TEACHERS' SUPERANNUATION FUND. ACTUARIAL EXAMINATION FOR THE TRIENNIAL PERIOD ENDED 31st DECEMBER, 1919.

Appendix to the Journals of the House of Representatives, 1922 Session I, E-09a

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1922. NEW ZEALAND.

TEACHERS' SUPERANNUATION FUND. ACTUARIAL EXAMINATION FOR THE TRIENNIAL PERIOD ENDED 31st DECEMBER, 1919.

Laid before Parliament in pursuance of Section .38 (4) of the Public Service Classification and Superannuation Amendment Act, 1908.

REPORT BY THE ACTUARY APPOINTED BY HIS EXCELLENCY THE GOVERNOR-GENERAL TO MAKE THE ACTUARIAL EXAMINATION OF THE TEACHERS' SUPERANNUATION FUND FOR THE TRIENNIAL PERIOD ENDED 31st DECEMBER, 191.9. Wellington, 25th January, 1922. 1. T have the honour to submit the following report on the Teachers' Superannuation Fund as at the 31st December, 1.919, as required by section 38 of the Public Service Classification and Superannuation Amendment Act, 1908. 2. The fund was established, by the Teachers' Superannuation Act, 1905, but the scheme was recast and brought more into line with the Public Service and Railways Funds by the Public Service Classification and Superannuation Amendment Act, 1908, which, on the whole, confers more generous benefits. A few original members (viz., 68) are, however, by election still subject to the older rates of benefit. 3. The scheme was further extended by the Public Service Classification and Superannuation Amendment Act, 1912, to include service under the universities ; and persons so employed at the date of the amendment were given the option of joining the scheme before the Ist July, 1913, on special terms —viz., their pensions for the time they contribute to be increased by one one-hundred-and-twentieth part of their salaries for every complete year of service, whether continuous or not, prior to the 7th November, 1912, the date of the Act; or, in other words, service prior to the commencement of the. Act will be counted towards their pension at half the usual rate. 4. It is compulsory for all persons to become contributors to the fund who are first permanently employed after the passing of the Act — (a.) In the Education service as a teacher in any public school : (/;.) In any branch of the Education service which is also a branch of the Government service : (c.) Under the University of New Zealand, Auckland University College, Victoria College, University of Otago, Canterbury College, or the Canterbury Agricultural College. Other persons first permanently employed in the Education service, not included above, have the option of joining the fund within six months of the date of their appointment. 5. " Education service " means service in any capacity for not less than twenty hours a week— (a.) Under an Education Board ; or (b.) Under the governing body of a secondary school; or (o.) Under the Managers of associated classes under Part VII of the Education Act, 1908 ; or (d.) Under the Education Department in the case of Inspectors of Schools, or of Inspectors, Managers, or visiting officers of industrial schools, or of teachers of any schools under that Department; or (c.) Under the University of New Zealand, or under the Auckland University College, Victoria College, University of Otago, Canterbury College, or the Canterbury Agricultural College. 6. The contributions and benefits provided by the Act, together with statements showing the. progress of active membership, discontinuance of membership from various causes, and the progress of pensions for each year will be found in Tables Ito 111 of the Appendix to this report. Tho ages of the contributors at the date of the valuation, their contributions, and other particulars are shown in Table IV, and the pensions granted during the triennium, with the ages at which they were granted, in Table V.

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7. The number of pensioners on the fund at the 31st December, 1919, according to the cards supplied, was 785, drawing pensions amounting to £63,404 per annum. The number of contributors at the same date was 5,016, with aggregate salaries amounting to £1,265,772 and paying contributions at the rate of £74,316 per annum. 8. The income and outgo of the fund during the three years ended 31st December, 1919, were as follows :— Consolidated Revenue Account of the Teachers' Superannuation Fund prom the Ist January, 1917, to the 31st December, 1919. Income. £ s. d. Outgo, £ s. dFunds at Ist January, 1917 .. .. 381,158 1 6 Retiring-allowances.. .. .. 150,965 15 2 Members'contributions .. .. 190,527 3 4 Contributions refunded .. .. 36,561 5 5 Government subsidy .. .. 77,000 0 0 Transfers to other funds .. .. 295 8 8 Interest .. .. .. .. 67,851 19 5 Commission .. .. .. 1,243 011 Transfers from other funds .. .. 595 19 3 Other payments .. .. .. 1,360 1 6 Funds at 31st December, 1919 .. 526,7011110 £717,133 3 6 £717,133 3 6 Valuation. 9. In making the valuation it has been assumed that interest at 4 per cent, per annum will be earned on the funds during the whole future lifetime of members ; that certain proportions of members will withdraw, die, and retire ; and that salaries and the corresponding contributions will increase at certain rates. These and other factors are more specifically set out in the Appendix. In regard to the interest, the rates earned during the triennium were as follows : — £ s. d. 1917 .. .. .. .. .. .. 412 4 per cent. 1918 .. .. .. . . .. .. 5 3 3 per cent. 1919 .. .. .. .. .. .. 5 8 5 per cent. While it is possible that higher rates may continue to be earned, it is hardly safe to allow more than 4 per cent, for the very long period of time covered by a pension fund. 10. The result of the valuation shortly is as follows : — £ Present value of the liability for benefits .. .. .. .. 4,122,989 Present value of the contributions receivable from, members . . 783,111 Funds in hand .. .. .. .. .. .. 526,702 1,309,813 Present value of total liability of State .. .. .. .. 2,813,176 Less present value of existing subsidy of £43,000 per annum . . . . 1. ,075,000 Value of future subsidies to be provided by the State over and above present subsidy of £43,000 per annum .. .. .. .. .. £1,738,176 11. This shows a total State liability of £2,813,176, as against £1,801,816 at the last valuation. The augmentation is accounted for by the increase in the number of contributors from 4,653 to 5,016, the salaries from £926,706 to £1,265,772, the pensions from £44,666 to £63,404, and other factors. It may be pointed out, by the way, that unless the subsidy is fixed above a certain minimum figure, the liability of the State will normally tend to increase, apart front the growth of the membership. 12. Section 38 (2) of the Act requires the report to be so prepared as to show " the probable annual sums required by the fund to provide the retiring and other allowances falling due within the ensuing three years, without affecting or having recourse to the actuarial reserve appertaining to the contributors' contributions." The contributions are insufficient to provide the full benefits for service after joining the fund, and consequently it is assumed that the principle underlying the section is that the State should pay for pensions arising out of service before joining the fund and for such part of the pensions arising out of subsequent service as is not covered by the contributors' contributions. The sum payable for pensions, the amounts purchased by contributions, and the subsidies payable on this basis during the three years 1920, 1921, and 1922 are as follows : —

Required for 1920. 1921. 1922. Jurrent pensions to members few pensions and family pensions £ 57,969 8,631 £ 55,960 19,011 £ 53,946 30,248 Total pensions )educt amount provided by contributions 66,600 12,937 74,971 15,455 84,194 18,347 Subsidy required 53,663 59,516 65,84'

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13. These figures would give for the years 1920, 1.921, and 1922 an average subsidy of, say, £60,000 per annum, or £17,000 more than is now being paid. Consideration must, however, be given to the fact that the subsidies actuarially required have not been fully paid. The shortage in payments as compared with actuarial recommendations made in accordance with tho Act amount to £132,000, including certain sums required in respect of the period before the first valuation. When accumulated at interest to tho middle of 1922 these arrears amount to £175,000, and, of course, provision must in some way be made to meet this. At the very least about £8,000 per annum must be added to future subsidies on this account. Details of the short payments are set out in the Appendix (Table VIII). I have therefore to report that the subsidy required for the years 1920, 1.921, and 1922 is £68,0(X) per annum, or £25,000 more than is now being paid. When making provision for this it is important to see that it is back-dated to 1920, and that interest at 4 per cent, per annum is added to any portion paid late. General. 14. The change in' the method of investing the funds has produced a marked improvement in the rate of interest earned, which is now about \\ per cent, above the valuation rate. Any interest earned above the valuation rate will, of course, form, an unanticipated profit, of which the fund will get the benefit as it falls in. 15. In my report upon the Public Service Fund I have drawn attention to the need which exists of placing the subsidies to those superannuation funds upon a more automatic and satisfactory basis, and have pointed out the advantages to the State of maintaining sound funds. I need hardly recapitulate the remarks here. I may, however, mention that up to the end of 1919 the subsidies of the State to the Teachers' Superannuation Fund amounted to £178,000 only, as against contributions of over £646,000 by the members themselves. Taking this in conjunction with the statement of American authorities that the development of pension schemes generally tends towards an equal division of cost between employer and employed, it will be. realized that the State has, up to the present, fallen far short of this standard. Percy Muter, F.1.A., Actuary, Government Insurance Department.

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APPEN D T X. TABLE I. The Benefits and Contributions provided for by the Act. (These benefits are slightly 'modified in the case of those existing contributors (numbering 68) who elected to remain under the provisions of Part IX of the Education Act, 1908, and in the case of 'persons employed in service under the universities on the 7th November, 1912, who joined, the scheme before the Ist July, 1913.) f The contributions vary according to the age at the time when the first contribution I becomes payable, and are as follows : — Age 30 and under.. . . . . . . . . 5 per cent, of pay. „ . -, .. ! Over 30 and not exceeding 35 . . . . .. 6 ~ „- c . „ ■„ | "40 "„ 45 .. .. . . 8 i ~ 45 ~ oO . . . . . . p ~ [_ „ 50 .. .. .. .. .. ..10 fl. On Attainment of Pension. Males at Age 65, or after Forty Years' Service : Females at. Age 55, or after Thirty Years' Service. ( (1.) A pension of one-sixtieth of yearly salary for each year's service, with a limit of forty-sixtieths (two-thirds) of salary. Maximum pension for entrants after the 24th December, 1909, £300. (2.) Or the option, in lieu thereof, of a return of total contributions. (Note. — The Board may, with the approval of the Minister of Education, retire contributors on pension in the following cases : — (a.) Where the age of a male contributor is not less than 60, or of a female contributor not less than 50. (&.) Where the age of a male contributor is not less than 55, if his length of service is not less than thirty years, (c.) Where the length of service of a male contributor is not less than thirtyfive years. In any such exceptional cases the Board may, with the approval of the Minister of Education, impose upon the retiring contributor such terms and conditions as to payments into the fund or otherwise as the Board thinks fit.) 11. On Retirement before Pension Age (on the Grounds of being Medically Unfit for Future Duty). Ti r\A- . J ' ' (1.) At any time after fifteen years' service, on the certificate of two doctors approved by the Board, a pension of one-sixtieth of yearly salary for each year's service, limited to forty-sixtieths. (2.) Or the option, in lieu thereof, of a return of total contributions. 111. On Retirement before Pension Age (on other Grounds than Medical Unfitness). (1.) On voluntary retirement or dismissal for misconduct, a return of total contributions. IV. At Death, whether before or after becoming entitled to a Retiring-allowance. (1.) Leaving no widow or children : A return of total contributions less any sums received from the fund during lifetime. (2.) Leaving a widow : — (a.) £18 yearly during widowhood ; or (6.) A return of total contributions, together with such compensation (if any) as the contributor would have been entitled to receive from the Consolidated Fund on compulsory retirement, less any sums received from the fund during lifetime. (If death occurs before retirement the compensation is paid from the Consolidated Fund ; if after retirement, from the Superannuation Fund.) I (3.) Leaving children : ss. weekly to each child until age 14. (Note. —The contributions and pensions are payable monthly, and the pensions are computed on the average salary for the last three years.)

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TABLE II. Statement of Progress of Active Membership.

Particulars of Discontinuance of Active Membership.

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New Members. ; Increase by Promotion. Discontinued. Total ii i Force at em of Year, Year. Annual Number. Salaries. Contributions. Annual Salaries. Contributions. Annual Number. Salaries. Contributions. Number, Salaries. Annual Contributions. j 1906 7 .. 2,939 1907-8 .. 211 Pint 1908 197 1909 .. 334 1910 .. 287 1911 .. j 349 1912 .. 427 1913 .. j 645 1911 '.. ' 522 1915 .. 428 1910 .. 168 1917 .. . 398 III18 . . ! 420 1919 . . 533 £ 444,950 34,600 19,083 37,327 35,734 40,207 50,304 .108,038 01 .1)78 55,792 01.111 52,722 52,001 80,100 '£ 33,052 1,800 1,075 1,185 1,802 2,234 2,740 6,216 2,913 3,096 3,352 2,899 2,780 4,059 £ 14,446 14,000 41,670 36,466 41,524 14,610 11,249 41,789 79,773 48,305 36,202 23,005 241,322 £ 914 825 2,975 2,416 | 1,823 710 1,292 2,541 4,610 2,863 2,107 I , 384 14,068 j. 38.528 127 141 148 113 192 212 170 209 270 253 259 259 318 408 £ 18,095 29,294 25,044 22,403 35,508 33,731 32,183 40,087 45,471 42,428 42,795 45,676 56,119 80,897 £ 1,004 1,952 1,713 1,073 2,537 2,378 2,201 2,705 2,579 2,742 2,802 2,800 3,385 5,154 2,812 2,882 2,931 3,152 3,247 3,384 3,041 4,017 4,209 4,444 4,653 4,792 1,894 5,019 £ 426,855 446,607 454,040 511,240 547,932 595,992 028,789 708,589 760,885 860,022 926,706 970.014 989,561 1,230,146 £ 32,048 32,870 33,057 35,544 37,285 38,904 40,213 44,950 47,831 (32,795 56,208 58,414 59,199 72,172 Totals ■ 8,158 1,134,790 09,929 045,087 3,139 549,731 30,285

By] Retirement oi Pei nsion. X Fl transfer i other ands.* By Death.* Jiy Withdrawal or Dismissal. Ordinary (Age or Service). Extended Provisions.* Tota iliscontii nued. Me jdieall unfit. I Year. r-,-1-' S 2 a o _,' OS 3_ M j. hh co <y § g-S J_> * | rt 1 3g § ° En i ll rO i -tf «> 1 ! §S I fc I a.H d 1 = - _ 1 H I «_. » Ss x> ' .2 a i 2-? 3 g M jz, PM.£ ! s I . to la 1* gtf a 2 s a -a. 0. rH Sh% a CO i i 2 _ Jf a « §H Sa < <s a » ag __ m IS -A a o .a ■I o 3 I? £-§ a 6 1906-7 .. 1907-8 . . Part 1908 1909 1910 1011 1912 1913 1914 1915 1910 1917 1918 1919 13 12 10 8 8 9 11 13 10 35 22 43 07 19 £ 128 290 i 415 ; 400 438 530 895 492 1,010 2,167 1,666 2,749 5,567 2,750 £ 287 266 1 279 215: 127 IS9J 02 290 loo 285 202 217 785 372 ll 30 i ! ' 105 I 120 76 131 ill 152 | 100 'I 190 190 169 179 172 222 292 £ 200 938 1,202 1,338 3,078 4,184 3,717 4,587 0,388 4,922 5,185 6,010 7,710) 12,380 22 38 32 43 40 32 28 33 27 20 73 71 2i £ 4,207 > 1,182 503 1,825 4,099 2,816 3,421 3,903 3,348 2,320 3,861 3,060 2,550 10,534 . 2 ' 8 7 (i 12 14 9 8 4 3 4 £ 224 714 1,271 725 1,510 2,172 1,648! 1,147 544 426 406 6 4 9 4 0 10 10 14 (j i t 10 10 5 18 £ 137 234 51 £ 312 208 491 343 559 030 940 1,372 784 725 1,442 1,118 704 2,550 1 1 o £ 27 3 83 i £ 127| 471 1411 1,468 148' 1,668 113 1,825 192| 3,519 212! 4,797 170 4,612 269' 5,079 270 1 7,452 253 1 7,967 259] 7,063 259' 8,846 81813,304 40815,317 3,139i83,388 £ 4,806 1,650 1,273 2,607 5,499 4,906 5,154 7,075 0,410 4,978 0,052 4,939 4,465 13,862 3 4 1 3 1 2 48 878 212 87 27 181 Totals. . 286 19,569 3,082 2,134 01,851 495 47,629 77 10,787 129 422 12,184 18 1,546 74,282 Compile. m cards. fri

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TABLE III. Statement of Progress of Pensions.

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Att ;ainment ol . Pension Ago or Length of Service. Extended Provisions.* itctin ;d medically unfit. Year. Gn trai fr-H I 'A anted or nsferred. a o 'in - Sh y ***>•■ Si a 8 a x .9 x o S S S g a S a 5 A Sh 'A Sh Granted or j Void by j transferred. I Death. t_ 9 -a § o 'a. a 5__ o X o 1 I 'I Ph ft Sh Oral tram - : x I S a A tted or (f erred. a o 'l/i CO Sh Void by Death or Expiry. _ a .2 I B P to _ P-i In Force. i I I j I A I Sh 1906-7 .. 1907-8 .. Part 1908 1909 . . 1910 . . 1911 .. 1912 .. 1913 .. 1914 .. 1915 .. 1916 .. 1917 . . 1918 .. 1919 .. 78 20 9 22 38 32 43 40 32 28 33 27 20 73 £ 4,207 1,182 503 1,825 4,099 2,816 3,421 3,903 3,348 2,320 3,861 3,000 2,550 10,534t £ £ no a _t\n .. 78 4,207 4 220 94 5,169 3 156 100 5,516 4 248 118 7,093 8 693 148 10,499 3 175 177 13,140 3 163 217 16,398 8 694 249 19,607 12 861 269 22,094 9 833 288 23,581 6 570 31.5 26,872 18 1,388 324 28,544 8 (ill) 330 30,484 9 525 400 40,493 4 3 4 8 3 3 8 12 9 6 18 8 9 78 94 100 118 148 177 217 249 209 288 31.5 324 330 400 £ 4,207 5,169 5,516 7,093 10,499 13,140 16,398 19,607 22,094 23,581 26,872 28,544 30,484 40,493 2 8 7 6 12 14 9 8 4 3 4 £ 224 714 1,271 725 1,510 2,172 1,048 1,147 544 426 406 j £ £ 2 22' . . 10 93! .. 17 2,201 2 10 17 23 35 49 58 06 08 71 75 £ 224 938 2,209 2,934 4,444 6,616 8,264 9,411 9,701 10,127 10,533 0 4 9 4 (i 10 10 1.4 9 8 10 10 5 18 £ 312 208 491 343 559 630 946 1,372 784 725 1,442 tl,U8 t704 2,550 £ i 52 1 52 4 I 237 2 ! 164 1 103 1 52 3 200 3 247 3 .341 3 337 5 393 3 211 5 040 6 9 17 17 21 30 39 50 56 61 74 79 81 94 £ 0 312 9 468 17 907 .17 1,013 21 1.408 30 1,875 39 2,769 50 3,881 56 4,418 61 4,802 74 5,907 79 0,632 81 7,125 94 9,029 .. 23 2,93' . . 35 4,44' . . 49 6,61( . . 58 8,26' 2 .. 66 9,41: 254f 68 9,70: ■"7 1 lOli) 1 .. 71 10,12' ' .. 75 10,531 Totals. . 495 47,029 95 95 7,136 .. 77 10,787 2 254 .. 129 12,184 35 3,155 Dei ath of Contributor 'ensioni 'amily Pi i-nsion Total Pensions. ir: Year. Gi bn ranted or ansferred. Vol o id ir by Deal Expiry* -h In Force. Granted intra nsf erred. Void. In Force Num " Pension Num " bcr. L ensi0n - ber. in. | N ™- | Pension. Num- Pension. T™" Pension. j N b »™- Pension. Pensii 1906-7 1907-8 Part 1908 1909 .. 1910 .. 1911 .. 1912 1913 .. 1914 .. 1915 .. 1916 1917 .. 1918 .. 1919 .. IO 20 26 32 17 18 6 33 19 30 20 21 01 24 £ 155 310 403 476 269 279 93 489 307 450 300 333 893 372 3 2 5 4 9 9 4 15 12 12 14 14 17 £ 39 31 65 62 132 122 57 210 161 176 207 197 251 10 27 51 78 91 100 97 120 130 148 156 163 210 217 £ 155 426 798 1,209 1,416 1,563 1,534 1,960 2,003 2,352 2,476 2,602 3,298 3,419 94 44 44 00 09 07 05 99 74 75 77 62 89 119 £ 4,674 1,700 1,397 2,868 5,641 4,996 5,185 7,274 6,611 5,143 6,750 5,055f 4,573f 13,862 8 0 13 14 13 13 15 30 24 21 39 25 31 £ 8 311 0 239 13 550 14 919 13 470 13 337 15 1,011 30 1,318 24 1,335 21 1,083 39 2,242 25 1,018 31 1,422 £ 94 4,674 130 6,063 168 7,221 215 9,539 270 14,261 324 18,787 376 23,635 460 29,898 504 35,191 555 38,999 611 44,666 034 47,479 698 51,034 786 63,474 Totals 337 5,129 120 1 1,710 1,038 75,729 252 252 12,255 * Coin] liled fro: in cards. Adj listed to ag tree with annual rej n-ts.

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TABLE IV. Present Annual Pay and Contributions of Officers now in Service.

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Number. Present Annual Pay. Present Annua Contributions. Age attained. Males. Females. Males. ■males. Age attained. Females. Males. Total j Average Salary Salaries. graduated. Total Salaries. Average Salary graduated. £ £ 72-3 73-4 77-2 84-8 96-2 115-4 136-2 160-4 184-2 207-2 225-2 243-3 256-7 268-8 279-2 289-1 296-5 306-0 313-0 319-8 323-9 327-9 332 0 336-0 339-8 343-6 347-4 351-2 355-2 359-2 363-4 368-1 372-8 376-8 380-0 383-2 386-0 388-8 390-8 392-8 394-8 396-8 398-0 399-2 400-0 400-0 400-0 400-0 400-0 400-0 400-0 £ £ £ 3-5 9-0 26-7 48-0 86-1 62-1 147-5 259-0 245-2 401-8 520-8 692-3 775-7 936-7 838-5 1,034-0 990-0 822-6 782-9 898-9 1,079-4 731-5 1,122-9 1,094-8 1,099-4 1,047-0 1,068-9 881-9 850-3 1,000-3 1,121-9 1,023-3 1,007-6 1,072-0 1,259-8 1,331-2 1,289-7 1,087-9 1,366-8 1,355-3 1 ,'259-8 1,080-1 1,080-6 400-3 9i,3-l 792-5 1,103-0 700-9 292-9 352-4 341-9 52-5 55-0 109-5 £ 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 60 51 52 53 54 55 50 57 58 59 CiO 61 02 63 64 05 66 67 69 1 2 8 II 20 12 22 29 27 38 47 56 61 69 60 72 66 54 52 52 01 42 00 65 01 50 lid 42 43 47 IS 47 13 Hi 13 44 47 39 50 47 39 35 35 13 21 23 30 20 9 8 9 2 3 3 2 10 24 33 43 52 117 102 191 200 175 109 149 144 100 99 87 75 71 76 64 60 59 59 73 55 58 57 52 70 51 44 53 40 36 34 30 37 31 22 14 8 5 3 4 I 1 1 70 179 534 900 1,723 1,241 2,950 5,180 4,905 8,035 10,415 13,845 15,514 18,735 10,770 20,080 19,893 10,200 15,300 17,568 21,050 14,040 21,405 20,589 20,573 19,908 19,508 15,707 15,135 16,720 18,194 16,215 16,015 17,097 17,619 18,480 17,893 15,160 18,845 17,180 15,584 13,249 13,040 5,380 10,045 8,739 12,100 7,652 3,215 3,595 3,419 525 550 1,095 120 675 1,702 2,490 3,353 5,611 18,765 20,867 33,494 36,371 33,225 32,269 29,039 29,180 21,580 20,905 19,310 16,951 14,959 17,355 15,010 13,193 13,998 13,696 17,710 12,748 14,760 14,236 12,545 17,395 12,895 11,770 13,855 10,479 9,798 8,815 7,735 9,705 9,130 5,729 3,205 1,975 1,315 780 1,015 270 280 205 59-5 63-1 09-4 80-5 98-0 117-2 137-5 157 1 173-0 182-4 189-8 195-5 200-0 204-0 208-0 211-8 215-2 218-5 221-8 225-1 227-9 230-4 232-8 235-2 237-0 240-4 243-4 246-4 249-4 252-4 255-2 258-0 200-0 201-2 262-0 262-0 262-0 262-0 262-0 202-0 202-0 202-0 202-0 262-0 262-0 6-0 33-7 85-1 124-5 167-7 280-5 938-3 1,343-3 1,674-7 1,818-5 1,661-3 1,613-4 1,482-0 1,459-3 1,079-0 1,049-4 982-8 859-9 763-4 897-7 774-2 703-7 709-3 748-9 980-4 711-4 807-6 763-3 784-1 1,083-7 820-1 751-9 809-9 738-5 704-9 038-9 506-2 737-4 713-0 472-6 284-5 163-6 111-7 70-2 91-4 24-3 25-2 20-5 15 16 17 18 19 20 21 22 23 24 25 20 27 28 29 30 31 32 33 34 35 36 37 38 39 II) 41 42 43 14 45 46 47 48 49 50 51 52 53 54 55 50 57 58 59 li() 61 62 63 64 65 (i(i 67 69 Totals.. 2,009 3,007 646,578 619,194 40,064-3 34,251-9 Totals.

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TABLE V. Classification of Pensions granted during the Period from 1st January, 1917, to 31st December, 1919, showing the Ages at which they were granted.

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Attainment of Length c Pension Age or if Service. •ed mei lieally unlit. Widows and Children. Roth Total. Age at which Pension granted. Number. Amount of Pension. <S c.2 I li Number. M. _. Total. Amount of Pension. Age at which Pension granted. fumbe ir. Amount, of Pension.' M. F. Total. M. F. Total. £ s. d. £ B. (I. £ 18 £ s. d. 1.8 0 0 53 19 0 180 18 0 18 0 0 54 0 0 115 14 0 200 12 0 88 0 0 1,307 12 0 2,330 9 0 140 3 0 668 4 0 826 0 0 146 15 0 845 11 0 400 1 0 033 12 0 1,710 12 0 1,950 3 0 1,970 6 0 1,019 8 0 392 17 0 1,778 2 0 1,194 0 0 1,300 12 0 313 8 0 803 4 0 092 2 0 190 9 0 192 3 0 123 10 0 221 3 0 96 8 0 18 0 0 112 18 0 57 7 0 129 19 0 07 10 0 18 0 0 18 0 0 54 0 0 30 0 0 18 0 0 18 0 0 72 0 0 18 0 O 52 0 0 52 0 0 20 0 0 26 0 0 26 0 0 52 0 0 104 0 0 33 0 0 65 0 0 39 0 0 91 0 0 52 0 0 104 0 0 78 0 0 80 .. 77 .. 70 .. 74 .. 71 .. 70 .. 09 .. 07 .. 00 .. 05 .. 64 .. 63 .. 62 .. 61 .. 60 .. 59 .. 58 .. 57 . . 56 . . 55 . . 54 . . 53 .. 52 .. 51 . . 50 .. 49 . . 48 . . 47 .. 40 .. 45 .. 44 .. 43 .. 42 .. 41 .. 40 .. 38 .. 35 .. 34 .. 32 .. 31 .. 30 .. 29 .. 28 .. 27 .. 24 .. 23 .. 13 .. 12 .. 11 .. 10 .. 9 .. 8 . . 7 .. 0 .. 5 .. 4 . . 3 .. 2 .. 1 .. 0 .. i 1 i 6 II 1 1 1 2 5 5 2 1 1 1 1 1 8 3 2 5 4 12 6 4 8 10 10 3 6 7 2 2 1 1 1 1. 1 6 12 1 2 2 5 3 3 10 9 14 6 4 9 10 10 3 6 7 2 2 53 19 0 162 18 0 115 14 0 170 12 0 52 0 0 1,307 12 0 2,330 9 0 140 3 0 76 18 0 354 18 0 845 11 0 364 I 0 348 17 0 1,492 7 0 1,508 3 0 1,658 10 0 798 19 0 272 10 0 1,139 8 0 1,049 7 0 1,222 11 0 313 8 0 681 8 0 692 2 0 190 9 0 192 3 0 11:: 4 .. 2 .. 1 .. 1 .. 2; 2 1 i .. 1 I .'. I .. I .. 2 '2 3 g 1 4 2 1 1 4 1 i 1 1 2 1 591 6 0 471 8 0 128 15 0 284 15 0 224 5 0 424 0 0 263 16 0 184 9 0 120 7 0 638 14 0 144 13 0 138 I 0 85 16 0 105 10 0 203 3 0 00 8 0 1 1 I 3 2 2 1 2 3 2 2 1 1 2 1 1 30 18 18 30 1.8 18 18 18 54 36 36 is 30 18 54 30 i 1 i 0 11 1 3 4 1 2 3 6 9 4 1 1 3 1 1 2 1 1 1 3 1 2 3 i 1 1 1 3 5 2 5 5 15 8 4 10 1(1 10 3 9 7 2 2 2 1 3 1 2 1 4 2 1 1 3 2 1 1 4 1 1 1 2 1 3 1 3 3 0 12 1 4 5 2 5 5 5 11 14 19 9 5 13 11 11 3 9 7 2 2 2 3 3 1 2 1 4 2 1 1 3 2 1 1 4 1 4 4 2 2 2 4 8 3 5 3 7 4 8 6 80 77 70 74 71 70 09 07 66 05 64 63 62 61 00 59 58 57 50 55 54 53 52 51 50 49 48 47 40 45 44 43 42 41 40 38 35 34 32 31 30 29 28 27 24 23 13 12 11 10 9 8 7 0 5 4 3 2 1 0 2 .. :: i i 2 .. ! i 1 1 2 1 94 18 0 57 7 0 93 19 0 49 10 0 2 1 1 1 3 2 1. I 4 1 4 4 2 2 2 4 8 3 5 3 7 4 8 6 30 18 18 18 54 30 18 18 72 18 52 52 20 26 26 52 104 39 65 39 91 52 104 78 • • 31 31 Totals 4,305 0 0 106 1,598 93 177 no 23,497 17 0 Totals 39 92 131 17,534 17 0 23 10 33

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TABLE VT. Statement of the Basis upon which the Valuation has been made. (1.) The proportions of contributors withdrawing, dying, and retiring at each age were the same as those used in the last valuation —viz., withdrawals were taken according to the experience of the fund to the 31st December, 1913, the retirements, and, in the case of males, the deaths, according to the experience of the combined New Zealand superannuation funds to the same date. The female mortality was taken according to special rates. Owing to the disturbing effect of the war it would have been misleading to have used factors derived from later years. (2.) Salaries of contributors were taken as at the 31st December, 1919, and scales of average salaries were constructed for males and females. These scales of salary were not themselves assumed in making the valuation, but the ratios of increase derived therefrom were applied to the actual salary of each contributor at the 31st December, 1919. (3.) The mortality of male pensioners was taken according to the experience of the Public Service, Teachers', and Railways Superannuation Funds combined, up to 1919. That of female pensioners was taken on the same basis as in the Public Service Superannuation Fund valuation —viz., according to a specially constructed table giving rates somewhat below those of the New Zealand female population. (4.) Widows' and children's benefits were valued on the same basis as before—namely, New Zealand population statistics combined with Farr's Healthy English Females mortality. (5.) The experience table, giving the actual rates of withdrawal, death, and retirement, and the Life and Service Table based thereupon are omitted from the Appendix on this occasion. The information will be found in Tables VII and VIII of the 1916 valuation report, but the columns therein relating to salary are, of course, not applicable to the present valuation. TABLE VII. SUMMARY OF TEACHERS' SUPERANNUATION RESULTS. Valuation Balance-sheet as at the 31st December, 1919. Liabilities. Males— £ £ Value of 251 pensions for £33,145 Bs. per annum already granted .. 289,172 ~ 117 pensions for £2,119 3s. per annum granted to widows of contributors or pensioners .. .. .. 21,916 ~ 100 pensions for £1,300 per annum granted to children of deceased contributors or pensioners .. .. 6,052 ~ prospective pensions for back service .. .. .. 1,041,567 ~ „ for future service .. .. .. 567,134 ~ ~ to widows .. .. .. 99,381 ~ ~ to children .. .. .. 15,162 ~ return of contributions on death .. .. .. 9,462 ~ ~ on withdrawal .. .. .. 52,516 2,102,362 Females— Value of 317 pensions for £26,839 10s. per annum already granted . . 345,409 ~ prospective pensions for back service .. .. ... 863,817 ~ ~ for future service .. .. .. 704,438 ~ ~ for children .. .. .. 9,911 ~ . return of contributions on death .. .. .. 19,822 ~ ~ on withdrawal .. .. .. 77,230 2,020,627 £4,122,989 Assets. £ Accumulated funds .. .. . . .. .. .. .. .. 526,702 Value of future contributions from males .. .. .. .. ... 456,514 ~ contributions from females .. .. .. .. .. 326,597 ~ subsidy of £43,000 per annum .. .. .. 1,075,000 ~ increases in subsidy to be provided .. .. .. .. 1,738,176 £4,122,989

2—E. 9a.

9

E.—9a,

TABLE VIII. Statement showing Subsidies paid as compared with Subsidies required under the System indicated in the act.

Approximate Cost of Paper. —Preparation, not given ; printing (875 copies), £20.

Authority : W. A. G Skinner, Government Printer, Wellington.—l92B,

Price 6d.\

10

Year ended Subsidy required. Shortage accumuSubsidy received. Shortage. lated at 4 per Cent. to 1922. I 31st March, 1906 31st March, 1907 31st March, 1908 31st December, 1908 31st December, 1909 31st December, 1910 31st December, 1911 31st December, 1912 31st December, 1913 31st December, 1914 31st December, 1915 31st December, 1916 31st December, 1917 31st December, 1918 31st December, 1919 £ Nil 2,000 (say) 5,000 „ 5,000 „ 8,000 „ 11,000 „ 17,000 17,000 17,000 33,000 33,000 33,000 43,000 43,000 43,000 £ 5,000 7,000 7,000 7,000 7,000 17,000 17,000 17,000 17,000 17,000 17,000 43,000 £ £ £ 5,000 -(5,000) (9,365) 2,000 3,602 5,000 17,317 5,000 7,000 1,000 1,665 7,000 4,000 6,404 7,000 10,000 15,395 7,000 10,000 14,802 17,000 Nil 17,000 16,000 21,897 17,000 16,000 21,055 17,000 16,000 20,245 17,000 26,000 31,633 17,000 26,000 30,416 43,000 Nil Totals 310,000 178,000 178,000 132,000 175,066