NATIONAL PROVIDENT FUND. TWENTY-SEVENTH ANNUAL REPORT OF THE BOARD, FOR THE YEAR ENDED 31st DECEMBER, 1937.

Appendix to the Journals of the House of Representatives, 1938 Session I, H-17

1938. NEW ZEALAND.

NATIONAL PROVIDENT FUND. TWENTY-SEVENTH ANNUAL REPORT OF THE BOARD, FOR THE YEAR ENDED 31st DECEMBER, 1937.

Presented to both Houses of the General Assembly 'pursuant to the National Provident Fund Act, 1926, Sections 72 and 74.

PART I.—THE FUND (SECTION 72). 1. The progress indicated in last report has been fully maintained despite the low income limit of £300 per annum that still obtains for entrants. This figure was established in the far past when the standards of remuneration and living were lower than at present, and there is no doubt that if the limit were raised in consonance with present-day standards, the Fund, which is unique in its structure, would play a much greater part in the life of the community. 2. Summarized figures for the twelve months ended 31st December, 1937, as compared with those to 31st December, 1936, are set out below, detailed statistics being annexed : — 1937. 1936. New contributors .. .. .. • • 4,902 3,265 Local bodies .. .. • • - ■ • ■ 124 122 Total contributors .. .. .. •• 28,972 26,574 Annuitants .. .. .. • • • • 736 674 £ £ Contributions .. .. •• •• •• 266,431 246,559 Interest 185,016 174,044 Total income .. .. •• •• 583,420 526,457 Annuity payments .. . ■ •• •• 66,370 58,917 Other benefits .. •• •• •• 167,816 154,192 Total outgo .. .. •• •• •• 239,915 218,434 Funds at end of year .. .. .. 4,992,587 4,649,082 Rate of interest, per cent. .. .. .. £3 18s. 3d. £3 19s. Od. 3. The Fund is popular with local bodies, enabling them to provide superannuation for their employees, but as entry by the local body is optional (except in the case of Hospital Boards) difficulty arises when an employee of a contributing body transfers to one that is not in the Fund. 4. Actuarial examinations of the Fund as required triennially by section 73 of the Act are in arrear, but when the exigencies of the Service permit, the Government Actuary will no doubt overtake these arrears. 5. The work of the staff, including those in the " field," commands admiration. PART lI.—STATE SUBSIDY (Section 74). The amount of subsidy paid by the State for the year was £66,207 2s. 6d. W. Lee Martin, Chairman of the Board. R. Sinel, Superintendent of the Fund. Wellington, 4th August, 1938.

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NATIONAL PROVIDENT FUND. Revenue Account foe the Year ended 31st December, 1937. Amount of Fund at beginning of year (Ist £ s. d. National Provident Fund Act, 1926— £ s. d. January, 1937) .. .. .. .. 4,649,082 1 3 Maternity claims (section 19) .. .. 4,662 0 0 National Provident Fund Act, 1926— Maternity claims (section 43) .. .. 32,956 0 0 Contributions .. .. .. .. 266,431 2 5 Refund of contributions on lapse, reduction, Interest .. .. .. .. 185,015 10 4 and withdrawal (sections 11, 12, and 13) . . 70,747 14 3 Fines (section 11 (4)) .. .. .. 458 1 3 Refund of contributions in lieu of annuity Government contribution under Act (sec- (section 14) .. .. .. .. 4,113 19 4 tions 52 and 74 (2)) .. .. .. 66,207 2 6 Incapacity allowances (sections 17 and 18), Refund of maternity claims by the State including contributions waived on incapacity (sections 42 (2) and 70) .. .. 46,024 0 0 (£1,610 4s. 7d.) .. .. .. 10,510 12 6 Contributions overpaid on exit .. .. 41 18 11 Death: Refund of contributions (sections Benefits refunded on exit (sections 11 to 16 15 (5) and 16) .. .. .. 32 284 19 5 and 28) .. .. .. .. 16,027 1 1 Death : Allowances on account of widows Miscellaneous receipts .. .. .. 0 13 11 and children (section 15) .. .. 12,498 5 11 Refunds unclaimed .. .. .. 3,214 12 2 Annuities (sections 13 and 48) .. .. 66,369 14 2 Refund of contributions overpaid on exit .. 41 18 11 Public Trustee: Charges .. .. .. 2,650 8 3 Legal expenses .. .. .. .. 177 7 2 Investment Fluctuation Account . . .. 2,902 5 6 Amount of Fund at end of year (31st December, 1937) .. .. .. 4,992,586 18 5 £5,232,502 3 10 £5,232,502 3 10 / "«♦ Balance-sheet as at 31st December, 1937. Liabilities. £ s. d. Assets. Fund as per Revenue Account .. .. 4,992,586 18 5 In hands of Public Trustee— £ s . d. National Provident Fund Act, 1926— Invested .. .. .. .. 4,881 845 12 5 Claims due and in course of payment*— Uninvested .. .. .. .. 11 49903 Maternity (sections 19 and 43) .. .. 2,667 14 5 Post Office .. .. .. .. 2'174 18 7 Death: Refunds (section 16) .. .. 3,342 4 10 Balances in transit .. .. .. 8,796 9 5 Death: Refunds (section 15 (5)) ~ 767 11 8 National Provident Fund Act, 1926— Death: Allowances (section 15) .. 424 5 3 Contributions outstanding or in course of Annuities (sections 13 and 48) .. .. 2,423 1 6 transmission* — Allowances (section 17) .. .. 352 15 3 (a) Contributions due but not overdue .. 11,254 10 1 Refunds of contributions in lieu of annuity (b) Contributions overdue .. .. 1'421 8 11 (section 14) .. .. .. 421 16 6 Government subsidy due under Act* (sections 52 Public Trustee : Charges*.. .. .. 1,210 17 5 and 74 (2)) .. .. .. .. 66,207 2 6 Refunds in Suspense .. .. .. 39,573 9 9 Refund due in respect of maternity claims* Suspense Account .. .. .. 206 5 0 (sections 42 (2) and 70) .. .. .. 3,010 0 0 Contributions prepaid .. .. .. 10,224 18 7 Fines due* (section 11 (4)) .. .. ' 88 17 9 Interest due* .. .. .. .. 11,284 19 0 Interest accrued but not due* .. .. 56,61819 8 £5,054,201 18 7 £5,054,201 18 ~7 * Included in Revenue Account. R. Sinel, Superintendent. Wellington, Ist July, 1938. R. M. Porteous, A.R.A.N.Z., Accountant. I hereby certify that the 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. Cyril G. Collins, Deputy Controller and Auditor-General. 9 W

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(2) Numerical Statement for the Year ended 31st December, 1937.

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64 56 1 978 1 ţ yr r rg r r gr trtg grtrt

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NATIONAL PROVIDENT FUND ACT, 1926. Direct Contributors. (3) Statement of Retiring and other Allowances for the Year ended 31st December, 1937.

Other Contributors. (3a) Statement of Retiring and other Allowances for the Year ended 31st December, 1937.

NATIONAL PROVIDENT FUND. Progress of Retiring and other Allowances since the Establishment of the Fund to 31st December, 1937.

Approximate Cost of Paper.—Preparation, not given ; printing (660 copies), £7.

Authority : E. V. Paul, Government Printer, Wellington.—l93B.

Price 3d.~]

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on the 179 1 9243 0 035 Total

0„ Death. On Me d «ca. Unfitness. VtM ™ Number. —. Number. | Number. J dumber. | m. F. i £ s. d. m. F.j £ s. d. m. ! f. £ g. d. M. F. j £ s. d. Allowances existing at be- 164 .. 13,790 0 0 55 11 |6,014 3 0352 | 96 52,207 16 0571 107 162,011 19 0 ginning of year Granted during year .. 15 .. 429 0 0 22 5 i2,539 4 0 37 13 6,934 7 0 74 18 | 9,902 11 0 Total .. 179 .. 4,219 0 0 77 16 !8,553 7 0 389 1109 59,142 3 0 645 ! 125 171,914 10 0 Discontinued during year 7 .. 326 0 0 10 3 1,323 8 0 26 5 2,985 13 0 43 8 4,635 1 0 (as per statement below) Existing at end of year .. 172 .. 13,893 0 0 67 13 17,229 19 0*363 1 104 '56,156 10 0602 117 ! 67,279 9 O Particulars of Retiring and other Allowances discontinued during the Year. Discontinued by death .. 6 1.. 108 0 0 3 j II 461 11 0 25 5 2,858 15 0 34 6 3,428 6 0 Expiry .. .. 1.. 218 0 0 7 I 2 ! 861 17 0 1 .. 126 18 0 9 2 1,206 15 O Total .. 7 ! .. 326 0 0 10 ; 3 jl,323 8 0 26 5 2,985 13 0 43 8 4,635 1 0

On Death On Incapacity, On Attainment of Total Retiring and other * Retiring Age. Allowances. a". Amount ' Amount. A™. i i i ~ I M. F. £ s. d. M. E. £ S. d. M. : P. £ S. d. M. F. £ s. d. Total granted ..575 1 28,395 10 0 535 28 35,345 10 0 772 203 89,514 4 01882 232 153,255 4 0 Total discontinued ..224 .. 15,259 10 0 433 15 26,731 1 0 223 16 21,392 0 0 880 31 63,382 11 O Total existing at 31st 351 1 13,136 0 0102 13 8,614 9 0 549 187 '68,122 4 01002201 89,872 13 0December, 1937