at 1 July in financial year when the income payments are to be made or in the financial year income payments commence. ** Percentage of account balance on 1 July in the financial year when the income payments are to be made. If you have a NESS TTR Pension the maximum annual payment is 10% (as at 1 July in the year the payments are to be made). There is no maximum for the NESS Account Based Pension. EXAMPLE: Let s look at two NESS Pension members, one fully retired and one using a TTR strategy: Kate is 66 and retired with a NESS Account Based Pension balance of $150,000. Murray is 64 and still working with a NESS TTR Pension account balance of $250,000. Minimum limit Maximum limit How calculated Kate $7,500 None Minimum = 5% x $150,000 = $7,500 Murray $10,000 $25,000 Minimum = 4% x $250,000 = $10,000 Maximum = 10% x $250,000 = $25, NESS Pension Product Disclosure Statement

17 How often and when you get paid You can choose to receive your income payments twice monthly, monthly, quarterly, half-yearly or yearly. Your payments are made on the following days: How often Twice monthly Monthly Quarterly Half-yearly Yearly Pay dates 15th day and 28th day of each month 15th day of each month 15th March 15th June 15th September 15th December (or quarterly months you nominate) 15th June and 15th December (or halfyearly months you nominate) 15th June (or month you nominate.) If your payment day falls on a public holiday or weekend, your payment will be processed on the previous business day. Convenient payments For your safety and convenience all NESS Pension income payments are made directly to your nominated bank, building society or credit union account. Payments can only be made into an account in your name (including joint accounts). There is no fee for receiving income payments, however a fee will apply in respect of any full or partial commutations of your pension account balance. If you wish to change your banking details, notify us by completing a NESS Pension Change My Membership Details Form available at nesssuper.com.au or by calling us on Annual review of payment details Each year we ll send you an annual statement, showing your new minimum income limit (and the maximum if applicable) and payment details for the new financial year. Your new payment details will apply from 1 July. You can also change your payment details at one other time during the year online via Pension Member Access or by completing a NESS Pension Change My Membership Details Form available from nesssuper.com.au. You can choose to receive your income payments twice monthly, monthly, quarterly, half-yearly or yearly

18 4. Getting started continued Access to more money There are two options available if you require more than your regular income payment: one-off income payments full or partial commutations. There is a $70.91* fee to make a withdrawal in addition to your regular income payments, however, different taxes and conditions apply to one-off income payments and full or partial withdrawals. The following table compares withdrawal types: Age* NESS TTR Pension NESS Account Based Pension One-off income payment Paid in addition to your regular payments, regardless of whether you have met your minimum annual limit or not. Full or partial commutation Paid in addition to your regular payments, but you must have met your prorata minimum annual limit before a commutation can be paid. $1,000 minimum amount One-off payments can only be made if they do not put you over your maximum annual limit of 10%. Only in limited circumstances: you wish to cash your unrestricted non-preserved portion of your benefit on compassionate grounds to pay a superannuation surcharge debt to meet a Family Law payment you transfer your NESS TTR Pension into an accumulation super arrangement you transfer your NESS TTR Pension into another non-commutable income stream you retire from the workforce. $1,000 minimum amount No maximum applies $1,000 minimum applies No maximum applies To ensure withdrawals are paid within government guidelines, there could be a small delay in processing your request. Please call us if you have any queries about the timing of payments. * Indexed each year at 1 July in line with annual changes to the Wage Price Index for the March quarter. A NESS Pension and Centrelink benefits Your NESS Pension may affect your eligibility for government income support, including the government age pension. Your account is assessable by Centrelink for the asset test and income test. In accordance with government requirements, we will provide Centrelink with details of members account balances electronically. For more information about this process, please call us on As one-off income payments are included in your assessable income you need to report these payments to Centrelink and they may impact your Centrelink entitlements. Full or partial commutations are not included in your assessable income but still need to be reported to Centrelink and may impact your entitlements. How long payments continue Payments from your NESS Pension account stop when your account balance reaches zero. How long that takes will depend on factors such as: how much you initially invest how much you draw down as regular payments if you make any one-off withdrawals or commutations how your chosen investment option(s) perform how much is deducted from your account in fees and costs. For more information about your Centrelink entitlements, please call Centrelink on NESS Pension Product Disclosure Statement

19 STEP 4 Make your investment choice Everyone is different and has different priorities about how they would like their super savings invested. That s why NESS offers you a choice of flexible investment options across both the NESS TTR Pension and NESS Account Based Pension to suit any style of investor. The link between risk and return Higher POTENTIAL RETURN Lower 0 RISK CASH FIXED INTEREST PROPERTY SHARES Higher Generally, investment in high risk assets will produce higher returns over the long term, with a greater chance of a negative return over the short term. Each of the four main asset classes cash, fixed interest, property and shares has different levels of risk and different potential for returns. Standard Risk Measure The Standard Risk Measure is based on industry guidance to help members compare investment options. The Standard Risk Measure indicators on pages 22 to 25 grade investment options across risk bands from very low risk (band 1) to high risk (band 6), based on the estimated number of negative annual returns you can expect over any 20 year period. For example, an investment option with a band 1 risk could be expected to produce a negative return once in any 20 year period. How do I make an investment choice? When you set up your NESS Pension, you can choose one or more investment options to invest in and you can nominate which investment option/s your payments should come from. If you don t nominate the option/s from which you want to be paid, your payments will be made in the same proportion as your current balance investment instructions. For example, if you nominate to investment your balance 60% in Cautious and 40% in Moderate, we will draw your income payments in the same 60:40 ratio from those two options. If there s not enough money in your chosen investment option/s for a payment to be made, your selection will revert to the other investment option you have chosen. What will happen to my NESS TTR Pension investments when I reach a condition of release? If you have a NESS TTR Pension and you meet one of the following conditions of release: Reaching age 65; Permanently retiring from the workforce after you reach your preservation age; or Ceasing an employment arrangement on or after age 60; Your investments can be transferred to the NESS Account Based Pension Investments. Upon reaching age 65, your investments will be automatically transferred to the following investment options (unless you advise us otherwise): TTR Pension Investment Option High Growth NESS MySuper Stable Cash Australian Shares Overseas Shares Property Account Based Pension Investment Option Pension Aggressive Pension Moderate Pension Conservative Pension Cash Pension Aggressive Pension Aggressive Pension Aggressive If you have met another condition of release prior to reaching age 65, please contact our Contact Centre of

20 4. Getting started continued How do I change my investment choice? You can request to change which investment option/s your NESS Pension account balance is invested in, or change the investment option/s that your pension payments are made from, as follows: through Pension MemberAccess at nesssuper.com.au. If we receive your electronic notification by pm (Sydney Australia time) on a Monday, the investment switch will become effective on the following Thursday. Requests submitted after this time will be processed the following week. by completing a NESS Pension Change My Investment Choice Form, available from the Pension section of our website nesssuper.com.au, or by contacting us on If we receive your completed form in the mail by 5.00 pm (Sydney Australia time) on a Monday, the investment switch will become effective on the following Thursday. If the Monday is a public holiday, your form must be received by 5.00 pm (Sydney Australia time) on the last business day prior to the Monday to be effective the following Thursday. Forms received after this time will be processed the following week. You will receive a letter of confirmation following the processing of your request. Your next member statement will reflect your current investment choices. We remind members that super is a long-term investment. While it might be tempting to change your investment based on the recent performance of certain asset classes, this may not give you the best results in the long term. We recommend that you seek professional investment advice, if required, to select the investment options that will achieve your personal objectives in retirement. Socially responsible investment Labour standards, environmental, social or ethical considerations are not taken into account for any of the investment options made available through this PDS by: the Trustee in the development of its investment strategy for those options, or the investment managers appointed for those options in their investment decision making process. Use of derivatives While the Trustee does not directly invest in derivative securities, investment managers are permitted to use futures, options and other derivative instruments to assist with the effective management of NESS Super s assets, consistent with the Trustee s Investment Policy. However, these instruments may not be used to gear the portfolio. The Trustee expects that, over the long term, the use of these instruments will enhance the returns of NESS Super s investment options. History of returns The six Account Based Pension investment options commenced on 1 July 2011 so there is a limited history of investment returns. The current and historical rates for each investment option for both Account Based and TTR Pensions can be found in the Investments section of our website at nesssuper.com.au. Who is managing my investments? The value of investments in NESS Super or any underlying investment option may rise and fall from time to time. The Trustee does not guarantee the investment performance, earnings or return of capital invested in any of the investment options offered to members. Managing NESS Super s investments is one of the key responsibilities of the Trustee Board. NESS Super has an Investment Policy that governs the day-to-day management of members investments. The Trustee Board, together with NESS Super s investment consultant, regularly reviews investment performance by comparing it with investment industry benchmarks. The Trustee has appointed JANA Investment Advisers Pty Ltd (JANA), a subsidiary of the National Australia Bank, to provide implemented asset consulting services. From 1 October 2017, Russell Investments will be appointed to replace JANA. The Trustee regularly reviews the performance and structure of the investment options and may make changes from time to time. Risk may be reduced by holding growth assets for a longer term and by mixing them with defensive assets. This is called diversification. 18 NESS Pension Product Disclosure Statement

21 How are the underlying investment managers selected? JANA (and Russell Investments from 1 October 2017), selects the investment managers that it believes will deliver the NESS Pension investment objectives included in this PDS. JANA (and Russell Investments from 1 October 2017) aims to identify managers that have definable outstanding qualities which increase the probability of them delivering out performance over the long term. JANA s (and Russell Investments from 1 October 2017) selection process is very much focused on detailed, intensive fundamental research both in Australia and overseas. Annual review of investment returns A full review of NESS Super s investment returns is conducted following 30 June each year. Accounts are produced that show the financial status of NESS Super and the investment returns for the year. They are audited and reconciled to member account balances to determine the amounts available for distribution to members (these investment returns may be positive or negative). Following that process, the Trustee Board declares a final annual investment return for each NESS Pension investment option. Those returns are called crediting rates. The current and historical rates for each investment option can be found in the Investments section of our website at nesssuper.com.au. Those percentage returns are applied to members accounts. Your actual investment return for the year will depend on your investment options and the timing of transactions affecting your account during each financial year. Members who have switched will have the annual returns applied to the period following the switch. In normal circumstances, the annual investment return is calculated and applied towards the end of August. Reserving Policy NESS Super does not have an investment fluctuation reserve. Fluctuations in investment returns directly affect members benefits. A Contingency Reserve equal to 0.11% of net assets at 30 June 2016 (0.36% of net assets at 30 June 2015) was maintained. Its use is strictly governed by a Reserving Policy. From 1 July 2014, an Insurance Reserve was established. However, this will not affect NESS Pension members. In accordance with the requirements of MySuper, a reserve has been created in June 2013 through a transfer from the Contingency Reserve to cover risks identified through an Operational Risk Financial Requirement (ORFR) process. An operational risk is the risk of loss resulting from inadequate or failed internal processes, people and systems or from external events. It is equal to 0.21% of net assets at 30 June Interim interest rates NESS Super applies an interim interest rate whenever you switch your investments, rollover your benefit to another Fund or when you make a withdrawal. NESS Super sets interim crediting rates regularly and may revise them when investment markets are volatile. They are applied to each investment option, having regard to the cumulative investment returns of the underlying assets, net of expenses and taxes, since the last 30 June Annual Review. Asset classes Any investments that you make are applied to the asset classes making up that option such as cash, fixed interest, property and shares. These generally fall into two categories of asset classes defensive and growth. Defensive assets Are typically low-risk/low-return investments such as cash, fixed interest and bonds. The main objective of investing in defensive assets is to protect the value of your original investment while earning relatively low but stable rates of return. The risk of a negative return in any one year is relatively low but there is a risk of the returns being eroded by the prevailing rates of inflation. Growth assets Are investments such as property and shares. They generally provide investors with high returns in the medium to long-term (5 years or more). The main objective of investing in growth assets is to benefit from returns that average well above the rate of inflation over the long term. Rates of return can vary widely over short periods and are more likely than defensive assets to give a negative return in any one-year period. The higher risk or volatility of growth assets may be reduced by holding them for a longer term and by mixing them with defensive assets. This is called diversification. To find out more about your investment options, including what to consider when making your investment selection, the objectives and asset allocation of each option and the investment risks, read Section 5. Investment options on page

22 4. Getting started continued STEP 5 Nominate your beneficiaries As a NESS Pension member, you can nominate the dependants who will receive a benefit payment upon your death. Benefits can be paid either as a continuing pension (called a reversionary pension) or a lump sum. There may be taxation and other financial implications that you should consider before making your nomination. You may need to obtain financial advice so that you are fully informed of your options. Reversionary pension A reversionary pension can only be paid to a nominated dependant following your death. A dependant includes: your spouse a child under the age of 18* a child between the ages of 18 and 25* who is a financial dependant or permanently disabled anyone who is financially dependent on you immediately before your death, or anyone who has an interdependency relationship with you.** * Note: payments to a dependent child can be made only until age 25, at which point the remaining account balance must be paid out as a lump sum. ** Note: an interdependency relationship applies when you have a close personal relationship with another person (whether or not related by family) and: you and that other person live together you, the other person or both of you, provide the other with financial support, and you, the other person or both of you, provide the other with domestic support and personal care. It will also occur where you have a close personal relationship with another person but due to a disability the other criteria of interdependency cannot be met. If you nominate a reversionary pensioner at the time of your application, your nomination cannot be changed in the future without closing your NESS Pension account and commencing a new NESS Pension account. In the event of your death, full control of your pension passes to your nominated reversionary pensioner, if still eligible, including the ability to commute. If you would like to nominate a reversionary pensioner please complete the relevant section of the NESS Pension Application Form at the back of this PDS and return it with certified proof of age of your nominated reversionary pensioner. Lump sum death benefit Upon your death, if you do not nominate a reversionary beneficiary, the balance of your NESS Pension account will be payable to your dependants or your legal personal representative (that is, your estate). You can nominate your lump sum dependants, which can include a spouse, a person who is in an interdependency relationship with you or anyone who is financially dependent on you. However, the Trustee has the discretion to decide to whom your lump sum benefit is paid. If you have no dependants, it may be paid to your estate or, if there is no executor or administrator, any other person. Alternatively, you can make a valid binding death benefit nomination which requires the Trustee to follow your wishes when a death benefit is payable on your death in accordance with superannuation law and the Fund s Trust Deed. You should ensure that your lump sum dependant nomination is always kept up to date. This is important if your personal circumstances have changed; for example, by marriage or divorce. You can: update your dependant nominations by completing the NESS Pension Change My Membership Details Form; or make or amend a Binding Death Benefit Nomination by completing a NESS Pension Binding Death Benefit Nomination Form; at any time by downloading the form from the Pension section of our website nesssuper.com.au or calling us on You can make a valid binding death benefit nomination, which requires the Trustee to follow your wishes when a death benefit is payable. 20 NESS Pension Product Disclosure Statement

23 STEP 6 Manage your NESS Pension online With NESS Pension, we make it easy to manage your pension online. NESS Pension MemberAccess gives you round the-clock access to your account information. You can use Pension MemberAccess to: Check your account balance, including recent investment returns View your withdrawals Vary your pension payment amount (within prescribed limits) Switch investment options Choose the investment option/s, you wish to use to draw your pension payment and future transactions from Update your personal details such as your address and address Provide your Tax File Number Update your nominated preferred beneficiaries Register to receive online communications, including estatements. You can register online to start using Pension MemberAccess. STEP 7 Complete and return the forms You should read and understand the information in this NESS Pension PDS. Then either: Complete the appropriate application forms at the back of this guide, or Go to nesssuper.com.au and download the applicable forms, or Simply go to the Pension tab in your Member Access and join NESS Pension online*. * Available from 1 September

24 5. Investment options NESS Pension currently offers you the choice of up to seven investment options (six for Account Based Pension). The following is some general information about your NESS Pension investment options. You can choose to invest in one or any combination of these options. Investment options NESS TTR Pension Options Overseas Shares Australian Shares High Growth Investor profile An investment seeking significant growth above inflation in the longer term. It is likely to suit members seeking long-term growth of their superannuation with high risk. An investment seeking significant growth above inflation in the longer term. It is likely to suit members seeking long-term growth of their superannuation with high risk. An investment seeking significant growth above inflation in the longer term. It is likely to suit members seeking long-term growth of their superannuation with high risk. Investment objective To achieve a return after fees and tax over rolling seven-year periods of at least 4% per annum above inflation, as measured by the Consumer Price Index. To achieve a return after fees and tax over rolling seven-year periods of at least 4% per annum above inflation, as measured by the Consumer Price Index. To achieve a return after fees and tax over rolling seven-year periods of at least 4% per annum above inflation, as measured by the Consumer Price Index. Investment strategy Invests exclusively in international shares. Invests exclusively in Australian shares. Invests predominantly in Australian and international shares, with the balance in property and growth alternatives. Standard Risk Measure* Risk Band: 6 Risk Label: High Estimated number of negative annual returns over any 20 year period: 4 to 6 Risk Band: 6 Risk Label: High Estimated number of negative annual returns over any 20 year period: 4 to 6 Risk Band: 6 Risk Label: High Estimated number of negative annual returns over any 20 year period: 4 to 6 Benchmark asset allocation Benchmark l International Shares 100% Benchmark l Australian Shares 100% Long-term Benchmark Range l Australian Shares 44% 35% 60% l International Shares 36% 25% 50% l Property 10% 0% 30% l Growth Alternatives 5% 0% 10% l Fixed Interest 0% 0% 10% l Cash 0% 0% 10% l Defensive Alternatives** 5% 0% 15% The performance of the investment options is not guaranteed. The value will rise and fall due to the performance of investment markets. 22 NESS Pension Product Disclosure Statement

25 Property NESS MySuper (default option) Stable Cash An investment seeking growth above inflation over the medium term. It is likely to suit members seeking mid to long-term growth of their superannuation with medium to high risk. An investment seeking growth above inflation over the medium term. It is likely to suit members seeking mid to longterm growth of their superannuation with moderate risk. An investment with good security and potential for some growth. It is likely to suit members seeking short to mediumterm growth of their superannuation with low to medium risk. An investment with maximum security but low potential for growth after taking into account inflation. It is likely to suit members with a short investment timeframe. To achieve returns after fees and tax over rolling five-year periods of at least 2% per annum above inflation, as measured by the Consumer Price Index. To achieve a return after fees and tax over rolling ten-year periods of at least 3% per annum above inflation, as measured by the Consumer Price Index. To achieve a return after fees and tax over rolling three-year periods of at least 1% per annum above inflation, as measured by the Consumer Price Index. To achieve a return after fees and tax in line with the Bloomberg Bank Bill Index. Invests in direct and listed property. Between 60% and 80% invested in a range of Australian and international shares, infrastructure and property, with the balance in diversified fixed interest investments, defensive alternatives and cash investments. A conservative investment that invests mainly in defensive assets such as cash and Australian and overseas fixed interest. Invests exclusively in cash investments. Risk Band: 6 Risk Label: High Estimated number of negative annual returns over any 20 year period: 4 to 6 Risk Band: 5 Risk Label: Medium to high Estimated number of negative annual returns over any 20 year period: 3 to 4 Risk Band: 3 Risk Label: Low to medium Estimated number of negative annual returns over any 20 year period: 1 to 2 Risk Band: 1 Risk Label: Very low Estimated number of negative annual returns over any 20 year period: Less than 0.5 Benchmark l Property 100% Long-term Benchmark Range l Australian Shares 30% 15% 40% l International Shares 25% 10% 35% l Property 10% 0% 30% l Growth Alternatives 5% 0% 15% Long-term Benchmark Range l Australian Shares 12% 5% 25% l International Shares 10% 5% 15% l Property 10% 0% 30% l Growth Alternatives 3% 0% 10% Benchmark l Cash 100% l Fixed Interest 15% 5% 30% l Cash 7% 0% 20% l Defensive Alternatives** 8% 0% 15% l Fixed Interest 40% 20% 60% l Cash 20% 0% 45% l Defensive Alternatives** 5% 0% 15% * The Standard Risk Measure is based on industry guidance to allow members to compare investment options that are expected to deliver a similar number of negative annual returns over any 20 year period. The Standard Risk Measure is not a complete assessment of all forms of investment risk. For instance it does not detail what the size of a negative return could be or the potential for a positive return to be less than a member may require to meet their objectives. Further, it does not take into account the impact of administration fees and tax on the likelihood of a negative return. Members should still ensure they are comfortable with the risks and potential losses associated with their chosen investment option/s. ** Also known as Diversified Alternatives

26 5. Investment options continued Investment options NESS Account Based Pension Options Aggressive Assertive Moderate Investor profile Members who feel comfortable accepting short-term volatile returns in order to achieve higher capital growth in the long term. Members who feel comfortable accepting short-term volatile returns in order to achieve higher capital growth in the long term, but do not wish to have their benefits fully invested in growth assets. Members seeking a diversified investment over a broad range of asset classes, in order to achieve higher capital growth in the medium term with a moderate level of risk. Investment objective To outperform CPI + 4% per annum over rolling 10 year periods. To outperform CPI + 3.5% per annum over rolling 10 year periods. To outperform CPI + 3% per annum over rolling 5 year periods. Investment strategy Between 80% and 100% invested in a range of Australian and international shares, growth alternative assets and property. Between 60% and 90% invested in a range of Australian and international shares, growth alternative assets and property, with the balance in fixed interest investments, defensive alternatives and cash. Between 50% and 80% invested in a range of Australian and international shares, growth alternative assets and property, with the balance in fixed interest investments, defensive alternatives and cash. Standard Risk Measure* Risk Band: 6 Risk Label: High Estimated number of negative annual returns over any 20 year period: 4 6 Risk Band: 5 Risk Label: Medium to High Estimated number of negative annual returns over any 20 year period: 3 4 Risk Band: 5 Risk Label: Medium to High Estimated number of negative annual returns over any 20 year period: 3 4 Benchmark asset allocation Long term Benchmark Range % % l Australian Equities l Global Equities l Property l Growth Alternatives Total Growth Assets Long term Benchmark Range % % l Australian Equities l Global Equities l Property l Growth Alternatives Total Growth Assets Long term Benchmark Range % % l Australian Equities l Global Equities l Property l Growth Alternatives Total Growth Assets l Defensive Alternatives l Fixed Interest l Cash Total Defensive Assets l Defensive Alternatives l Fixed Interest l Cash Total Defensive Assets l Defensive Alternatives l Fixed Interest l Cash Total Defensive Assets The performance of the investment options is not guaranteed. The value will rise and fall due to the performance of investment markets. 24 NESS Pension Product Disclosure Statement

27 Cautious Conservative Cash Members seeking moderate capital growth. Members seeking some capital growth whilst placing a high importance on the protection of capital. Members who are seeking a high level of security and who are prepared to accept lower returns, after taking inflation into account. To outperform CPI + 2.5% per annum over rolling 5 year periods. To outperform CPI + 2% per annum over rolling 5 year periods. To achieve returns in line with the Bloomberg Bank Bill Index. Between 30% and 60% invested in a range of Australian and international shares, growth alternative assets and property, with the balance in fixed interest investments, defensive alternatives and cash. Between 60% and 90% invested in a range of fixed interest investments, defensive alternatives and cash, with the balance in Australian and international shares, growth alternative assets and property. 100% in short-dated fixed interest investments and cash. Risk Band: 4 Risk Label: Medium Estimated number of negative annual returns over any 20 year period: 2 3 Risk Band: 3 Risk Label: Low to Medium Estimated number of negative annual returns over any 20 year period: 1 2 Risk Band: 1 Risk Label: Very Low Estimated number of negative annual returns over any 20 year period: Less than 0.5 Long term Benchmark Range % % l Australian Equities l Global Equities l Property l Growth Alternatives Total Growth Assets l Defensive Alternatives l Fixed Interest l Cash Total Defensive Assets Long term Benchmark Range % % l Australian Equities l Global Equities l Property l Growth Alternatives Total Growth Assets l Defensive Alternatives l Fixed Interest l Cash Total Defensive Assets Long term Benchmark Range % % l Cash 100 N/A Total Defensive Assets 100 N/A * The Standard Risk Measure is based on industry guidance to allow members to compare investment options that are expected to deliver a similar number of negative annual returns over any 20-year period. The Standard Risk Measure is not a complete assessment of all forms of investment risk. For instance it does not detail what the size of a negative return could be or the potential for a positive return to be less than a member may require to meet their objectives. Further, it does not take into account the impact of administration fees and tax on the likelihood of a negative return. Members should still ensure they are comfortable with the risks and potential losses associated with their chosen investment option/s

28 6. Fees and other costs DID YOU KNOW? Small differences in both investment performance and fees and costs can have a substantial impact on your long-term returns. For example, total annual fees and costs of 2% of your account balance, rather than 1%, could reduce your final return by up to 20% over a 30-year period (that is, reduce it from $100,000 to $80,000). You should consider whether features such as superior investment performance or the provision of better member services justify higher fees and costs. You or your employer, as applicable, may be able to negotiate to pay lower fees. Ask your fund or your financial adviser. TO FIND OUT MORE If you would like to find out more or see the impact of fees based on your own circumstances, the Australian Securities and Investment Commission (ASIC) website has a superannuation fee calculator to help you check out different fee options. Please note that the wording above is required by legislation. NESS Super only charges fees to cover costs, not to make a profit. You are unable to negotiate the fees set out in the PDS. Fees and other costs This document shows fees and other costs that you may be charged. These fees and other costs may be deducted from your money, from the returns on your investment or from the assets of the superannuation entity as a whole. Other fees, such as activity fees, advice fees for personal advice and insurance fees, may also be charged, but these will depend on the nature of the activity or advice chosen by you. Taxes are set out in another part of this document. You should read all the information about fees and other costs because it is important to understand their impact on your investment. NESS Pension Type of fee Amount How and when paid NESS TTR Pension (% per annum of your NESS TTR Pension account balance) NESS Account Based Pension (% per annum of your NESS Account Based Pension account balance) Investment fee (estimated) Administration fee Cash Stable NESS MySuper Property High Growth Australian Shares Overseas Shares $1.50 per week; plus 0.17% 0.74% 0.84% 1.79% 0.79% 0.60% 0.52% Cash Conservative Cautious Moderate Assertive Aggressive 0.17% 0.73% 0.87% 0.90% 0.97% 0.86% Deducted from the crediting rate before it is applied to your NESS Pension account. Deducted from your NESS Pension account balance monthly. 0.25% of your NESS Pension account balance up to a maximum of $650 per year. Buy-sell spread Nil Not applicable Switching fee Nil Not applicable Exit and withdrawal fee $70.91* Deducted from your NESS Pension account balance on each full or partial commutation of your pension account. Advice fees Nil Additional fees may be paid to a Financial Advisor if advice is not paid for by NESS Super. Other fees and costs # Indirect cost ratio NESS TTR Pension NESS Account Based Pension Nil Nil Not applicable * Indexed each year at 1 July in line with annual changes to the Wage Price Index for the March quarter. # Other activity based fees and costs for specific services may apply refer to Activity Fees in the Additional Explanation of Fees and costs Section For an explanation of the defined terms used in the fees and costs table above, see Defined terms in the Additional Fees and Costs section. N/A 26 NESS Pension Product Disclosure Statement

29 Example of annual fees and costs for the Moderate investment option for the NESS Account Based Pension Below is an example of how the fees and costs in the NESS Account Based Pension product can affect your NESS Account Based Pension account balance over one year. You can use this to compare the NESS Account Based Pension product with other account based pension products. Example Moderate investment option Balance of $50,000 Investment Fees Moderate 0.90% For every $50,000 in your NESS Pension account, you will be charged $450 each year. PLUS Administration Fees PLUS Indirect costs EQUALS Cost of product $78 ($1.50 per week); plus $125 ($2.50 per $1,000 invested up to a maximum annual fee of $650) $0 If your balance was $50,000, then for that year, you will be charged $653 AND, you will be charged: $78 in administration fees regardless of your balance; plus for every $50,000 in your NESS Pension account, you will be charged $125 per year up to a maximum of annual fee of $650. Note: Additional fees may apply. You may also be charged an exit fee of $70.91 deducted from your account balance on each full or partial commutation from your Pension Account. This fee will be indexed each year in line with annual changes in the Wage Price Index for the March quarter. Example of annual fees and costs for the NESS MySuper investment option for the NESS TTR Pension Below is an example of how the fees and costs in the NESS TTR Pension product can affect your NESS TTR Pension account balance over one year. You can use this table to compare the NESS TTR Pension product with other TTR pension products. Example NESS MySuper Option investment option Balance of $50,000 Investment fee NESS MySuper 0.84% For every $50,000 in your NESS Pension account, you will be charged $420 each year. PLUS Administration fee PLUS Indirect costs EQUALS Cost of product $78 ($1.50 per week); plus $125 ($2.50 per $1,000 invested up to a maximum annual fee of $650) $0 If your balance was $50,000, then for that year, you will be charged $623 AND, you will be charged: $78 in administration fees regardless of your balance; plus for every $50,000 in your NESS Pension account, you will be charged $125 per year up to a maximum of annual fee of $650. Note: Additional fees may apply. You may also be charged a fee of $70.91 deducted from your account balance on each full or partial commutation from your Pension Account. This fee will be indexed each year in line with annual changes in the Wage Price Index for the March quarter. Additional explanation of fees and costs Investment fees The investment fees shown for each investment option include investment related fees and costs, including Transactional and Operational Costs charged by and through underlying investment vehicles and managers, and incurred by the Fund. These fees and costs are estimated by reference to investment related fees and costs, including any performance related fees of underlying investment managers, incurred for the 12 months to 30 June Accordingly, actual investment related fees and costs will vary and may be greater over the current period of the PDS based on actual fees and costs incurred. Performance related fees Where an underlying investment vehicle or manager is used to invest the assets of an investment option they may charge a performance related fee. These fees are reflected in the unit price of the investment option and form part of the investment fees of each investment option. Underlying investment vehicles and managers that charge a performance related fee will generally only apply those fees when performance is greater than an agreed target. Accordingly performance related fees in each year will generally only arise when higher returns, relative to a specified target for a particular manager, are achieved

30 6. Fees and other costs continued Additional explanation of fees and costs (continued) Based on our assumptions we estimate that the performance related fee range for each NESS Super Investment option is as follows: Investment Option Investment performance fee Estimated range NESS TTR Pension Cash Nil Stable 0% 0.05% NESS MySuper 0% 0.08% Property Nil High Growth 0% 0.08% Australian Shares 0% 0.12% Overseas Shares 0% 0.08% NESS Account Based Pension Cash Nil Conservative 0% 0.05% Cautious 0% 0.08% Moderate 0% 0.08% Assertive 0% 0.08% Aggressive 0% 0.08% Transactional and Operational costs Transactional and Operational Costs ( T&O Costs ) are incurred within each investment option. They include costs associated with trading within the underlying investment funds in which NESS Super investment options are invested and to implement the relevant investment option strategies. Such costs include brokerage, buy-sell spreads; settlement costs (including custody costs) clearing costs, stamp duty on investment transactions and costs incurred through underlying investment funds. T&0 Costs are additional costs to the investor and are paid out of the assets of the Fund or deducted from the underlying investments before crediting rates are applied to member accounts. Some of those costs only are required to be included and disclosed as part of the Investment Fees for each Investment Option as indicated in the following table. Details of the estimated T&O Costs and components for the financial year to 30 June 2017 in respect of each option are as follows: Investment Option NESS TTR Pension Estimated gross transaction costs Estimated transaction costs included in investment fee Estimated Transaction costs not included in investment fee Cash 0.05% 0.04% 0.01% Stable 0.35% 0.24% 0.11% NESS MySuper 0.37% 0.26% 0.11% High Growth 0.33% 0.26% 0.07% Property 1.12% 1.11% 0.01% Australian Shares 0.15% 0.11% 0.04% Overseas Shares 0.05% 0.04% 0.01% NESS Account Based Pension Cash 0.05% 0.04% 0.01% Conservative 0.31% 0.16% 0.15% Cautious 0.40% 0.24% 0.16% Moderate 0.40% 0.25% 0.15% Assertive 0.41% 0.26% 0.15% Aggressive 0.34% 0.27% 0.08% The costs for the current period will vary from the above and may well be greater than past experience. If it becomes apparent that actual T&O costs will vary in a way that is materially adverse, the estimates will be updated. Borrowing costs Investment Option NESS TTR Pension Estimated borrowing costs Cash 0.00% Stable 0.09% NESS MySuper 0.09% High Growth 0.07% Property 0.37% Australian Shares 0.00% Overseas Shares 0.00% NESS Account Based Pension Cash 0.00% Conservative 0.07% Cautious 0.10% Moderate 0.09% Assertive 0.10% Aggressive 0.05% Borrowing costs are an additional cost to investors. They are not included in costs disclosed in the Investment Fees shown for each investment option. The costs for the current period will vary from the above and may be greater than past experience. If it becomes apparent that actual Borrowing costs will vary in a way that is materially adverse, the estimates will be updated. Fee changes The Trustee reserves the right to change the fees charged to NESS Pension members without members consent. Members will be notified of any increase to the fees charged at least 30 days prior to the implementation of any increase in fees. Tax deductions NESS Super pays tax on contributions and investment income and receives a tax deduction for any expenses it incurs. This tax deduction is not passed on to NESS Pension member s accounts as Pension members do not make contributions to NESS Super. Activity fees The following charges apply: Family law fees* $ * This fee will be indexed each year in line with annual changes in the Wage Price Index for the March quarter. 28 NESS Pension Product Disclosure Statement

31 Defined fees Activity fees A fee is an activity fee if: the fee relates to costs incurred by the trustee of the superannuation entity that are directly related to an activity of the trustee: that is engaged in at the request, or with the consent, of a member; or that relates to a member and is required by law; and those costs are not otherwise charged as an administration fee, an investment fee, a buy-sell spread, a switching fee, an exit fee, an advice fee or an insurance fee. Administration fees An administration fee is a fee that relates to the administration or operation of the superannuation entity and includes costs that relate to that administration or operation, other than: a) borrowing costs; and b) indirect costs that are not paid out of the superannuation entity that the trustee has elected in writing will be treated as indirect costs and not fees, incurred by the trustee of the entity or in an interposed vehicle or derivative financial product; and c) costs that are otherwise charged as an investment fee, a buy-sell spread, a switching fee, an exit fee, an activity fee, an advice fee or an insurance fee. Advice fees A fee is an advice fee if: the fee relates directly to costs incurred by the trustee of the superannuation entity because of the provision of financial product advice to a member by: a trustee of the entity; or another person acting as an employee of, or under an arrangement with, the trustee of the entity; and those costs are not otherwise charged as an administration fee, an investment fee, a switching fee, an exit fee, an activity fee or an insurance fee. Note: The following advice will be paid for by NESS Super: general Financial Advice. general advice to a NESS Super member about how to compare super funds in NESS Super. simple, non-ongoing Personal Financial Product Advice to a NESS Super member about increasing contributions to their interest in NESS Super. simple, non-ongoing Personal Financial Product Advice to a NESS Super member about changing investment options within NESS Super. simple, non-ongoing Personal Financial Product Advice to a NESS Super member about retirement options within NESS Super. simple, non-ongoing Personal Financial Product Advice to a NESS Super member about Retirement Health Check in NESS Super and pension accounts. simple, non-ongoing Personal Financial Product Advice to a NESS Super member about a retirement strategy in the NESS Super pension account. simple, non-ongoing Personal Financial Product Advice to a NESS Super member about simple retirement planning in the NESS Super pension account paid for by NESS to the extent that advice relates to the member s interest in NESS Super. If you required additional detailed financial advice, you will pay for this advice to your financial planner through a separate arrangement. Buy-sell spreads A buy-sell spread is a fee to recover transaction costs incurred by the trustee of the superannuation entity in relation to the sale and purchase of assets of the entity. Exit fees An exit fee is a fee to recover the costs of disposing of all or part of members interests in the superannuation entity. Indirect cost ratio The indirect cost ratio (ICR), for a MySuper product or an investment option offered by a superannuation entity, is the ratio of the total of the indirect costs for the MySuper product or investment option, to the total average net assets of the superannuation entity attributed to the MySuper product or investment option. Note: a dollar-based fee deducted directly from a member s account is not included in the indirect cost ratio, Investment fees An investment fee is a fee that relates to the investment of the assets of a superannuation entity and includes: a) fees in payment for the exercise of care and expertise in the investment of those assets (including performance fees); and b) costs that relate to the investment of assets of the entity, other than: (ii) borrowing costs; (ii) indirect costs that are not paid out of the superannuation entity that the trustee has elected in writing will be treated as indirect costs and not fees, incurred by the trustee of the entity or in an interposed vehicle or derivative financial product; and (iii) costs that are not otherwise charged as an administration fee, a buy-sell spread, a switching fee, an exit fee, an activity fee, an advice fee or an insurance fee. Switching fees A switching fee for a MySuper product has the meaning given by subsection 29v(5) of the SIS Act, and for superannuation products other than a MySuper product, is a fee to recover the cost of switching all or part of a member s interest in the superannuation entity from one investment option or product in the entity to another

32 7. Tax Make the most of the advantages of super A NESS Pension can be a tax-effective way of funding your retirement. Taking the time to understand the tax savings that apply can help you increase your income and retirement lifestyle. No tax is payable on your pension if you are age 60 or over. A reduced tax is payable on your pension if you are under age 60 because of a tax offset. No tax is payable on pension investment earnings in a NESS Account Based Pension. No tax is deducted when you transfer your NESS Super account to a NESS TTR Pension or a NESS Account Based Pension. Investment earnings in a NESS TTR Pension are taxed at up to 15% (just like a super account) but tax discounts, credits and offsets may reduce the effective tax rate. Tax on pension payments Pension members aged 60 or over pay no tax on pension payments and lump sum withdrawals (commutations). If you re under age 60, pension payments form part of your assessable income. However, you ll receive a 15% tax offset (rebate) based on the taxable component of your pension (see below). NESS Pension will deduct tax in a similar way to an employer and issue a Pay As You Go (PAYG) summary after 30 June each year, which forms part of your tax return. The amount of tax payable will depend on: the amount paid to you each financial year the taxation components of your account the PAYG rate applicable to the amounts paid. For more information on tax rates, please visit ato.gov.au or contact the Australian Taxation Office on Your pension account may consist of two tax components: 1. Taxable component, and 2. Tax-free component. If you purchase your NESS Pension on 30 June 2017 with $100,000 and 80% is a taxable component and 20% is a tax-free component, then PAYG tax will apply to 80% of your pension payment. If you draw a pension of $10,000 in the financial year, $8,000 would be taxable. That tax, combined with any other income tax payable for the financial year, would be reduced by an offset of $1,200 ($8,000 x 15%). Tax on lump sum withdrawals (commutations) If you re aged 60 or over, there is no tax payable on your benefit. If you re under age 60, there are different tax rates for lump sum payments depending on your age as shown below. The tax-free portion of a commutation is not taxed. Members cannot select to commute only a tax-free component: they will always be paid in the proportion established on joining. Any taxable component of a commutation for members under age 60 will be taxed at the concessional tax rate applicable to their age plus the Medicare levy. Concessional tax rate for 1 July 2017 Age Age Age 60 or over * 2017/18 financial year ** 15% (+ Medicare levy) Tax rate First $200,000* = Nil Amount over $200,000 = 17%** Nil Tax on investment earnings There is no tax payable on investment earnings in a NESS Account Based Pension. However, because of legislative changes, investment earnings on assets held in a NESS TTR Pension will be taxed at up to 15%, just like a super account. Tell us when you re ready to retire fully and enjoy tax-free investment earnings! While you have a NESS TTR Pension, your investment earnings are taxed at up to 15%. Once you reach retirement phase (see below), this tax no longer applies. It s important you tell us when that happens, so we can transfer your investment into a NESS Account Based Pension, where no investment earnings tax applies. Remember, there s a $1.6 million limit on how much you can transfer to a tax-free retirement income stream. 30 NESS Pension Product Disclosure Statement

33 Reaching retirement phase Under super law, you are considered to be in retirement phase if you: Reach preservation age and permanently retire from the workforce Leave your employer on or after age 60 (even if you start another job) Reach age 65 Become permanently incapacitated (at any age). Providing your Tax File Number You must complete a Tax File Number Declaration Form as part of your NESS Pension application. The information will help determine how much tax is to be deduced from the payments made to you. The Trustee must notify the ATO within 14 days after the end of the month in which a new pension commences. If you are age 60 or over, you do not need to complete a Tax File Number Declaration Form or Withholding Declaration Form. Tax on death benefits The following table has been extracted from a guide issued by the ATO. It applies to the taxation of pensions paid as income or a lump sum to a dependant after the death of a member. Table 1: Super death benefits paid to dependants Age of deceased Super death benefit Age of recipient Taxation Any age Lump sum Any age Tax-free component (not assessable and not exempt income). Aged 60 and above Income stream Any age Taxable component element taxed in the fund is tax-free (not assessable and not exempt income). Below age 60 Income stream Above age 60 Taxable component element taxed in the fund is tax-free (not assessable and not exempt income). Below age 60 Income stream Below age 60 Taxable component element taxed in the fund is assessable income and the person is entitled to a tax offset equal to 15% of that amount. Table 2: Super death benefits paid to non-dependants Age of deceased Super death benefit Age of recipient Taxation Any age Lump sum Any age Taxable component element taxed in the fund is assessable income but a tax offset ensures the rate of tax does not exceed 15%. Taxable component element untaxed in the fund is assessable income but a tax offset ensures the rate of tax does not exceed 30%. Any age Income stream Any age Not applicable. Super income stream benefits that commenced before 1 July 2007 will be taxed as if received by a dependant

34 7. Tax continued Tax changes from 1 July 2017 A number of super tax changes came into effect 1 July The new measures include: New $1.6 million transfer balance cap From 1 July 2017 a transfer balance cap of $1.6 million will apply to how much you can transfer from super into a tax-free retirement income account. The cap applies to the total combined amount of superannuation that has been transferred into retirement phase, it does not matter how many accounts these balances are held in. If you exceed the cap you will be required to remove the excess (including notional earnings on the excess capital). $1.6 MILLION Lower before-tax (concessional) contributions cap of $25,000 for all The before-tax (concessional) contributions cap (which includes Super Guarantee, Salary Sacrifice and Employer Additional contributions) has been cut from $30,000 (or $35,000 for people over the age of 49) to $25,000 a year for everyone, irrespective of age. $30K $25K Lower after-tax (non concessional) contributions cap The annual after-tax (non-concessional) contributions cap has also been reduced from $180,000 to $100,000. As is currently the case, individuals under age 65 will be eligible to bring forward up to three (3) years of contributions (that is, $300,000). $180K $100K New catch-up before-tax contributions from 1 July 2018 From 1 July 2018, you can start to accumulate unused before-tax contribution cap amounts if your super account balance is $500,000 or less. For example, if you contribute $20,000 in the year, you may elect to contribute up to $30,000 in the year, that is, $25,000 plus the unused amount of $5,000 from [CATCH UP] Improving access to Concessional contributions The government will allow all individuals under age of 75 who make personal after-tax contributions (including those aged 65 to 74 who meet the work test) to claim an income tax deduction. These amounts will count towards the individual s concessional cap, and be subject to 15% contributions tax. To access the tax deduction, individuals will need to lodge a notice of their intent to claim the deduction with their super fund. Generally, this notice will need to be lodged before they lodge their income tax return. 32 NESS Pension Product Disclosure Statement

35 8. Additional information Cooling-off period You may elect to withdraw your application to join the NESS Pension, provided that it occurs within 14 days of the date of the welcome letter confirming your application. You must advise the Trustee in writing if you change your mind, within the cooling-off period. Enquiries and complaints NESS Super has established a procedure for the prompt handling of member enquiries and complaints. If you have a general enquiry about NESS Pension or about your account, please ring our member helpline or write to: NESS Pension Administration Locked Bag 5042 Parramatta NSW If you have a complaint please write to: NESS Super Complaints Officer NESS Super Locked Bag 20 Parramatta NSW 2124 or phone (free call). The Australian Securities and Investment Commission (ASIC) also has an infoline on , option 4, which you may use to make a complaint and obtain information about your rights. There is no fee for lodgement or management of your complaint. NESS Pension will respond in writing to your complaint within 90 days of receipt. If necessary your complaint will be considered by the Trustee Board, which will advise of its decision within 30 days. If your complaint is not resolved within 90 days or if you are not happy with the Trustee s response, you can contact the Superannuation Complaints Tribunal (SCT). The SCT is an independent tribunal set up by the Federal Government to settle superannuation complaints. The SCT must consider whether the Trustee of a Fund has been fair and reasonable in making a decision that relates to a member. If you wish to complain to the SCT you should contact it to determine if it can deal with your complaint. The SCT will not consider a complaint that has not been through NESS Super s internal complaints process or if your complaint relates to the management of NESS Super generally. Before lodging a complaint we suggest that you phone the SCT on for the cost of a local call anywhere in Australia. Risks of being a NESS Pension member Investment risks As with any financial product, there is a risk to being a member of the NESS Pension. You need to be aware that the value of your account in NESS Pension may rise or fall. To learn more about investment risks that may impact your pension, see page 17. Other risks A change in the laws that govern pensions may impact on your ability to access your money in the future or affect the tax effectiveness of your pension. We will keep you informed about any material changes of law that may affect your pension. As a member of the NESS Pension, you will incur fees and charges in your NESS Pension account. There is a risk that these fees and charges may increase from time to time. You will be provided with 30 days prior written notice of any such increases. Personal identification Super funds are required to comply with the Anti-Money Laundering and Counter Terrorism Financial Act (AML/CTF Laws). This means that we may (only in special situations) need to obtain additional member identification information when undertaking transactions in relation to your investment in NESS Pension, in order to minimise the risk that NESS Super may be used for the laundering of money or financing terrorism. This means that: We may not process a withdrawal or rollover of all, or part, of your benefit (including a transaction to start a pension or other income stream) until all relevant information has been received and your identity has been satisfactorily established. If you die while you are a member of NESS Pension, we may need to identify your legal personal representative and/or your beneficiaries prior to paying your death benefit. Identification may have to be established for anyone acting on your behalf, including a person exercising your power of attorney. In some circumstances, we may need to verify this information. We may decide to delay or refuse any request or transaction in relation to your interest in NESS Pension if we are concerned that the request or transaction may breach any obligation of, or cause us to commit or participate in an offence under, the AML/CTF Laws. We will inform you, your beneficiary(ies) or anyone acting on your behalf if that is the case. NESS Super s Privacy Statement The Trustee has prepared this statement to inform you how it respects the privacy of your personal information. The Privacy Act 1988 regulates the way NESS Super and its service providers handle personal information, including sensitive information such as medical details. The Act contains Australian Privacy Principles (APPs) that regulate, among other things, how organisations collect, store and protect personal information with other organisations. NESS Super s Privacy Policy sets out how NESS Super complies with these APPs. You can access a copy of the Privacy Policy at nesssuper. com.au or call to request a copy. Can I see the personal information NESS Super has about me? You may access your personal information to ensure that it is correct. Contact NESS Super to ask for your personal details. In certain situations, you may be denied access to certain information. If this applies to you, NESS Super will inform you when you ask for your information. If you need further details about how NESS Super handles personal information or if you have a complaint about an interference with your privacy or about a possible breach of privacy, you can write to: NESS Super s Privacy Officer Locked Bag 5042 Parramatta NSW 2124 Or call Pension member reporting Annual Member Statement Each year, following 30 June, you will receive a Member Statement that will confirm: Your account balance at 30 June Investment returns (crediting rates) applied to your account Payments made to you during the year Tax deducted Commutation payments made Fees deducted from your account. Annual Report The NESS Super Annual Report is available at the same time as your annual statement. It provides up to date information about NESS Super and NESS Pension, investment performance for the year and other topical items of interest to members of super funds. It is available from our website nesssuper.com.au or by contacting us

36 8. Additional information continued Our expert service providers A professional team made up of an administrator, auditor, investment consultant and other service providers help the Trustee to fulfill its responsibilities. As at 30 June 2017 our service providers were: Administrative Services Australian Administration Services ABN Auditor Ernst & Young ABN Internal Auditor KPMG ABN Consultant Deloitte Touche Tohmatsu ABN Compliance and Risk Management Services Professional Financial Solutions ABN Financial Adviser Link Advice ABN , AFSL Investment Consultants JANA Investment Advisers Pty Ltd ABN (up until 30 September 2017) Legal Adviser Mercer Legal Pty Ltd ABN How to apply How do I join NESS Pension? You should read and understand the information in this NESS Pension PDS. Then either: Simply go to the Pension tab in your Member Access and join NESS Pension online*, or Complete the applicable forms found on the following pages. 1 NESS Pension Application Form. 2 Consolidate my Super into NESS Super Form (if you want us to help you to transfer your other superannuation accounts into NESS Super). 4 Tax file number declaration form (if not already provided). When we have received your completed application and all your transfers to fund your NESS Pension account, NESS Pension will create your pension account. You will receive a welcome letter, a Financial Services Guide and a member card with your member number. You will be asked for your member number whenever you contact NESS Super. Please check your account details in the welcome letter carefully. It confirms how we have recorded your NESS Pension details. If you think that your details are not correct or if they have changed, please contact us immediately. * Available from 1 September NESS Pension Product Disclosure Statement

37 NESS Pension Application Form Please complete and return this form to: NESS Super, Locked Bag 5042, Parramatta NSW 2124 Complete in pen using CAPITAL letters or type directly into this form and print it out. Use ( ) to mark boxes. This request must be signed and dated. Website: nessadmin@aas.com.au Freecall: In order to apply for a NESS Pension you must be a member of NESS Super Section 1. Applicant s details NESS Super member number Date of birth (ddmmyyyy) Gender D D M M Y Y Y Y Mr/Mrs/Ms/Miss Surname Given names address Residential address Street number Street name Suburb/Town State Postcode Postal address (if different to residential address) PO Box/Street number Suburb/Town State Postcode Telephone (daytime) Mobile Section 2. Election to receive a pension Please complete the declaration that applies to you: I am applying for a NESS Transition to Retirement Pension after reaching my preservation age I am applying for a NESS Account Based Pension, and I am 65 years or over Date of birth Preservation age (years) Before 1 July July June July June July June July June After 30 June I am 60 years and over and ceased work on: D D M M Y Y Y Y I have reached preservation age and permanently retired from the workforce on: D D M M Y Y Y Y I have been declared totally and permanently disabled and my last date of employment was: D D M M Y Y Y Y NESS Super Pty Ltd ABN AFSL RSE L MySuper Authorisation as Trustee of NESS Super ABN RSE R Please turnover Page 1 of 7 NE /17 ISS6

38 Section 3. Communications If you have provided a valid address, you will automatically be opted in to receiving member statements, notices of material changes or occurrences of Signifi cant Events and other member communication material electronically through Pension Member Access. You can opt-out at anytime and be posted printed copies instead by calling us on or through Pension Member Access. By receiving member statements and other communication electronically, NESS Super will not use your address to send you any marketing material unless you indicate consent by marking ( ) the box below. Yes I would like NESS Super to send me information regarding special offers that are available to me as a member. Section 4. Funding your NESS Pension Please provide details of the super money that will fund your NESS Pension. Where money is being rolled over from your other super fund/s please complete a Consolidate my Super into NESS Super Form for each rollover. This form is included in the Forms section of this PDS. If you require more forms please download from our web site or call us on Alternatively, you can transfer your super online through Super MemberAccess. 1. Transfer from your NESS Super account ( ) Full transfer Partial transfer $, Transfer of maximum amount less the balance of $2,000 Other sources of super 2. $, 3. $, 4. $, Section 5. Your Pension details Pension frequency Choose ( ) one option. Twice monthly Paid on 15th and 28th of each month Monthly Paid on 15th of each month Quarterly Paid on 15 December, 15 March, 15 June and 15 September OR you can nominate the payment months as follows: 15 January, 15 April, 15 July and 15 October 15 February, 15 May, 15 August and 15 November Half-yearly Paid on 15 December and 15 June OR you can nominate the payment months as follows: 15 January and 15 July 15 February and 15 August 15 March and 15 September 15 April and 15 October 15 May and 15 November Yearly pension payment frequency # Paid on 15 June OR you can nominate the month of payment here: # Until fi nal investment earning calculations for your account are declared, and your 30 June 2017 balance is fi nalised, we are not able to calculate your fi nal minimum or maximum payment limits or pay a yearly instalment for your pension account which is based on those calculations. Should you elect to receive a yearly payment instalment prior to these rates being finalised, your payment month will be adjusted to September as the first available month. Pension amount Please refer to page 14 of the NESS Pension PDS for details on how to calculate your minimum and maximum pension payment. Your nominated pension must be between the minimum and maximum applicable to your age and type of pension. Minimum pension Maximum pension* Nominated pension $, per payment frequency * Maximum pension payments are only applicable to transition to retirement pensions. Your nominated amount is before tax and charges. Your net payment will depend on your age and personal tax rate. See pages 14 and 30 for more information. Section 6. Banking details Please provide the details of the bank, building society or credit union account to which you would like your pension payments to be made. Please also provide a certified copy of a bank/financial institution statement, issued within the last 3 months, showing your BSB, account number and account name. See page 7 of this form for a list of authorised persons who can certify documents as true copies. Account Name (must be in your name or a joint account with you and another person) Bank/Building Society/Credit Union Name BSB Account Number Please turn over NESS Super Pty Ltd ABN AFSL RSE L MySuper Authorisation as Trustee of NESS Super ABN RSE R Page 2 of 7 NE /17 ISS6

39 Section 7. Your beneficiaries (1. Reversionary or 2. Lump sum) 1. Reversionary beneficiary You can choose to nominate a reversionary pensioner who will continue to receive your pension payments upon your death. A nominated reversionary pensioner can only be a spouse, a dependent child under 18 or a fi nancially dependent child between the ages of 18 and 25. Please see page 20 of the NESS Pension PDS for more information. Mr/Mrs/Ms/Miss/Other Surname Given names Relationship to you (e.g Wife, Son) Residential address Street number Street name Suburb/Town State Postcode Date of birth (ddmmyyyy) D D M M Y Y Y Y (please provide certifi ed proof) 2. Lump sum Death Benefit Nomination of Dependants A lump sum death benefi t is an alternative to a reversionary benefi ciary. A lump sum death benefi t can only be nominated if a reversionary pension has not been chosen. Important note: Your lump sum dependent nominations do not bind NESS Super in any way. This means, although your nomination will be taken into consideration, NESS Super has absolute discretion in determining how to distribute your Pension death benefi t and to whom. If you would like the nomination to be binding on NESS Super, you should refer to the rules applicable to Binding Death Benefi t Nominations and complete a NESS Pension Binding Death Benefi t Nomination Form available from I wish to nominate the following person(s) and/or legal personal representative, as my dependants in the event of my death. A nominated dependant can only be your spouse (including defacto or same sex), child (including adopted or step children), fi nancial dependant, interdependent, or legal personal representative (your estate). If you enter legal personal representative, you should enter LPR in the relationship fi eld. Mr/Mrs/Ms/Miss Surname Given names Relationship to you Portion of benefi t (%) Mr/Mrs/Ms/Miss Surname Given names Relationship to you Portion of benefi t (%) Mr/Mrs/Ms/Miss Surname Given names Relationship to you Portion of benefi t (%) Mr/Mrs/Ms/Miss Surname Given names Relationship to you Portion of benefi t (%) (Total must add up to 100%) Please turn over to complete and sign this form NESS Super Pty Ltd ABN AFSL RSE L MySuper Authorisation as Trustee of NESS Super ABN RSE R Page 3 of 7 NE /17 ISS6

40 Section 8. Investment choices Please refer to page 22 to page 25 of the NESS Pension PDS at for more information about NESS Pension s investment options, before making a selection. Your investment options can be mixed in unlimited combinations to achieve your personal investment objectives. NESS Account based Pension Only Choose ( ) one option. or Investment option 1 You can choose the same investment options to apply to both your pension account balance and pension payments and transactions, Investment option 2 You can choose different investment options to apply to your pension account balance and future pension payments and transactions. Please note that if there are insuffi cient funds in the investment option you have chosen for your future pension payments and transactions, the payment will be made from your NESS Pension account balance options in proportion to the balance held in each investment option. Investment option 1 Investment option 2 Pension account and future pension payments and transactions Pension account balance only Future pension payments and transactions only Cash % % % Conservative % % % Cautious % % % Moderate % % % Assertive % % % Aggressive % % % Total must add to 100% % % % NESS Transition to Retirement Pension Only Choose ( ) one option. or Investment option 1 You can choose the same investment options to apply to both your pension account balance and pension payments and transactions, Investment option 2 You can choose different investment options to apply to your pension account balance and future pension payments and transactions. Please note that if there are insuffi cient funds in the investment option you have chosen for your future pension payments and transactions, the payment will be made from your NESS Pension account balance options in proportion to the balance held in each investment option. Investment option 1 Investment option 2 Pension account and future pension payments and transactions Pension account balance only Future pension payments and transactions only Cash % % % Stable % % % NESS MySuper % % % High Growth % % % Australian Shares % % % Overseas Shares % % % Property % % % Total must add to 100% % % % Please turn over NESS Super Pty Ltd ABN AFSL RSE L MySuper Authorisation as Trustee of NESS Super ABN RSE R Page 4 of 7 NE /17 ISS6

41 9. Proof of identity This section must be completed in full. By law, we have to confi rm your identity before we can release any benefi t. This protects the account against fraud or theft. You have two options to prove your identity. Check ( ) the box to make your selection. Option 1: I would like to use electronic verification By providing you my Medicare, driver s licence or Australian passport details below, I authorise the use of my personal details (including the information below) for the purpose of electronic data verifi cation using reliable and independent data sources. I understand the Fund uses a third party for this purpose. Important: Make sure the details you provide are accurate. If your personal details provided at the start of this form do not match your electronic identifi cation details, we will not be able to use your personal details to prove your identity, which will delay processing your request. You must provide details of at least two of the following documents: Document 1: Medicare card Full name as shown on your Medicare card, including initials Card number: Valid to D D M M Y Y Y Y I am person number on this card Document 2: Australian Driver s Licence First name as shown on your licence Surname as shown on your licence Australian Driver s licence number Expiry date State of issue D D M M Y Y Y Y Document 3: Australian Passport Given name/s (including middle Name) as shown on your passport Surname as shown on your passport Australian passport number Place of birth as shown on your passport Country of birth (not shown on passport): Family name at birth (not shown on passport) Option 2: I would like to provide certified copies of identification documents I have attached copies of my certifi ed proof of identity with this form. Please see the top of page 7 of this form for information regarding the type of documents required to prove their identity. NESS Super Pty Ltd ABN AFSL RSE L MySuper Authorisation as Trustee of NESS Super ABN RSE R Page 5 of 7 NE /17 ISS6

42 Section 10. Declaration I confi rm that I have read and understood the current NESS Pension PDS. I acknowledge that this application is subject to the terms and conditions of that PDS. I confi rm that the information provided on this application form is a true declaration and correct. I understand that NESS Pension will operate in accordance with the rules contained in the NESS Super Trust Deed and the relevant Commonwealth Government Laws pertaining to superannuation. I understand that NESS Super may deduct any tax due from regular pension payments and any lump sum payments in accordance with Commonwealth Government taxation laws, based on the information that I have provided. I understand that pension payments will be paid on the 15th day of each month or less frequently if advised by me. I consent to NESS Super collecting and using my personal information to manage my superannuation and comply with relevant legislation. I consent to NESS Super disclosing my personal information to other parties including NESS Super s insurer, professional advisers, fi nancial adviser, my employer and government bodies as outlined in the Privacy Policy. Signature I understand that I have 14 days from the date of confi rmation of my membership to withdraw my application (Cooling Off Period). I can withdraw the unrestricted non-preserved component from the NESS Pension, at any time. I understand that I will be notifi ed of changes of details relating to NESS Pension through the NESS Super website and NESS Super member communications. I understand that any pension payment made subsequent to an authorisation given by me will continue until a subsequent authorisation or until advice of my death has been provided. I acknowledge that the Trustee has not provided personal advice as to the appropriateness of any particular investment option/s that I have selected. I declare that I am not a temporary resident of Australia*. Privacy Policy For further information on the collection, use and disclosure of your personal information, refer to our Privacy Policy at or call us on Date D D M M Y Y Y Y Print full name * A temporary resident is a holder of a temporary visa under the Migration Act 1958, other than a retirement visa holder (subclass 405 or 410), a New Zealand citizen or a permanent resident. NESS Super Pty Ltd ABN AFSL RSE L MySuper Authorisation as Trustee of NESS Super ABN RSE R Page 6 of 7 NE /17 ISS6

43 Completing proof of identity If you have elected Option 2 to complete your proof of identity, please attach certified photocopies of documentation to prove you are the person to whom the superannuation entitlements belong. Please tick the box/es to show which documents you have attached to this form. (Only provide original documents if you are submitting this form in person at the administrator s offi ce or at our offi ces). I have attached: EITHER: Two of the following documents: A current driver s licence or permit issued under the law of a State or Territory that contains a photograph of the person in whose name the document is issued A passport issued by the Commonwealth which can be up to two years out of date that contains a photograph of the person in whose name the document is issued Medicare card. OR: One of the following documents: Birth certifi cate or birth extract Citizenship certifi cate issued by the Commonwealth Pension card issued by Centrelink that entitles you to fi nancial benefi ts. AND: One of the following documents: Letter from Centrelink regarding a Government assistance payment Notice issued by Commonwealth, State or Territory Government within the past 12 months, containing your name and residential address. For example: Tax Offi ce Notice of Assessment Rates notice from local council If you are unable to provide accepted certifi ed documents, please contact NESS Super for other options. Certified proof of identity All copied pages of ORIGINAL proof of identifi cation documents (including any linking documents) need to be certifi ed as true copies by an authorised person (see below). The following can certify copies of the originals as true and correct copies: a permanent employee of Australia Post with fi ve or more years of continuous service a fi nance company offi cer with fi ve or more years of continuous service (with one or more fi nance companies) an offi cer with, or authorised representative of, a holder of an Australian Financial Services Licence (AFSL), having fi ve or more years of continuous service with one or more licensees a notary public offi cer a police offi cer a registrar or deputy registrar of a court a Justice of the Peace a person enrolled on the roll of a State or Territory Supreme Court or the High Court of Australia as a legal practitioner an Australian consular offi cer or an Australian diplomatic offi cer a judge of a court a magistrate, or a Chief Executive Offi cer of a Commonwealth court. Have you changed your name or are you signing on behalf of another person? If you have changed your name or are signing on behalf of the applicant, you will need to provide a certifi ed linking document. A linking document is a document that proves a relationship exists between two (or more) names. The following table contains information about suitable linking documents. Example of how to certify identification Take a photocopy of both sides of the original document (see list of documents above). Take the photocopy and the original document(s) to an authorised person. The authorised person should state on the front side of each copy: This is a true and correct copy of the original. The authorised person should write on each copy their: full name; qualifi cation; registration number (if applicable); date; and signature. Driver Licence Samantha SAMPLE Certification of personal documents 123 ANY ST SUBURB NSW 2000 Licence No Licence Class C SAMPLE Donor A Conditions S Date of Birth Card Number Expiry 01 JAN JAN 1980 Certification of personal documents This is a true and correct copy of the original Purpose Change of name Signed on behalf of the applicant Suitable linking documents Marriage certifi cate, deed poll or change of name certifi cate from the Births, Deaths and Marriages Registration Offi ce Guardianship papers or Power of Attorney Sergeant Sam Jones 42 Super Street, Supertown December 2015 (02) NESS Super Pty Ltd ABN AFSL RSE L MySuper Authorisation as Trustee of NESS Super ABN RSE R Page 7 of 7 NE /17 ISS6

44 This page has been left blank intentionally. NESS Super Pty Ltd ABN AFSL RSE L MySuper Authorisation as Trustee of NESS Super ABN RSE R NE /17 ISS6

45 Consolidate my Super into NESS Super Form Please complete and return this form to: NESS Super, Locked Bag 20, Parramatta NSW 2124 Complete in pen using CAPITAL letters or type directly into this form and print it out. Use ( ) to mark boxes. This request must be signed and dated. Website: nessadmin@aas.com.au Freecall: Important Note: Before you transfer your super into NESS Super, please refer to Tips before you transfer at INSTRUCTIONS TO ADMINISTRATOR OF PAYING FUND NAMED ON PAGE 2. Your member has authorised NESS Super to obtain from the Fund account identifi ed below, an amount held in that Fund. A certifi cate of NESS Super complying status is on page 3. Please make the cheque payable to NESS Super and mail to NESS Super Administration. Locked Bag 20, Parramatta NSW (It is important that the cheque is accompanied with information regarding the member.) 1. Member details (Please complete in full) Member number (found on your NESS Member Statement) Mr/Mrs/Ms/Miss Surname Given names Other/previous names Date of birth (ddmmyyyy) D D M M Y Y Y Y Sex Residential address Street number Street name Suburb/Town State Postcode Postal address (if different to residential address) PO Box Suburb/Town State Postcode Previous address If you know that the address held by your other fund is different from your current residential address please give details below. Street number Street name Suburb/Town State Postcode Telephone (daytime) Mobile Please turn over NESS Super Pty Ltd ABN AFSL RSE L MySuper Authorisation as Trustee of NESS Super ABN RSE R Page 1 of 4 NE/PEN/RES/BNF /17 ISS13

46 2. Tax File Number (TFN) Under the Superannuation Industry (Supervision) Act 1993, your superannuation fund is authorised to collect your TFN, which will only be used for lawful purposes. These purposes may change in the future as a result of legislative change. NESS Super may disclose your TFN to another superannuation provider when your benefi ts are being transferred, unless you request in writing to NESS Super that your TFN not be disclosed to any other superannuation provider. It is not an offence not to quote your TFN. However, giving your TFN to NESS Super will have the following advantages (which may not otherwise apply): NESS Super will be able to accept all types of contributions to your account/s; the tax on contributions to your superannuation account/s will not increase; other than the tax that may ordinarily apply, no additional tax will be deducted when you start drawing down your superannuation benefi ts; and it will make it much easier to trace different superannuation accounts in your name so that you receive all your superannuation benefi ts when you retire. Tax File Number (TFN) I agree to provide my Tax File Number No Yes my TFN is: 3. Other fund details (If you have a copy of your latest statement, please attach it) Please tick one box only I would like NESS Super to arrange the transfer of my WHOLE account balance from my other fund OR I would like NESS Super to transfer PART of my account balance from my other fund Amount to be transferred $,, Name of other fund Superannuation Product Identifi cation Number (SPIN)* ABN* * Obtainable from your other fund Address of other fund Street Number / PO Box Street Name Suburb/Town State Postcode Other fund membership number Other fund phone number NESS Super Pty Ltd ABN AFSL RSE L MySuper Authorisation as Trustee of NESS Super ABN RSE R Please turn over Page 2 of 4 NE/PEN/RES/BNF /17 ISS13

47 4. Acknowledgement and signature Privacy When your personal details are provided to NESS Super they are securely stored and are accessible only to authorised personnel for the purposes of maintaining your account, including your death and disablement insurance arrangements. If you wish to view our privacy statement please go to Authorisation By completing and submitting this request, you are making the following statements: 1. I authorise NESS Super to make arrangements with the fund nominated on page 2 of this form to have my account balance rolled over to NESS Super and acknowledge that this notice is irrevocable. 2. I am aware that by leaving my current superannuation fund fees or charges may apply, and there may be signifi cant changes to my insurance benefi ts. 3. I consent to my TFN being disclosed for the purposes of consolidating my account. 4. I have reviewed my insurance arrangements and understand that the insurance cover with the fund that I am leaving may cease as a result of this transfer of funds. 5. I discharge the superannuation provider of the fund I am leaving from all further liability in respect of the benefi ts paid and transferred to NESS Super. 6. I request that any contributions received by my other superannuation fund after the rollover of my account balance be redirected to my account with NESS Super. Signature Date D D M M Y Y Y Y Print full name Certificate of Compliance NESS Super NESS Super p a Locked Bag 20 Parramatta NSW 2124 e nessadmin@aas.com.au w Australian Business Number: Superannuation Fund Number: Superannuation Product Identification Number: NES0100AU RSE Registration Number: R NESS Super Pty Ltd (the Trustee), ABN , RSE Licence L as Trustee of NESS Super certifi es that: NESS Super is a complying Resident Regulated Superannuation Fund within the meaning of the Superannuation Industry (Supervision) Act 1993 (SIS Act). NESS Super is not and has never been subject to a direction under Section 63 of the SIS Act and can therefore continue to accept employer contributions. The Trustee undertakes to advise each employer-sponsor if the Trustee becomes aware that NESS Super ceases to be a Resident Regulated Superannuation Fund or if NESS Super becomes subject to a direction under Section 63 of the SIS Act not to accept contributions. Checklist Have you completed proof of Identity? (Only required if you transfer from a SMSF) Have you considered where your future employer contributions will be paid? Have you referred to our Tips before you transfer at managing-super/combine-your-super Important! Please contact us on or refer to our Transfer of Insurance to NESS Super form available from our website if you would like to transfer your insurance cover before you transfer your full account balance from your superannuation fund. Go to Super/Forms & publications at and open the Transfer of Insurance to NESS Super form under the Insurance tab. The Trustee NESS Super Pty Ltd ABN AFSL RSE L MySuper Authorisation as trustee of NESS Super ABN RSE R Please turn over NESS Super Pty Ltd ABN AFSL RSE L MySuper Authorisation as Trustee of NESS Super ABN RSE R Page 3 of 4 NE/PEN/RES/BNF /17 ISS13

48 5. Completing proof of identity Please attach certified photocopies of documentation to prove you are the person to whom the superannuation entitlements belong. Please tick the box/es to show which documents you have attached to this form. (Only provide original documents if you are submitting this form in person at the administrator s offi ce or at our offi ces). I have attached: EITHER: One of the following documents only: A current driver s licence or permit issued under the law of a State or Territory; or A passport issued by the Commonwealth which can be up to two years out of date; that contains a photograph of the person in whose name the document is issued. OR: One of the following documents: Birth certifi cate or birth extract Citizenship certifi cate issued by the Commonwealth Pension card issued by Centrelink that entitles you to fi nancial benefi ts. AND: One of the following documents: Letter from Centrelink regarding a Government assistance payment Notice issued by Commonwealth, State or Territory Government within the past 12 months, containing your name and residential address. For example: Tax Offi ce Notice of Assessment Rates notice from local council If you are unable to provide accepted certifi ed documents, please contact NESS Super for other options. Certified proof of identity All copied pages of ORIGINAL proof of identifi cation documents (including any linking documents) need to be certifi ed as true copies by an authorised person (see below). The following can certify copies of the originals as true and correct copies: a permanent employee of Australia Post with fi ve or more years of continuous service a fi nance company offi cer with fi ve or more years of continuous service (with one or more fi nance companies) an offi cer with, or authorised representative of, a holder of an Australian Financial Services Licence (AFSL), having fi ve or more years of continuous service with one or more licensees a notary public offi cer a police offi cer a registrar or deputy registrar of a court a Justice of the Peace a person enrolled on the roll of a State or Territory Supreme Court or the High Court of Australia as a legal practitioner an Australian consular offi cer or an Australian diplomatic offi cer a judge of a court a magistrate, or a Chief Executive Offi cer of a Commonwealth court. Have you changed your name or are you signing on behalf of another person? If you have changed your name or are signing on behalf of the applicant, you will need to provide a certifi ed linking document. A linking document is a document that proves a relationship exists between two (or more) names. The following table contains information about suitable linking documents. Example of how to certify identification Take a photocopy of both sides of the original document (see list of documents above). Take the photocopy and the original document(s) to an authorised person. The authorised person should state on the front side of each copy: This is a true and correct copy of the original. The authorised person should write on each copy their: full name; qualifi cation; registration number (if applicable); date; and signature. Driver Licence Samantha SAMPLE Certification of personal documents 123 ANY ST SUBURB NSW 2000 Licence No Licence Class C SAMPLE Donor A Conditions S Date of Birth Card Number Expiry 01 JAN JAN 1980 Certification of personal documents This is a true and correct copy of the original Purpose Change of name Signed on behalf of the applicant Suitable linking documents Marriage certifi cate, deed poll or change of name certifi cate from the Births, Deaths and Marriages Registration Offi ce Guardianship papers or Power of Attorney Sergeant Sam Jones 42 Super Street, Supertown December 2015 (02) NESS Super Pty Ltd ABN AFSL RSE L MySuper Authorisation as Trustee of NESS Super ABN RSE R Page 4 of 4 NE/PEN/RES/BNF /17 ISS13