The superannuation lump sum includes all amounts received
The client's superannuation lump sum amount may, in some circumstances, include a lump sum which became payable to the client but they elected to roll it over into another investment or to preserve it in a superannuation fund.
A superannuation amount which the client cannot access at the time of their retirement, by virtue of legislation or the rules of their superannuation fund, is not “received” and therefore is not taken into account in calculating incapacity payments under ss 21 or 21A until it becomes payable. Examples of this are a compulsorily preserved productivity benefit or an employer benefit which cannot be accessed until preservation age (usually age 55).
Where, however, the client has a choice whether to receive the funds or to roll them over in some way, the amount has been “received” and is to be taken into account under ss 21 or 21A, even if the investment choice the client made was to roll the funds over on a preserved basis and they no longer have the capacity to access the funds.
Whether a client has a choice in a particular situation depends on the particular circumstances of the case and will vary from fund to fund. The administrators of the relevant Commonwealth superannuation scheme should be contacted to establish the precise nature of the entitlement. See JPA 2001/18 for policy on this issue.