Each year, New Scheme members have the opportunity to alter their contribution rates to suit their personal circumstances.

New Scheme members can contribute at 0%, 3%, 5% or, in some circumstances, 7%. The employer contributes 10% and then matches your contribution. This is then reduced for tax purposes. For example, if you are contributing at 5%, your benefit accrues at the rate of 10 + 5 + 5 = 20%. It is then reduced for tax to 17.5%. Your lump sum accrued for that year of service will be 17.5% of your Final Average Salary (FAS).

You can only contribute at 7% if you do not exceed an average of 5% for the whole of your recognised service. There may have been periods where you were a nil contributor or contributed at 3%. You can make this up by contributing at 7%. New Scheme members often do not realise the advantages of making contributions at a higher rate.

New Scheme members can elect to vary their contribution rates twice a year by lodging the appropriate form with ESSSuper. The first election period is between February 1 and April 30 with the new election taking effect from the first pay period in July. The second election period is between August 1 and October 31 with the new election taking effect from the first pay period in the following January. For more information and an election form, Election to vary Contribution Rate - New Scheme Form (S201), visit the website on www.esssuper.com.au

Members can investigate the impact on their benefit of altering their contribution rate by logging in on the ESSSuper homepage & perform a benefit estimate with different assumptions of contribution rate.