Military Superannuation and Invalidity Benefits
Military Superannuation and Invalidity Benefits
Military super is not like most civilian super. Many current and former ADF members are in defined benefit schemes that treat medical discharge and invalidity very differently from voluntary separation or resignation.
Depending on when you served and what you joined you may be covered by:
- Defence Force Retirement and Death Benefits (DFRDB)
- Military Superannuation and Benefits Scheme (MSBS or MilitarySuper)
- ADF Super and ADF Cover for more recent service
DFRDB and MSBS are defined benefit schemes. ADF Super is an accumulation fund with ADF Cover providing separate death and invalidity insurance.
For many of our clients the key issue is invalidity. After a medical discharge an ADF member can be classified as Class A, B or C. Class A and B generally receive an invalidity pension. Class C usually does not receive an invalidity pension which can have a major impact on long term financial security.
On top of that there is now a process called retrospective invalidity which may allow some former members to be treated as though they had been medically discharged even if they left Defence for other reasons ‘on paper’.
We help current and former ADF members understand how these rules apply to them and how they interact with DVA compensation and any abuse or civil claim.
Retrospective Invalidity and Discharge Issues
The Commonwealth Superannuation Corporation (CSC) can in some circumstances reassess a former member’s exit as if it had been a medical or invalidity discharge.
For MSBS and ADF Cover members this process is usually called retrospective invalidity. Under the MilitarySuper trust deed and the ADF Cover Act CSC can treat some former members who left for reasons other than invalidity as if they had retired on invalidity where strict criteria are met.
For you that may mean:
- reconsideration of whether you met the medical criteria for invalidity at the time you left
- possible access to an invalidity pension rather than only a preserved or lump sum benefit
- knock on effects for tax treatment and longer term financial planning
Retrospective invalidity is not automatic. It involves:
- detailed forms and medical evidence
- close attention to service records
- careful explanation of how your conditions affected your ability to serve at the time you separated
If you already live with PTSD or other service related conditions that paperwork can feel overwhelming. We help by breaking the process into steps and by coordinating evidence so that you do not have to manage it alone.
Reviews, Reassessments and Appeals
We can assist with reviews and reassessments of military superannuation decisions in suitable cases. That may include:
- seeking reclassification of an invalidity status where there is evidence you should be Class A or B rather than Class C
- requesting reconsideration or review of a decision that refused invalidity benefits
- preparing material for retrospective invalidity requests where your original mode of discharge did not reflect your health
- working alongside your financial adviser or accountant where a change in benefits will have broader financial consequences
We do not run every possible review. Our focus is on matters where:
- there is a clear argument that the original decision was wrong or incomplete, or
- new medical or service evidence significantly changes the picture, or
- the superannuation decision is closely tied to an abuse claim or complex DVA position
At the outset we will be frank about whether a reassessment or appeal is realistically worth pursuing and what you can expect from the process.
Review matters are not offered on a speculative fee basis – this means that an upfront payment is required.
Common Superannuation Problems We See
We are not financial planners or product advisers. Our role is to help when legal and service issues make your superannuation position more complex. That often includes:
- members who received a medical discharge but feel they were incorrectly classified as Class C instead of Class A or B
- former members who left under “administrative” or “disciplinary” headings even though underlying medical and mental health issues were present
- people who have multiple periods of service across schemes and are unsure which benefits they actually hold
- members whose DVA compensation and superannuation decisions do not line up with their real level of incapacity
- survivors of Defence abuse whose mental health conditions were not properly recognised at the time they left Defence
In these situations we look at your super scheme rules, your medical history and your service records together. Where appropriate we recommend you also obtain independent financial advice so that any change to your super benefits is integrated into a broader financial plan.
How Superannuation Benefits Interact with DVA And Civil Claims
Military superannuation benefits, DVA compensation and any civil abuse claim sit in separate legal systems yet they talk to each other in important ways.
For example:
- some DVA incapacity payments take account of what you receive as an invalidity pension
- civil claims may need to recognise superannuation income when assessing future economic loss
- tax treatment can differ for super benefits and DVA payments
We do not provide tax or financial product advice yet we always keep these interactions in view when advising on abuse or civil claims. Where needed we work alongside your accountant or financial adviser so that legal decisions do not create unintended financial consequences.
Why Defence Members Choose Donaldson Law for Superannuation Issues
Defence members and veterans choose Donaldson Law because:
- We understand Defence life and injury
Many of our clients live with PTSD, chronic pain or both. We understand how service and abuse experiences have shaped their health and capacity to work. - We look at the whole picture
We do not treat superannuation, DVA and civil claims as separate silos. We look at how each system touches the others then craft advice that takes the whole picture into account. - We are familiar with medical transition and invalidity processes
We work regularly with medical discharge documents, invalidity classifications and retrospective invalidity requests so we know where things often go wrong. - We are realistic about value and cost
We will tell you when a review or reassessment is unlikely to succeed or where a free advocate or direct contact with the fund may be a better first step. - We are trauma informed
We know paperwork and forms can be overwhelming when you are already struggling. We structure our work to minimise stress and unnecessary repetition.
Explore Your Options
◈ Related ADF Entitlements Services ◈
You can learn more about particular areas of ADF entitlements on these pages:
How We Work With You on Superannuation Benefits
When you contact us about military super we usually start by asking for:
- your service dates and branch
- which super scheme you believe you are in
- copies of any discharge documents and CSC decisions
- a summary of your current medical conditions and DVA status
From there we:
- Confirm which military super scheme or schemes apply to you
- Review key decisions such as invalidity classifications or previous applications
- Identify whether retrospective invalidity or review options are realistically available
- Consider how any change in super benefits would interact with DVA compensation and potential civil claims
- Provide clear written advice about options and next steps
In some matters our role ends with that advice so that you can decide how to proceed. In others we assist directly with review requests, retrospective invalidity applications or coordination with other legal processes.
Superannuation Benefits FAQs
If you are a current or former ADF member and you are unsure whether your superannuation and invalidity benefits reflect your service and your health you can contact us by phone, email or through our online form.
