The Cook Islands National Superannuation Fund (CINSF) is pleased to announce a change to the Voluntary Contributions Account for members.
The CINSF Board, in conjunction with the Trustees, have reviewed the Voluntary Account in line with the Act and the Trust Deed and approved access for members to the Voluntary Account prior to retirement. Whilst the purpose of the voluntary account remains for members to make additional savings for their retirement, those funds will no longer be locked away until members retire.
CINSF CEO Damien Beddoes explained, “The change to allow member access to their voluntary accounts is a great feature, and will benefit members that need to access that money for personal circumstances. Often the commitment to save additional money and lock it away for retirement can be a hard one, and now members will benefit by being able to meet those circumstances from their voluntary account”.
The terms and conditions for the withdrawal of money from the voluntary accounts are expected to include a limited number of withdrawals in a year to ensure the purpose of the account remains for retirement savings. These conditions are being finalised by the Board and Trustee and expected to be in place by 1 July 2016.
Beddoes continued “I do expect with this feature and its benefits, we will see more members opening voluntary accounts, selecting their investment options, and saving towards their retirement knowing they will have access to it if circumstances arise”.
Another change will provide for the voluntary account to be maintained by members after they retire, therefore not having to withdraw their money, but instead leave invested until they actually need it.
Members are advised there is no change to the withdrawal provisions of the members compulsory account.