B46/1990 STATUTORY PENSION INCREASES EDUCATION ALLOWANCE AND ORPHAN'S PENSION FROM 10 JANUARY 1991 - ADP PROCEDURES

DATE OF ISSUE:  16 DECEMBER 1990

STATUTORY PENSION INCREASES EDUCATION ALLOWANCE AND ORPHAN'S PENSION FROM 10 JANUARY 1991 - ADP PROCEDURES

Introduction

1.The rates of the allowances paid to children in the Veterans' Children Education Scheme (VCES) have been reviewed and adjusted to bring them into alignment with rates in the AUSTUDY or ABSEC schemes.  The annual indexation increase in Orphans Pensions, and the VCES adjustment will be effective from 10 January 1991.

2.The new rates for Orphans Pensions will be:

Double Orphan rate$103.00 per fortnight

Single Orphan rate$ 51.50 per fortnight

3.Children paid under their own suffix without an adult also in payment are outside the scope of PIPS and  can't be increased in the same manner as other Pensions.

4.A separate instruction has been prepared for the APC and Guardian's Allowance increase from the same effective date.

5.Processing will be divided into cases updated automatically, and cases requiring manual action.

6.Replacement ADP Pension Payments Code Book and Rates Charts will be produced and distributed separately.

PROCESSING

Automatic Cases

7.Where possible, rates will be increased automatically by program RSPYAL05.

Manual Cases

8.Manual cases will be listed on action schedules with all PMF segments shown at pre-increase rates.  Manual action will comprise entering the new rate in the "new fortnightly" column and where necessary, amending the pension category and/or code of the relevant segment.

9.Any cases with pension codes which became invalid following the Pension Payments conversion run (24-25 November) will require manual action to eliminate the joint/miscellaneous codes involved.

10.Care must be taken when performing output examining checks, to ensure that the Education Allowance increase transaction has not deleted a one-time adjustment, applied to the Payment Master File between the commencement of pay-period 40 and the manual update.

Suspensions

11.  Should any records contain a suspension (category 71) action will be required as follows after the runs on 15-16 December:

.Increase the suspension component to the new rate and continue EA, if this has already been increased by the automatic runs.

.Increase the suspension component and EA if this has not been increased by the automatic runs.

Punching of Transactions from Action Schedules

Pay Period

12.The pay period of the effective date (40) should be entered for both cheque and direct credit payees.  The day within pay period field may be left blank.

Keyfast Batch Description

13.Manual transactions should be transmitted under the usual Pension Payment KEYFAST Code of $PENSIO by cutoff for payday 10 January 1991.

Parameter Cards

14.Listings of the parameter cards used in processing these increases are attached.  These listings should be checked by an officer of your Branch to ensure that they are correct before processing commences.

NCC Implications

15.This exercise is scheduled for 15/16 December 1990 in conjunction with the Statutory Pension Increase - Additional Pension for Children and Guardians Allowance exercise.  Any automatic advice produced will be a "short" advice.  Benefits Applications Section will provide direct to the NCC the schedule for these exercises.

Contact Officer

16.  Should you have any difficulties with the exercise or find any discrepancies in the parameter cards please notify GLENYS BULTERS, telephone (06) 289 6019.  The after hours contact officer is KEN STEWART telephone (06) 282 4794.

JIM DALTON

ASSISTANT SECRETARY

PLANNING AND MANAGEMENT