Deductions from Pension Payments

Last amended: 22 September 2009

Reduction of the pension payable

The amount of pension payable on a pension payday can be reduced because of:

• advance payment of pension, or
• recovery of overpayment or debt.

Advance payment deductions

Income support pensioners can be paid an advance payment of an amount of their pension. The advance payment is to be repaid by fortnightly deductions from ongoing pension payments over the maximum period of six months.    

Deductions from pension because of overpayment or debt

Where there has been an overpayment or a debt incurred:

• a deduction may be made from a person's pension, or
• if a pensioner is willing to have a limitation imposed on their pension to recover a third party's debt and consent is given in writing, deductions can be made from their pension.    
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  Chapter 12.6 Overpayments

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