The Alcoa of Australia Retirement Plan (the Plan) has introduced weekly crediting rates
Following on from our earlier notification in January, the Plan is excited to announce that we have now moved to weekly crediting rates for all members from 1 February 2021.
Why have we moved to weekly crediting rates?
Weekly crediting rates allow for more frequent account value updates as well as greater flexibility for members wanting to complete investment switches and investment strategy updates.
How will this change affect your transactions?
The changeover from monthly to weekly crediting rates will occur between the 1st and the 17th of February. Benefit payments, pension payments and partial withdrawal payments will be processed as normal during the changeover period.
Investment option changes, including investment switches and pension draw down strategy updates will be impacted as we change over. Refer to the table below for processing times and the dates that the weekly rates will become effective once a request is made.
|Date request received
|Effective date of requested change
|Date your request will be processed
|1st January to 4pm 29th January
|After 4pm 29th January to 4pm 2nd February
|After 4pm 2nd February to 4pm 9th February
|After 4pm 9th February to 4pm 16th February
What will be different?
Weekly crediting rates will be applied every Wednesday, these will be available on the Plan website (see investment returns page). Your account value will be updated to reflect the applicable weekly declared rate(s) each Wednesday*.
Interim Crediting Rates
From 1 February 2021, the Trustee's policy is to use an interim rate of 0.0% for all investment options. Interim crediting rates will only apply to your benefit entitlement in the event that you transfer to the Pension Section of the Plan or roll over or cash out some or all of your benefit from the Plan while the final declared weekly crediting rates are not yet known.
The estimate of your benefit that’s shown on the Plan website may include an interim crediting rate from the date that the most recent weekly final crediting rate was declared until the next weekly crediting rate is known for each investment option. When crediting rates are declared for the week your actual interest will be applied to your account balance in place of the rate that was based on the interim rate of return.
Investment switching and pension draw down strategy updates
The cut-off will is 4pm each Tuesday.
A switch request will be processed on the Wednesday following the week it is received. The week is determined from Tuesday (after 4pm) to Tuesday of the following week (before 4pm). Any request received by us within that window will be processed on the Wednesday of the following week.
Note: All times noted in this member communication are AEST/AEDT.
|Effective Date of your request
|Date your request is processed
|Tuesday 9 March at 10.00am
|Wednesday 10 March
|Wednesday 17 March
|As the request was made before the 4pm Tuesday cut-off, the change can come into effect the same week.
It is processed the week following (on the 17th) as that is when the crediting rate applicable to the week beginning 10 March will be declared.
|Tuesday 9 March at 5.00pm
|Wednesday 17 March
|Wednesday 24 March
|As the request was made after the 4pm Tuesday cut-off, the change will not come into effect until the following week.
It is processed the week following (on the 24th) as that is when the crediting rate applicable to the week beginning 17 March will be declared.
Our crediting rates are available on our website at www.alcoasuper.com.au
If you need any assistance or for more information please contact the Plan Helpline 1800 355 028.
* Where Wednesday is a business day, if Wednesday falls on a public holiday (national/Victorian) accounts will be updated the next business day.
This News Item is issued by Alcoa of Australia Retirement Plan Pty Ltd ABN 80 065 702 454 RSE Licence no L0002974, as Trustee of the Alcoa of Australia Retirement Plan ABN 80 928 800 255 Registration No R 1057058..
22 Feb 2021