Under the Superannuation (General Provisions) Act, authorised superannuation funds must preserve retirement savings over K1000 by not paying benefits until 12 months after discharge.
How to collect payments immediately
However, you may be able to collect your retirement savings immediately if you meet any of these requirements:
- You have been discharged from active service and have less than K1000 in retirement savings.
- You are 55 years or more.
- You have been retrenched under a ‘bona fide retrenchment exercise’ (defined benefit scheme only).
- The 12-month preservation period has passed and you haven’t obtained employment.
- Your benefits are less than K1000.
- You have had more than 20 years of service and you have a:
- defined benefit fund – you are put on pension after 50% lump sum commutation
- accumulation fund – you must meet the required rank at the time of discharge (under Schedule 1 of the Superannuation General Provisions Act).
If you have more than K1000 in savings and you remain unemployed for three months in a row, you can apply for a monthly unemployment benefit — one fortnight’s salary per month based on your final salary at discharge (both defined benefit and accumulation members).
This is paid to you each month until the preservation period conditions are satisfied or your retirement savings fall below K1000.
Transferring to new employer’s fund
If you find new employment outside the PNG Defence Force within 12 months after discharge, your retirement savings will be transferred to your new employer’s authorised superannuation fund.