Differences between Temporary Special Rate of disability pension and LOE | Compensation and Support Reference Library, Commission Guidelines, CM7030 Application of the Loss of Earnings Allowance Provisions, Eligibility for the Loss of Earnings Allowance

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Differences between Temporary Special Rate of disability pension and LOE

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The LOE Allowance is provided under [glossary:section 108 of the VEA. Unlike the TSR:LEGIS/VEA/section 108] pension, eligibility for the LOE Allowance is not dependent on a person's level of incapacity from accepted conditions or the number of hours they are able to undertake remunerative work.

This table outlines the key differences to be considered when determining whether or not a veteran or member is eligible for either the [glossary:TSR:DEF/Temporary Special Rate (TSR)] or LOE Allowance.

Temporary Special Rate
of disability pension

Loss of Earnings Allowance

Age

There are no age requirements or limits. However, there are specific work history requirements for veterans aged 65 years and over.

No age requirements/limits.

Disability level

Veteran is assessed at 70% incapacity or more due to accepted conditions.

No minimum level of disability pension.

Work capacity

Veteran is temporarily incapable of undertaking remunerative work for more than 8 hours a week due to accepted conditions alone.

No work capacity or work hours requirements.

Work History

Veteran is prevented from continuing their remunerative work due to their accepted conditions alone.

If claiming at or over age 65, the veteran:

  • was undertaking their last paid work after turning 65;
  • had been in that last paid work for a continuous 10-year period that commenced prior to the veteran turning 65; and
  • has ceased their last paid work.

No work history or specific age requirements or limits.

Loss

Loss of salary, wages or earnings as the veteran is prevented from continuing their remunerative work due to accepted conditions alone.

Loss of salary, wages, or earnings due to the veteran (being absent from work):

  • undergoing treatment for a service-related condition; or
  • waiting for the supply/repair of an aid; or
  • having no benefit to cover an absence for another illness, after using sick leave for their accepted conditions; or
  • attending an appointment arranged by DVA.

Duration

Paid during the period incapacity is likely to continue based on medical evidence. If granted, is subject to review prior to expiration of the scheduled payment period.

Paid for the period of actual lost salary, wages or earnings due to absence from work.

Amount of Compensation

Statutory rate regardless of actual amount of earnings.

The lesser of:

  • the Special rate pension minus the veteran's present disability pension, and
  • the amount of salary, wages or earnings actually lost.

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