PAYMENTS BY STATE.

Auckland Star, Volume LXIII, Issue 254, 26 October 1932, Page 5

PAYMENTS BY STATE.

EQUAL TO CONTRIBUTIONS. INVESTMENT OF FUND. INTEREST AT 5 PER CENT. (By Telegraph.—Parliamentary Reporter.) WELLINGTON, this day. The financial arrangements the Government is required to make regarding the superannuation funds are set out in tlie Superannuation Bill, which provides that in January, 1933, the 'Minister of Finance shall pay into the Public Service superannuation fund, out of moneys appropriated by Parliament, £SO.OOO. For the year commencing in April, 1933, and for each year thereafter, the Minister is to pay into tlie fund, out of the Consolidated Fund, an amount equal to the total contributions 111 a.de by contributors in each year. The first monthly instalment is to be paid not later than May 31, 1933.

It is. provided that, where the salaries of any contributors to the fund are, in respect of the period commencing after March 31, 1933, paid out of special accounts other than the Consolidated Fund, there shall be paid out of such special accounts a sufficient amount to recoup the Consolidated Fund in respect of its payment into the Public Service superannuation fund.

Provision is also made for the payment to the superannuation fund of a subsidy for the period from January, 1908, to March 31, 1933, from the Public Trustee's account, the Government Insurance account and the State Fire Insurance account. The amount is not stated. The subsidies may be paid by instalments extending over such periods as the Minister of Finance may direct, with interest at the rate of 5 per cent per annum. The amounts paid out of special accounts by way of subsidy are to be exempt from income' tax.

If, for the triennial period ending 011 March 31, 1933, or for any triennial period thereafter, the effective rate of interest derived from the investment of the superannuation fund, is less than 5 per cent per annum, tlie Minister, 011 being informed of this fact by the actuary, shall pay into tlie fund such amounts as may be necessary to bring the interest rate up to 5 per cent.

It is also provided that in January, 1933, the (jlovernnient is to pay into the teachers' fund the sum of £43,000.