5 Notional Assessments
When Disability Compensation Payment is paid in respect of incapacity from several conditions, a notional assessment is required to ascertain what portion of the Disability Compensation Payment is paid in respect of the compensable condition. The method for calculating this notional assessment is based on a but for rule. The first step is to calculate the rate of Disability Compensation Payment that would be paid to the veteran but for the incapacity arising from the compensable condition. This requires assessing a degree of incapacity under GARP, excluding the compensable condition. Compare this rate to the actual degree of incapacity. The difference between these two rates is the portion of Disability Compensation Payment paid in respect of the incapacity for the compensable condition. Excel templates for converting a lump sum are available on the DVA share drive.
Source URL: https://clik.dva.gov.au/compensation-and-support-reference-library/compensation-offsetting-guidelines/5-notional-assessments
5.1 Method of Calculation for More than One Compensable Condition
When Disability Compensation Payment is paid in respect of incapacity from several conditions, a notional assessment is required to ascertain what portion of the Disability Compensation Payment is paid in respect of the compensable condition. The method for calculating this notional assessment is based on a but for rule. The first step is to calculate the rate of Disability Compensation Payment that would be paid to the veteran but for the incapacity arising from the compensable condition. This requires assessing a degree of incapacity under GARP, excluding the compensable condition. Compare this rate to the actual degree of incapacity. The difference between these two rates is the portion of Disability Compensation Payment paid in respect of the incapacity for the compensable condition. Excel templates for converting a lump sum are available on the DVA share drive.
Source URL: https://clik.dva.gov.au/compensation-and-support-reference-library/compensation-offsetting-guidelines/5-notional-assessments/51-method-calculation-more-one-compensable-condition