Commonwealth Consolidated Acts

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

SOCIAL SECURITY ACT 1991 - SECT 796

How to work out a person's special needs pension rate

  (1)   Subject to subsection   (2), the rate of a person's special needs pension is:

  (a)   if the pension is a special needs age pension--the rate at which an age pension would be payable to the person if the person were qualified for an age pension; or

  (b)   if the pension is a special needs disability support pension--the rate at which a disability support pension would be payable to the person if the person were qualified for a disability support pension; or

  (c)   if the pension is a special needs wife pension--the rate at which a wife pension would be payable to the person if the person were qualified for a wife pension.

  (2)   If:

  (a)   the person was absent from Australia on 1   July 1986; and

  (b)   the person commences after 1   July 1986 to receive a special needs pension; and

  (c)   the person is absent from Australia;

the rate of the person's special needs pension is, subject to subsections   (3) and (4), the person's special needs proportional rate worked out using the Special Needs Proportional Rate Calculator at the end of this section.

  (3)   Subsection   (2) does not apply to a person's special needs disability support pension if the person became qualified for the pension because the person became permanently incapacitated for work or permanently blind while the person was an Australian resident.

  (4)   Subsection   (2) does not apply to a person's special needs sole parent pension if:

  (a)   the person became qualified for the pension because of the death of the person's former partner; and

  (b)   at the time when the former partner died the former partner was an Australian resident; and

  (c)   the person would, apart from subsections   249(2) and 362(2) of this Act, and section   46 of the 1947 Act as in force at any time before 1   March 1989, have become so qualified for that pension.

Overall rate calculation process

796 - A1     This is how to work out a person's special needs proportional rate:

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.

Working life

796 - B1     For the purposes of this Module, a person's working life is the period commencing when the person turns 16 and ending:

  (a)   if the person is a woman--when she turns 60; or

  (b)   if the person is a man--when he turns 65.

Australian working life residence (general)

796 - B2     Subject to points 796 - B3 to 796 - B9, a person's period of Australian working life residence as at a particular time is the number of months in the period, or the aggregate of the periods, during the person's working life during which the person has, up to that time, been an Australian resident.

Calculation of number of months

796 - B3     If a person's period of Australian working life residence would, apart from this subsection, be a number of whole months, the period is to be increased by one month.

796 - B4     If a person's period of Australian working life residence would, apart from this subsection, be a number of whole months and a day or days, the period is to be increased so that it is equal to the number of months plus one month.

Australian working life residence (special needs age or disability support pensioner couples)

796 - B5     If:

  (a)   a person is receiving a special needs age pension or a special needs disability support pension; and

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

  (c)   the person's partner is receiving an age or disability support pension or a special needs age or disability support pension; and

  (d)   the partner's period of Australian working life residence is longer than the period that would be the person's period of Australian working life residence under point 796 - B2;

the person's period of Australian working life residence is to be equal to the partner's period of Australian working life residence.

Australian working life residence (member of former special needs age or disability support pensioner couple)

796 - B6     If:

  (a)   a person is receiving a special needs age pension or a special needs disability support pension; and

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

  (c)   the person ceases to be a member of a couple; and

  (d)   immediately before the person ceases to be a member of a couple:

  (i)   the person was receiving an age or disability support pension or a special needs age or disability support pension; and

  (ii)   the partner was receiving an age or disability support pension or a special needs age or disability support pension; and

  (e)   the partner's period of Australian working life residence (immediately before the person ceases to be a member of a couple) is longer than the period that would be the person's period of Australian working life residence under point 796 - B2;

the person's period of Australian working life residence is to be equal to the partner's period of Australian working life residence (immediately before the person ceases to be a member of a couple).

Australian working life residence (special needs wife pensioner)

796 - B7     If a person is receiving a special needs wife pension, the person's period of Australian working life residence is equal to the period of Australian working life residence of the person's partner.

Australian working life residence--second special needs pension

796 - B9     If:

  (a)   a special needs pension is payable to a person (in this point called the initial pension ); and

  (b)   the special needs pension is cancelled or ceases to be payable automatically; and

  (c)   another special needs pension is payable to the person (in this point called the second pension ); and

  (d)   the person's period of Australian working life residence in respect of the second pension is shorter than the period that was the person's period of Australian working life residence for the purposes of calculating the person's initial special needs pension;

the person's period of Australian working life residence for the second pension is to be equal to the period of Australian working life residence used in calculating the person's initial pension.

Residence factor (period of Australian working life residence 25 years or more)

796 - C1     If a person's period of Australian working life residence is 300 months (25 years) or more, the person's residence factor is 1.

Note:   If a person's residence factor is 1, the person's overseas pension will be payable overseas at the full domestic rate (less any rent assistance and any and remote area allowance).

Residence factor (period of Australian working life residence under 25 years)

796 - C2     If a person's period of Australian working life residence is less than 300 months (25 years), the person's residence factor is:

Start formula start fraction person's Australian working life residence over 300 end fraction end formula


AustLII: Copyright Policy | Disclaimers | Privacy Policy | Feedback