GOVERNMENT RAILWAYS SUPERANNUATION FUND. REPORT OF BOARD.

Appendix to the Journals of the House of Representatives, 1928 Session I, D-05

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1928. NEW ZEALAND.

GOVERNMENT RAILWAYS SUPERANNUATION FUND. REPORT OF BOARD.

Laid before Parliament in pursuance of Section 124 of the Government Railways Act, 1926.

The Board has the honour to transmit, for the information of Parliament, the following report upon the transactions of the Government Railways Superannuation Fund for the year ended 31st March. 1928. The Revenue Account, Balance-sheet, and statements in connection therewith will bo found appended. The balance of income over expenditure for the year amounts to £125,255 13s. Id., as compared with £123,689 Os. 6d. for the previous year. Members' Contributions. —The receipts under the heading of members' contributions show a steady increase, being £158,600 4s. 6d., as compared with £157,784 lis, for the previous year, an increase of £81.5 10s. 6d. Table B, Statement of Contributors, discloses that there is a net increase of 62 members, that the contributors at 5 per cent, have increased by 138, and that contributors at 3 per cent, and 4 per cent, have decreased by 45 and 37 respectively. Contingent Contributors. —During the year thirty-six casual employees elected to contribute to the fund, so that in the event of their subsequently becoming permanently appointed they would not be faced with having to pay accumulated arrears on account of service prior to permanent appointment. The total number of employees so contributing at the end of the year under review was 191, and the amount standing to their credit £5,744 6s. 7d. Subsidy. —During the year the sum of £170,000 was paid into the fund by the Working Railways Department. Interest. —The interest amounts to £58,293 4s. lid., an increase of £7,577 10s. 4d. as compared with the previous year. Reference to Table C, Statement of Investments, shows the average rate of interest on securities held at the 31st March, 1928, as 5-82 per cent., and the average rate earned on the mean funds for the year 5-758 per cent., as against 5-79 per cent, and 5-708 per cent, respectively for the previous year. Owing to the increase in interest collections the expenditure, under the heading " Public Trust charges " is £244 13s. 2d. in excess of the figures for the previous year. Life Allowances. — The expenditure on account of life allowances to members amounts to £227,860 15s. 5d., an increase of £12,610 13s. 4d. as compared with the figures for the previous year. The increase under this heading is not so marked as in the previous two years, being £3,749 13s. less than the increa.se shown for the year ended 31st March, 1927, and £4,675 lis. sd. less than the increase for the year ended 31st March, 1926. On referring to Table A, Statement of Allowances, it will be seen that the average amount of the 108 allowances granted during the year is £176 18s. Bd., and that the average amount of the 79 allowances discontinued is £110 ss. 7d. Allowances to Widows and Children. —The expenditure under the heading of allowances to widows and children shows a decrease of £336 Bs. lOd. The sum of £12,379 16s. Id., being £229 Is. less than the previous year, was transferred from the Working Railways Account during the year on account of the increased payments to widows and children as provided in section 114, Part 111, of the Government Railways Act, 1926. Approval was received for the continuance of the cost-of-living bonus to annuitants in cases of special hardship where the allowance was less than £100, the amount of bonus granted being sufficient to bring the allowance up to £100, but with a maximum bonus of £26. The bonus is provided, for out of the Working Railways Account, and is not a charge on the Superannuation Fund. At the 31st March, 1928, there were 1,447 members, 467 widows, and 491 children, making a total of 2,405 persons actually on the fund, involving an annual liability of £247,442 6s. 2d. Investment of the Fund. —The Investment Account has been increased during the year to the extent of £129,000. All moneys not required in the Current Account have been transferred to the Investment Account without delay. J. G. Coates, Chairman of the Government Railways Superannuation Fund Board.

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Table A.—Statement of Allowances for the Year ended 31st March, 1928.

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Section 102. On Attainment of Retiring Age or for Length of Service. Section 111. Medically Unfit. Section 113. Widows. Section 113. Children. Total Retiring and other Allowances. » dumber. Number. Number. .1 Am™n,i- Num.- Annual Amount, Annual Amount, ii Amount. a t £31 per Annum. . at £26 per Annum. SI. F. Total. I I I I Number. rl Amount. SI. F. Total. M. F. j Total. St. F. Total. Retiring and other allowances — Existing at beginning of year .. 1,130 Granted during year at retirement 87 ! £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. .. jl,130 193,887 12 9 288 \ .. j 288 | 28,369 1 5 459 14,229 0 0 250 255 i 505 13,130 0 0 1,668 7142,382 ' 249,615 14 2 87 16,778 14 0 21 I. .. 21 2,329 18 0 28 868 0 0 17 27 44 1,144 0 0 125 55 480 21,120 12 0 . . i £ s. d. 288 i .. ! 288 j 28,369 1 5 21 .. 21 2,329 18 0 £ s. d. 459 14,229 0 0 ; 250 28 868 0 0 | 17 £ s. d. 255 i 505 13,130 0 0 27 44 1,144 0 0 1,668 125 £ s. d. 714 2,382 249,615 14 2 55 180 21,120 12 0 . Total .. .. 1 ,217 Discontinued during year .. On .. 1,217 210,666 6 9 i 309 ! .. 309 , 30.698 19 5 | 487 15,097 0 0 267 282 549 14,274 0 0 1,793 7692,562 270,736 6 2 66 7,525 16 0 j 13 | .. 13 1,186 4 0 20 620 0 0 34 24 58 1,508 0 0 113 44 157 10,840 0 0 309 '< .. 309 , 30,698 19 5 13 .. 13 1,186 4 0 487 ' 15,097 0 0 267 282 549 14,274 0 0 20 620 0 0 34 24 58 1,508 0 0 4,793 113 769 2,562 270,736 6 2 44 157 10,840 0 0 Existing at end of year .. 1,151 I .. 11,151 203,140 10 9 |! 296 I .. I 296 29,512 15 5 , 467 14,477 0 0 l| 233 ' 258 491 ! 12,766 0 0 ll,680 i 7252,405 259,896 6 2 1,680 725 2,405 : 259,896 6 2 Particulars of Retiring and other Allowances discontinued during the Year. How discontinued — By death .. .. .. 66 By expiry Total .. .. 66 1 I 66 7,525 16 0 10 .. 10 1.086 4 0 8 248 0 0 .. .. ... .. 76 8 84 8,860 0 0 3 .. 3 100 0 0 ■ 12 372 0 0 I 34 24 58 1,508 0 0 37 36 73 1,980 0 0 66 7,525 16 0 , 13 .. 13 1,186 4 0 20 620 0 0 34 24 58 j 1,508 0 0 113 44 157 10,840 0 0 8 84 8,860 0 0 36 73 1,980 0 0 Total granted .. .. .. 2,000 | Total discontinued .. .. 849 j Total existing at 31st March, 1928.. 1,151 I Progress of Retiring and other Allowances since establishment of the Fund to 31st March, 1928. 1 2,001 278,731 16 2 [ 513 1 514 45,194 15 3 723 22,413 0 0 : 698 683 11,381 35,906 0 0 3,211 14084,619 382,245 11 5 1 850 75,591 5 5 j 217 | 1 \ 218 15,681 19 10 256 7,936 0 0 465 425 ' 890 23,140 0 0 1,531 6832,214 122,349 5 3 .. 1,151 203,140 10 9 j 296 ! .. 296 29,512 15 5 467 14,477 0 0 233 258 491 12,766 0 0 1,680 725"2,405 259,896 6 2 1,680 725"2,405 259,896 6 I I Less amount receivable from the Working Railways Account on account of increased payments to widows and children .. 12,454 0 £247,442 6

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Table B.—Statement of Contributors.

Table C. —Statement of Investments. 1928. 1927. Funds invested at 31st March — £ s , d. £ s. d. At 4_ per cent. .. .. .. .. .. 5,500 0 0 5,500 0 0 „5 „ .. .. .. .. .. 17,535 0 0 17,535 0 0 „5| .. .. .. .. .. 170,045 0 0 152,045 0 0 ~ 5| „ .. .. .. 80,120 0 0 80,120 0 0 „6 „ .. .. .. .. .. 762,025 510 658,135 15 8 „6J „ .. .. .. .. .. 10,000 0 0 7,500 0 0 Repayments during March and held for investment as from Ist April.. .. .. .. .. .. 6,335-14 1 1,725 4 3 £1,051,560 19 11 £922,560 19 11 Per Cent. Per Cent. Average rate of interest on securities held, at 31st March .. 5820 5-790 Average rate of interest earned on the mean funds . . 5-758 5708 Table D. —Progress of the Fund. Balance forward. Allowances granted £ s. d. £ s. d. 1903 .. .. .. .. .. 7,056 11 9 1904 .. .. .. .. .. 40,357 17 3 12,010 14 8 1905 .. .. .. .. .. 68,670 7 8 8,519 7 8 1906 .. .. .. .. .. 90,984 1110 6,348 13 7 1907 .. .. .. .. •• 110,736 12 3 4,398 14 11 1908 .. .. .. .., .. 126,642 18 11 7,332 711 1909 .. .. .. .. .. 157,15114 9 6,359 11 0 1910 .. .. .. .. .. 173,876 1 8 11,828 0 6 1911 ~ .. .. .. .. 207,242 7 11 8,064 11 5 1912 .. .. .. .. .. 233,457 8 6 7,005 16 4 1913 .. .. .. .. .. 264,455 5 4 8,568 6 6 1914 .. .. .. .. .. 295.469 11 6 9,865 17 8 1915 .. .. .. .. .. 346,155 18 2 11,87114 3 1916 .. .. .. .. .. 362,810 4 2 9,662 2 5 1917 .. .. .. .. •■ 377,585 2 1 11,733 1111 1918 .. .. ■• .. •■ 373,097 12 7 8,386 4 0 1919 .. .. .. .. .. 363,804 4 4 9,252 17 8 1920 .. .. .. .. .. 408,232 10 8 20,341 7 3 1921 .. .. •• .. -. 464,490 17 0 20,346 8 9 1922 .. .. , .. .. .. 543,531 10 8 23,050 2 0 1923 .. .. .. .. .. 584,219 2 4 22,791 1 0 1924 .. .. .. .. •• 671,827 6 6 21,272 4 0 1925 .. .. .. .. •• 734,112 8 11 36,409 14 0 1925 (increased allowances to widows and children) .. .. 12,246 0 0 1926 .. .. .. .. •• 862,139 3 6 23,509 6 0 1927 .. .. ■• •• •■ 985,828 4 0 28,281 4 0 1928 .. .. .. .. ..1,111,199 112 21,120 12 0 £ s. d. 370,636 11 5 Less members died, &c. .. .. .. 110,740 5 3 Less liability of Working Railways Account on account increased payments to widows and children 12,454 0 0 123,194 5 3 Annual liability at 31st March, 1928 .. .. .. £247,442 6 2

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3 per Cent. 4 per Cent. 5 per Cent. 6 per Cent. 7 per Cent. 8 per Cent. 9 per Cent. Total. Contributors at commencement of year New contributors during year 2,386 568 8,942 373 1,420 58 229 4 15 4 13,564 435 Total Contributors discontinued, during year 2,386 45 568 37 9,315 235 1,478 50 233 6 15 4 1.3,999 373 Total contributors at 31st March, 1928 2,341 531 9,080 1,428 227 15 4 13,626

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Statement of Accounts in accordance with Section 123, Government Railways Act, 1926. Revenue Account for the Year ended 31st March, 1928.

EXPENDITURE. 1927-28. 1926-27. INCOME. | 1927-28. 1926-27. To Retiring-allowances to members Allowances to widows and children Refunds of total contributions Refunds of contributions in excess of allowances drawn by deceased beneficiaries Compensation under the Government Railways Act of 1887 Transfers to other funds .. .. Interest remitted .. Administration charges — TravelUng-expenses of Board members Public Trust Office commission Public Trust mortgage inspection fees Audit Office fees Salaries Postages Printing and stationery Balance carried down, being excess of income over expenditure for the year £ s. d. 227,860 15 5 27,152 13 9 14,562 8 4 538 1 2 613 1 1 105 0 0 £ s. d. £ s. d. £ s. d. 215,250 2 1 Bv Members' contributions .. .. 156,798 12 7 153,914 15 6 27,489 2 7 " Members' contributions on account of casual service .. 1,8011111 3,869 18 6 20,986 5 4 Fines .. .. .. .. .. .. .. . 141 10 0 Subsidies — 768 2 7 Working Railways .. .. .. .. 170,000 0 0 170,000 0 0 37 1 3 Working Railway-s, on account of increased allowances to j 12,379 16 1 12,608 17 1 108 14 1 widows and children 47 9 3 Amalgamated Society of Railwav Servants, on account i .. 14 19 2 of M. J. Mack 56 10 0 Interest .. .. .. .. .. .. 58,293 4 11 50,715 14 7 1,190 12 0 Commission on Government Life Insurance collections .. 13 3 2 11 5 3 6 16 3 Donation .. .. .. .. .. .. 0 11 3 50 0 0 1.413 3 2 104 16 1 . 79 4 11 70 10 0 1,442 1 5 50 0 0 1,401 2 4 137 3 2 98 10 2 125,255 13 1 123,689 0 6 ■ 399,286 19 11 391,277 0 1 j 399,286 19 11 391,277 0 1 391,277 0 1 391,277 0 1 To Balance accumulated funds at 31st March, 1928 .. 985,828 4 0 By Accumulated funds brought forward on 1st April, 1927 .. 985,828 4 0 862,139 3 6 Amounts unclaimed written off — Refunds of contributions .. .. .. .. 98 10 11 Retiring-allowances .. .. .. .. 10 16 3 Widows' allowances .. .. .. .. 6611 Balance brought down .. .. .. .. 125,255 13 1 123,689 0 6 £985,828 4 0 £1,111.199 11 2 £985,828 4 0 J I 1,111,199 11 2 986,828 4 0 \\ £: 1,111,199 11 2 £985,828 4 0 £

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Statement of Accounts, etc.— continued. Balance-sheet as at 31st March, 1928.

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LIABILITIES. 1927-28. 192(3-27. ASSETS. 1927-28. 1926-27. Accumulated funds as per Revenue Account Casual employees, contingent contributions Retiring and other allowances due (not paid) — Members Widows and children Refunds of contributions authorized (not paid) Transfers to other funds authorized (not paid) Interest paid in advance Commission due to Public Trustee Farm inspection fee due to Public Trustee .. Sundry creditors (stationery) £ S. d. .. 1,111,199 11 2 5,744 6 7 643 14 8 187 19 1 567 11 11 5 0 6 301 1 0 123 17 10 .. 4 10 0 £ s. d. 985,828 4 0 2,369 16 11 £ s. d. £ s. d. Investment Account — £ s. d. Investments .. .. .'. 1,045,225 5 10 Cash in hand .. .. -.. 6,335 14 1 575 5 8 119 4 7 1,182 5 5 4 14 6 308 13 3 104 8 4 2 12 3 1,051,560 19 11 922,560 19 11 Current Account— Cash in hand .. .. ..25,083 16 10 24,995 5 7 Contributions in transit .. .. .. .. 12,630 15 9 11,563 9 7 Contributions outstanding .. .. .. .. 976 3 11 1,194 3 4 Contributions due by members in respect to casual service .. 6,820 2 1 9 , 644 18 11 Working Railways — On account of cost-of-living bonus .. .. .. 386 9 1 412 12 5 On account of additional allowances to widows and children 949 19 4 984 5 7 Alkrwances recoverable .. .. .. .. .. 10 0 0 Refunds repayable .. .. .. .. .. 123 16 1 141 14 6 Interest due, not paid .. .. .. .. .. 6,651 10 6 7,012 1 8 Interest accrued but not due .. .. .. ., 13,591 2 10 11,973 14 5 Sundry debtors (insurance premium) .. .. .. 2 16 5 1 19 0 £1,118,777 12 9 £990,195 4 11 £1,118,777 12 9 1,118,777 12 9 \£990,495 4 11

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Statement of Accounts, etc. — continued. Receipts and Payments Account for the Year ended 31st March, 1928. Dr. Receipts. £ s. d. Cr. Payments. £ s. d To Balance in hands of Public Trustee on 31st By Retiring-allowances paid to members .. 227,779 15 3 March, 1927 .. .. .. .. 24,995 5 7 Allowances to widows and children .. 27,052 1 6 Contributions by staff .. .. .. 160,143 4 3 Contributions refunded to members who have Contributions by contingent contributors .. 4,202 lb' 6 left the service .. .. .. 15,060 12 6 Receipts from Working Railways Account — Contributions refunded to contingent memSubsidy .. .. .. .. 170,000 0 0 bers who have left tho service .. .. 401 10 1 Increased allowances to widows and child- Payments to legal representatives of deceased ren .. .. .. .. 12,414 2 4 beneficiaries under section 120 (c) of Govern-Cost-of-living bonus to annuitants .. 4,720 8 9 ment Railways Act, 1920 .. .. 538 1 2 Interest .. .. .. .. 50,912 3 3 Contributions transferred to other funds .. 612 15 1 Donation .. .. .. .. 0 11 3 Travelling-expenses of Board members .. 70 10 0 Commission on collections of Government Public Trust commission .. .. .. 1,422 11 11 Lifo Insurance premiums .. .. 13 3 2 Mortgage-inspection fees .. .. .. 2 12 3 Audit Office charges .. .. .. 50 0 0 Salaries .. .. .. .. 1,401 2 4 Postages .. .. .. .. 137 3 2 Printing and stationery .. .. .. 94 0 2 Payments to annuitants by way of cost-of-living bonus .. .. .. .. 4,694 5 5 Investments .. .. .. .. 129,000 0 0 Insuranco premium .. .. .. 017 5 Balance of receipts over disbursements .. 25,083 16 10 £433,401 15 1 £433,401 15 1 J. G. Coates, Chairman of the Government Railways Superannuation Fund Board. H. Valentine, Chief Accountant, Now Zealand Railways. I hereby certify that the Statement of Receipts and Payments, Revenue Account, and Balance-sheet have been duly examined and compared with the relative books and documents submitted for audit, and correctly state the position as disclosed thereby.—G. F. C. Campbell, Controller and Auditor-General.

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