Commonwealth Consolidated Acts

SOCIAL SECURITY ACT 1991 - SECT 1067L

Austudy Payment Rate Calculator

  (1)   The rate of austudy payment of a person referred to in section   581 is to be calculated in accordance with the Rate Calculator in this section.

Limit on rate of payment

  (2)   If:

  (a)   a person is living with another person as the spouse of the other person on a genuine domestic basis although not legally married to the other person (whether the persons are the same sex or different sexes); and

  (b)   the other person is under the age of consent that applies in the State or Territory in which they are living;

the rate of the person's austudy payment is not to be more than the rate at which the austudy payment would be payable to the person if the other person were the person's partner.

Method of calculating rate

  1067L - A1   The rate of payment is a daily rate. That rate is worked out by dividing the fortnightly rate calculated according to this Rate Calculator by 14.

Maximum basic rate

  1067L - B1   A person's maximum basic rate is to be worked out as follows:

  (a)   if the person is not a long term income support student (see section   1067K)--use Table BA;

  (b)   if the person is a long term income support student--use point 1067L - B3.

Person who is not a long term income support student

  1067L - B2(1)   If the person is not a long term income support student (see section   1067K), work out:

  (a)   whether the person is a member of a couple (see section   4); and

  (b)   whether the person has a dependent child (see subsections   5(2) to (9)); and

  (c)   if the person is not a member of a couple, whether the person has a YA child (see subpoint (2)).

The person's maximum basic rate is the amount in column 3 of the table that corresponds to the person's situation as described in column 2 of the table.

 

Table BA--Maximum basic rates (persons who are not long term income support students)
Column 1 Item	Column 2 Person's situation	Column 3 Rate
1	Does not have a dependent child or a YA child	$602.80
2	Is a member of a couple and has a dependent child	$652.60
3	Is not a member of a couple and has a dependent child or YA child	$760.40

Note:   The rates in column 3 are indexed annually in line with CPI increases (see sections   1191- 1194).

  (2)   In this point:

"YA child" , in relation to a person who is not a member of a couple, means a child who is receiving youth allowance, is under 18 years of age and would be a dependent child of the person if he or she were not receiving the allowance.

Person who is a long term income support student

  1067L - B3   If the person is a long term income support student (see section   1067K), work out whether the person is a member of a couple (see section   4).

The person's maximum basic rate is the amount in column 3 of the table that corresponds to the person's situation as described in column 2 of the table.

 

Table BB--Maximum basic rates (persons who are long term income support students)
Column 1 Item	Column 2 Person's situation	Column 3 Rate
1	Is a member of a couple	$652.60
2	Is not a member of a couple	$711.90

Pension supplement

  1067L - BA1   A pension supplement amount is to be added to the person's maximum basic rate if the person is residing in Australia, has reached pension age and:

  (a)   is in Australia; or

  (b)   is temporarily absent from Australia and has been so for a continuous period not exceeding 6 weeks.

  1067L - BA2   The person's pension supplement amount is:

  (a)   if an election by the person under subsection   1061VA(1) is in force--the amount worked out under point 1067L - BA4; and

  (b)   otherwise--the amount worked out under point 1067L - BA3.

Amount if no election in force

  1067L - BA3   The person's pension supplement amount is the amount worked out by:

  (a)   applying the applicable percentage in the following table to the combined couple rate of pension supplement; and

  (b)   dividing the result by 26; and

  (c)   if:

  (i)   the person is not partnered; and

  (ii)   the amount resulting from paragraph   (b) is not a multiple of 10 cents;

    rounding the amount up or down to the nearest multiple of 10 cents (rounding up if the amount is not a multiple of 10 cents but is a multiple of 5 cents).

 

Item	Person's family situation	Use this %
1	Not member of couple	66.33%
2	Partnered	50%
3	Member of illness separated couple	66.33%
4	Member of respite care couple	66.33%
5	Partnered (partner in gaol)	66.33%

Note:   For combined couple rate of pension supplement , see subsection   20A(1).

Amount if election in force

  1067L - BA4   The person's pension supplement amount is the amount worked out as follows:

  (a)   work out the amount for the person under point 1067L - BA3 as if the election were not in force;

  (b)   from that amount, subtract 1 / 26 of the person's minimum pension supplement amount.

  1067L - BB1   An energy supplement is to be added to the person's (the recipient's ) maximum basic rate if the recipient is residing in Australia and:

  (a)   is in Australia; or

  (b)   is temporarily absent from Australia and has been so for a continuous period not exceeding 6 weeks.

However, this Module does not apply if quarterly energy supplement is payable to the recipient.

Note:   Section   918 may affect the addition of the energy supplement.

Recipient has reached pension age

  1067L - BB2   If the recipient has reached pension age, the recipient's energy supplement is the amount worked out using the following table:

 

Energy supplement
Item	Recipient's family situation	Amount of energy supplement
1	Not a member of a couple	$14.10
2	Partnered	$10.60
3	Member of an illness separated couple	$14.10
4	Member of a respite care couple	$14.10
5	Partnered (partner in gaol)	$14.10

Recipient has not reached pension age

  1067L - BB3   If the recipient has not reached pension age, the recipient's energy supplement is worked out using the following table:

 

Energy supplement
Item	Recipient's family situation for maximum basic rate	Amount of energy supplement
1	If the recipient's maximum basic rate is worked out under item   1 of the table in subpoint 1067L - B2(1)	$7.00
2	If the recipient's maximum basic rate is worked out under item   2 of the table in subpoint 1067L - B2(1)	$7.70
3	If the recipient's maximum basic rate is worked out under item   3 of the table in subpoint 1067L - B2(1)	$9.20
4	If the recipient's maximum basic rate is worked out under item   1 of the table in point 1067L - B3	$7.70
5	If the recipient's maximum basic rate is worked out under item   2 of the table in point 1067L - B3	$8.60

Qualification for pharmaceutical allowance

  1067L - C1   Subject to points 1067L - C1A and 1067L - C2, an amount by way of pharmaceutical allowance is to be added to a person's maximum basic rate if:

  (b)   the person has turned 55; and

  (c)   the person has been receiving income support payments in respect of a continuous period of at least 9 months (whether or not the kind of payment received has changed over the period and whether the period or any part of it occurred before or after the commencement of this paragraph).

Note 1:   For income support payment see subsection   23(1).

Note 2:   For the determination of the continuous period in respect of which a person received income support payments see section   38B.

No pharmaceutical allowance if person receiving pension supplement

  1067L - C1A   Pharmaceutical allowance is not to be added to a person's maximum basic rate if a pension supplement amount has been added to that rate.

No pharmaceutical allowance if partner receiving certain supplements under other Acts

  1067L - C2   Pharmaceutical allowance is not to be added to a person's maximum basic rate if:

  (a)   the person is a member of a couple; and

  (b)   the person's partner is receiving:

  (i)   veterans supplement under section   118A of the Veterans' Entitlements Act; or

  (ii)   MRCA supplement under section   300 of the Military Rehabilitation and Compensation Act; or

  (iii)   pharmaceutical supplement under Part   3A of the Australian Participants in British Nuclear Tests and British Commonwealth Occupation Force (Treatment) Act 2006 ; or

  (iv)   pharmaceutical supplement under Part   4 of the Treatment Benefits (Special Access) Act 2019 ; and

  (c)   the person's partner is not receiving a service pension or a veteran payment.

Amount of pharmaceutical allowance

  1067L - C3   The amount of pharmaceutical allowance is the amount per fortnight worked out using the following table:

 

Table C--Pharmaceutical allowance amounts
Column 1 Item	Column 2 Person's family situation	Column 3 Amount per fortnight
1	Not a member of a couple	$5.40
2	Partnered	$2.70
3	Member of an illness separated couple	$5.40
4	Member of a respite care couple	$5.40
5	Partnered (partner getting service pension)	$2.70
6	Partnered (partner in gaol)	$5.40

Note 1:   For member of a couple , partnered , illness separated couple , respite care couple and partnered (partner in gaol) see section   4.

Note 2:   The amounts in column 3 are indexed or adjusted annually in line with CPI increases on 1   January (see sections   1191 to 1194 and 1206A).

Effect of ordinary income on maximum payment rate

  1067L - D1   This is how to work out the effect of:

  (a)   a person's ordinary income; and

  (b)   the ordinary income of a partner of the person;

on the person's maximum payment rate:

Note 1:   For ordinary income see subsection   8(1).

Note 2:   The application of the income test is affected by provisions concerning the following:

(a)   the general concept of ordinary income and the treatment of certain income amounts (Division   1 of Part   3.10);

(b)   business income (sections   1074 and 1075);

(c)   income from financial assets (including income streams (short term) and certain income streams (long term)) (Division   1B of Part   3.10);

(d)   income from income streams not covered by Division   1B of Part   3.10 (Division   1C of Part   3.10);

(e)   disposal of income (sections   1106 to 1111).

Ordinary income of members of certain couples

  1067L - D2   If a person is a member of a couple and the person's partner is receiving a social security pension, a service pension, income support supplement or a veteran payment, the person's ordinary income is taken to be one half of the sum of:

  (a)   the amount that would be the person's ordinary income if he or she were not a member of a couple; and

  (b)   the amount that would be the ordinary income of the person's partner if the partner were not a member of a couple.

Lump sum payments arising from termination of employment

  1067L - D3   Subject to points 1067L - D5 to 1067L - D16 (inclusive), if:

  (a)   a person's employment has been terminated; and

  (b)   as a result the person is entitled to a lump sum payment from the person's former employer;

the person is taken to have received the lump sum payment on the day on which the person's employment was terminated.

Certain leave payments taken to be ordinary income--employment continuing

  1067L - D5   If:

  (a)   a person is employed; and

  (b)   the person is on leave for a period; and

  (c)   the person is or was entitled to receive a leave payment (whether as a lump sum payment, as a payment that is one of a series of regular payments or otherwise) in respect of a part or all of a leave period;

the person is taken to have received ordinary income for a period (the income maintenance period ) equal to the leave period to which the leave payment entitlement relates.

Certain termination payments taken to be ordinary income

  1067L - D6   If:

  (a)   a person's employment has been terminated; and

  (b)   the person receives a termination payment (whether as a lump sum payment, as a payment that is one of a series of regular payments or otherwise);

the person is taken to have received ordinary income for a period (the income maintenance period ) equal to the period to which the payment relates.

More than one termination payment on a day

  1067L - D7   If:

  (a)   the person is covered by point 1067L - D6; and

  (b)   the person receives more than one termination payment on a day;

the income maintenance period is worked out by adding the periods to which the payments relate.

Start of income maintenance period--employment continuing

  1067L - D8   If the person is covered by point 1067L - D5, the income maintenance period starts on the first day of the leave period to which the leave payment entitlement relates.

Start of income maintenance period--employment terminated

  1067L - D9   Subject to point 1067L - D10A, if the person is covered by point 1067L - D6, the income maintenance period starts, subject to point 1067L - D10, on the day on which the person is paid the termination payment.

Commencement of income maintenance period where there is a second termination payment

  1067L - D10   If:

  (a)   a person who is covered by point 1067L - D6 is subject to an income maintenance period (the first period ); and

  (b)   the person is paid another termination payment during that period (the second leave payment );

the income maintenance period for the second termination payment starts on the day after the end of the first period.

Start of income maintenance period where liquid assets test waiting period applies

  1067L - D10A   If a person to whom point 1067L - D10 applies is subject to a liquid assets test waiting period, the income maintenance period is taken to have started on the day on which the liquid assets test waiting period started.

Leave payments or termination payments in respect of periods longer than a fortnight

  1067L - D11   If:

  (a)   a person receives a leave payment or termination payment; and

  (b)   the payment is in respect of a period longer than a fortnight;

the person is taken to receive in a payment fortnight or part of a payment fortnight an amount calculated by:

  (c)   dividing the amount received by the number of days in the period to which the payment relates ( daily rate ); and

  (d)   multiplying the daily rate by the number of days in the payment fortnight that are also in the period.

  1067L - D12   If the Secretary is satisfied that a person is in severe financial hardship because the person has incurred unavoidable or reasonable expenditure while an income maintenance period applies to the person, the Secretary may determine that the whole, or any part, of the period does not apply to the person.

Note 1:   For in severe financial hardship see subsection   19C(2) (person who is not a member of a couple) and subsection   19C(3) (person who is a member of a couple).

Note 2:   For unavoidable or reasonable expenditure see subsection   19C(4).

Note 3:   If an income maintenance period applies to a person, then, during that period:

(a)   the allowance claimed may not be payable to the person; or

(b)   the amount of the allowance payable to the person may be reduced.

When a person receives a leave payment or a termination payment

  1067L - D13   For the purposes of points 1067L - D5 to 1067L - D12 (inclusive), a person ( first person ) is taken to receive a leave payment or termination payment if:

  (a)   the payment is made to another person:

  (i)   at the direction of the first person or a court; or

  (ii)   on behalf of the first person; or

  (iii)   for the benefit of the first person; or

  (b)   the first person waives or assigns his or her right to receive the payment.

Single payment in respect of different kinds of termination payments

  1067L - D14   If a person who is covered by point 1067L - D6 receives a single payment in respect of different kinds of termination payments, then, for the purposes of the application of points 1067L - D5 to 1067L - D13 (inclusive):

  (a)   each part of the payment that is in respect of a different kind of termination payment is taken to be a separate payment; and

  (b)   the income maintenance period in respect of the single payment is worked out by adding the periods to which the separate payments relate.

Definitions

  1067L - D15   In points 1067L - D5 to 1067L - D14 (inclusive):

"payment fortnight" means a fortnight in respect of which an austudy payment is paid, or would be paid apart from the application of an income maintenance period, to a person.

"period to which the payment relates" means:

  (a)   if the payment is a leave payment--the leave period to which the payment relates; or

  (b)   if the payment is a termination payment and is calculated as an amount equivalent to an amount of ordinary income that the person would (but for the termination) have received from the employment that was terminated--the period for which the person would have received that amount of ordinary income; or

  (c)   if the payment is a termination payment and paragraph   (b) does not apply--the period of weeks (rounded down to the nearest whole number) in respect of which the person would have received ordinary income, from the employment that was terminated, of an amount equal to the amount of the termination payment if:

  (i)   the person's employment had continued; and

  (ii)   the person received ordinary income from the employment at the rate per week at which the person usually received ordinary income from the employment prior to the termination.

"redundancy payment" includes a payment in lieu of notice.

"termination payment" includes:

  (a)   a redundancy payment; and

  (b)   a leave payment relating to a person's employment that has been terminated; and

  (c)   any other payment that is connected with the termination of a person's employment.

Meaning of leave payment

1067L - D16   In points 1067L - D5 to 1067L - D15 (inclusive):

"leave payment" includes a payment in respect of sick leave, annual leave, maternity leave and long service leave, but does not include an instalment of parental leave pay.

Board and lodging

  1067L - D18   A person's ordinary income is not to include a payment to the person for board or lodging provided by the person to a parent, child, brother or sister of the person.

Ordinary income generally taken into account when first earned, derived or received

  1067L - D19   Subject to points 1067L - D20, 1067L - D21, 1067L - D23 and 1067L - D24 and sections   1072A and 1073, ordinary income (except employment income) is to be taken into account in the fortnight in which it is first earned, derived or received.

Note:   See Division   1AA of Part   3.10 for the treatment of employment income.

Claimant or recipient receives lump sum amount for remunerative work

  1067L - D20   If a person whose claim for austudy payment has been granted receives, after the claim was made, a lump sum amount that:

  (a)   is paid to him or her in relation to remunerative work; and

  (b)   is not a payment to which point 1067L - D21 applies; and

  (c)   is not an exempt lump sum; and

  (d)   is not employment income;

the person is, for the purposes of this Module, taken to receive one fifty - second of that amount as ordinary income during each week in the 12 months commencing on the day on which the person becomes entitled to receive that amount.

Partner of claimant or recipient receives lump sum amount for remunerative work

  1067L - D21   If:

  (a)   a person whose claim for austudy payment has been granted is a member of a couple; and

  (b)   after the person has made the claim, the person's partner receives a lump sum amount that:

  (i)   is paid to him or her in relation to remunerative work; and

  (ii)   is not a payment to which point 1067L - D23 applies; and

  (iii)   is not an exempt lump sum; and

  (iv)   is not employment income;

the partner is, for the purposes of this Module, taken to receive one fifty - second of that amount as ordinary income during each week in the 12 months commencing on the day on which the partner becomes entitled to receive that amount.

Operation of points 1067L - D20 and 1067L - D21

  1067L - D22   Points 1067L - D20 and 1067L - D21 have effect even if the person who has made the claim:

  (a)   is subject to a liquid assets test waiting period or an income maintenance period in respect of the allowance claimed; or

  (b)   is subject to a seasonal work preclusion period;

during the period of 12 months referred to in those points.

Ordinary income received at intervals longer than one fortnight

  1067L - D23   Subject to points 1067L - D5 to 1067L - D16 (inclusive), if:

  (a)   a person receives a number of payments of ordinary income (except employment income); and

  (b)   each payment is in respect of a period ( work period ) that is greater than a fortnight; and

  (c)   there is reasonable predictability or regularity as to the timing of the payments; and

  (d)   there is reasonable predictability as to the quantum of the payments;

the person is taken to receive in a fortnight falling within, or overlapping with, a work period an amount calculated by:

  (e)   dividing the amount received by the number of days in the work period ( daily rate ); and

  (f)   multiplying the daily rate by the number of days in the fortnight that are also within the work period.

Payment of arrears of periodic compensation payments

  1067L - D24   If:

  (a)   at the time of an event that gives rise to an entitlement of a person to compensation, the person is receiving an austudy payment; and

  (b)   in relation to that entitlement, the person receives a payment of arrears of periodic compensation;

the person is taken to receive, in a fortnight falling within, or overlapping with, the periodic payments period, an amount calculated by:

  (c)   dividing the amount received by the number of days in the periodic payments period ( daily rate ); and

  (d)   multiplying the daily rate by the number of days in the fortnight that are also within the periodic payments period.

Note:   For periodic payments period see section   17.

Partner income free area

  1067L - D25   The partner income free area for a person is:

  (a)   if the person's partner is not receiving a social security benefit and has not turned 22--the amount of income of the partner (rounded up to the nearest dollar) beyond which youth allowance would not be payable to the partner if the partner were qualified for a youth allowance and were not undertaking full - time study (see section   541B); or

  (b)   if the person's partner is not receiving a social security benefit and has turned 22--the amount of income of the partner (rounded up to the nearest dollar) beyond which jobseeker payment would not be payable to the partner if the partner were qualified for a jobseeker payment; or

  (c)   if the person's partner is receiving a social security benefit--the amount of income of the partner (rounded up to the nearest dollar) beyond which that benefit would not be payable to the partner.

1067L - D25A   For the purposes of paragraph   1067L - D25(a), disregard steps 2, 2A and 3 of the method statement in point 1067G - A1.

  1067L - D25B   For the purposes of paragraph   1067L - D25(b), disregard steps 2 and 3 of the method statement in point 1068 - A1.

Partner income excess

  1067L - D26   If:

  (a)   a person is a member of a couple; and

  (b)   the person's partner is not receiving a social security pension, a service pension, income support supplement or a veteran payment; and

  (c)   the partner's ordinary income exceeds the partner income free area for the partner;

then:

  (d)   the person has a partner income excess; and

  (e)   the person's partner income excess is the amount by which the partner's ordinary income exceeds the partner income free area.

Partner income reduction

  1067L - D27   If a person has a partner income excess, the person's partner income reduction is an amount equal to 60% of the person's partner income excess.

Example:  

Facts:   Alice's partner Martin has an ordinary income of $800. Assume that the partner income free area under point 1067L - D25 is $640.

Result:   Martin's ordinary income exceeds the partner income free area. Alice therefore has a partner income excess under point 1067L - D26 of:

  Alice's partner income reduction under point 1067L - D27 is therefore:

Ordinary income free area

  1067L - D28   A person's ordinary income free area is $400.

Ordinary income excess

  1067L - D29   If a person's ordinary income exceeds the person's ordinary income free area:

  (a)   the person has an ordinary income excess; and

  (b)   the person's ordinary income excess is the amount by which the person's ordinary income exceeds the person's ordinary income free area.

Ordinary income reduction

  1067L - D30   If a person has an ordinary income excess, the person's ordinary income reduction is the sum of:

  (a)   the person's lower range reduction (if any) (see point 1067L - D31); and

  (b)   the person's upper range reduction (if any) (see point 1067L - D32).

Lower range reduction

  1067L - D31   The person's lower range reduction is an amount equal to 50% of the part of the person's ordinary income excess that does not exceed $80.

Upper range reduction

  1067L - D32   The person's upper range reduction is an amount equal to 60% of the part (if any) of the person's ordinary income excess that exceeds $80.

Student income bank

  1067L - E1   A person's ordinary income under Module D may be reduced under this Module. This diagram sets out how to work out:

  (a)   whether the person's ordinary income for a particular fortnight in respect of which austudy payment may be payable to the person, is to be reduced; and

  (b)   if it is to be reduced, the amount of the reduction.

Income bank credit

  1067L - E2   A person's income bank credit for a particular income bank fortnight of the person is to be worked out as follows:

Income credit

  1067L - E3   For the purposes of point 1067L - E2, if the amount that would, apart from this Module, be the person's ordinary income for an income bank fortnight of the person is less than the ordinary income free area (see point 1067L - D28):

  (a)   the person has an income credit for that fortnight; and

  (b)   the income credit is an amount equal to the difference between the ordinary income free area (see point 1067L - D28) and the first - mentioned amount.

Drawing from income bank credit

  1067L - E4   For the purposes of point 1067L - E2, if the amount that would, apart from this Module, be the person's ordinary income for an income bank fortnight of the person is greater than the ordinary income free area (see point 1067L - D28):

  (a)   the person is taken to have drawn from the person's income bank credit in respect of that fortnight; and

  (b)   the amount drawn is taken to be an amount equal to the difference between the first - mentioned amount and the ordinary income free area (see point 1067L - D28).

Income bank fortnight

  1067L - E5   For the purposes of this Module, an income bank fortnight of a person is any fortnight in respect of which an austudy payment may be payable to the person.

Opening balance following cancellation of another social security pension or benefit

  1067L - E6   If:

  (a)   a person ceases to be a working credit participant because of a determination to cancel, or an automatic cancellation of, the person's social security pension or social security benefit; and

  (b)   the person had a working credit balance greater than nil immediately before the date of effect of the determination or cancellation; and

  (c)   the person makes a claim, or is taken to have made a claim, for an austudy payment; and

  (d)   the Secretary determines that the claim is to be granted with effect from a day within 12 months after the date of effect mentioned in paragraph   (b); and

  (e)   the person becomes a person to whom this Module applies on a day (the module application day ), being either the day with effect from which the claim is granted or a day following that day; and

  (f)   the person has not reached pension age before the module application day;

the working credit balance mentioned in paragraph   (b) becomes the opening balance of the income bank credit applicable to the person on the module application day.

Opening balance following suspension and subsequent cancellation of another social security pension or benefit

  1067L - E7   If:

  (a)   a person ceases to be a working credit participant because of a determination to suspend the person's social security pension or social security benefit; and

  (b)   while the person's pension or benefit is suspended, there is a determination to cancel the person's pension or benefit; and

  (c)   the person had a working credit balance greater than nil immediately before the date of effect of the suspension determination; and

  (d)   the person makes a claim, or is taken to have made a claim, for an austudy payment; and

  (e)   the Secretary determines that the claim is to be granted with effect from a day within 12 months after the date of effect mentioned in paragraph   (c); and

  (f)   the person becomes a person to whom this Module applies on a day (the module application day ), being either the day with effect from which the claim is granted or a day following that day; and

  (g)   the person has not reached pension age before the module application day;

the working credit balance mentioned in paragraph   (c) becomes the opening balance of the income bank credit applicable to the person on the module application day.

Remote area allowance--person physically in remote area

  1067L - F1   An amount by way of remote area allowance is to be added to a person's rate of austudy payment if:

  (a)   the person's rate of austudy payment apart from this point is greater than nil; and

  (b)   the person's usual place of residence is situated in the remote area; and

  (c)   the person is physically present in the remote area.

Note 1:   For remote area see subsection   14(1).

Note 2:   A person may be considered to be physically present in a remote area during temporary absences (see subsection   14(2)).

Rate of remote area allowance

  1067L - F2   A person's rate of remote area allowance is worked out using Table F. Work out which family situation in the table applies to the person. The rate of remote area allowance is the corresponding amount in column 3 plus the additional corresponding amount in column 4 for each FTB child, and each regular care child, of the person.

 

Table F--Remote area allowance
Column 1 Item	Column 2 Person's family situation	Column 3 Basic allowance	Column 4 Additional allowance for each FTB child and regular care child
1	Not a member of a couple	$18.20	$7.30
2	Partnered	$15.60	$7.30
3	Member of an illness separated couple	$18.20	$7.30
4	Partnered (partner in gaol)	$18.20	$7.30

Note:   For member of a couple , partnered , illness separated couple and partnered (partner in gaol) see section   4.

Meaning of remote area allowance

  1067L - F3   In Table F, remote area allowance means an amount added to a person's austudy payment by way of remote area allowance.

In remote area

  1067L - F4   For the purposes of Table F, a person is in the remote area if:

  (a)   the person's usual place of residence is in the remote area; and

  (b)   the person is physically present in the remote area.

Special rule if partner has an FTB or regular care child but is not receiving a pension

  1067L - F6   If:

  (a)   an additional allowance is to be included in the rate of remote area allowance for a person who is a member of a couple; and

  (b)   the person's partner is not receiving a social security pension or social security benefit; and

  (c)   the person's partner has an FTB child or a regular care child;

the child is taken, for the purposes of this Module, to be an FTB child, or a regular care child, (as the case requires) of the person.

Special rule if partner has an FTB or regular care child but is not receiving additional allowance for the child

  1067L - F7   If:

  (a)   an additional allowance is to be included in the rate of remote area allowance for a person who is a member of a couple; and

  (b)   the person's partner has an FTB child or a regular care child; and

  (c)   the person's partner is not receiving additional allowance for the child;

the child is taken, for the purposes of this Module, to be an FTB child, or a regular care child, (as the case requires) of the person.

Special rule dealing with the death of an FTB or regular care child

  1067L - F9   If an FTB child, or a regular care child, of a person dies, this Module has effect, for a period of 14 weeks after the death of the child, as if the child had not died.

Note:   This point does not prevent this Module having the effect it would have had if the child would otherwise have ceased to be an FTB child, or a regular care child, during that 14 weeks.

Method statement

Step 1.   Work out the amount of education entry payment paid to the credit of the account as mentioned in paragraph   (1)(c).

Step 2.   Subtract from that amount the total amount withdrawn from the account during the 4 - week period referred to in paragraph   (1)(c): the result is the saved amount .

LUMP SUM CALCULATOR

This is how to work out the amount of the lump sum:

Method statement

Step 1.   Add up:

  (a)   the amount that, if the person's partner had not died, would have been payable to the person on the person's payday immediately before the first available bereavement adjustment payday; and

  (b)   the amount (if any) that, if the partner had not died, would have been payable to the partner on the partner's payday immediately before the first available bereavement adjustment payday;

  the result is called the combined rate .

Step 2.   Work out the amount that, but for section   768D, would have been payable to the person on the person's payday immediately before the first available bereavement adjustment payday: the result is called the person's individual rate .

Step 3.   Take the person's individual rate away from the combined rate: the result is called the partner's instalment component .

Step 4.   Work out the number of the partner's paydays in the bereavement lump sum period.

Step 5.   Multiply the partner's instalment component by the number obtained in Step 4: the result is the amount of the lump sum payable to the person under this section.

LUMP SUM CALCULATOR

This is how to work out the amount of the lump sum:

Method statement

Step 1.   Add up:

  (a)   the amount that, if neither the person nor the person's partner had died, would have been payable to the person on the person's payday immediately after the day on which the person dies; and

  (b)   the amount (if any) that, if neither the person nor the person's partner had died, would have been payable to the person's partner on the partner's payday immediately after the day on which the person died;

  the result is called the combined rate .

Step 2.   Work out the amount that, but for section   768D, would have been payable to the person on the person's payday immediately after the day on which the person died if the person had not died: the result is called the person's individual rate .

Step 3.   Take the person's individual rate away from the combined pensioner couple rate: the result is called the partner's instalment component .

Step 4.   Work out the number of paydays of the partner in the period that commences on the day on which the person dies and ends on the day on which the bereavement period ends.

Step 5.   Multiply the partner's instalment component by the number obtained in Step 4: the result is the amount of the lump sum payable under this section.

Method statement

Step 1.   Work out the period of the person's Australian working life residence using Module B: the result is called the residence period .

Step 2.   Use the person's residence period to work out the person's residence factor using Module C below.

Step 3.   Work out the rate that would be the person's pension or allowance rate if this Rate Calculator did not apply to the person: the result is called the person's notional domestic rate .

Step 4.   Multiply the person's notional domestic rate by the person's residence factor: the result is the person's special needs proportional rate.

LUMP SUM CALCULATOR

This is how to work out the amount of the lump sum:

Method statement

Step 1.   Work out the amount that would have been payable to the person on the person's payday immediately before the first available bereavement adjustment payday if:

  (a)   the person's partner had not died; and

  (b)   where immediately before the partner's death the couple were an illness separated couple or a respite care couple--they were not such a couple.

Step 2.   Work out the amount that would have been payable to the person's partner on the partner's payday or service payday immediately before the first available bereavement adjustment payday if:

  (a)   the partner had not died; and

  (b)   where immediately before the partner's death the couple were an illness separated couple or a respite care couple--they were not such a couple.

Step 3.   Add the results of Step 1 and Step 2: the result is called the combined rate .

Step 4.   Work out the amount that, but for subsection   825, would have been payable to the person on the person's payday immediately before the first available bereavement adjustment payday: the result is called the person's individual rate .

Step 5.   Take the person's individual rate away from the combined rate: the result is called the partner's instalment component .

Step 6.   Work out the number of paydays of the partner in the bereavement lump sum period.

Step 7.   Multiply the partner's instalment component by the number obtained in Step 6: the result is the amount of the lump sum payable to the person under this section.

LUMP SUM CALCULATOR

This is how to work out the amount of the lump sum:

Method statement

Step 1.   Work out the amount that would have been payable to the person on the person's payday immediately after the day on which the person died if:

  (a)   neither the person nor the person's partner had died; and

  (b)   where immediately before the partner's death the couple were an illness separated couple or a respite care couple--they were not such a couple.

Step 2.   Work out the amount that would have been payable to the partner on the partner's payday or service payday immediately after the day on which the person died if:

  (a)   neither the person nor the partner had died; and

  (b)   where immediately before the partner's death the couple were an illness separated couple or a respite care couple--they were not such a couple.

Step 3.   Add the results of Step 1 and Step 2: the result is called the combined rate .

Step 4.   Work out the amount that, but for section   825, would have been payable to the person on the person's payday immediately after the day on which the person died if the person had not died: the result is called the person's individual rate .

Step 5.   Take the person's individual rate away from the combined rate: the result is called the partner's instalment component .

Step 6.   Work out the number of paydays of the partner in the period that starts on the day on which the person dies and ends on the day on which the bereavement period ends.

Step 7.   Multiply the partner's instalment component by the number obtained in Step 6: the result is the amount of the lump sum payable under this section.

Method statement

Step 1.   Work out the amount of the person's adjusted taxable income for the reference tax year.

  Note 1:   Section   957B deals with how to work out adjusted taxable income.

  Note 2:   For reference tax year see subsections   (2) and (3).

Step 2.   If, on the test day, the person is a member of a couple, work out the amount of the person's partner's adjusted taxable income for the reference tax year applicable under step 1.

  Note 1:   Section   957B deals with how to work out adjusted taxable income.

  Note 2:   For reference tax year see subsections   (2) and (3).

Step 3.   If, on the test day, the person is not a member of a couple, the person has reached the minimum age mentioned in section   301 - 10 of the Income Tax Assessment Act 1997 and the person has at least one long - term financial asset, work out the person's deemed income amount under subsection   957D(1).

  Note:   For long - term financial asset see subsection   (5).

Step 4.   If, on the test day, the person is a member of a couple and the person, or the person's partner, or both, have reached the minimum age mentioned in section   301 - 10 of the Income Tax Assessment Act 1997 and have at least one long - term financial asset, work out the person's deemed income amount under subsection   957D(2).

  Note:   For long - term financial asset see subsection   (5).

Step 5.   Work out the sum of the amounts at steps 1, 2, 3 and 4 (as applicable).

Step 6.   The person satisfies the carer allowance income test if the amount at step 5 is less than $250,000.

Method statement

Step 1.   Work out the total value of all of the person's long - term financial assets on the test day.

  Note:   For long - term financial asset see subsection   957A(5).

Step 2.   Work out under section   1076 the amount of ordinary income the person would be taken to receive per year on the financial assets:

  (a)   on the assumption that the only financial assets of the person were the financial assets referred to in step 1; and

  (b)   on the assumption that the total value of the person's financial assets were the amount at step 1.

Step 3.   The result at step 2 is the person's deemed income amount .

Method statement

Step 1.   If, on the test day, the person has reached the minimum age mentioned in section   301 - 10 of the Income Tax Assessment Act 1997 , work out the total value of all of the person's long - term financial assets on the test day.

  Note:   For long - term financial asset see subsection   957A(5).

Step 2.   If, on the test day, the person's partner has reached the minimum age mentioned in section   301 - 10 of the Income Tax Assessment Act 1997 , work out the total value of all of the person's partner's long - term financial assets on the test day.

Step 3.   Work out under section   1077 the amount of ordinary income the couple would be taken to receive per year on the financial assets:

  (a)   on the assumption that section   1077 applied to the person and the person's partner; and

  (b)   on the assumption that the only financial assets of the person and the person's partner were the financial assets referred to in steps 1 and 2 (as applicable); and

  (c)   on the assumption that the total value of the couple's financial assets were the sum of the amounts at steps 1 and 2 (as applicable).

Step 4.   The result at step 3 is the person's deemed income amount .

Lump Sum Calculator

This is how to work out the amount of the lump sum:

Method statement

Step 1.   Work out the rate at which carer allowance was payable to the person immediately before the child died.

Step 2.   Work out the number of paydays of the person in the bereavement lump sum period.

Step 3.   Multiply the rate obtained in Step 1 by the number obtained in Step 2: the result is the amount of the lump sum payable to the person under this section.

Lump Sum Calculator

This is how to work out the amount of the lump sum:

Method statement

Step 1.   Work out the rate at which carer allowance was payable to the person immediately before the disabled adult died.

Step 2.   Work out the number of paydays of the person in the bereavement lump sum period.

Step 3.   Multiply the rate obtained in step 1 by the number obtained in step 2: the result is the amount of the lump sum payable to the person under this section.

LUMP SUM CALCULATOR

This is how to work out the amount of the lump sum:

Method statement

Step 1.   Work out the rate at which double orphan pension was payable immediately before the first available bereavement adjustment payday: the result is called the continued rate .

Step 2.   Work out the number of the person's paydays in the bereavement lump sum period.

Step 3.   Multiply the continued rate by the number obtained in Step 2: the result is the amount of the lump sum payable to the person under this section.

Method statement

Step 1.   Work out the number of days that, at the time of qualification under section   1035A, remain from the period of 26 weeks referred to in paragraph   (c) (counting the day on which that qualification occurs as a whole day).

Step 2.   Multiply the result under Step 1 by the amount worked out under the following formula:

  If the result is not a whole number, round the result down to the next whole number.

Step 3.   Subtract the result under Step 2 from the result under Step 1.

Step 4.   Subtract the result under Step 3 from the number 182. The result is the number of days in the person's advance payment period.

Method statement

Step 1.   Work out 3 / 52 of the person's advance payment qualifying amount.

Step 2.   Work out the annual rate at which the social security pension was payable to the person on the last payday before the application for the advance payment was lodged, disregarding:

  (a)   any amount payable by way of remote area allowance; and

  (b)   so much of the person's pension supplement amount (if any) as is equal to the person's minimum pension supplement amount; and

  (c)   the person's energy supplement (if any).

Step 3.   Work out the smaller of the result of step 1 and 7.5% of the result of step 2.

Step 4.   Subtract the following from the result of step 3:

  (a)   each advance payment (if any) of a social security entitlement paid to the person during any of the 13 fortnights immediately before the application for the current advance payment was lodged;

  (b)   each other advance payment (if any) of a social security entitlement paid to the person that has not been fully repaid.

Step 5.   The result of step 4 (rounded to the nearest cent (rounding 0.5 cents upwards)) is the maximum amount of advance payment payable to the person.

Student start - up loans are social security payments that are income - contingent loans.

Broadly, full - time students who are receiving youth allowance or austudy might be qualified for a student start - up loan. A person can qualify for up to 2 loans each calendar year. To receive a loan, a person must make a claim before the end of the relevant period for each loan.

Once the person's income exceeds the minimum repayment income under the Higher Education Support Act 2003 and the person has finished repaying any debt under that Act and certain other income - contingent loan schemes, the person must start repaying debt in relation to student start - up loans.

A person incurs an SSL debt if the person receives a student start - up loan (except in certain circumstances when the loan is required to be recovered as a social security debt under this Act).

Each SSL debt is incorporated into the person's accumulated SSL debt. This accumulated SSL debt forms the basis for working out the amounts the person is obliged to repay.

There are 2 stages to working out a person's accumulated SSL debt for a financial year.

In stage 1, the person's former accumulated SSL debt is worked out by adjusting the preceding financial year's accumulated SSL debt to take account of:

  (a)   the HELP debt indexation factor for 1   June in that financial year; and

  (b)   the debts that the person incurs during the last 6 months of the preceding financial year; and

  (c)   voluntary SSL repayments of the debt; and

  (d)   compulsory SSL repayment amounts in respect of the debt.

In stage 2, the person's accumulated SSL debt is worked out from:

  (a)   the person's former accumulated SSL debt; and

  (b)   the SSL debts that the person incurs during the first 6 months of the financial year; and

  (c)   voluntary SSL repayments of those debts.

Method statement

Step 1.   Take the person's accumulated SSL debt for the immediately preceding financial year. (This amount is taken to be zero if the person has no accumulated SSL debt for that financial year.)

Step 2.   Add the sum of all of the SSL debts (if any) that the person incurred during the last 6 months of the immediately preceding financial year.

Step 3.   Subtract the sum of the amounts by which the person's debts referred to in steps 1 and 2 are reduced because of any voluntary SSL repayments that have been made during the period:

  (a)   starting on 1   June in the immediately preceding financial year; and

  (b)   ending immediately before the next 1   June.

Step 4.   Subtract the sum of all of the person's compulsory SSL repayment amounts that:

  (a)   were assessed during that period (excluding any assessed as a result of a return given before that period); or

  (b)   were assessed after the end of that period as a result of a return given before the end of that period.

Step 5.   Subtract the sum of the amounts by which any compulsory SSL repayment amount of the person is increased (whether as a result of an increase in the person's taxable income of an income year or otherwise) by an amendment of an assessment made during that period.

Step 6.   Add the sum of the amounts by which any compulsory SSL repayment amount of the person is reduced (whether as a result of a reduction in the person's taxable income of an income year or otherwise) by an amendment of an assessment made during that period.

A person who owes a debt to the Commonwealth under this Chapter may make voluntary SSL repayments.

The person is required to make repayments once the person's income exceeds the minimum repayment income under the Higher Education Support Act 2003 and the person has finished repaying any debt under that Act and certain other income - contingent loan schemes.

The amount of the repayments is based on the person's income.

The Commissioner makes assessments of repayment amounts, which are collected in the same way as amounts of income tax.

Method statement

Step 1.   Work out the total amount of youth allowance general rate, austudy payment general rate or pensioner education supplement that would be payable to the person for the eligibility period if the person did not apply for financial supplement.

Step 2.   Work out the total amount of advance payment deductions (if any) to be made from the person's rate of youth allowance or austudy payment, under Part   3.16A, in the eligibility period.

  Subtract that total amount from the total amount worked out under Step 1.

Step 3.   Work out the total amount of overpayments (if any) for the eligibility period.

  Subtract that total amount from the total amount worked out under Step 2.

Step 4.   Work out the total amount of deductions (if any) that are to be paid to the Commissioner of Taxation, under section   1359, for the eligibility period.

  Note:   Section   1359 provides for the deduction and payment to the Commissioner of Taxation of amounts of tax that a person is required to pay.

  Subtract that total amount from the total amount worked out under Step 3.

Step 5.   Work out the total amount (if any) of youth allowance general rate, austudy payment general rate or pensioner education supplement that has already been paid for the eligibility period.

  Ignore any amount that has already been dealt with under Step 2.

  Ignore any amount that is taken never to have been paid because of section   1061ZZAW.

  Subtract the total amount from the amount worked out under Step 4.

Step 6.   Multiply the amount left by 2.

Step 7.   If the result is not a number of whole dollars, round the result up to the next number of whole dollars.

Method statement

Step 1.   Multiply $7,000 by the number of days in the eligibility period.

Step 2.   Divide the result by the number of days in the year in which the eligibility period is included.

  If the result is not a number of whole dollars, round the result up to the next number of whole dollars.

Method statement

Step 1.   Multiply $2,000 by the number of days in the eligibility period.

Step 2.   Divide the result by the number of days in the year that includes the eligibility period.

  If the result is not a number of whole dollars, round the result up to the next number of whole dollars.

Method statement

Step 1.   Work out the amount of financial supplement paid to the credit of the account in the 4 weeks.

Step 2.   Subtract from that amount the total amount withdrawn from the account in the 4 weeks.

  The amount left is the saved amount.

Method statement

Step 1.   Work out the total of the index number for the March quarter in the later reference period and the index numbers for the 3 immediately preceding quarters.

Step 2.   Work out the total of the index number for the March quarter in the earlier reference period and the index numbers for the 3 immediately preceding quarters.

Step 3.   Divide the total worked out under Step 1 by the total worked out under Step 2.

Step 4.   Round the result to 3 decimal places.

Method statement

Step 1.   Work out the total of the index number for the March quarter in the relevant year and the index numbers for the 3 immediately preceding quarters.

Step 2.   Work out the total of the index number for the March quarter immediately before the relevant year and the index numbers for the 3 immediately preceding quarters.

Step 3.   Divide the total worked out using Step 1 by the total worked out using Step 2.

Step 4.   Round the result to 3 decimal places.

Method statement

Step 1.   Work out the person's maximum basic rate using MODULE B below.

Step 1A.   Work out the amount of pension supplement using Module BA below.

Step 1B.   Work out the energy supplement (if any) using Module C below.

Step 3.   Work out the amount per year (if any) for rent assistance in accordance with paragraph   1070A(b).

Step 4.   Add up the amounts obtained in Steps 1, 1A, 1B and 3: the result is called the maximum payment rate .

Step 5.   Apply the ordinary income test using MODULE E below to work out the income reduction.

  Note:   Module F contains provisions that may apply to working out the ordinary income of a person, and the ordinary income of a partner of the person, for the purposes of disability support pension.

Step 8.   Take the income reduction away from the maximum payment rate: the result is called the income reduced rate .

Step 9.   Apply the assets test using MODULE G below to work out the reduction for assets.

Step 10.   Take the reduction for assets away from the maximum payment rate: the result is called the assets reduced rate .

Step 11.   Compare the income reduced rate and the assets reduced rate: the lower of the 2 rates, or the income reduced rate if the rates are equal, is the provisional annual payment rate .

Step 12.   The rate of pension is the amount obtained by:

  (a)   subtracting from the provisional annual payment rate any special employment advance deduction (see Part   3.16B); and

  (b)   if there is any amount remaining, subtracting from that amount any advance payment deduction (see Part   3.16A); and

  (c)   adding any amount payable by way of remote area allowance (see Module H).

Method statement

Step 1.   Work out the amount of the person's ordinary income on a yearly basis.

  Note 1:   For the treatment of the ordinary income of members of a couple see point 1064 - E2.

  Note 2:   Module F contains provisions that may apply to working out the ordinary income of a person, and the ordinary income of a partner of the person, for the purposes of disability support pension.

Step 2.   Work out the person's ordinary income free area (see point 1064 - E4 below).

  Note:   A person's ordinary income free area is the amount of ordinary income that the person can have without any deduction being made from the person's maximum payment rate.

Step 3.   Work out whether the person's ordinary income exceeds the person's ordinary income free area.

Step 4.   If the person's ordinary income does not exceed the person's ordinary income free area, the person's ordinary income excess is nil.

Step 5.   If the person's ordinary income exceeds the person's ordinary income free area, the person's ordinary income excess is the person's ordinary income less the person's ordinary income free area.

Step 6.   Use the person's ordinary income excess to work out the person's reduction for ordinary income using points 1064 - E10 to 1064 - E12 below.

Method statement

Step 1.   Work out the value of the person's assets.

  Note 1:   For the treatment of the assets of members of a couple see point 1064 - G2.

  Note 2:   For the assets that are to be disregarded in valuing a person's assets see section   1118.

  Note 3:   For the valuation of an asset that is subject to a charge or encumbrance see section   1121.

Step 2.   Work out the person's assets value limit (see point 1064 - G3 below).

  Note:   A person's assets value limit is the maximum value of assets the person can have without affecting the person's pension rate.

Step 3.   Work out whether the value of the person's assets exceeds the person's assets value limit.

Step 4.   If the value of the person's assets does not exceed the person's assets value limit, the person's assets excess is nil.

Step 5.   If the value of the person's assets exceeds the person's assets value limit, the person's assets excess is the value of the person's assets less the person's assets value limit.

Step 6.   Use the person's assets excess to work out the person's reduction for assets using points 1064 - G4 to 1064 - G7 below.

Method statement

Step 1.   Work out what would be the person's rate of pension if Pension Rate Calculator A applied to the person: the result is called the notional income/assets tested rate .

Step 2.   Work out the person's maximum basic rate using MODULE B below.

Step 2A.   Work out the amount of pension supplement using Module BA below.

Step 3.   Work out the energy supplement (if any) using Module C below.

Step 4.   Add up the amounts obtained in Steps 2, 2A and 3: the result is called the maximum payment rate .

Step 5.   Work out the non - income/assets tested rate by:

  (a)   subtracting from the maximum payment rate any special employment advance deduction (see Part   3.16B); and

  (b)   if there is any amount remaining, subtracting from that amount any advance payment deduction (see Part   3.16A); and

  (c)   adding any amount payable by way of remote area allowance (see Module E).

Step 6.   Compare the notional income/assets tested rate and the non - income/assets tested rate: whichever is the greater is the person's rate of pension .

Method statement

Step 1.   Work out the person's maximum basic rate using MODULE B below.

Step 1A.   Work out the energy supplement (if any) using Module BA below.

Step 2.   Work out the amount per year for youth disability, Supplement using MODULE C below.

Step 3.   Work out the amount per year (if any) of pharmaceutical allowance using MODULE D below.

Step 4.   Work out the amount per year (if any) for rent assistance in accordance with paragraph   1070A(b).

Step 5.   Add up the amounts obtained in Steps 1, 1A, 2, 3 and 4: the result is called the maximum payment rate .

  Note:   Module G contains provisions that may apply to working out, under this Rate Calculator, the ordinary income of a person, and the ordinary income of a partner of the person.

Step 6.   Apply the ordinary income test using MODULE F below to work out the income reduction.

Step 9.   Take the income reduction away from the maximum payment rate: the result is called the income reduced rate .

Step 10.   Apply the assets test using MODULE H below to work out the reduction for assets.

Step 11.   Take the reduction for assets away from the maximum payment rate: the result is called the assets reduced rate .

Step 12.   Compare the income reduced rate and the assets reduced rate: the lower of the 2 rates, or the income reduced rate if the rates are equal, is the provisional annual payment rate .

Step 13.   The rate of pension is the amount obtained by:

  (a)   subtracting from the provisional annual payment rate any special employment advance deduction (see Part   3.16B); and

  (b)   if there is any amount remaining, subtracting from that amount any advance payment deduction (see Part   3.16A); and

  (c)   adding any amount payable by way of remote area allowance (see Module I).

Method statement

Step 1.   Work out the amount of the person's ordinary income on a yearly basis.

  Note 1:   For the treatment of the ordinary income of members of a couple see point 1066A - F2.

  Note 2:   Module G contains provisions that may apply to working out, under this Rate Calculator, the ordinary income of a person, and the ordinary income of a partner of the person.

Step 2.   Work out the person's ordinary income free area (see point 1066A - F3 below).

  Note:   A person's ordinary income free area is the amount of ordinary income that the person can have without any deduction being made from the person's maximum payment.

Step 3.   Work out whether the person's ordinary income exceeds the person's ordinary income free area.

Step 4.   If the person's ordinary income does not exceed the person's ordinary income free area, the person's ordinary income excess is nil.

Step 5.   If the person's ordinary income exceeds the person's ordinary income free area, the person's ordinary income excess is the person's ordinary income less the person's ordinary income free area.

Step 6.   Use the person's ordinary income excess to work out the person's reduction for ordinary income using points 1066A - F9 to 1066A - F11 below.

Method statement

Step 1.   Work out the value of the person's assets.

  Note 1:   For the treatment of the assets of members of a couple see point 1066A - H2.

  Note 2:   For the assets that are to be disregarded in valuing a person's assets see section   1118.

  Note 3:   For the valuation of an asset that is subject to a charge or encumbrance see section   1121.

Step 2.   Work out the person's assets value limit (see point 1066A - H3 below).

  Note:   A person's assets value limit is the maximum value of assets the person can have without affecting the person's pension rate.

Step 3.   Work out whether the value of the person's assets exceeds the person's assets value limit.

Step 4.   If the value of the person's assets does not exceed the person's assets value limit, the person's assets excess is nil.

Step 5.   If the value of the person's assets exceeds the person's assets value limit, the person's assets excess is the value of the person's assets less the person's assets value limit.

Step 6.   Use the person's assets excess to work out the person's reduction for assets using points 1066A - H4 to 1066A - H7 below.

Method statement

Step 1.   Work out what would be the person's rate of pension if Pension Rate Calculator D applied to the person: the result is called the notional income/assets tested rate .

Step 2.   Work out the person's maximum basic rate using MODULE B below.

Step 2A.   Work out the energy supplement (if any) using Module BA below.

Step 3.   Work out the amount per year for youth disability supplement using MODULE C below.

Step 4.   Work out the amount per year (if any) of pharmaceutical allowance using MODULE D below.

Step 5.   Add up the amounts obtained in Steps 2, 2A, 3 and 4: the result is called the maximum payment rate .

Step 6.   Work out the non - income/assets tested rate by:

  (a)   subtracting from the maximum payment rate any special employment advance deduction (see Part   3.16B); and

  (b)   if there is any amount remaining, subtracting from that amount any advance payment deduction (see Part   3.16A); and

  (c)   adding any amount payable by way of remote area allowance (see Module F).

Step 7.   Compare the notional income/assets tested rate and the non - income/assets tested rate: whichever is the greater is the person's rate of pension .

Method statement

Step 1.   Work out the person's maximum basic rate using Module B below.

Step 1A.   Work out the energy supplement (if any) using Module BA below.

Step 2.   Work out the amount a fortnight (if any) of pharmaceutical allowance using Module C below.

Step 2A.   Work out the amount per fortnight (if any) for youth disability supplement using Module D below.

Step 3.   Work out the applicable amount per fortnight (if any) for rent assistance in accordance with paragraph   1070A(a).

Step 4.   Add up the amounts obtained in Steps 1 to 3: the result is the maximum payment rate .

Step 8.   If the person is not independent, work out the person's reduction for parental income using Module E.

Step 12.   Apply the income test using Module H below to work out the person's income reduction.

Step 13.   Take away from the maximum payment rate the greatest of the following that apply:

  (a)   the person's reduction for parental income;

  (c)   the person's income reduction.

  (If a reduction described in paragraph   (a) applies, and is not less than any other reduction that applies, take away from the maximum payment rate the first - mentioned reduction.) The result is the provisional fortnightly payment rate . If that rate is nil because of the taking away of a reduction described in paragraph   (a) then youth allowance is not payable to the person.

  Note:   If a person's maximum payment rate is reduced under this step, section   1210 sets the order in which the components of that rate are to be reduced.

Step 14.   The rate of allowance is the amount obtained by:

  (a)   subtracting from the provisional fortnightly payment rate any special employment advance deduction (see Part   3.16B); and

  (b)   if there is any amount remaining, subtracting from that amount any advance payment deduction (see Part   3.16A); and

  (c)   adding any amount payable by way of remote area allowance (see Module K).

Method statement

Step 1.   Work out the MIT reducible amount by subtracting the base FTB child rate in point 1067G - E2 from the maximum FTB child rate in point 1067G - E3 and then multiplying the result by:

Step 2.   Apply the parental income test in Module F to work out the parental income test result for the person.

Step 3.   If the parental income test result is equal to or more than the MIT reducible amount, the person's reduction for parental income is the parental income test result.

Step 4.   If the parental income test result is less than the person's MIT reducible amount, apply the maintenance income test in Module GA to work out the maintenance income test result for the person.

Step 5.   Add the parental income test result to the maintenance income test result to get the person's notional reduction .

Step 6.   If the notional reduction is less than or equal to the MIT reducible amount, the person's reduction for parental income is the notional reduction.

Step 7.   If the notional reduction is more than the MIT reducible amount, the person's reduction for parental income is the MIT reducible amount.

Method statement

Step 1.   Work out whether the person is exempt from the parental income test using Submodule 2. If the person is exempt, go to step 5.

Step 2.   If the person is not exempt, identify the appropriate tax year using Submodule 3.

Step 3.   Work out the person's combined parental income for the appropriate tax year using Submodule 4.

Step 4.   Work out the person's parental income free area using Submodule 5.

Step 5.   If:

  (a)   the person's combined parental income does not exceed the person's parental income free area; or

  (b)   the person is exempt from the parental income test;

  then the parental income test result for the person is nil.

Step 6.   If the person's combined parental income exceeds the person's parental income free area, then the parental income test result for the person is the amount worked out using Submodule 6.

Method statement

Step 1.   Work out whether the person is exempt from the maintenance income test using Submodule 2. If the person is exempt, go to step 5.

Step 2.   If the person is not exempt, work out the annualised amount of maintenance income for a parent of the person (the parent's maintenance income ) using Submodule 3.

Step 3.   Work out the parent's maintenance income free area using Submodule 4.

Step 4.   Work out whether the parent's maintenance income exceeds the parent's maintenance income free area.

Step 5.   If:

  (a)   the parent's maintenance income does not exceed the parent's maintenance income free area; or

  (b)   the person is exempt from the maintenance income test;

  then the maintenance income test result for the person is nil.

Step 6.   If the parent's maintenance income exceeds the parent's maintenance income free area, multiply the excess by 0.5. The result, divided by 26, is the maintenance income test result for the person.

Method statement

Step 1.   Work out the amount of the person's ordinary income on a fortnightly basis (where appropriate, taking into account the matters provided for in points 1067G - H2 to 1067G - H25).

Step 2.   If the person is a member of a couple, work out the partner income free area using point 1067G - H26.

  Note:   The partner income free area is the maximum amount of ordinary income the person's partner can have without affecting the person's benefit.

Step 3.   Use point 1067G - H27 to work out the person's partner income excess. (If there is no partner income excess under that point, the person's partner income excess is taken to be nil.)

Step 4.   Use the person's partner income excess to work out the person's partner income reduction using point 1067G - H28.

Step 5.   Use point 1067G - H30 to work out the person's ordinary income excess. (If there is no ordinary income excess under that point, the person's ordinary income excess is taken to be nil.)

Step 6.   Use the person's ordinary income excess to work out the person's ordinary income reduction using points 1067G - H31, 1067G - H32 and 1067G - H33.

Step 7.   Add the person's partner income reduction and ordinary income reduction: the result is the person's income reduction referred to in Step 12 of the Method statement in point 1067G - A1.

Method statement

Step 1.   Assume that the person's income bank credit, at the time this Module starts applying to the person, is an opening balance of zero.

Step 2.   If, for the person's first income bank fortnight, the person has an income credit under point 1067G - J4, add it to the opening balance.

Step 3.   For each subsequent income bank fortnight of the person, up to but not including the fortnight in question, either:

  (a)   if the person has an income credit for that fortnight under point 1067G - J4 and the person is not a new apprentice--add it to the balance of the person's income bank credit in respect of all the previous fortnights, but not so as to increase the balance beyond $10,000; or

  (aa)   if the person has an income credit for that fortnight under point 1067G - J4 and the person is a new apprentice--add it to the balance of the person's income bank credit in respect of all the previous fortnights, but not so as to increase the balance beyond $1,000; or

  (b)   if the person has, in respect of that fortnight, drawn from the person's income bank credit under point 1067G - J5--deduct from that balance the amount drawn, but not so as to reduce the balance below zero.

  The result is the person's income bank credit for the fortnight in question.

Method statement

Step 1.   Work out the person's maximum basic rate using Module B below.

Step 1A.   Work out the pension supplement amount (if any) using Module BA below.

Step 1B.   Work out the energy supplement (if any) using Module BB below.

Step 2.   Work out the amount a fortnight (if any) of pharmaceutical allowance using Module C below.

Step 2A.   Work out the applicable amount per fortnight (if any) for rent assistance in accordance with paragraph   1070A(a).

Step 3.   Add up the amounts obtained in Steps 1, 1A, 1B, 2 and 2A: the result is the maximum payment rate .

Step 4.   Apply the income test using Module D below to work out the person's income reduction.

Step 5.   Take away the person's income reduction from the maximum payment rate: the result is the provisional fortnightly payment rate .

  Note:   If a person's rate is reduced under this step, the order in which the reduction is to be made is laid down by section   1210.

Step 6.   The rate of payment is the amount obtained by:

  (a)   subtracting from the provisional fortnightly payment rate any special employment advance deduction (see Part   3.16B); and

  (b)   if there is any amount remaining, subtracting from that amount any advance payment deduction (see Part   3.16A); and

  (c)   adding any amount payable by way of remote area allowance (see Module F).

Method statement

Step 1.   Work out the amount of the person's ordinary income on a fortnightly basis (where appropriate, taking into account the matters provided for in points 1067L - D2 to 1067L - D24).

Step 2.   If the person is a member of a couple, work out the partner income free area using point 1067L - D25.

  Note:   The partner income free area is the maximum amount of ordinary income the person's partner can have without affecting the person's benefit.

Step 3.   Use point 1067L - D26 to work out the person's partner income excess. (If there is no partner income excess under that point, the person's partner income excess is taken to be nil.)

Step 4.   Use the person's partner income excess to work out the person's partner income reduction using point 1067L - D27.

Step 5.   Use point 1067L - D29 to work out the person's ordinary income excess. (If there is no ordinary income excess under that point, the person's ordinary income excess is taken to be nil.)

Step 6.   Use the person's ordinary income excess to work out the person's ordinary income reduction using points 1067L - D30, 1067L - D31 and 1067L - D32.

Step 7.   Add the person's partner income reduction and ordinary income reduction: the result is the person's income reduction referred to in Step 4 of the Method statement in point 1067L - A1.

Method statement

Step 1.   Assume that the person's income bank credit, at the time this Module starts applying to the person, is an opening balance of zero.

Step 2.   If, for the person's first income bank fortnight, the person has an income credit under point 1067L - E3, add it to the opening balance.

Step 3.   For each subsequent income bank fortnight of the person, up to but not including the fortnight in question, either:

  (a)   if the person has an income credit for that fortnight under point 1067L - E3 and the person is not a new apprentice--add it to the balance of the person's income bank credit in respect of all the previous fortnights, but not so as to increase the balance beyond $10,000; or

  (aa)   if the person has an income credit for that fortnight under point 1067L - E3 and the person is a new apprentice--add it to the balance of the person's income bank credit in respect of all the previous fortnights, but not so as to increase the balance beyond $1,000; or

  (b)   if the person has, in respect of that fortnight, drawn from the person's income bank credit under point 1067L - E4--deduct from that balance the amount drawn, but not so as to reduce the balance below zero.

  The result is the person's income bank credit for the fortnight in question.

Social Security Act 1991

No.   46, 1991

Compilation No.   218

Compilation date:   29 March 2024

Includes amendments:   Act No. 100, 2023

Registered:   8 April 2024

This compilation is in 5 volumes

Volume 1:   sections   1- 661F

Volume 2:   sections   665A- 1067L

Volume 3:   sections   1068- 1263

  Schedule   1A

Volume 4:   Endnotes 1-4

Volume 5:   Endnote 5

Each volume has its own contents

About this compilation

This compilation

This is a compilation of the Social Security Act 1991 that shows the text of the law as amended and in force on 29 March 2024 (the compilation date ).

The notes at the end of this compilation (the endnotes ) include information about amending laws and the amendment history of provisions of the compiled law.

Uncommenced amendments

The effect of uncommenced amendments is not shown in the text of the compiled law. Any uncommenced amendments affecting the law are accessible on the Register (www.legislation.gov.au). The details of amendments made up to, but not commenced at, the compilation date are underlined in the endnotes. For more information on any uncommenced amendments, see the Register for the compiled law.

Application, saving and transitional provisions for provisions and amendments

If the operation of a provision or amendment of the compiled law is affected by an application, saving or transitional provision that is not included in this compilation, details are included in the endnotes.

Editorial changes

For more information about any editorial changes made in this compilation, see the endnotes.

Modifications

If the compiled law is modified by another law, the compiled law operates as modified but the modification does not amend the text of the law. Accordingly, this compilation does not show the text of the compiled law as modified. For more information on any modifications, see the Register for the compiled law.

Self - repealing provisions

If a provision of the compiled law has been repealed in accordance with a provision of the law, details are included in the endnotes.

Contents

Chapter   3--General provisions relating to payability and rates

Part   3.6--Benefit Rate Calculator B

1068   Rate of jobseeker payment

Benefit Rate Calculator B

Module A--Overall rate calculation process

Module B--Maximum basic rate

Module BA--Pension supplement  

Module C--Energy supplement

Module D--Pharmaceutical allowance

Module G--Income test

Module J--Remote area allowance

Part   3.6A--Parenting Payment Rate Calculator

1068A   Rate of parenting payment--pension PP (single)

Pension PP (Single) Rate Calculator

Module A--Overall rate calculation process

Module B--Maximum basic rate

Module BA--Pension supplement

Module BB--Energy supplement

Module C--Pharmaceutical allowance

Module E--Ordinary income test

Module F--Remote area allowance

1068B   Rate of parenting payment--PP (partnered)

Benefit PP (Partnered) Rate Calculator

Module A--Overall rate calculation process

Module C--Maximum basic rate

Module D--Income test

Module DA--Pension supplement

Module DB--Energy supplement

Module E--Pharmaceutical allowance

Module G--Remote area allowance

Part   3.7--Rent assistance

Division   1--Operation of this Part

1070   When this Part applies

1070A   Effect of this Part

Division   2--Qualification for rent assistance

1070B   Qualification--general rule

1070C   Common requirements (about aged care residence, home ownership and rent)

1070D   Specific requirement (carer payments and certain age and disability support pensions)

1070E   Specific requirement (certain parenting payments)

1070F   Specific requirement (certain disability support pensions)

1070G   Specific requirement (youth allowance)

1070H   Specific requirement (austudy payment and jobseeker payment)

1070J   Specific requirement (certain parenting payments)

Division   3--Rate of rent assistance

1070K   Rate depends on social security payment and family situation

1070L   Rate for carer payments and certain age and disability support pensions

1070M   Rate for certain parenting payments

1070N   Rate for disability support pension (person aged under 18)

1070P   Rate for disability support pension (person aged between 18 and 21)

1070Q   Rate for youth allowance, austudy payment and jobseeker payment

1070R   Rate for certain parenting payments

Division   4--Certain concepts used in this Part

1070S   Division has effect for purposes of Part

1070T   Rent threshold amount

1070U   Fortnightly rent

1070V   Rent paid by a member of certain couples

1070W   Partner with a rent increased pension

1070X   Partner with a rent increased benefit

Part   3.9--Seniors Health Card Income Test Calculator

1071   Seniors Health Card Income Test Calculator

Seniors Health Card Income Test Calculator

Part   3.9A--Health Care Card Income Test Calculator

1071A   Health care card income test

Health Care Card Income Test Calculator

Part   3.10--General provisions relating to the ordinary income test

Division   1--Ordinary income concept and treatment of certain income amounts

1072   General meaning of ordinary income

1072A   Treatment of certain lump sum payments

1073   Certain amounts taken to be received over 12 months

Division   1AAA--Work bonus

1073AA   Work bonus

1073AAA   Meaning of gainful work

1073AB   Unused concession balance

Division   1AA--Employment income attribution rules

1073A   Attribution of employment income paid in respect of a particular period or periods

1073B   Attribution of employment income paid monthly

1073BA   Attribution of employment income paid not in respect of a particular period

1073BB   Anti - avoidance

1073BC   Exclusion of certain payments

1073BD   Daily attribution of employment income for amounts not elsewhere covered in this Division

1073C   Fortnightly or yearly expression of attributed employment income

Division   1AB--Working credit accrual and depletion rules and their consequences

1073D   To whom do working credit accrual and depletion rules apply?

1073E   Opening balance

1073F   Working out accruals and depletions of working credit for social security beneficiaries

1073G   Working out the effect of a working credit depletion on the fortnightly rate of ordinary income for a social security beneficiary

1073H   Working out accruals and depletions of working credit for social security pensioners

1073I   Working out the effect of a working credit depletion on the yearly rate of ordinary income for a social security pensioner

1073J   Working credit balance prevents loss of qualification in certain cases

Division   1A--Business income

1074   Ordinary income from a business--treatment of trading stock

1075   Permissible reductions of business income

Division   1B--Income from financial assets (including income streams (short term) and certain income streams (long term))

1076   Deemed income from financial assets--persons other than members of couples

1077   Deemed income from financial assets--members of pensioner couples

1078   Deemed income from financial assets--members of non - pensioner couples

1081   Deeming threshold

1082   Below threshold rate, above threshold rate

1083   Actual return on financial assets not treated as ordinary income

1084   Certain money and financial investments not taken into account

1084A   Valuation and revaluation of certain financial investments

Division   1C--Income from income streams not covered by Division   1B

Subdivision B--Income streams that are not family law affected income streams

1097A   Scope of Subdivision

1098   Income from asset - test exempt income stream

1099   Income--income stream not a defined benefit income stream

1099A   Income--income stream is a defined benefit income stream

1099AA   Income from market - linked asset - test exempt income stream

1099B   Income from asset - tested income stream (long term)

1099C   Income--asset - tested income stream (long term) that is not a defined benefit income stream

1099D   Income--asset - tested income stream (long term) that is a defined benefit income stream

1099DAA   Income from certain low - payment asset - tested income streams

1099DAB   Income--asset - tested income stream (lifetime)

Subdivision C--Family law affected income streams

1099DA   Scope of Subdivision

1099DB   Income from asset - test exempt income streams

1099DC   Income from asset - tested income stream (long term)

1099DCA   Income from asset - tested income stream (lifetime)

1099DD   Decision - making principles

Division   1D--Aged care accommodation bonds: certain transactions before 6   November 1997

1099E   Scope of Division

1099F   Exempt bond amount does not count as income

1099G   Person's ordinary income reduced using financial asset rules

1099H   Meaning of exempt bond amount

Division   1E--Refunds to charge exempt residents

1099J   Scope of Division

1099K   Refunded amount does not count as income

1099L   Person's ordinary income reduced using financial asset rules

1099M   Application of Division

Division   2--Conversion of foreign currency amounts

1100   How value of a payment received in a foreign currency is to be determined

1100A   Determining value of a payment originally denominated in a foreign currency but made in Australian currency

Division   3--Disposal of ordinary income

1106   Disposal of ordinary income

1107   Amount of disposition

1108   Disposal of ordinary income--individuals

1109   Disposal of ordinary income--members of couples

1111   Dispositions more than 5 years old to be disregarded

Part   3.12--General provisions relating to the assets test

Division   1--Value of person's assets

1118   Certain assets to be disregarded in calculating the value of a person's assets

1118A   Value of superannuation investments determined by Minister to be disregarded

1118AA   Value of assets reduced by amounts received from Mark Fitzpatrick Trust

1118AB   Value of person's assets reduced: certain transactions to do with aged care accommodation bonds

1118AC   Value of person's assets reduced: refunds to charge exempt residents

1119   Value of asset - tested income streams that are not defined benefit income streams, asset - tested income streams (lifetime) or family law affected income streams

1120   Value of asset - tested income streams that are defined benefit income streams

1120AA   Value of asset - tested income streams (lifetime) that are managed investments

1120AB   Value of asset - tested income streams (lifetime) that are not managed investments

1120A   Value of asset - tested FLA income streams

1120B   Value of partially asset - test exempt income streams

1120C   Value of superannuation reserves for superannuation funds of 4 members or less

1121   Effect of charge or encumbrance on value of assets

1121A   Effect of certain liabilities on value of assets used in primary production

1121B   Value of life policy

1122   Loans

Division   2--Disposal of assets

1123   Disposal of assets

1124   Amount of disposal or disposition

1124A   Disposal of assets in pre - pension years--individuals

1125   Disposal of assets in pension years--individuals

1125A   Disposal of assets in pre - pension years--members of couples

1126   Disposal of assets in pension years--members of couples

1126AA   Disposal of assets in income year--individuals

1126AB   Disposals of assets in 5 year period--individuals

1126AC   Disposal of assets in income year--members of couples

1126AD   Disposal of assets in 5 year period--members of couples

1126A   Disposal of assets in pre - pension year--family members

1126B   Disposal of assets in pension year--family members

1126C   Disposal of assets in income year--family members

1126D   Disposals of assets in 5 year period--family members

1126E   Modification of this Division in respect of certain assets

1127   Disposition more than 5 years old to be disregarded

1127A   Division does not apply for purposes of care receiver assets test

Division   3--Financial hardship

1129   Access to financial hardship rules--pensions

1130   Application of financial hardship rules--pensions

1130A   Division does not apply for purposes of care receiver assets test

1130B   Access to financial hardship rules--pension PP (single)

1130C   Application of financial hardship rules--pension PP (single)

1131   Access to financial hardship rules--benefits

1132   Application of financial hardship rules--benefits

Division   4--Pension loans scheme

1133AA   Pension loans scheme definitions

1133   Qualification for participation in pension loans scheme

1134   Effect of participation in pension loans scheme--pension rate

1134A   Pension loans scheme advance payment

1135   Effect of participation in pension loans scheme--creation of debt

1135A   Effect of participation in pension loans scheme--maximum loan available

1136   Need for a request to participate

1137   Need for a request to later nominate or change nominated amount or rate of pension

1137AA   Need for a request for a pension loans scheme advance payment

1137A   Non - receipt of social security pension or social security payment

1138   Existence of debt results in charge over real assets

1139   Debt not to be recovered until after death

1140   Enforcement of charge

1141   Person ceases to participate in pension loans scheme if debt exceeds maximum loan available

1141A   Secretary may cease person's participation in pension loans scheme

1142   Person withdraws from pension loans scheme

1142A   Repayment or recovery of debt after pension loans scheme ceases to operate

1143   Registration of charge

1144   Manner of enforcement of charge

1144AA   No negative equity guarantee

1144A   Division does not apply for purposes of care receiver assets test

Division   5--Provisions relating to special residences and special residents

Subdivision A--General

1145A   Application of Division to granny flat residents

1146   Basis for different treatment

1147   Entry contribution

1148   Extra allowable amount

1149   Renegotiation of retirement village agreement

Subdivision B--Residents who are not members of a couple

1150   Residents who are not members of a couple

Subdivision C--Residents who are members of couple and share principal home

1151   Members of couples

Subdivision D--Residents who are members of illness separated couple

1152   Members of illness separated couples (both in special residences)