Glossary
This glossary provides an explanation of the key terms relating to pensions and investing, as well as cross-references to other information to help you make the most of your retirement.
Account-keeping fee
Forms part of the administration fee; this fee is charged by a fund against a member's account to cover administration costs. Most industry funds charge a flat fee, expressed as a dollar amount per week.
Age test
To be eligible for a Government Age Pension, you must be at least:
- 65 years for men
- 63-65 for women, depending on when you were born.
| Date of Birth |
Qualifying age for women |
| Before 30 June 1944 |
63 |
| 1 Jul 1944 - 31 Dec 1945 |
63.5 |
| 1 Jan 1946 - 30 Jun 1947 |
64 |
| 1 Jul 1947 - 31 Dec 1948 |
64.5 |
| 1 Jan 1949 and later |
65 |
If you are entitled to a Department of Veterans Affairs Pension, the age test is:
- 60 years of age for men
- 58-60 for females, depending on when you were born and your qualifying service period.
Visit www.dva.gov.au for further details.
Assessable amount
The assessable amount for Centrelink purposes is determined by your annual pension payment less the deductible amount.
Assets test
The Aged Pension Assets test is based on the value of any ‘assessable’ assets you own.
Assessable assets include:
- Any cash or money you have in bank, building society or credit union accounts, fixed deposits, bonds, debentures, shares, property trusts, friendly society bonds and managed investments
- Superannuation and rollover funds if you are of Age Pension age
- Real estate, including holiday homes, you own (this does not include your principal home)
- The value of gifts worth more than $10 000 in a single year or more than $30 000 in a five year period
- The value of any loans (including interest free loans) you have made
- Motor vehicles you own
- Boats and caravans you own which you do not use as a home
- Household contents and personal effects
- Collections you have for trading, investment or hobby purposes
- Account-based income streams
- Non-account based income streams purchased post 19 September 2007.
Contact Centrelink for details.
AUSfund
The Eligible Rollover Fund used by AustralianSuper, which also provides a no cost service that helps reunite Australians with unclaimed super. For more information visit the AUSfund website.
Australian Retirement Fund (ARF)
Merged with the Superannuation Trust of Australia to become the entity AustralianSuper – one of the country’s largest superannuation funds.
Balanced fund
An investment portfolio that spreads its holdings over a range of high-growth and lower-growth asset classes.
Balanced fund
An investment portfolio that spreads its holdings over a range of high-growth and lower-growth asset classes.
Beneficiary
The person (or persons) a member has nominated to receive their pension benefit in the event of their death. See dependants.
Binding nomination
Indicates to whom you want your pension benefit paid following your death.
AustralianSuper will be bound to pay the people you have nominated, in the proportions you have nominated, as long as they qualify as legal dependants or as your legal personal representative.
Binding nominations are valid for three years from the date we receive your request. If your binding nomination is not confirmed or amended within the three-year period, it will revert to a non-binding nomination.
Definitions are sourced from existing AustralianSuper publications, The Australian Financial Review Dictionary of Investment Terms (5th edition), The ASFA Dictionary of Superannuation (4th edition), JANA Investment Advisers and Standard and Poor's.
An online investment dictionary, the Oxford dictionary of Australian investment terms from INVESCO Australia Ltd, is also available if you wish to familiarise yourself with any investment related terms.
