Glossary

This is a unique identification number which a business is required to hold for dealings with the Australian Taxation Office (ATO) and other government agencies.

A product that enables you to draw your super in the form of regular income payments until the account is exhausted. You must be eligible to commence an ABP. A Retirement account must receive a minimum amount in pension payments each year based on your age and balance. A Transition to Retirement account must receive at least the minimum amount but no more than the 10%pa maximum amount. In the event of your death, any remaining balance is usually paid to a beneficiary or your legal representative (or estate). Learn more about Rest Pension.

This is a licence issued by Australian Securities and Investments Commission (ASIC) which an organisation is required to hold in order to provide financial services.

Government income support to eligible older Australians who do not have enough income or assets to support themselves.

A report which a super fund is required to produce detailing its financial position. To obtain Rest’s annual report, go to the Annual reports and financial statements section.

How an investment is spread across the different asset classes. The asset allocation of each Rest investment option is available in the Investments section of our website.

A category of investment such as shares, bonds and property.

This is used by the government to determine the amount of Age Pension a retiree may be entitled to, if any. This test assesses how much assets a person can have before their pension is impacted. An assets test is performed in conjunction with an income test.

An measure or standard against which the performance of an investment option can be compared. For example, the S&P/ASX 300 Accumulation Index is the benchmark against which our ‘Australian Shares’ investment option is compared.

The person(s) nominated by you to receive your superannuation in the event of your death. Your chosen beneficiaries must either be your dependants or your legal personal representative (estate). Learn more here

Bonds are fixed-income securities. These are issued by governments or corporations who act as the borrower, while the holder of the bond is the lender (investor). Essentially, a bond is like an IOU that pays interest.

Is a fee to recover transaction costs incurred by the trustee of the Fund in relation to the sale and purchase of assets of the fund.

Broadly, the difference between the purchase price and the sale price of an asset. For example, if an asset is bought for $100 and sold for $120, the capital gain is $20.

In the context of superannuation, cash is one of the major asset classes. Cash investments held by super funds can include (but are not limited to) bank deposits, bank bills, commercial paper and short term residential mortgage backed securities.

Cashing restrictions are rules that limit when a member can access their super. In legal terms these are known as "conditions of release"

This is the ability for employees to select which super fund their compulsory employer contributions are paid to. This choice is available to many but not all employees, and for more information visit the Australian Taxation Office website.

Personal super contributions you make from your after-tax income which may attract a top-up from the government, known as a co-contribution. You can learn more about co-contributions here

The rate of return including cumulative earnings on earnings (positive or negative) over a period of time (e.g including earning interest on interest).

Super contributions break down into two main categories: concessional (before-tax) and non-concessional (after-tax) contributions. Concessional contributions include compulsory employer contributions and salary sacrifice contributions. You may also be able to claim a tax deduction for your after-tax contributions.

Super contributions are either known as concessional (before-tax) and non-concessional (after-tax) contributions. Concessional contributions are contributions made to your super fund before tax. These include compulsory employer contributions and salary sacrifice contributions.

The maximum amount of concessional contributions that can be made for a member without incurring additional tax. For more information read our Contributing to Super fact sheet.

The general term used to describe the various ways by which it is possible to access superannuation benefits. The main conditions of release are:

• You have retired (i.e. reaching preservation age and you have genuinely retired or on or after reaching age 60 and you cease employment)
• You have reached preservation age and commence a transition to retirement income stream
• You have reached age 65
• You die
• You are diagnosed with terminal illness with a life expectancy of less than 24 months
• You become totally and permanently disabled
• You are temporarily disabled
• You satisfy severe financial hardship requirements
• You meet the Australian Taxation Office rules around early release of your super on compassionate grounds
• You've left your Rest employer and your account balance at the time of leaving is less than $200 or
• You are an eligible temporary resident permanently departing Australia (excludes New Zealanders).

There are cashing restrictions on the amount you can access with some conditions of release. For more information read our Accessing your super early fact sheet.

This is a measure of inflation that compares the cost of living (i.e. goods and services) over time. CPI is calculated and reported by the Australian Bureau of Statistics.

Contributions into your super made from your before-tax salary are generally taxed at 15%.

Additional tax of 15% may apply if your income and before-tax contributions are over $250,000.

The money payable by a super fund to an eligible beneficiary or the legal personal representative (estate) of a member following their death.

A lump sum paid to your beneficiaries or estate if you die. This can be paid as a pension (under certain conditions). Death cover can also be paid in advance if you become terminally ill. For more information visit the insurance section.

The super fund your compulsory employer contributions, i.e. Superannuation Guarantee contributions, are paid to, in the event that you do not or cannot exercise choice of fund. An employer must choose a super fund that is authorised to offer a MySuper product as their default fund.

Assets that are less risky but generally produce lower returns over the long-term such as cash and bonds.

Spreading your money across different assets, investment options, investment managers or localities to help reduce risk. In other words, not putting all your eggs in the one basket.

Assets that are more risky but generally produce higher returns over the long-term such as shares.

Your account is considered inactive if we haven’t received any money to add to your account (such as a rollover or contribution) to your account within the last 16 months, and you haven’t let us know that you’d like to continue your insurance cover. You can learn more about inactive accounts here.

A type of insurance available through your super fund. A monthly payment for when you can't work for a while because of illness or injury. To find out more read the relevant Insurance Guide.

Superannuation benefits taken as regular income payments, rather than a lump sum.

This is used by the government to determine the amount of Age Pension a retiree may be entitled to if any. It assesses how much income a person has from all sources to support themselves in retirement. An income test is performed in conjunction with an assets test.

A superannuation fund established to accept and manage super contributions for a particular industry. For example, Rest was established as the super fund for retail workers. However, these days most industry funds, including Rest, are open to everyone.

The rise in the prices of goods and services often measured by the Consumer Price Index.

An asset class which includes investments (directly or indirectly) in transport and utility assets such as airports, shipping ports, toll roads, electricity and gas generation and distribution assets.

The amount paid in a certain period on money borrowed or invested. Interest is the amount, for example, a dollar, while interest rate is expressed as a percentage. 

A person or organisation who manages investments on behalf of the Trustee.

The pool of money your super is placed into, typically distinguished by its investment mix. For example, many Rest members have their super invested in the Core Strategy investment option, which is made up of a mixture of assets including cash, bonds, infrastructure, property, and shares.

The change in value of an investment over time (positive or negative). This is usually expressed as a percentage.

The return that the Trustee is aiming to achieve. This is not a guaranteed rate of return.

The risk that the actual return on an investment will be different to the expected return. Generally, the higher the potential return of an investment, the higher the risk.

Moving some or all of your superannuation balance from one investment option to another. You can switch your investments in the Rest App, online by logging in to MemberAccess, or you can complete and return an ‘Application to make an investment choice’ form. Please note that any switching of investment options will incur a buy/sell spread.

Superannuation taken as a single payment, rather than an income stream.

A statement issued to members at least annually by a super fund. The statement generally includes the member’s account balance, contributions received over the period, investment earnings (could be positive or negative), fees and charges deducted, and details of any insurance the member holds.

The minimum suggested period of time for investing in a particular investment option.

A modern award sets out the minimum terms and conditions of employment for employees that are covered by it within a particular industry or occupation. It may include terms about superannuation. A modern enterprise award is a modern award that applies to one or more business and its employees.

Super contributions break down into two main categories: concessional and non-concessional contributions.

Non-concessional contributions are contributions into your super account that are made from your take home (after tax) pay. For more information read our Contributing to Super fact sheet.

The maximum amount of non-concessional contributions a member can make without incurring additional tax. For more information read our Contributing to Super fact sheet.

Generally, the earnings on an employee’s ordinary hours of work, upon which compulsory super contributions (i.e. Superannuation Guarantee contributions), are calculated.

The ability for members to transfer their super monies from one superannuation fund to another.

The regulatory requirement that certain super benefits be maintained within the superannuation system. Preserved benefits can only be accessed once a condition of release is satisfied.

The age at which a member can generally access preserved super benefits (between ages 55 and 60 depending on the member's date of birth). You can learn more about preservation here.

A document detailing important information of a financial product that you receive when joining the fund. Rest has a PDS for each of its products: Rest Super, Rest Corporate, and Rest Pension.

One of the major investment asset classes. It may include retail, industrial and commercial properties. Property investments provide rental income and can rise and fall in value over time.

Represents the mean annualised estimate of return over ten years above CPI, after deducting investment and administration fees, costs and taxes. It may change over time and is not a guaranteed return.

An arrangement with your employer where money is deducted from your salary before tax and paid to your super fund. For more information read our Contributing to Super fact sheet.

One of the major asset classes. Also known as a stock or equity, a share is part ownership of a company. The value of shares can rise and fall over time.

Also known as ‘compulsory employer contributions’, these are the minimum level of super contributions that an employer must make for eligible employees. For more information, visit the ATO website.

Sustainable growth is one of our investment options. A diversified portfolio with enhanced environmental, social and governance investment characteristics weighted towards growth assets. Learn more here.

 A type of insurance available through your super fund. This is a lump sum payment for if you're unlikely to ever work again due to illness or injury. For more information read the relevant Insurance Guide.

Allows you to access your super as an income stream before you retire completely from the workforce. This means you may be able to reduce your work hours, OR, with an effective salary sacrifice strategy, boost your super before retirement. To learn more on how a TTR account can work for you, visit the Transition to Retirement page.