Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) A contributing member is entitled, on the member's retirement, to retirement pay at the rate applicable to the member under this section if:
(a) the member retires and is not entitled to invalidity benefit; and
(b) on the member's retirement:
(i) the member's total period of effective service is not less than 20 years; or
(ii) the member's total period of effective service is not less than 15 years and the member has attained the retiring age for the rank held by the member immediately before the member's retirement.
(2) Subject to subsections (3) and (6) and to sections 25 and 75, the rate at which retirement pay is payable to a recipient member is an amount per annum that is equal to such percentage of the annual rate of pay applicable to him immediately before his retirement as, having regard to the number of complete years included in his total period of effective service, is ascertained under Schedule 1.
(3) Where:
(a) the total period of effective service of a member of the scheme who is an officer is not less than 20 years; and
(b) he is retired at his own request, or on disciplinary grounds, before attaining the age that, having regard to his rank immediately before his retirement, is his notional retiring age as ascertained under Schedule 2;
the rate at which retirement pay is payable to him is the amount per annum that, but for this subsection, would be payable under subsection (2) reduced by 3% of that amount for each year included in the period equal to the difference between the age of the officer on his birthday last preceding his retirement and his notional retiring age as ascertained under Schedule 2.
(4) For the purposes of subsection (3), an officer shall be deemed to have been retired at his own request or to have been retired on disciplinary grounds if the Chief of the Defence Force or a person authorized in writing by the Chief of the Defence Force states in writing that he was so retired.
(6) If the member of the scheme makes an election under subsection 124(1), the rate at which retirement pay is payable to the member is the rate worked out by using the formula:
where:
"basic rate" means the annual rate at which retirement pay would be payable to the member under this section if the member did not make the election.
"conversion factor" is the factor that is applicable to the member under the determination made by CSC under section 124A.
"surcharge deduction amount" means the member's surcharge deduction amount.