Commonwealth Consolidated Acts

[Index] [Table] [Search] [Search this Act] [Notes] [Noteup] [Previous] [Next] [Download] [Help]

SOCIAL SECURITY ACT 1991 - SECT 1078

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

             (1)  This section applies to a person who is a member of a couple, other than a pensioner couple.

             (2)  A person who has financial assets is taken, for the purposes of this Act, to receive ordinary income on those assets in accordance with this section.

             (3)  If the total value of the person's financial assets is equal to or less than the person's deeming threshold, the ordinary income the person is taken to receive per year on the financial assets is the amount worked out by multiplying the value of those assets by the below threshold rate.

          (3A)  If the total value of the person's financial assets exceeds the person's deeming threshold, the ordinary income that the person is taken to receive is worked out as follows:

Method statement

Step 1.    Multiply the person's deeming threshold by the below threshold rate.

                   Note 1:          For deeming threshold see subsection 1081(3).

                   Note 2:          For below threshold rate see subsection 1082(1).

Step 2.    Subtract the deeming threshold from the total value of the person's financial assets.

                   Note:             For deeming threshold see subsection 1081(3).

Step 3.    Multiply the remainder worked out at Step 2 by the above threshold rate.

                   Note:             For above threshold rate see subsection 1082(2).

Step 4.    The total of the amounts worked out at Steps 1 and 3 represents the ordinary income the person is taken to receive per year on the financial assets.

             (4)  The person is taken, for the purposes of this Act, to receive one fifty-second of the amount calculated under subsection (3) or (3A) as ordinary income of the person during each week.



AustLII: Copyright Policy | Disclaimers | Privacy Policy | Feedback