Enlistment Date: If you only have one period of service, this is the date of your enlistment with the Permanent Forces or as a continuous full time Reservist. If you have more than one period of service, this is the date of your most recent re-enlistment with the Permanent Forces or as a continuous full time reservist.

Please insert an enlistment date for your most recent period of service.

Annual Salary: Your salary for ADF Cover purposes is

• annual rate of salary (assuming your are on full pay) and
• annual rate of service allowance and
• annual rate of any higher duties allowance (if applicable), and
• annual rate of any trainee allowance (if applicable).

No other allowances are included in the ADF Cover salary.

Eligible children: An eligible child is defined as:

• under 18 years of age; or
• at least 18 but under 25 years of age; and
• receiving full time education; and
• wholly or substantially dependent at the time of death.

Spouse information: A surviving spouse is defined as:

• a person who had a marital or couple relationship with the member at the time of death; or
• the person had previously had a marital or couple relationship with the invalid or member but was legally married to the member; and
• was wholly or substantially dependent upon the member at the time of death.

General information based on results

If a pension is calculated:

The amount of pension calculated above is your gross pension payable. Under current tax law, your benefits from ADF Cover are subject to tax if withdrawn as a lump sum or pension. As ADF Cover benefits come from consolidated revenue, this money has not been taxed previously therefore needs to be taxed when the benefit is payable.

If you receive a pension benefit from ADF Cover it will be comprised entirely of Taxable Untaxed component and marginal tax rates will be applied to the whole amount.

Marginal tax rate is the term used to describe the method of taxation withholding. Withholding rates are calculated on the basis that, if your pay and circumstances remain consistent throughout the year. This system is called Pay As You Go (PAYG) withholding. For more information regarding the tax payable on your pension please refer to ATO.gov.au

If a lump sum is calculated:

A lump sum benefit from ADF Cover is paid from consolidated revenue. This money has not been taxed previously therefore needs to be taxed when the benefit is payable.

If you receive a lump sum benefit from ADF Cover it will be comprised entirely of Taxable Untaxed component and PAYG withholding tax rates will be applied to the whole amount. The tax tables used in this calculator is for the 16/17 financial year. If you are estimating for a transition date in the future, the tax values shown may be different on transition.

If an estate lump sum is calculated:

Estate benefits paid from ADF Cover are not taxed; however the estate may be liable for tax. Before distributing any proceeds from an estate payment you should contact the ATO to ascertain the Estate's taxation liability.

Children/Student pensions

A child is eligible to receive a pension if they are under 18 years of age. If aged between 18 and 25 years of age, they must be in full time study. CSC will annually send a letter to children over the age of 18 to ensure that they are in full time study and therefore remain eligible for the pension payment.

Pension Indexation:

Pensions payable under ADF Cover will be indexed effective on the 1st January and 1st July each year by CPI. You will be notified of any changes to your pension in writing prior to any change in your pension.

Invalidity Disclaimer

By using this calculator you are acknowledging the Disclaimer and Assumptions.

The information which this financial calculator provides, are illustrations only. It will provide information for you, based on inputs provided by you, and the underlying assumptions built into these tools, including, superannuation and tax legislation, all of which change over time.

The estimates provided are to be regarded as a guide only and is no way guaranteed. If you are a member of ADF Cover who transitions from the ADF on grounds of invalidity, we are required to assess you for invalidity benefits (that is, you cannot specify what invalidity benefits you may become entitled to as this is a decision for the administrator of ADF Cover, CSC). You should note that the amount of your benefit will change, depending on your changing circumstances.

Any financial decision which you make should be based upon much more than the information which you receive from this financial calculator which is not to be relied on for the purposes of making a financial decision in relation to a financial product. You should consider obtaining advice from a licensed financial planning professional before making any financial decisions.

An ADF Cover member, who transitions on the grounds of invalidity as a result of a physical or mental impairment that occurs while serving in the Australian Defence Force (ADF), will be assessed for their incapacity in relation to civilian employment.

Our assessment takes into consideration the types of civilian employment that a person with your qualifications, skills and experience could reasonably undertake.

Once we have made an assessment you will be classified as one of the following:

• Class A—where your incapacity for civilian employment is assessed as more than 60%, or
• Class B—where your incapacity for civilian employment is assessed to at least 30% but less than 60%, or
• Class C—where your incapacity for civilian employment is assessed as less than 30%.

If you are classified as Class A or B you will receive an Invalidity pension from ADF Cover.

You are not eligible for an Invalidity benefit from ADF Cover if your transition or retirement:

• occurred within your first two years of service and was caused by or substantially caused by a condition that was present on entry and was not materially aggravated by your service
• was, in the opinion of CSC, a result of your wilful action to obtain an Invalidity pension
• was caused by or substantially contributed to by an injury which occurred while you were absent without leave for a period of more than 21 days, and your salary and allowances for that period of absence before the event had been forfeited under regulations made under the Defence Act 1903 and an amount equal to that forfeited salary is not later paid or payable under those regulations.

If you are classified as Class A or Class B, your classification will be initially reviewed within 12 to 36 months with subsequent reviews to be conducted from time to time. If the level of your incapacity or your skills, qualifications or work experience have changed you may be reclassified. If so, your pension payment will change to reflect your new classification with effect from the date the decision of your new classification was made.

The top up pension is only payable until you reach 60 years of age, at which time this part of your pension will cease.

Other assumptions

The calculator is based on existing legislative arrangements. The figures used are based on varying assumptions which are subject to change and may also be impacted by future changes to legislation.

Your benefit is calculated using the following legislated formulas:

Base Rate of pension is calculated using the below formula:

Prospective service to age 60 x Annual Salary on transition x Incapacity factor on key day

Top Up annual rate of invalidity pension is calculated using the below formula:

Invalids period of qualifying service (Eligible Service) x Annual Salary on transition x Incapacity factor

Total pension payable = Base Rate of Pension + Top up rate of pension.

Incapacity factors:

Class A = 2.2%

Class B = 1.1%

If the total pension payable is less than $5,000 p.a. it will automatically be converted to a lump sum. This lump sum is calculated by the following legislated formula:

This calculator assumes that the inputs provided by the user such as age and years of service are correct. Any changes in these values will change any payments made by CSC.

Death Benefit Disclaimer

The information which this financial calculator provides, are illustrations only. It will provide information for you, based on inputs provided by you, and the underlying assumptions built into these tools, including, superannuation and tax legislation, which change over time.

The estimates provided are to be regarded as a guide only and is no way guaranteed. Any financial decision which you make should be based upon much more than the information which you receive from this financial calculator which is not to be relied on for the purposes of making a financial decision in relation to a financial product. You should consider obtaining advice from a licensed financial planning professional before making any financial decisions.

The estimates provided are to be regarded as a guide only and is no way guaranteed, In the event of your death, the administrator of ADF Cover, CSC will need to determine who is eligible for your benefit.

Death benefits are payable to:

• the surviving Spouse (if any); or
• the eligible children (if any) of the member, if there is no surviving spouse; or
• beneficiaries under the member's will who were nominated to Commonwealth Superannuation Corporation (CSC) and dependent on the member just before the member's death, if there is neither a surviving spouse nor dependent eligible children; or
• the member's estate, if the benefit is not payable to anyone else.

Who is a surviving spouse?

A surviving spouse is defined as:

• a person who had a marital or couple relationship with the invalid or member at the time of death; or
• the person had previously had a marital or couple relationship with the invalid or member but was legally married to the invalid or member; and
• in CSC's opinion was wholly or substantially dependent upon the invalid or member at the time of death.

What is a marital or couple relationship?

A marital or couple relationship is defined as:

• ordinarily lived with the deceased on a permanent and bona fide domestic basis;
• for a continuous period of at least 3 years; or
• less than 3 years but where CSC, having regard to the relevant evidence, is of the opinion that the person ordinarily lived with the deceased on a permanent and bona fide domestic basis.

Who is an eligible child?

An eligible child is defined as:

• under 18 years of age; or
• at least 18 but under 25 years of age; and
• receiving full time education; and
• wholly or substantially dependent at the time of death.

Death after exit from ADF

A member who exits the ADF is no longer covered by ADF Cover (unless they are in receipt of an ADF Cover Invalidity Pension), as a result a death benefit is no longer payable.

Any financial decision which you make should be based upon much more than the information which you receive from this financial calculator which is not to be relied on for the purposes of making a financial decision in relation to the death benefit entitlements from ADF Cover. You should consider obtaining advice from a licensed financial planning professional before making any financial decisions.

Other assumptions

The calculator is based on existing legislative arrangements. The figures used are based on varying assumptions which are subject to change and may also be impacted by future changes to legislation.

The benefit is calculated using the following legislated formula:

The spouse annual rate of the pension is as follows:

Member's prospective service to age 60 x Members salary on the day of his or her death x 1.5%

The death benefit lump sum is:

• Member's salary at death x prospective service to age 60 x 25%
• If the spouse elects to receive a pension, the pension is increased by the following percentages for eligible children:

  Number of eligible children	Percentage
  1	17%
  2	33%
  At least 3	50%

Children only (no spouse) calculation

Where there are eligible children, but no surviving spouse, the only payment payable is a lump sum. This is calculated as follows:

Member's annual salary at death x prospective service to age 60 x 25%

Estate calculation

A death benefit lump sum is payable of:

Member's salary at death x prospective service to age 60 x 25%

This calculator assumes that the inputs provided by the user such as age and years of service are correct. Any changes in these values will change any payments made by CSC.