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1950 NEW ZEALAND

PUBLIC SERVICE SUPERANNUATION BOARD (THIRTY-NINTH ANNUAL REPORT OF THE), WITH ACCOUNTS FOR THE FINANCIAL YEAR ENDED 31st MARCH, 1947

Presented to Both Houses of the General Assembly Pursuant to the Provisions of the Public Service Superannuation Act, 1927

By Authority: R. E. Owen. Government Printer, Wellington.—l9so.

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REPORT The Board has the honour to submit its report upon the transactions in connection with the Public Service Superannuation Fund. The report this year is confined to the following accounts, statements, and tables :

Contributors :—The number of new contributors who joined the scheme during the year, and other particulars, are contained in the following table :

The following table shows particulars of the public servants who were contributing to the fund on the 31st March, 1947 (after allowing for deaths, retirements, and withdrawals), grouped according to their respective rates of contribution.

Investment of the Fund. —Including £29,286 invested on Stipendiary Magistrates' account, the total investments of the fund amount to £2,963,288. The average rate of interest earned for the financial year was £4 2s. 7d. per cent., a decrease of Is. 9d. per cent, as compared with the previous year. Operations of the Fund.—The following comparative statement shows the operations of the fund (to the nearest pound) a& disclosed in the Revenue Accounts and Balancesheets for the twelve-year period ended 31st March, 1947.

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Rate per Cent, of Number. Annual Annual Contribution. Male. Female. Total. Salary.. Contributions. £ £ 5 322 337 659 170,337 8,517 6 60 17 77 29,410 1,764 7 45 6 51 21,295 1,491 8 15 15 6,840 547 9 11 11 4,600 414 10 3 3 1,307 131 Transfers from 34 5 39 15,221 801 ri'f hfiT Timnc U uJLl" JL 1 U11U.O 490 365 855 249,010 13,665

Rate per Cent, of Contribution. Male. Number. Female. Total. Annual Salary. Annual Contributions. £ £ 5 20,844 3,312 24,156 6,706,169 335,308 6 1,376 106 1,482 544,129 32,648 7 767 59 826 325,392 22,778 8 311 10 321 128,048 10,244 9 112 3 115 49,833 4,485 10 24 1 25 13,462 1,346 23,434 3,491 26,925 7,767,033 406,809

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Income. Expenditure. Year. Contributions. Interest on Administration Expenses. Accumulated Funds. Employees. Government, &c. Investments. Arrears of Contributions. Miscellaneous. Refunds. Pensions. Miscellaneous. 1935-36 1936-37 1937-38 1938-39 1939-40 1940-41 1941-42 1942-43 1943-44 1944-45 1945-46 1946-47 £ 256,249 306,292 344,583 370,400 393,380 411,534 429,717 437,371 457,912 527,389 470,774 541,106 £ 148,512 164,668 175,544 244,114 170,766 160,164 154,421 149,964 157,598 151,712 161,950 211,698 £ 151,599 142,831 137,751 130,688 128,577 135,978 138,550 133,547 136,129 131,222 134,663 123,503 £ 176 689 327 227 410 280 1,053 3,155 4,826 942 1,074 1,426 £ 8,770 2,551 323 1,347 635 691 1,312 2,053 1,501 6,257 926 1,275 £ 44,804 45,644 53,454 64,220 76,760 88,750 99,723 75,065 97,023 114,570 161,305 336,078 £ 494,988 498,677 515,044 527,726 550,143 569,001 587,924 587,099 587,843 655,089 731,096 i 881,156 £ 7,250 7,150 7,543 7,691 8,263 8,006 7,898 8,338 8,346 8,466 8,882 1 10,504 £ 1,477 1,901 8,201 20,314 1,954 2,008 1,899 1,136 1,921 2,918 7,239 5,654 £ 2,934,240 2,997,898 3,072,185 3,199,010 3,255,658 3,296,540 3,324,148 3,378,602 3,441,435 3,477,914 3,338,779 2,984,395 Liabilities. Assets. Sundry Creditors. Investments (Including Accrued Interest). Sundry Debtors. Money at Call with Government Departments. 1 Year. ' Accumulated Fund. Pensions. Refunds. Employees. 1 Other, Including G-overnment Departments. Employees. i Government, <fcc. Cash at Bank. Miscellaneous. 1 1935-36 1936-37 1937-38 1938-39 1939-40 1940-41 1941-42 1942-43 1943-44 1944-45 1945-46 1946-47 | £ 2,934,240 2,997,898 3,072,185 3,199,010 3,255,658 3,296,540 3,324,148 3,378,602 3,441,435 3,477,914 3,338,779 2,984,395 j £ 3,703 3,722 3.895 2.896 3,713 4,211 4,768 5,786 5,928 7,885 8,046 7,895 £ 1,980 1,517 2,621 2,557 7,097 3,536 10,508 6,747 12,322 16,847 11,748 40,400 £ 407 596 980 1,152 1,728 2,999 4,937 8,424 8,162 9,332 765 961 £ 22,123 48,386 40,047 3,686 1,473 1,381 2,304 102,595 45,518 26,375 65,000 134,133 £ 1 2,861,347 1 2,923,232 2,971,340 3,056,597 3,063,458 3,148,951 3,148,486 3,337,485 3,160,733 3,159,588 3,062,916 2,970,126 £ 24,919 40,543 42,451 - 33,587 j 39,598 57,993 107,855 218,285 236,176 277,785 192,033 162,824 £ 276 1,923 2,109 453 2,045 2,113 2,445 19,068 4,753 24,804 9,371 28,654 £ 70,801 70,555 20,413 28,071 55,756 35,469 24,680 19,324 19,173 29,648 46,860 4,655 £ 67,906 74,088 142,555 85,993 104,781 60,377 50,142 86,159 91,043 44,379 111,822 486 £ 1,707 6,278 5,675 4,884 4,595 4,643 5,056 2,679 2,186 2,149 1,336 1,039

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Consolidated Revenue Account for the Period Ist January, 1908, to 31st March, 1947 . Dr. Cr. Members' contributions— £ Retiring-allowances— ' £ Under section 19 (ordinary) .. .. .. .. 9,957,101 To members .. .. .. .. .. 11,816,948 Transferred from other funds* .. .. .. .. 75,849 To widows and children .. .. .. 1,114,584 Interest on arrears of contributions .. .. .. 22,023 Contributions returned.. .. .. .. .. 2,216,131 Government subsidy— Contributions transferred to other funds| .. .. 55,858 Statutory .. .. .. .. .. ~ 3,876,392 Compensation: Section 22 (g) .. .. .. .. 14,358 Section 114, Public Service Superannuation Act, 1927 Loss on realization of securities .. .. .. .. 27,209 (widows and children) .. .. .. .. 451,265 Interest: Section 38, Public Service Superannuation Fund Interest on mvestmentsf .. .. .. .. 4,002,993 Act, 1927 .. .. .. .. .. 2,441 Premium on conversion New Zealand Government inscribed Unclaimed moneys recovered .. .. .. .. ' 118 stock and local-body debentures .. .. . . 38,269 Investments written down by order of the Courts : £ Fines, fees, and sundries .. . .. .. 23,463 Mortgagors and Lessees Rehabilitation Act, 1936 8,959 feubsidy Investments written down by the Board : Section 77, Cook Islands and Samoa .. .. .. .. 22,924 Mortgagors and Lessees Rehabilitation Act," 1936 1,250 Imperial War Graves Commission .. .. .. 270 10,209 Palestine Government .. .. .. .. 215 Rates and fees written off by Courts : Mortgagors and Lessees Government Service Organizations ... .. .. 922 Rehabilitation Act, 1936 .. .. .. .. 120 Premium on purchase of inscribed stock : Proportion written off .. .. .. .. .. .. 4,092 Administration expenses .. .. .. .. 225,223 Balance as at 31st March, 1947 .. .. .. 2,984,395 £18,471,686 £18,471,686

* Includes £32,785 transferred from Police Provident Fund and £2,877 from Westport Harbour Board Fund. f Includes payment by Treasury of £252,034 to reimburse fund on account of statutory reduction of interest on mortgage and other securities. J Includes contributions of Magistrates transferred to Stipendiary Magistrates' Fund and certain of nursing staff of Health Department to National Provident Fund.

Chairman.

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PUBLIC SERVICE SUPERANNUATION FUND Revenue Account for the Year Ended 31st March, 1947 Dr. £ . Or. £ £ Amount of fund at beginning of year .. .. .. 3,338,779 Retiring-allowances— Members'contributions— £ To members .. .. .. ..787,166 Under section 19 (ordinary) .. .. .. 536,109 To widows and children .. .. .. 93,989 Transferred from other funds .. .. .. 4,997 881,155 Interest on arrears of contributions .. . . 1,426 Contributions returned— — 542,532 Under section 37, Public Service Superannuation Government subsidy— Act, 1927 .. .. .. .. .. 195,331 Under section 50, Public Service Superannuation Under section 34, Public Service Superannuation Act, 1927.. .. .. .. .. 86,000 Act, 1927 .. .. .. .. .. 17,446 Under section 19, Finance Act (No. 3), 1934 •• 40,217 Under section 42, Public Service Superannuation Under section 114, Public Service Superannuation Act, 1927 .. .. .'. .. .. 13,162 Act, 1927 (widows and children) .. .. 59,327 Under section 7, Superannuation Amendment Act, Under section 27, Statutes Amendment Act, 1936 1945 .. .. ... .. 110,139 (actuarial pensions).. .. .. .. 764 336,078 Under section 3, Finance Act (No. 2), 1942 .. 23,000 Contributions transferred— 209,308 To other superannuation funds .. .. 2,091 Interest on Investments .. .. .. 113,329 To National Provident Fund, section 30, Finance Reimbursement by Treasury on account of reduction Act, 1938 .. .. .. .. .. 2,695 in interest . .. .. .. .. .. 10,174 4,786 , 123,503 Premium on purchase of Government stock: ProSubsidy— - portion written off .. .. .. ' 374 Cook Islands and Samoa .. .. .. 2,234 Loss on realization of securities .. .. .. .. 495 Imperial War Graves Commission .. .. 24 Expenses— £ Palestine Government .. .. .. 22 Audit fees .. .. .. .. .. 75 Government Service Organizations .. .. 110 Cartage .. .. .. .. .. 8 2,390 Expenses of Board election .. .. .. 10 Fines, fees, and sundries .. .. .. .. 1,233 Legal expenses charges .. . . .. 2 Stipendiary Magistrates' Account: Administration expenses Medical fees .. .. .. .. 107 recovered .. .. .. .. .. .. 42 Printing and stationery .. .. .. 245 Post and Telegraph Department charges .. 1,520 Postages and services .. .. .. 557 Overtime and meal allowances . . .. - 757 Salaries .. .. .. .. .. 5,077 Travelling-expenses of Board members .. .. 12 Typewriters and other machines upkeep .. 24 War-damage-insurance premiums .. .. 78 Public Trustee's charges .. .. .. 2,021 Furniture and fittings .. .. .. 11 10,504 Balance as at 31st March, 1947 .. .. .. .. 2,984,395 £4,217,787 £4,217,787

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PUBLIC SERVICE SUPERANNUATION FUND— continued Subsidiary Account—Cost-of-living Bonus Paid to Annuitants of the Public Service Superannuation Fund on Behalf of the Treasury Dr. £ . 0r... £ Balance due from Treasury.. .. .. .. .. 3,226 Amount received from Treasury .. .. .. ..38,493 Amount disbursed .. .. .. •• ..46,898 Balance due from Treasury .. .. . ... .. 11,631 £50,124 .... £50,124 Balance-sheet as at the 31st March, 1947 Liabilities £ £ \ Assets Superannuation Fund Account— £ f Balance due from Revenue Account . . . . 2,984,395 Amounts invested by the Board .. .. .. 2,934,002 Add value of office fittings and machinery .. 578 Contributions of members— ln course of transmission .. .. .. 153,294 2,984,973 Due and outstanding .. .. .. 9,530 Less amounts due to contributors under the ~ 162,824 provisions of section 9 (2), National Expen- Interest on investments—diture Adjustment Act, 1932 .. .. 2,523 Accrued but not due .. . ... •• 27,744 2,982,450 Outstanding .. .. .. .. 8,380 Retiring and other allowances due in course of . ... . .... " 36,124 payment— . • Subsidy To members .• •• 6,338 Cook. Islands and Samoa .. .. .. 347 To widows and children .. .. •• 1,557 Imperial War Graves Commission . . . .... 11 7,895 Palestine Government .. . . .. 15 Refund of contributions due in course of .trans- Government ..Servioe Organizations .. .. 4 mission Section 114, Public Service Superannuation Act, Under section 37 (left Service), Public Service 1927 (widows and children) .. .. ] 5,582 Superannuation Act, 1927 .. 32,518 Section 27, Statutes Amendment Act, 1936 .. 764 Under section 34 (retirements), Public Service n « Superannuation Act, 1927 .. .. 417 Cost-of-living Bonus (recoverable) .. . . .. ll,bdl Under section 42 (deaths), Public Service Rates, fees, and premiums paid on account of mortgagors Superannuation Act, 1927 .. .. 2,170 (recoverable) ... .. .. .. •• 77 Under section 7 (withdrawals), Superannuation Premium paid on purchase of Government stock. . 1,33b Amendment Act, 1945 .. .. .. 5,295 Less amount written off for year .. .. 374 40,400 962

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"Expenses due in course of payment— Cash in hands of Public Trustee .. .. .. 4,655 Audit fees .. .. .. .. 75 Bank account .. .. .. .. . . 486 Cartage, freight, &c. .. .. .. 7 Office furniture and fittings .. .. .. .. 578 Expenses, Board elections ...... 10 Overtime and meal allowances .. .. 101 Printing and stationery .. .. .. 42 Postages and telegrams .. .. .'. 11 Salaries .. .. .. .. .. 689 935 Public Trustee's charges on acdrued interest .. .. 807 Unclaimed Account: Contributions, &c. .. .. 879 Contributions paid in advance or in error .. .. , 82 Post Office Account: Amount due on account of pensions paid 132, 391 Amounts due to contributors under the provisions of section 9 (2), National Expenditure Act, 1932.. .. 2,523 £3,168,362 £3,168,362 J. R. Rhoades, Accountant. G. J. Merrington, Acting-Secretary, Government Superannuation Board. Wellington, dth. May, 1950. I hereby certify that the Revenue Account and Balance-sheet have been duly compared with the relative books and documents submitted for audit, and correctly state the position as disclosed thereby.— J. P. Rutherford, Controller and Auditor-General.

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Stipendiary Magistrates' Account Revenue Account for the Year Ended 31st March, 1947 Dr. £ Or. £ Amount of fund, Ist April, 1946 .. .. .. .. 26,799 Retiring-allowances .. .. .. .. .. 5,578 Members' contributions, section 63, Public Service Superannuation Loss on realization of securities .. .. .. .. 4 Act, 1927 .. .. .. .. .. .. 2,077 Administration expenses .. .. .. .. .. 42 Interest on investments .. .. .. .. .. 1,034 Balance, 31st March, 1947 .. .. .. .. .. 29,286 Subsidy, section 3, Finance Act (2), 1942 .. .. .. 5,000 £34,910 £34,910 Balance-sheet as at 31st March, 1947 Liabilities £ Assets £ Stipendiary Magistrates' Account: Balance due from Revenue Amount invested by the Board .. .. .. 29,286 Account .. .. .. .. .. .. 29,286 £29,286 £29,286 J. R. Rhoades, Accountant. Gr. J. Merrington, Acting-Secretary, Government Superannuation Board. 1 Wellington, 4th May, 1950. I' hereby certify that the Revenue Account and Balance-sheet have been duly compared with the relative books and documents submitted for audit, and correctly state the position as disclosed thereby.— J. P. Rutherford, Controller and Auditor-General.

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PUBLIC SERVICE SUPERANNUATION FUND—continued Statement of Contributors for the Year ending 31st March, 1947

Particulars of Contributions Discontinued During the Year

Progress of Contributors Since Date of Establishment of the Fund to 31st March, 1947

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Number. Annual Annual M. F. Total. Salary. Contributions. Contributors at beginning of the year New contributors entered during the year Contributors transferred from other funds Increase by promotion during the year .. 25,569 456 34 3,952 360 5 29,521 816 39 £ 8,369,375 233,789 15,221 £ 438,983 12,864 801 Total .. ... Contributions discontinued during the year 26,059 2,625 4,317 826 30,376 3,451 8,618,385 851,352 452,648 45,839 Total contributors at end of year 23,434 3,491 26,925 7,767,033 406,809

How Discontinued. Number. Annual Annual ContriAmount Paid on Retiringallowance at. F. Total. Salary. butions. Retirement. Granted. £ £ £ £ By death before retiring-allowance 105 3 108 31,637 1,709 11,956 3,016 entered upon (sees. 42 and 43) By retirement before retiring age 1,575 741 2,316 466,902 23,991 191,426 (sec. 37) By retirement (sec. 34) 37 37 11,661 820 17,446 By retirement medically unfit 43 1 44 16,141 886 7,798 (sec. 32) By retirement (sec. 61). .. By retirement at retiring age or 324 51 375 165^232 9^208 111,366 for length of service (sec. 26) By retirement (sec. 30, Finance 13 13 4,930 274 2,695 Act, 1938) By withdrawal (sec. 7, Superannua515 29 544 149,861 8,683 110,364 tion Amendment Act, 1945) By retirement (sec. 14, Finance 1 1 370 26 150 Act (No. 1), 1931) By transfer to other funds (sec. 12 1 13 4,618 242 2,090 120) By reduction Total 2,625 826 3,451 851,352 45,839 335,977 122,330

- Number. 1 Annual Annual M. P. Total. Salary. Contributions. Total entered Total discontinued 53,732 30,298 17,889 14,398 71,621 44,696 £ 17,664,383 9,897,350 £ 984,137 577,328 Total existing at 31st March, 1947 23,434 3,491 26,925 7,767,033 ! 1 406,809

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PUBLIC SERVICE SUPERANNUATION FUND— continued Statement of Retiring and Other Allowances for the Year Ending 31st March, 1947

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— Section 26 : On Attainment of Retiring Age or for Length of Service. Section 32 : Medically Unfit. Section 61: Police Injured on Duty. Section 39, Finance Act (2), 1930. Section 28, Finance Act 1921. Number. Annual Amount. Number. Annual Amount. Number. Annual Amount. Number. Annual Amount. Number. Annual Amount M. F. Total. M. F. Total. M. M. M. Retiring and other allowances — Existing at beginning of year Granted during year at retirement Granted during year after retirement .. Total Discontinued during year Existing at end of year 2,113 329 430 46 2,543 375 £ 673,225 111,366 2 361 43 76 1 437 44 £ 59,768 7,798 23 £ 4,336 43 £ 8,405 14 £ 2,998 2.442 107 476 9 2,918 116 784,593 28,728 404 19 77 481 21 67,566 3,057 23 4,336 43 1 8,405 151 14 2,998 2,335 467 2,802 755,865 385 ' 75 460 64,509 23 4,336 42 8,254 14 2,998 Section 14, Finance Act, 1931. Section 42: Widows. Sections 42 (c), and 43 (a): Children. Total Retiring and Other Allowances. Number. Annual Amount. Number. Annual Amount. Number. Annual Amount. Number. 1 Annual Amount. M. F. Total. M. F. Total. M. F. Total. Retiring and other allowances — Existing at beginning of year Granted during year at retirement Granted during year after retirement .. Total Discontinued during year Existing at end of year 18 1 2 20 1 £ 3,594 150 1,561 33 74 £ 77,974 1,716 3,848 237 28 2 241 22 3 478 50 5 533 63 £ 12,428 1,300 130 2,809 401 2 2,310 102 77 5,119 503 79 £ 842,728 122,330 3,980 19 1 2 21 1 3,744 73 1,668 86 83,538 4,472 267 33 266 30 13,858 1,638 3,212 161 2,489 127 5,701 288 969,038 38,119 18 2 20 3,671 1,582 79,066 234 236 470 12,220 3,051 2,362 5,413 930,919

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Particulars of Retiring and Other Allowances Discontinued During the Year

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— Section 26: On Attainment of Retiring Age or for Length of Service. Section 32: Medically Unfit. Section 61: Police Injured on Duty. Section 39, Finance Act (2), 1930. Section 28, Finance Act, 1921. Number. Annual Amount. Number. Annual Amount. Number. Annual Amount. Number. Annual Amount. Number. Annual Amount. M. F. Total. M. F. Total. M. M. M. How discontinued — By death By expiry.. #.. Total 107 9 116 £ 28,728 19 2 21 £ 3,057 £ 1 £ 151 £ 107 9 116 28,728 19 *s 2 21 3,057 1 151 Section 14, Finance Act, 1931. Section 42: Widows. Sections 42 (c), and 43 (a): Children. Total Retiring and Other Allowances. Number. Annual Amount. Number. Annual Amount. Number. Annual Amount. Number. Annual Amount. M. F. Total. M. F. Total. M. F. Total. How discontinued — By death By expiry Total 1 1 £ 73 54 32 £ 2,808 1,664 "33 1 29 1 62 £ 26 1,612 128 33 66 61 194 94 £ 34,843 3,276 1 1 73 86 4,472 33 30 63 1,638 161 127 288 •38,119

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G. J. Merrington, Acting-Secretary.

PUBLIC SERVICE SUPERANNUATION FUND —continued Progress of Retiring and Other Allowances Since Establishment of the Fund to 31st March, 1947

J. R. Rhoades, Accountant.

Approximate Cost of Paper.—Preparation, not given; printing (807 copies), £45.

By Authority: R. E. Owen, Government Printer, Wellington.— 1950. Price 6d.~\

Wellington, 9th June, 1950.

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— Section 26 : On Attainment of Retiring Age or for Length of Service. Section 32: Medically Unfit. Section 61: Police Injured on Duty. Section 39, Finance Act (2), 1930. Section 28, Finance Act, 1921. Number. Annual Amount. Number. Annual Amount. Number. Annual Amount. Number. Annual Amount. Number. Annual Amount. M. F. Total. M. F. Total. M. M. M. Total granted Total discontinued Total existing at 31st March, 1947 4,562 2,227 620 153 5,182 2,380 £ 1,203,349 447,484 885 500 114 39 999 539 £ 119,714 55,205 29 6 £ 5,008 672 59 17 £ 10,414 2,160 49 35 £ 7,886 4,888 2,335 467 2,802 755,865 385 75 460 64,509 23 4,336 42 8,254 14 2,998 Section 14, Finance Act, 1931. Section 42: Widows. Sections 42 (c), and 43 (a): Children. Total Retiring and Other Allowances. Number. Annual Amount. «Number. Annual Amount. Number. Annual Amount. - Number. Annual Amount. M. F. Total. M. F. Total. M. F. Total. Total granted Total discontinued Total existing at 31st March, 1947 25 7 4 2 29 9 £ 4,748 1,077 2,647 1,065 £ 111,929 32,863 1,147 913 £ 1,088 852 2,235 1,765 £ 52,143 39,923 6,756 3,705 £ 4,473 2,111 11,229 5,816 £ 1,515,191 584,272 18 2 20 3,671 1,582 79,066 234 236 470 1 12,220 3,051 2,362 5,413 930,919