I think that the pension that retiring parliamentarians get is their superannuation and not to confused with a Centrelink pension.
rockylizard said
09:18 PM Mar 13, 2019
Gday...
Quite perceptive of you Leo.
Definitely not in any way comparable.
Cheers - John
2foot6 said
09:41 PM Mar 13, 2019
Most people need or deserve the pension,pollies Don't qualify......................Peter.
darjak said
10:32 PM Mar 14, 2019
I think gov pensions are taxed and Centrelink are not.
Could be wrong as don't get neither.
X2. 2foot6
Warren-Pat_01 said
12:16 AM Mar 15, 2019
darjak, that is correct. However I think someone on a pension of $200,000 a year for life + other perks can afford to pay tax!
rockylizard said
07:36 AM Mar 15, 2019
darjak wrote:
I think gov pensions are taxed and Centrelink are not. Could be wrong as don't get neither.
X2. 2foot6
Gday...
Paliamentarians are part of a 'defined benefit scheme' - here's some info ...
Membership of the scheme is compulsory for all Senators and Members. Contribution rates are given as a fixed percentage of the Annual Allowance, or basic parliamentary salary, and of any additional salary payable to Ministers and Parliamentary Office-holders. Contributions are paid into the Consolidated Revenue Fund.
Current Contribution Rates for Senators and Members:
11 1/2 per cent of Annual Allowance until completion of 18 years service; 5 3/4 per cent of Annual Allowance after completion of 18 years service
Current Contribution Rates for Office-holders receiving additional salary:
11½ per cent of the monthly amount of additional salary received is contributed by those Office-holders who have not attained their maximum additional pension entitlement;
For Office-holders who have attained their maximum additional pension entitlement, the contribution rate reduces to 5 3/4 per cent while that maximum applies.
Contributions are only paid while any additional salary is received.
Parliamentarians currently receive an Annual Allowance of $185 000 per annum. Information about the Annual Allowance can be found in The annual allowance for senators and members and Parliamentary allowances, salaries of office and entitlements.
Former parliamentarians gain an entitlement to a pension, called a Retiring Allowance, if they meet the minimum eligibility requirements set out in the Act. The Scheme provides an additional pension entitlement for Office-holders. The benefits payable depend upon a parliamentarian's length of service, the mode of retirement and the receipt of any additional salary. In certain circumstances a portion of the retiring allowance may be converted to a lump sum. If no retiring allowance is payable, former parliamentarians are entitled to a lump sum benefit that may include a refund of their contributions.
Retiring allowances are payable fortnightly from the Consolidated Revenue Fund and are subject to income taxation.
Politicians get a bum rap, particularly about their salaries. They often have to give up a good career for a thankless task where they may be retrenched (voted out) after 3 years.
Many years ago when there was outrage over politicians salaries after a big increase, I saw a current affairs show where the interviewer was talking to a big business staff recruiter. The interviewer read out the job description of both a federal back bencher and the PM. He then asked the recruiter what salaries these descriptions should draw. The answer was at least 2 times what we were paying them. When told that what the jobs actually were the interviewer asked if the recruited wanted to change his mind. No! was the answer. He thought we underpaid politicians given the sacrifices to their career and family they made.
Having said that, there are some duds who would struggle as a public servant or in private industry.
PeterX said
06:17 PM Mar 15, 2019
Government pension benefits should become self funded , like most other people.
I do think some should earn more. ie Im Ok with a wage rise.
LLD said
10:32 PM Mar 15, 2019
PeterX wrote:
Government pension benefits should become self funded , like most other people.
I do think some should earn more. ie Im Ok with a wage rise.
PeterX. I think you will find that pollies have deductions into their super. They are on a salary package that includes super (as per the super guarantee for all employees) where they have to rollover their money if they havent been a pollie long enough to draw a defined benefit when they retire or lose their seat. The concept is not a lot different to the Public Service or the Private Sector.
PeterD said
11:53 PM Mar 15, 2019
The link where Rocky has a lot of reading to do if you want to get the full picture. There was a big change in pensions for members of parliament. Prior to 2002 if a member was a member for 6 or more years he (or she) got a full superannuation pension immediately upon retiring. A member who was first elected after that now can look forward to a much reduced pension if they were only there for a reduced time. Their super pension is now similar to public servants super, the payment rate is dependent upon how long they served and I think that no payments are made until they reach the age of 55. A lot of the members retiring at the forthcoming elections are retiring before the sizeable payouts of members elected before 2002 cease and they will be on lower rates of super pensions.
I may not have things quite correct above but rest assure, in future the fortnightly super payments to retired pollies will be similar to public servants and nothing like the excessive rates of their former colleges.
I think that the pension that retiring parliamentarians get is their superannuation and not to confused with a Centrelink pension.
Gday...
Quite perceptive of you Leo.
Definitely not in any way comparable.
Cheers - John
Most people need or deserve the pension,pollies Don't qualify......................Peter.
Could be wrong as don't get neither.
X2. 2foot6
Gday...
Paliamentarians are part of a 'defined benefit scheme' - here's some info ...
Membership of the scheme is compulsory for all Senators and Members. Contribution rates are given as a fixed percentage of the Annual Allowance, or basic parliamentary salary, and of any additional salary payable to Ministers and Parliamentary Office-holders. Contributions are paid into the Consolidated Revenue Fund.
Current Contribution Rates for Senators and Members:
11 1/2 per cent of Annual Allowance until completion of 18 years service;
5 3/4 per cent of Annual Allowance after completion of 18 years service
Current Contribution Rates for Office-holders receiving additional salary:
11½ per cent of the monthly amount of additional salary received is contributed by those Office-holders who have not attained their maximum additional pension entitlement;
For Office-holders who have attained their maximum additional pension entitlement, the contribution rate reduces to 5 3/4 per cent while that maximum applies.
Contributions are only paid while any additional salary is received.
Parliamentarians currently receive an Annual Allowance of $185 000 per annum. Information about the Annual Allowance can be found in The annual allowance for senators and members and Parliamentary allowances, salaries of office and entitlements.
Former parliamentarians gain an entitlement to a pension, called a Retiring Allowance, if they meet the minimum eligibility requirements set out in the Act. The Scheme provides an additional pension entitlement for Office-holders. The benefits payable depend upon a parliamentarian's length of service, the mode of retirement and the receipt of any additional salary. In certain circumstances a portion of the retiring allowance may be converted to a lump sum. If no retiring allowance is payable, former parliamentarians are entitled to a lump sum benefit that may include a refund of their contributions.
Retiring allowances are payable fortnightly from the Consolidated Revenue Fund and are subject to income taxation.
If really interested, you can read all about it here
Cheers - John
Many years ago when there was outrage over politicians salaries after a big increase, I saw a current affairs show where the interviewer was talking to a big business staff recruiter. The interviewer read out the job description of both a federal back bencher and the PM. He then asked the recruiter what salaries these descriptions should draw. The answer was at least 2 times what we were paying them. When told that what the jobs actually were the interviewer asked if the recruited wanted to change his mind. No! was the answer. He thought we underpaid politicians given the sacrifices to their career and family they made.
Having said that, there are some duds who would struggle as a public servant or in private industry.
I do think some should earn more. ie Im Ok with a wage rise.
PeterX. I think you will find that pollies have deductions into their super. They are on a salary package that includes super (as per the super guarantee for all employees) where they have to rollover their money if they havent been a pollie long enough to draw a defined benefit when they retire or lose their seat. The concept is not a lot different to the Public Service or the Private Sector.
I may not have things quite correct above but rest assure, in future the fortnightly super payments to retired pollies will be similar to public servants and nothing like the excessive rates of their former colleges.