DFISA was removed 1 January 2022. This is for historical reference only.
DFISA calculation and the compensation recovery rules
If the DFISA recipient's social security payment was reduced because of the compensation recovery rules in Part 3.14 of the Social Security Act 1991, a separate formula was used to calculate the rate of DFISA.
Social Security Act 1991: Part 3.14 Compensation Recovery
http://www.comlaw.gov.au/comlaw/management.nsf/lookupindexpagesbyid/IP200401781?OpenDocument
DFISA formula for compensation recovery cases
If the person's primary social security payment was subject to compensation recovery, both the notional rate and the actual rate were reduced before the rate of DFISA was calculated. The following table details these additional steps.
Step | Action |
1 | Calculate the person's actual rate |
2 | Subtract the amount by which that rate is reduced under the SSA compensation recovery rules. |
3 | Calculate the person's notional rate. |
4 | Subtract the amount by which that rate would be reduced under the SSA compensation recovery rules if it were the person's actual rate. (This is the same amount as in Step 2.) |
5 | Subtract the result of step 2 from the result of step 4. This gave the rate of DFISA payable. |
Compensation preclusion period and DFISA
If a person had received a lump sum compensation payment which attracted a lump sum preclusion period under the SSA, no DFISA was payable. This is because, during a lump sum preclusion period, the compensation affected payment was not payable. As a result, both their actual and notional rates of social security payment were nil.
Social Security Act 1991: Part 3.14 Division 3 Receipt of Compensation
http://www.comlaw.gov.au/comlaw/management.nsf/lookupindexpagesbyid/IP200401781?OpenDocument