QSuper Accumulation Account PDS

QSuper Accumulation Account
Product Disclosure Statement
Contents
1. About the QSuper Accumulation account – P2
2. How super works – P2
3. Benefits of investing with a QSuper Accumulation account – P2
4. Risks of super – P3
5. How we invest your money – P3
6. Fees and costs – P4
7. How super is taxed – P6
8. Insurance in your super – P7
9. How to open an account – P8
Reece
Member since 2008
This is the QSuper Accumulation Account Product Disclosure Statement (PDS). This
PDS is a summary of significant information about the QSuper Accumulation account.
Other important information is contained in the Accumulation Account Guide, the
Investment Choice Guide and the Accumulation Account Insurance Guide, issued
on 1 January 2015. The information in these guides forms part of this PDS.
ISSUED 1 JANUARY 2015
You should consider the information in this PDS and the guides before making a
decision about the QSuper Accumulation account. The information in this PDS and
the guides is general information only, and doesn’t take into account your personal
objectives, financial situation or needs. It shouldn’t be relied on as legal or taxation
advice and doesn’t take the place of any such advice. Any statements of law or
proposals are based on our interpretation of the law or proposals as at the time of
printing. You should seek financial advice tailored to your personal circumstances.
1. ABOUT THE QSUPER ACCUMULATION ACCOUNT
As one of Australia’s largest super funds, more than
half a million people entrust their future to us. QSuper
is the super fund for current and former Queensland
Government and related entity employees and their
spouses.
To support you over your lifetime and help you reach
your retirement goals, we offer a range of products
and services. These include the Accumulation
account and the Income account, which includes a
transition to retirement option.
2. HOW SUPER WORKS
What is superannuation?
Superannuation is a long-term arrangement
designed to provide you with a way of saving for
retirement and is compulsory for most Australian
workers. The Australian Government wants to
encourage you to save for your retirement so it offers
a range of incentives and tax concessions for super.
Your QSuper Accumulation account
Your QSuper Accumulation account works on the
basic principles of addition and subtraction to help
accumulate money for your retirement. Investment
earnings have a major impact on your account,
and the value of your account will change with
fluctuations in your investment.
Choice of fund
Most people can choose the super fund they would
like their employer to pay super contributions into.
However if you’re employed by the Queensland
Government or a related entity, your employer is
generally required to pay your super into QSuper.
If you’re a member and your employer isn’t
contributing to QSuper, you can ask them to make
your super contributions into QSuper, as long as they
offer choice of fund. If you would like your employer
to contribute to QSuper, call us or visit our website.
The QSuper Lifetime (referred to as ‘Lifetime’)
investment option is our MySuper product, as well
as the default investment option for Accumulation
accounts. Lifetime uses a lifecycle investment
approach to provide a more tailored super strategy
that considers your age and Lifetime balance.
The QSuper Board1 is responsible for administering
QSuper. The QSuper Board is a body corporate
with independent, member and employer trustee
representation.
Of course, if you prefer a more hands-on approach
to managing your super, you can create your own
investment mix using any of our other Ready Made
or Your Choice investment options, or QSuper Self
Invest.
Additional information about QSuper, our products, the
Fund and Trustee, Trustee and executive remuneration,
required disclosure and product dashboards are
available online at qsuper.qld.gov.au/disclosure.
1 The Board of Trustees of the State Public Sector Superannuation Scheme (ABN 32 125 059 006).
AMOUNTS SUBTRACTED FROM YOUR
ACCOUNT
AMOUNTS ADDED TO YOUR ACCOUNT
� Employer contributions � Voluntary contributions
� Spouse contributions � Super co-contributions
� Money rolled over from other super funds
Contribution caps
The Australian Government sets a limit, or ‘cap’, on
the contributions you can make to super before you
become liable for extra tax. You should monitor all
contributions made by you and on your behalf into
your account to ensure they don’t exceed the caps.
� Fees � Taxes � Insurance premiums
When can I access my super?
Your super can generally be accessed once you’ve
permanently retired and reached your preservation
age, which is between age 55 and 60, depending on
when you were born. However you may be able to
access some or all of your super earlier if you satisfy
a condition of release, such as total and permanent
disability or financial hardship.
You should read the important information about the QSuper Accumulation account in the Accumulation
Account Guide before making a decision about the Accumulation account. Go to qsuper.qld.gov.au/pds
or call us and we’ll send you a copy. The material relating to the QSuper Accumulation account may
change between the time when you read this PDS and the day when you acquire the product.
3. BENEFITS OF INVESTING WITH A QSUPER ACCUMULATION ACCOUNT
Your QSuper Accumulation account
Your QSuper Accumulation account is designed to
help you save for retirement. You, your spouse, your
employer and even the Australian Government can
make contributions into your Accumulation account.
These contributions are invested in the investment
option you’ve selected or, if you haven’t made an
investment choice, in QSuper’s default investment
option. Your retirement benefit is the total of these
contributions and investment returns, less fees, tax,
and insurance premiums.
Super that grows with you
Lifetime is our default investment option, and takes
the hassle out of managing your super by adjusting
your investment strategy as you move through life.
Investment choice
For a more hands-on approach to super, you can
select from any of our diversified Ready Made options
and single asset class Your Choice options, or QSuper
Self Invest.
Automatic insurance1
QSuper wants you to have protection when you need
it, so many members are automatically provided
with death and total and permanent disability (TPD)
insurance and income protection.
Access to affordable personal financial advice
We’ve been offering members access to affordable
personal financial advice from QInvest2 for more than
20 years.
Some of the lowest super fees in Australia3
We believe in keeping fees simple, so with
QSuper you don’t pay any entry fees, exit fees or
commissions.
Member Online
Member Online makes super easier than ever – use
it to view your account, change your investments or
insurance, and access a range of other features.
Free access to our seminars
Our range of seminars provides the information you
need to make super choices that are right for you.
1 Subject to eligibility. You can find more information on insurance in Section 8 of this PDS. 2 QInvest Limited (ABN 35 063 511 580, AFSL and Australian Credit Licence
number 238274) (QInvest) is ultimately owned by the QSuper Board (ABN 32 125 059 006) as trustee for the QSuper Fund (ABN 60 905 115 063), and is a separate legal
entity which is responsible for the financial services and credit services it provides. 3 SuperRatings Fundamentals Report June 2014. SuperRatings does not issue, sell,
guarantee or underwrite this product. Go to www.superratings.com.au for details of its ratings criteria. Past management fees should not be taken as an indication of
future fees, as each year the expenses of managing QSuper’s investment options may vary. Our fees are not negotiable.
2
4. RISKS OF SUPER
All investments carry risk, and it’s no different
with super. One of the greatest risks is not having
adequate financial security to fund your lifestyle in
retirement. There are things you can do to help grow
your super, but there are no guarantees regarding
how much super you’ll have when you retire.
Investment risk
QSuper offers a range of investment options, which
carry different levels of risk depending on the assets
they are invested in. Some investment options spread
risk by diversifying across a range of asset classes, while
others only have exposure to one asset class. Assets
that have potential for the highest long-term returns
may also carry the highest level of short-term risk.
The value of your investments will vary, and it’s
important to remember that the past performance
of an investment option isn’t a reliable indicator of
future performance. You should also be aware that
investment returns applied to your account will vary
and may include negative returns. If this occurs it’s
important to understand that you may lose some of
your super savings.
QSuper does not guarantee investment performance.
the level of returns will vary
super laws may change in the future and those
Risk tolerance
changes may impact the amount of super you
The level of risk you accept when investing in super
have, when you can access it, and your goals
will vary depending on your personal circumstances
and objectives.
and is dependent on a range of factors including your
personal risk tolerance, age, investment timeframe,
investment choice, objectives, other investments you
may have, and your attitude towards risk.
Risks to consider
When considering the risks to your investment in
QSuper, you need to understand that:
your future account balance (including
contributions and returns) may not be sufficient
to adequately fund your retirement
investment returns may not keep pace with
inflation
negative investment returns will reduce your
account balance
investment options may close or change, or an
investment manager may underperform and
impact returns within an investment option
You should read the Investment Choice Guide
to find out important information about the
risks of investing before making an investment
decision. Go to qsuper.qld.gov.au/pds or call us
and we’ll send you a copy. The material relating
to the risks of investing may change between
the time when you read this PDS and the day
when you acquire the product.
5. HOW WE INVEST YOUR MONEY
QSuper offers a number of investment options, each
with different objectives, asset allocations, levels of
risk and potential returns. You can choose to invest in
one or any combination of these options to create the
investment strategy that suits you. If you don’t make a
choice, your super will be invested in QSuper’s default
investment option, Lifetime.
READY MADE OPTIONS
Lifetime (default)
YOUR CHOICE OPTIONS
Moderate
Socially
Responsible
Balanced
Aggressive
Cash
Diversified
Bonds
International
Shares
Australian
Shares
QSUPER SELF INVEST
Self Invest
When deciding how to invest your super, you need to consider your objectives, how long you will be investing for, and the risks and likely investment
return of each option.
QSuper Lifetime
Lifetime uses a lifecycle investment strategy to
provide you with a more tailored investment solution,
so how your super is invested changes over time,
based on your age and Lifetime balance.
Lifetime groups
If your super is invested in Lifetime, you’re placed in
a Lifetime group, and the group you’re in determines
your investment strategy. Lifetime has eight groups,
and each group has its own investment objective and
asset allocation ranges. We review Lifetime groups
every six months, and change your group if required.
Changing your investment option
You can change how your super is invested. There
are no fees for making an investment switch1 and it’s
easy to do using Member Online or by completing a
Switch Investments in an Accumulation Account form.
You can download this form from our website, or call
us and we’ll send you one.
Standard Risk Measure
The Standard Risk Measure (SRM) is based on industry
guidance to give members the ability to compare
investment options within and across funds.
The SRM shows the expected number of negative
annual returns over any 20-year period for the
investment option or investment group. An SRM is
not a complete assessment of all forms of investment
risk. For instance, it doesn’t detail what size a negative
return could be, or that a positive return could still be
less than you require to meet your objectives. It also
doesn’t take into account the impact of administration
fees and tax on the likelihood of a negative return.
Important things to note
From time to time the QSuper Board may make
changes to the investment options. We’ll notify you
of any significant changes to our investment options.
You should ensure you’re comfortable with the risks
and potential losses associated with your chosen
investment option/s. You can find more information
about QSuper’s SRM calculation process and
methodology on the QSuper website at
qsuper.qld.gov.au/srm.
Responsible investment policy
QSuper aims to achieve competitive returns for
members within an acceptable level of risk, and
this is also the primary consideration for investment
managers when making investment decisions.
Socially responsible investment principles, such as
labour standards or environmental, social or ethical
considerations aren’t taken into consideration when
making investment decisions in most investment
options. However we do offer the Socially Responsible
option, which is managed using socially responsible
investing principles.
You should read the important information about
QSuper’s investment options before making an
investment decision. You can find information
about all our investment options in the Investment
Choice Guide. Go to qsuper.qld.gov.au/pds or call
us and we’ll send you a copy. The material relating
to the investment options may change between
the time when you read this PDS and the day
when you acquire the product.
1 The QSuper Board reserves the right to limit switches.
3
QSUPER LIFETIME GROUPS
Your age
Under 40
40 – 49
40 – 49
50 – 57
50 – 57
50 – 57
Over 58
Over 58
Your Lifetime balance
Any money in Lifetime.
Less than $50,000.
$50,000 or more.
Less than 100,000.
From $100,000 to less than $250,000.
$250,000 or more.
Less than $300,000.
$300,000 or more.
Group
Outlook
Aspire 1
Aspire 2
Focus 1
Focus 2
Focus 3
Sustain 1
Sustain 2
Who is this option
suited to?
Suitable for long-term investors
who want exposure to assets with
potentially higher returns.
Suitable for medium-term investors
with low account balances who want
exposure to assets with potentially
higher returns.
To achieve an annual return of
CPI + 4.0% p.a., after fees and tax,
measured over rolling 10-year periods.
5 years.
Suitable for medium-term investors
with moderate account balances
who want exposure to assets with
potentially higher returns.
To achieve an annual return of
CPI + 3.75% p.a., after fees and tax,
measured over rolling 10-year periods.
5 years.
Suitable for medium-term investors
with high account balances who want
exposure to assets with potentially
higher returns.
To achieve an annual return of
CPI + 3.5% p.a., after fees and tax,
measured over rolling 10-year periods.
5 years.
Suitable for investors who are close to
or in retirement.
To achieve an annual return of
CPI + 4.5% p.a., after fees and tax,
measured over rolling 10-year periods.
10 years.
Suitable for medium to long-term
investors with higher account balances
who want exposure to assets with
potentially higher returns.
To achieve an annual return of
CPI + 4.0% p.a., after fees and tax,
measured over rolling 10-year periods.
10 years.
Suitable for investors who are close to
or in retirement.
Objective
Suitable for medium to long-term
investors with lower account balances
who want exposure to assets with
potentially higher returns.
To achieve an annual return of
CPI + 4.5% p.a., after fees and tax,
measured over rolling 10-year periods.
10 years.
To achieve an annual return of
CPI + 2.5% p.a., after fees and tax,
measured over rolling 10-year periods.
2 years.
To achieve an annual return of
CPI + 2.0% p.a., after fees and tax,
measured over rolling 10-year periods.
2 years.
Minimum suggested
investment timeframe
Risk
Medium to high.
Medium to high.
Medium to high.
Medium.
Medium.
Medium.
Low.
A negative annual return is expected
A negative annual return is expected
A negative annual return is expected
A negative annual return is expected
A negative annual return is expected
A negative annual return is expected
A negative annual return is expected
between 3 and 4 times in every 20 years. between 3 and 4 times in every 20 years. between 3 and 4 times in every 20 years. between 2 and 3 times in every 20 years. between 2 and 3 times in every 20 years. between 2 and 3 times in every 20 years. less than once in every 20 years.
Very low.
A negative annual return is expected
less than 0.5 times in every 20 years.
Asset allocation ranges (%)
Cash: 0 – 15 Fixed interest:1 0 – 35
Property: 0 – 25 Australian shares: 5 – 30
International shares: 5 – 45
Alternative assets: 0 – 30
Infrastructure: 0 – 25
6. FEES AND COSTS
Cash: 0 – 15 Fixed interest:1 0 – 35
Property: 0 – 25 Australian shares: 5 – 30
International shares: 5 – 45
Alternative assets: 0 – 30
Infrastructure: 0 – 25
Cash: 0 – 20 Fixed interest:1 10 – 60
Property: 0 – 25 Australian shares: 5 – 30
International shares: 5 – 45
Alternative assets: 0 – 30
Infrastructure: 0 – 25
Cash: 0 – 20 Fixed interest:1 10 – 60
Property: 0 – 25 Australian shares: 5 – 30
International shares: 5 – 45
Alternative assets: 0 – 30
Infrastructure: 0 – 25
Cash: 0 – 30 Fixed interest:1 30 – 75
Property: 0 – 20 Australian shares: 0 – 20
International shares: 5 – 35
Alternative assets: 0 – 25
Infrastructure: 0 – 20
Cash: 40 – 75 Fixed interest:1 0 – 35
Property: 0 – 20 Australian shares: 0 – 20
International shares: 0 – 30
Alternative assets: 0 – 25
Infrastructure: 0 – 20
Cash: 50 – 90 Fixed interest:1 0 – 35
Property: 0 – 20 Australian shares: 0 – 20
International shares: 0 – 25
Alternative assets: 0 – 25
Infrastructure: 0 – 20
1 In the Lifetime option these assets provide diversification, a hedge against inflation and target yield enhancement. This asset class is also referred to as bonds.
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 (for example, 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. Your employer may be able to negotiate to pay lower administration fees. Ask the fund or your financial adviser.
To find out more
If you would like to find out more, or see the impact of the fees based on your own circumstances, the Australian Securities and Investments Commission (ASIC)
website (www.moneysmart.gov.au) has a superannuation fee calculator to help you check out different fee options.
QSuper’s fees
As a member of QSuper you pay no entry fees or
exit fees. QSuper is committed to keeping our fees
competitive and the QSuper Board reviews fees
regularly. Fees payable are set by the QSuper Board and
aren’t negotiable.
Types of fees and costs
The fees charged by QSuper are either paid directly
from your account or deducted from investment
returns. You should read all the information about fees
and costs so you understand their impact on your super.
The cost of managing your account is split into two
components.
Investment fee:
This is the fee deducted by QSuper to cover the
costs that relate to the investment of assets for
each option and is made up of a base fee and a
performance fee.
Administration fee:
This is the fee deducted by QSuper to cover the
other costs incurred in managing your super.
The following fees and costs may also apply.
Advice fee:
This is the fee deducted by QSuper if you seek
personal financial advice through QInvest and
choose to pay for the cost of this service from
your QSuper Accumulation account.
Insurance fee:
This is the insurance premium(s) deducted by
QSuper to cover the cost of providing you with
insurance, if applicable.
Administration fee cap
QSuper has a fee cap that applies to administration fees. Any amounts charged across all QSuper accounts that exceed the $1,540 fee cap within a financial year will be
refunded to your account via a rebate in July of the following financial year. There’s more information about QSuper’s administration fee cap in the Accumulation Account Guide.
Additional fees may be paid to QInvest as a financial adviser if QInvest is consulted for personal financial advice. The amount you pay will vary depending on your
situation, the nature of the advice, and whether you seek advice over the phone or face to face. If you receive advice, QInvest provides a Statement of Advice with
details of any fees.
Example of annual fees and costs for Lifetime
This table gives an example of how the fees and
EXAMPLE – LIFETIME OUTLOOK
Investment fees2
0.44% p.a.
PLUS Administration fees
0.22% p.a.
PLUS Indirect costs for Lifetime Outlook Nil
EQUALS Cost of Lifetime Outlook 0.66% p.a.
4
Cash: 0 – 25 Fixed interest:1 20 – 70
Property: 0 – 20 Australian shares: 5 – 25
International shares: 5 – 40
Alternative assets: 0 – 25
Infrastructure: 0 – 20
costs for QSuper’s Lifetime option can affect your
superannuation investment over a one-year period.
You should use this table to compare this superannuation
product with other superannuation products.
BALANCE OF $50,000
For every $50,000 you have in Lifetime Outlook, you will be charged $220 each year.
And, you will be charged $110 each year in administration fees.
And, indirect costs of $0 will be deducted from your investment.
If your balance was $50,000, then for that year you will be charged fees of $330 for Lifetime Outlook.
2 This fee is indicative only and is based on the estimated 2014/2015 financial year management costs as at the issue date of this document, which may differ from the actual fee. Given the
nature of the investment component, investment fees cannot be precisely calculated in advance and are based on modelled return and fee data. While care is given to ensure projections
are reasonable, they are estimates only.
Fees and costs for Lifetime
In Lifetime the investment fees charged depend on which
group you’re placed in. Lifetime has eight groups split
across four age brackets, and the investment fees are
the same within each age bracket. The difference in fees
within Lifetime reflects the cost of managing the asset
allocation of each group. The table below can be used
to compare QSuper’s Lifetime option to the fees of other
super products.
QSuper Lifetime
Type of fee
Investment fee3
Outlook
Aspire
Focus
Sustain
Administration fee3
Amount
How and when paid
Fees are deducted daily from the unit price.
0.44% p.a.
0.39% p.a.
0.34% p.a.
0.23% p.a.
0.22% p.a. (up to an
administration fee cap of $1,540).
Nil.
Nil.
Nil.
Nil.
Buy-sell spread
Switching fee
Exit fee
Advice fees
relating to all members in Lifetime
Other fees and costs4
Advice fees
$55 – $1,360 for each advice
service.
Insurance fee
Death and TPD
Income protection
Indirect cost ratio
$1.11 – $4.40 per unit, per week.
$0.17 – $4.08 per unit, per week
or 0.37% – 2.18% of salary.
Nil.
Additional explanation of fees and costs
The QSuper Board has the right to change fees and costs
without your consent. The QSuper Board will provide
at least 30 days notice if there’s any increase to the fees
for the Accumulation account. QSuper provides regular
updates about fees and costs at qsuper.qld.gov.au/fees.
Fees are deducted daily from the unit price. If this fee exceeds $1,540 in a financial year (totalled across all your
Accumulation and Income accounts), the excess will be rebated to your account in July of the following year.
Not applicable.
Not applicable.
Not applicable.
Not applicable.
The advice fee is deducted from your Accumulation account if you seek personal financial
advice from QInvest about your retirement benefits and choose to pay for this service from
your Accumulation account.
Death and TPD premiums are deducted from your Accumulation account monthly.
Income protection premiums are deducted from your Accumulation account fortnightly
or monthly, depending on your insurance arrangements.
Not applicable.
Actual investment fees may differ from the estimated
of certain types of financial advice about your QSuper
fees. When investment fees are confirmed, they are made benefit. Where QSuper contributes to the cost of advice,
available on our website.
members will only pay part of the total cost of QSuper
related advice provided over the phone or face to face.
Advice fees
QSuper facilitates members’ access to affordable personal Visit qinvest.com.au or call 1800 643 893 for more
financial advice from QInvest, and contributes to the cost information on QInvest’s fees and services.
You should read the important information about fees (including definitions and explanations of fee types) and the additional information about fees for all investment
options in the Accumulation Account Guide before making a decision. Go to qsuper.qld.gov.au/pds or call us and we’ll send you a copy.
The material relating to fees may change between the time when you read this PDS and the day when you acquire the product. In addition, you can find the definitions of
each type of fee at qsuper.qld.gov.au/fees.
3 The investment and administration fees are deducted daily from the unit price relevant to your investment option or options before the unit price is declared.
Investment fees are estimates as at the issue date of this document, and may differ from future fees. 4 The advice fee and the insurance fee, where applicable, are paid directly from your account.
5
7. HOW SUPER IS TAXED
Super can be a tax-effective way of saving for your
retirement as it’s generally taxed at a lower rate than
most other investments. However it isn’t completely
free from tax. Tax may be applied to contributions and
withdrawals, and is deducted from your account.
Types of contributions
It’s important you’re familiar with the different
types of super contributions that can be made.
and member contributions for which a tax
deduction has been claimed.
Concessional contributions are made before tax
is deducted from your income. These include
employer contributions, contributions you make
from your before-tax salary (salary sacrifice)
Non-concessional contributions are
contributions made after tax is deducted
from your income, and include contributions
made from your after-tax salary and spouse
contributions.
Contribution caps – The Australian Government sets a limit, or ‘cap’, on the amount of contributions that can be made to super at concessional tax rates
each year. These caps apply to both concessional contributions and non-concessional contributions. It’s important to be aware of these caps, because
contributions that exceed the concessional or non-concessional contribution caps attract extra tax.
Tax rates on contributions for 2014/2015
Type of contribution Tax on contributions
Contribution cap1 Tax on contributions exceeding the cap
Concessional
contributions
(before-tax
contributions)
15% (within cap)
If your total annual income including concessional
contributions exceeds $300,000, you will be liable to pay tax
of 15% (in addition to contributions tax of 15% payable by
QSuper), meaning total tax of 30% will apply to contributions
above the $300,000 threshold. If your income is over $300,000
excluding concessional contributions, you will also be liable
to pay tax of 15% (in addition to contributions tax of 15%
payable by QSuper), meaning total tax of 30% will apply to all
of the concessional contributions you make, up to the cap.
$30,000 per year.
For people aged
over 49 on 30
June 2014, the
concessional
contribution cap
is $35,000.
Non-concessional
contributions
(after-tax
contributions)
0%
$180,000 per year.2 49%, which includes the Medicare levy of 2%.
The 15% tax on concessional contributions is
deducted from your account at the time the
contribution is made. There is more information
about the additional tax on contributions exceeding
the caps in the Accumulation Account Guide.
Withdrawals
Tax on withdrawals is based on your age and the
taxable and tax-free components of your benefit.
TAXATION OF WITHDRAWALS3
Excess concessional contributions are included in your
assessable income and taxed at your marginal tax rate. You
may choose to have the excess contributions released from
super.2 You are entitled to a 15% non-refundable offset in
your tax return. You may also incur an interest charge for
the increase in income tax liability.
Note: The government has announced that it will allow individuals
the option of withdrawing non-concessional contributions in
excess of the non-concessional contributions cap made from 1 July
2013 and any associated earnings, with the earnings being taxed
at the individual’s marginal tax rate. Individuals who leave their
excess contributions in the fund will continue to be taxed on these
contributions at the top marginal rate. At the time of preparation of
this guide, this change had not been legislated.
Tax-free component – Your tax-free component
generally represents the total of your personal
after-tax contributions (non-concessional
contributions).
Taxable component – Your taxable component
is the amount of your account balance less the
tax-free component, and includes amounts
received from your employer and salary sacrifice
contributions (concessional contributions).
The table below indicates the tax rates applied to the
taxable and tax-free components of your benefit
if you withdraw a lump sum.
From time to time the Australian Government may
legislate other levies on withdrawals from the taxable
and tax-free components of super. If this happens
we’ll make all the relevant information available on
our website.
Component
Below preservation age (under age 55)
Reached preservation age and under age 60 (55 – 59)
Tax-free
No tax payable.
No tax payable.
No tax payable.
Taxable
Maximum rate of 22%, which includes the
Medicare levy of 2%.
No tax payable up to the low rate cap.4
Amounts over the low rate cap are taxed at a maximum of 17%,
which includes the Medicare levy of 2%.5
No tax payable.
Investment returns
Superannuation investment returns are generally
taxed at a concessional rate of 15%. Some returns are
eligible for a discount and subject to tax at 10%.
Tax is provisioned from the unit price and set aside to
pay the taxation liabilities of the QSuper Fund to the
relevant authorities when they are due. This means
that the unit prices we issue are net of tax.
Age 60 or over
Your tax file number (TFN) – It’s important you supply us with your tax file number so you aren’t
disadvantaged in any way. It isn’t compulsory for you to supply your TFN but if you don’t provide it:
�you may end up paying higher tax on your contributions and withdrawals
�we won’t be able to accept non-concessional contributions to your account
�you won’t be eligible for the Australian Government co-contribution, which can help boost your super
�it may be more difficult to find, consolidate or keep track of your super.
You should read the important information about tax in the Accumulation Account Guide before making a decision. Go to qsuper.qld.gov.au/pds or call us and
we’ll send you a copy. The material relating to tax may change between the time when you read this PDS and the day when you acquire the product.
6
1 You’re entitled to elect to have up to 85% of your excess concessional contributions for a financial year released from superannuation. 2 For the 2014/2015 financial
year, if you’re under age 65 at anytime during the financial year, you’re able to contribute up to $540,000 in non-concessional (after-tax) contributions tax-free in the first
year of a three year period. Any contributions exceeding $540,000 in the same three year period will be treated as exceeding the contributions cap. 3 These rates are
applicable only to lump sum member benefit withdrawals. Different rates may be applicable in respect of death benefit payments. 4 The low rate cap for 2014/2015
is $185,000. The low rate cap is indexed with growth in average weekly ordinary times earnings (AWOTE). This cap is assessed annually and only increases in $5,000
increments. 5 Depending on your personal circumstances, the deficit levy of 2% may apply to that part of taxable income above $180,000.
You should read the detailed information in the Accumulation
Account Insurance Guide before deciding if the insurance offered
by QSuper is right for you.
8. INSURANCE IN YOUR SUPER
We want you to have the peace of mind that you and
your family will be protected should the unexpected
happen, which is why we provide Accumulation
account members access to insurance.
QSuper is able to provide eligible members with the
following types of insurance:
�Death and total and permanent disability
(TPD) insurance – This insurance provides
a lump sum payment to you if you become
totally and permanently disabled. If you die,
this insurance provides a lump sum payment
to a dependant, or your personal legal
representative (or both).
�Income protection insurance – This insurance
pays you an income for up to two years if you’re
temporarily disabled and unable to work.
Subject to eligibility, the type and amount of insurance you have depends on your employer, age and working arrangements. The table below provides a summary of
the insurance offered to Accumulation account members. For more information about insurance, please refer to the Accumulation Account Insurance Guide.
Component
I’m employed by the Queensland Government or related entity
I’m not employed by the Queensland Government or related entity
Death and TPD
insurance
Two or four units of death and TPD insurance are provided
automatically, based on your working arrangements. You can apply
for additional insurance up to a total insured benefit of $2 million.1
Two units of death and TPD insurance are provided automatically.
You can apply for additional insurance up to a total insured benefit of
$2 million.
Income
protection
Income protection is only available if you’re making standard
member contributions, in which case income protection is
provided automatically. Your benefit will pay 75% of your salary2
for up to two years.
Income protection is not provided automatically, but you can apply for
income protection. Income protection cover is purchased in units, and
each unit is worth $1,000 of benefit payments per month. You can apply
for cover of up to 75% of your earned income.3
Age limitations
Death and TPD insurance and income protection cover are available
until you reach age 65. Death-only cover is available from age 65 to 70.
Death and TPD insurance and income protection cover are available until
you reach age 65. Death-only cover is available from age 65 to 70.
How are the
premiums
paid?
Death and TPD premiums are deducted monthly in arrears from
your account. Income protection premiums are deducted in arrears
from your account each fortnight after we receive contributions
from you and your employer.
Death and TPD and income protection premiums are deducted monthly
in arrears from your account.
1 Maximum cover of $1 million for casually employed members. 2 The salary for superannuation purposes is the proportion of a Queensland Government or related entity
employee’s remuneration package on which superannuation contributions are calculated. 3 Maximum cover available is $25,000 per month. Earned income definition
differs depending on whether you are an employee or self-employed. Definitions for earned income can be found in the Accumulation Account Insurance Guide.
You should read the important information contained in the Accumulation Account Insurance Guide before making a decision about insurance cover. Go to
qsuper.qld.gov.au/pds or call us and we’ll send you a copy. The material relating to insurance cover may change between the time when you read this PDS
and the day when you acquire the product.
How much does insurance cost?
The value and cost of the death and TPD or income
protection insurance you hold are based on your age,
and may change each year to reflect this. The table
below demonstrates the value and cost of QSuper’s
insurance offering across a range of age groups.
Death and TPD insurance – All members1
Detailed information about the value and premiums
of each unit of insurance, by age, is available online
and in the Accumulation Account Insurance Guide.
Income protection – Queensland
Government and related entity
employees
Income protection – Members who
are not employed by the Queensland
Government or a related entity
Age
Sum insured per unit ($)
Premium per unit per week Premium % of salary2
Premium per unit per week
16 – 25
26 – 35
36 – 45
46 – 55
56 – 64
65 – 703
$100,000 –$112,500
$114,896 –$125,000
$125,000 –$87,360
$78,240 –$22,800
$19,200 –$4,500
$4,000 –$2,600
$2.21– $2.49
$2.55– $3.44
$3.82– $4.40
$4.40
$4.40– $3.69
$1.11 – $1.16
$0.17 – $0.54
$0.61 – $1.05
$1.11 – $1.69
$1.79 – $2.67
$2.80 – $4.08
Income protection cover stops at age 65
How do I make changes to my insurance?
It’s easy to make changes to your insurance
arrangements using Member Online. Alternatively
you can apply for death and TPD, income protection,
and additional insurance4 or decrease your cover (if
you have additional cover) by completing a Change of
Insurance form. You can also cancel your insurance by
0.37% – 0.47%
0.48% – 0.63%
0.66% – 0.89%
0.92% – 1.34%
1.41% – 2.18%
Income protection cover stops at age 65
completing an Application to Cancel Insurance form.
You can download these forms from our website,
or call us and we’ll send you a copy.
Queensland Police
If you’re a police officer, the cost for death and TPD
insurance ranges from $4.44 to a maximum of $8.79
per unit per week and is available until age 60.
Between age 60 and age 64, death and TPD insurance
is only available to commissioned police officers.
Insurance cover ceases for all police officers from age
65. Income protection insurance is not available to
police officers, as the Queensland Police Service has
arrangements to provide for police officers who are
temporarily unable to work.
1 Excluding police officers, who have different premiums for death and TPD insurance. Information about insurance arrangements for police officers is available in
the Accumulation Account Insurance Guide. 2 The salary for superannuation purposes is the proportion of a Queensland Government or related entity employee’s
remuneration package on which superannuation contributions are calculated. 3 Between 65 and 70, we provide death-only cover. 4 Subject to the maximum limit.
It’s important to be aware that if you’ve been provided with insurance, the cost of the cover will continue to be deducted from your account unless you
cancel your insurance. This also applies to any insurance cover provided automatically.
There may be pre-existing condition exclusions for death and TPD insurance and income protection, as well as other exclusions and eligibility criteria that
may impact your ability to receive benefits through this insurance cover. You should read the information about exclusions and eligibility, which can be
found in the Accumulation Account Insurance Guide.
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9. HOW TO OPEN AN ACCOUNT
You can become a QSuper member in one of two ways.
�Your Queensland Government or related entity
employer will organise for you to become a
member of QSuper.
�If your spouse is a QSuper member, they can
open an account for you. You’ll need to meet
the eligibility requirements outlined in the
Accumulation Account Guide. To open an account,
both of you need to fill out the Application to
Open an Account for Your Spouse form (only one
form is required), and submit the completed form
to us with an initial deposit of at least $10.
Once your account is open you’ll be able to choose
what level of insurance you’d like and how your funds
are invested.
Enquiries and complaints
If you have an enquiry or complaint about QSuper,
please give us a call on 1300 360 750
(or +617 3239 1004 if calling from overseas).
Alternatively, write to the Enquiries and Complaints
Officer, QSuper, GPO Box 200, Brisbane, QLD, 4001.
Letters should be marked ‘Notice of enquiry
or complaint’.
Read the product disclosure statement
It’s important that you read this product disclosure
statement (PDS) carefully to ensure you have a
good understanding of QSuper and the QSuper
Accumulation account. Please note, there is no
cooling-off period associated with this product.
If you have any questions, contact us –
we’re happy to help.
Additionally, if QSuper actions a split on your account
under Family Law legislation, an Accumulation
account will be opened for your spouse if one
doesn’t already exist.
This QSuper Accumulation Account Product Disclosure Statement and product has been prepared and issued by
the Board of Trustees of the State Public Sector Superannuation Scheme (ABN 32 125 059 006) (QSuper Board)
as trustee for the State Public Sector Superannuation Scheme (ABN 60 905 115 063) (QSuper Fund). Where the
term ‘QSuper’ is used it represents the QSuper Board, the QSuper Fund, QSuper Limited (ABN 50 125 248 286
AFSL 334546) or QInvest (ABN 35 063 511 580 AFSL 238274) (as applicable), unless the context indicates
otherwise. QSuper Limited and QInvest Limited are both ultimately owned by the QSuper Board as trustee
for the QSuper Fund.
There is no cooling-off period associated with this product.
This information in this QSuper Accumulation Account Product Disclosure Statement is general information only
and does not take into account your personal objectives, financial situation, or needs and should not be relied
on as legal or taxation advice, nor does it take the place of such advice. Any statements of law or proposals
are based on our interpretation of the law or proposals as at the time of printing. You should consider taking
financial advice that is tailored to your personal circumstances.
The QSuper Board is not licensed to provide financial product advice. If you would like advice you can call us
on 1300 360 750 and a licenced advice provider will be able to assist.
QSuper doesn’t guarantee the investment performance of the Accumulation Account or the repayment of
capital. If there is any inconsistency between the information in this QSuper Accumulation Account Product
Disclosure Statement and QSuper’s Trust Deed, the Trust Deed will prevail. You can access the Trust Deed, also
known as the Superannuation (State Public Sector) Deed 1990, at legislation.qld.gov.au or from qsuper.qld.gov.au.
Contact Centres
70 Eagle Street Brisbane
63 George Street Brisbane
Ph 1300 360 750
(+617 3239 1004 if overseas)
Fax 1300 241 602
(+617 3239 1111 if overseas)
Monday to Friday
8.30am to 5.00pm AEST
Keeping you informed
There may be changes from time to time to information contained in this QSuper Accumulation Account
Product Disclosure Statement.
Information about any change that is not materially adverse to you can be obtained by visiting our website at
qsuper.qld.gov.au, or calling us on 1300 360 750. We will also send you a copy of the updated information on
request, free of charge.
SuperRatings Pty Ltd has given its written consent to the inclusion of each reference to SuperRatings
(including its ratings logos) and the statements made by or said to be based on statements by SuperRatings
in the form and context in which they are included in this PDS. SuperRatings Pty Ltd has not withdrawn this
consent as at the date of issue of this PDS. The SuperRatings statements in this PDS are in Section 3
QSuper
GPO Box 200
Brisbane Qld 4001
Superannuation product identification number (SPIN) QSuper Accumulation account: QSU0101AU
Superannuation fund number (SFN): 2610 419 41
MySuper authorisation number: 60905115063329
Board of Trustees of the State Public Sector Superannuation Scheme (QSuper Board): ABN 32 125 059 006
State Public Sector Superannuation Scheme: ABN 60 905 115 063
qsuper.qld.gov.au
PDS 11 | 8115 | 01/2015 © QSuper Board of Trustees 2015.

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