B19/1994 INDEXATION OF INDEXED BRITISH RETIREMENT INCOME (BRI) SUPERANNUATION TYPE CODE (09)

DATE OF ISSUE:  1 JUNE 1994

INDEXATION OF INDEXED BRITISH RETIREMENT INCOME (BRI) SUPERANNUATION TYPE CODE (09)

INTRODUCTION

1.In April 1994, the British Government applied a 1.8% increase in line with their Retail Price Index, to the National Insurance benefit paid to their beneficiaries.  This increase affects the following pensioners paid by this department:

• service pensioners in receipt of British Department of Social Security pension who live in any country other than Australia, Canada or New Zealand,

• service pensioners in receipt of a British Indexed Pension (Superannuation Type Code 09)(i.e. Public Service, Navy, Teachers etc) regardless of the country of residence.

EFFECTIVE DATES

Indexation

2.The 1.8% variation is to be effective from pay-day 23 June 1994.

3.The amount recorded as super type 09 will be varied by applying a conversion factor which is calculated as follows:

new exchange rate $2.0767=  1.018

old exchange rate$2.0400

4.The amount in Australian Dollars of income recorded as British Retirement Income superannuation type 09 will be multiplied by the conversion factor of 1.018 to find the new rate of superannuation.  The pension amount will then be reassessed accordingly.

Automatic Superannuation Processing Timetable

5.This exercise is scheduled for processing on Tuesday evening, 7 June 1994.

NCC IMPLICATIONS

6.The NCC will be printing the advices and despatching them to the Branch Offices for manual distribution.  Advices produced for pensioners resident overseas will be separated and forwarded to the Tasmanian Branch Office for distribution.  Special Register cases will not have an advice produced, these cases will be listed on the exception report.  A full advice will be generated for any fringe benefit/change of treatment cases.

MANUAL CASES AND MS CASES

7.Cases with actions in SB or PY status will not be processed.  These cases will be listed on the manual case listing for follow up action, and CMS/PIPS cases will be created automatically for Branch Office action.

ADVICE LETTERS

8.An advice will be generated for those cases where a 'variation' in pension payment occurs as a result of the indexation exercise.  A standard one page advice containing the indexation information and payment information line advising pensioners of their fortnightly payment will be produced.  Where a joint advice is generated both the veteran and partner will each have a payment information line. A copy of the advice to be produced is at Attachment A.

9.Before the advices are despatched from your Branch, a sample check should be carried out to ensure they contain the correct Branch Office address, signature block, payment information, and the pensioner is a recipient of super code type 09.

OVERSEAS CASES

10.If a pensioner in receipt of British Department of Social Security Retirement pension is living in any country other than Australia, Canada, or New Zealand, the 1.8% increase should be applied and the Service pension varied accordingly with an effective date of 23 June 1994.

11.Service pensioners who receive British DSS pension and are holidaying in any country, with the exception of Canada or New Zealand, are eligible for the increase.  The increase will be paid if the British DSS know of the pensioners whereabouts.  On their return to Australia these pensioners should be sent an income review.  If the holiday was to England the pension may be increased to the level it would have been paid at if the pensioner had never left the UK.

12.Service pensioners in receipt of a British Indexed Pension will have their British pension increased regardless of the country of residence.  These cases should all be recorded as super type 09 (British Indexed Pension).  All such pensions should be reassessed with an effective date of 23 June 1994.

CONTACT OFFICER

13.The Benefits contact officers for this exercise will be:

Paul WoodTelephone:              (06) 289 6799 (Systems)

Pat WebbTelephone:              (06) 289 6444 (Policy).

KAY GRIMSLEY

ASSISTANT SECRETARY

BENEFITS INCOME SUPPORT

THIS ATTACHMENT HAS BEEN RE-KEYED TO ENABLE IT TO BE INCLUDED ON 'THE GENERAL'

ARTHUR J INWOOD

KELLY J INWOOD

46 DOMINION CIRCUIT

DEAKIN  ACT SA  5353

19 May 1994

YOUR FILE NUMBER IS VPX04701

Dear Mr and Mrs INWOOD

VARIATION TO YOUR SERVICE PENSION

The British Government has recently indexed British Retirement pensions by 1.8%.

The amount of income you receive from Indexed British Retirement Income is taken into account to work out the rate of service pension you receive.

The amount of service pension you receive will be varied from 15 June 1994.

Total fortnightly payment to ARTHUR J INWOOD will be $396.30.

Total fortnightly payment to KELLY J INWOOD will be $203.70.

If you do not agree with this decision, you may apply to have it reviewed by a Delegate of the Repatriation Commission.

Any request for a review must be made in writing within three months of the day you receive this letter.  Your letter should state the specific grounds for your request for review.

If you have any questions about this matter please contact this office at the address or telephone number shown at the top of this letter.

Yours sincerely,

Brian Flynn

Deputy Commissioner as

Delegate of the Secretary