External

Departmental Instruction

DATE OF ISSUE: 10 MARCH 1994

MARCH 1994 QUARTERLY ADVICES

TABLE OF CONTENTS

Introduction...............................................................76

Associated Departmental Instructions............................................76

Regulation 45A certification...................................................76

Pensioners For Whom An Advice Will Be Generated.................................77

Components for the March Quarterly Advice Mailout.................................77

Pension Indexation - Pensions, Rent Assistance and Rent Thresholds Indexations.....77

Shares 'Global' Reassessment...........................................78

MI 'Global' Reassessment..............................................79

Telephone Allowance - Quarterly Payment..................................79

Advices - General..........................................................80

ADP Processing.....................................................80

Timetable..........................................................80

Holding of Daily Advices................................................80

Despatch of Quarterly Advices...........................................81

Reprint of Selected Advices.............................................81

Liaison with Ferntree Computer Centre (NCC)................................81

Contact numbers.....................................................81

THIS ATTACHMENT HAS BEEN REKEYED TO ENABLE IT TO BE INCLUDED ON "THE GENERAL" 82

Departmental Instruction: B17/94.............................113

March Quarterly Advice - Mock-ups......................................8

Introduction

The Department's Quarterly Advices facility has been designed to enhance communication between the Department and the veteran community. In general, Quarterly Advices are sent in January, March, June and September of each year. Advices are sent to service pensioners, some disability pensioners and some war widows. The size of the mailout is dependent on the issues (eg. Budget changes, payment of TA etc) current at that time.

2.The March Quarterly Advice mailout will incorporate the following events for pay-day 31 March 1994:

.pension indexation;

.rent assistance and rent threshold indexation;

.telephone allowance payment;

.shares reassessment;

.managed investment reassessment; and

.clarification of DVA pharmaceutical benefits.

3.The reassessment processing run and Advice production will be conducted on the weekend of 12/13 March 1994. Deprived Assets and Profit Fort will not be run prior to the weekend Quarterly Advices run.

4.The major reassessment program ("BAL") will be run to reassess cases affected by any of the events above. Detailed ADP processing requirements will be sent separately to Branch System Support Officers.

Associated Departmental Instructions

5.DI B26/92 outlined general principles covering the issue of quarterly advices. In addition, System Support Officers have been provided with copies of the rules for this processing run, entitled March 1994 Quarterly Advices System Rules and Components, which contains details of paragraph wording.

6.The payment processing is scheduled from Friday evening 11 March till Sunday evening 13 March 1994. A processing timetable appears later in this instruction.

Regulation 45A certification

7.The Assistant Secretary of both Benefits Planning & Management and IT Applications Branches in Central Office will attest to the correctness of the new data and the programs used to conduct the exercise. Certificates in the terms of Finance Regulation 45A will be forwarded to the Authorising Officer in your Finance Branch.

Pensioners For Whom An Advice Will Be Generated

8.A quarterly advice is to be produced:

(a)where service pension and/or, rent assistance is varied as a result of indexation. The advice may include other relevant paragraphs

.where a service pensioner has shares and/or managed investments particulars recorded in the assessment;

.where a service pensioner is in receipt of telephone allowance;

.where the person is the holder of a Pensioner Concession Card (PCC) and a DVA treatment card and service pension is payable (not overseas).

(b)where disability pensioner or war widow(er)s pension without SP is varied as a result of indexation and the pensioners are in receipt of telephone allowance;

(c)where a WW1 veteran not in receipt of service pension or disability pension is in receipt of telephone allowance and has a PMF record.

9.The estimated numbers of advices for this run are as follows:

War Widows with TA — 75,000

DP only clients with TA — 5,000

SP, no MI, no shares, no TA — 20,000

SP, no MI, no shares, with TA — 159,500

SP, MIs, no shares, with or without TA — 27,000

SP, no MIs, shares, with or without TA — 3,000

SP, MIs, shares, with or without TA — 2,500

TOTAL292,000

Components for the March Quarterly Advice Mailout

Pension Indexation - Pensions, Rent Assistance and Rent Thresholds Indexations

10. Service pensions, disability pensions, war widow(er) pensions, rent assistance, rent thresholds and treatment thresholds are to be increased in line with movements in the consumer price index (CPI). The effective date for payment is 31 March 1994.

11.In general terms, pension and allowances will be increased with effect from 31 March 1994: the exception is rent assistance. Whilst the maximum rates of rent assistance will be increased, the rent thresholds (ie. the minimum amount of rent a person must pay to qualify for rent assistance) are also being indexed on 31 March 1994. Indexation of the rent thresholds means that service pensioners with 'non-saved' rent assistance may have their rent assistance reduced or cancelled.

Quarterly Advice Processing

12.A quarterly advice will be produced for all service pensioners, for disability pensioners and war widow(er)s affected by indexation and who are in receipt of telephone allowance and for WW1 veterans not in receipt of service pension or disability pension but in receipt of telephone allowance and with a 'PMF' record. The range of paragraphs, the circumstances under which these will be applied and the paragraph wording are shown in the March 1994 Quarterly Advices System Rules & Components document. Mock-up sample advices are at Attachment A.

Client Impact

13.Approximately 292,000 pensioner households will receive a quarterly advice regarding indexation.

Shares 'Global' Reassessment

14.A 'Global' reassessment run will be conducted for pay-day 31 March 1994. The reassessment program will reassess both pre and post 19 August 1992 shares. Reassessment of post 18 August 1992 shares may have a direct effect (due to the MI/shares offsetting provisions) on the income assessed for managed investments.

15.There may be increases, decreases or continuations as a result of reassessment.

16.Payments which may be affected include service pension, DCAO, GA and RA. All shares acquired before 19 August 1992 are 'saved' and assessed under the old rules.

Quarterly Advice Processing - Shares

17.Quarterly advice paragraphs will be produced for service pensioners with shares. Additional paragraphs regarding the new offsetting provisions will be included where a person has both managed investments and post 18 August 1992 shares recorded in the assessment.

18.The range of paragraphs, the circumstances under which these will be applied and the paragraph wording are shown in the March 1994 Quarterly Advices System Rules & Components document. Mock-up sample advices are at Attachment A.

MI 'Global' Reassessment

19.A 'Global' reassessment run will be conducted for pay-day 31 March 1994. There may be increases, decreases or continuations as a result of the reassessment.

20.Payments which may be affected include service pension, DCAO, GA and RA.

Quarterly Advice Processing - Managed Investments

21.Quarterly advice paragraphs will be produced for service pensioners with managed investments. Additional paragraphs regarding the new offsetting provisions will be included where a person has both managed investments and post 18 August 1992 shares recorded in the assessment.

22.The range of paragraphs, the circumstances under which these will be applied and the paragraph wording are shown in the March 1994 Quarterly Advices System Rules & Components document. Mock-up sample advices are at Attachment A.

Telephone Allowance - Quarterly Payment

23.The first quarterly payments of Telephone Allowance (TA) were made in July 1992. Departmental Instruction B25/92 sets out the eligibility criteria and processing guidelines. That instruction should be consulted as necessary, but references to processing dates should of course be ignored.

Quarterly Advice Processing

24. Telephone Allowance will be paid to eligible pensioners for pay day 31 March 1994 in the normal way. A Telephone Allowance (TA) paragraph will be included for any automatic assessment where TA is payable.

25.Cases which have a manual method of assessment (e.g. War Widow with SP, Hardship etc.) and which are eligible for TA will not have a 'TA only' quarterly advice generated. Branches will need to advise clients of TA payment when notifying of any pension variations actioned manually.

26.The range of 'telephone allowance' paragraphs, the circumstances under which these will be applied and the paragraph wording are shown in the March 1994 Quarterly Advices System Rules & Components document. A mock-up sample advice is at Attachment A.

Rates Of Telephone Allowance

27.Three rates of TA are payable; the World War 1 rate, the Base rate and half the Base rate. The rates of TA are:

.Half Base Rate - $6.80;

.Base Rate - $13.60; &

.WW1 Rate - $42.50.

Advices - General

ADP Processing

28.Detailed information regarding ADP Processing will be issued to State Systems Support Officers in a separate memorandum. The Systems Support Officers will be issuing a local processing timetable and should be consulted on any matter concerning ADP Processing.

Timetable

29.Key time frames of advices are summarised below. The first processing run will begin on the evening of Friday 11 March 1994.

DateEvent

Friday 11 Mar 1994 — Cut off for pay period 45 (17 Mar 94)

Friday 11 Mar 1994 (p.m.)Day 1 processing for pay period 46 (31 Mar 93). Daily advices from this processing to be despatched immediately.

Friday 11 Mar (pm) to Sat. 12 Mar. BAL re-assessment run.

Sat. 12 Mar — Quarterly Advices processing runs.

Mon. 14 Mar until cut-off for pay 46 — Examiner action on manual schedules for SP & DP.

Quarterly Advices progressively lodged with Australia Post from 21 Mar to 25 Mar.

Holding of Daily Advices

30.Cases processed in advance for 'Day 1' of pay period 46 (31 March 1994) should have the daily advice despatched prior to the Quarterly Advice being sent.

31.Daily payment advices produced after the processing run on 12/13 March 1994 for pay period 46 (31 March 1994), should be held by Branch Offices until confirmation is received from the Quarterly Advices Project Manager in Central Office to release such advices. This will ensure that pensioners who have pension variations processed for payday 31 March 1994 will receive their daily advice after the quarterly advice rather than in advance of it.

32.To minimise the number of daily advices to be held whilst quarterly advices are processed, it is suggested that only manual cases (and essential processing) should be processed for pay day 31 March 1994. General pensions processing should continue unabated but should be submitted for the subsequent pay day ie. pay period 47 - 14 April 1994.

Despatch of Quarterly Advices

33.The quarterly advices will be progressively lodged with Australia Post by the mailing house in Canberra, during the period 21 March 1994 to 25 March 1994. As soon as each State's advices have been lodged, the CO Project Manager will advise the appropriate Branch contact officer.

Reprint of Selected Advices

34.Any requests for reprints of individual Quarterly Advices should be referred through Branch Office System Support Officers to the Benefits Application Help Desk on (06) 289 6216.

Liaison with Ferntree Computer Centre (NCC)

35.The Veterans Services Applications Branch will provide NCC with a schedule of computer runs for this exercise. Benefits SM&S Section will supply an after hours contact number closer to the processing date.

Contact numbers

36.Any enquiries should be directed to Margaret Crombie in Policy Development & Implementation Section, on (06) 289 6187 or Tony Whelan, on (06) 289 6684. Facsimile messages should be sent to (06) 289 6553.

KAY GRIMSLEY

ASSISTANT SECRETARY INCOME SUPPORT

THIS ATTACHMENT HAS BEEN REKEYED TO ENABLE IT TO BE INCLUDED ON "THE GENERAL"

SERVICE PENSIONER COUPLE - Indexation & TA payment

Commonwealth Department of

Veterans' Affairs

BRANCH OFFICE

Centennial Plaza

280 Elizabeth Street

Sydney NSW 2000

Postal Address:

BARNEY RUBBLE — GPO Box 3994, Sydney NSW 2001

WILMA RUBBLE — 425 BRONTESAURUS WAY — Telephone:

TIMEWARP TOWN 2999 — Metropolitan residents: 213 7777

Country residents: 008 257251

14 March 1994

YOUR FILE NUMBER IS NX543210

Dear Mr and Mrs RUBBLE

This letter gives you details of your pension payment from Veterans' Affairs.

Indexation of pension

Service pensions and disability pensions have been increased in line with movements in the consumer price index (CPI). The new rates will be paid on pay day 31 March 1994.

Payment details

The fortnightly rate of pension you will receive from 31 March 1994 is set out below.

PAYMENTS TO BARNEY RUBBLE and WILMA RUBBLE

Service pension — 230.00 — 230.00

Pharmaceutical Allowance 2.60 — 2.60

TOTAL FORTNIGHTLY PAYMENT$232.60$232.60

Telephone Allowance

Your quarterly Telephone Allowance of $6.80 each will be paid to you on 31 March 1994 in addition to that fortnight's pension payment. Your next payment of Telephone Allowance will be on 7 July 1994. You must tell us if you cease to be a telephone subscriber.

Your obligations to the Department

Your obligations have been explained to you in previous advices. These obligations still apply, but the relevant income and asset levels may have changed. These are shown below.

Your service pension is paid under the income test at less than the maximum rate. You must tell the Department within 21 days if your combined income (apart from Veterans' Affairs pensions) rises above $797 a fortnight. You must also tell us if the value of your assets rises above $240,000.

You can do this by telephoning or writing to us or by visiting any Department of Veterans' Affairs office. If you telephone, we may ask you to confirm information in writing or to send us certain documents which are related to the matter.

If you do not tell us of these changes you may be overpaid. Penalties apply for failing to fulfil your obligations or for providing false or misleading information. The authority for this obligation is under Section 54 of the Veterans' Entitlements Act.

Changes you have already told us about

If you have told us recently about a change to your income and assets or your domestic situation, it may not have been processed before this letter was sent. If so, we will send you another letter as soon as the change has been finalised.

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

Yours sincerely,

G K Stonehouse

Deputy Commissioner as

Delegate of the Secretary

SERVICE PENSIONER COUPLE - Indexation, Shares Reassessment & Telephone Allowance payment.

Commonwealth Department of

Veterans' Affairs

BRANCH OFFICE Centennial Plaza 280 Elizabeth Street Sydney NSW 2000 Postal Address: YOSEMITE B SAM

GPO Box 3994, Sydney NSW 2001SARAH JANE SAM Telephone:220 DRY GULCH ROAD Metropolitan residents: 213 7777

CACTUS STUMP 2888 — Country residents: 008 257251 14 March 1994 YOUR FILE NUMBER IS NX555550

Dear Mr and Mrs SAM

This letter gives you details of your pension payment from Veterans' Affairs.

Indexation of pensions

Service pensions and disability pensions have been increased in line with movements in the consumer price index (CPI). The new rates will be paid on pay day 31 March 1994.

Shares

Your shares have been reassessed for pay-day 31 March 1994. The income and assets values for all your listed shares are detailed separately in this letter.

Payment details

The fortnightly rate of pension you will receive from 31 March 1994 is set out below.

PAYMENTS TO YOSEMITE SAM and SARAH JANE SAM

Service pension — 200.00 — 200.00

Dependant Child Add-On — 64.20

Pharmaceutical Allowance2.60 — 2.60

TOTAL FORTNIGHTLY PAYMENT$266.80$202.60

Telephone Allowance

Shares and Securities assessed as PRE-19 August 1992 acquisitions.

Share — No. of Asset — Dividend — Income Per

shares — Value (Cents per share)Fortnight

CRA LTD.-$1.00 ORDINARY

FULLY PAID — 5,200$32,240 — 7,2129$14.40

BROKEN HILL PTY.LTD-$1.00

ORDINARY FULLY PAID — 3.540$49.614 — 8.5996$11.70

M.I.M. HOLDINGS LTD-$0.50

ORDINARY FULLY PAID — 1,100$ 4,950 — 9.1980 $3.89

TOTAL PRE 19/8/92 SHARE INCOME FOR PENSION PURPOSES$29.99

Your right of review

If you do not agree with a decision affecting your rate of service pension, you may apply to have it reviewed by a delegate of the Repatriation Commission. The Delegate may decide the original decision was correct, or may decide to change it. If the decision is changed, your pension may be increased or reduced.

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.

Your obligations to the Department

Your obligations have been explained to you in previous advices. These obligations still apply, but the relevant income and asset levels may have changed. These are shown below.

Changes you have already told us about

Pharmaceutical and Medical Benefits

Pharmaceutical Benefits

From the first of January, your new Pensioner Concession Card (PCC) replaced the Pensioner Health Benefits and Transport Concession cards.

The new PCC allows you to get prescriptions filled at your pharmacy at the concessional rate. The Veterans' Affairs number on the front of the card is the number the pharmacists need for their records. If you have a lilac plastic Dependant Treatment Entitlement Card, or a red plastic Service Pensioner Benefits Card, you may use either that card or your PCC to obtain the concession on your prescriptions.

If you have a yellow plastic Personal Treatment Entitlement Card, continue to use that card for all prescriptions. If you have a white plastic Specific Treatment Entitlement Card, continue to use that card for presciptions needed for your DVA accepted disabilities and use your PCC for all others.

Medical and associated treatment

If you have a yellow, red or lilac plastic Treatment Entitlement Card, show that card when obtaining medical treatment.

If you have a white Specific Treatment Entitlement card, only use that card for medical treatment of your DVA accepted disabilities; continue to use your Medicare card for other medical treatment.

Other Benefits

Your PCC also entitles you to a range of other concessions which are listed in the letter sent with your PCC.

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

Yours sincerely,

G K Stonehouse

Deputy Commissioner as

Delegate of the Secretary

SERVICE PENSIONER COUPLE - Indexation, Shares Reassessment & Telephone Allowance payment.

Comonwealth Department of

Veterans' Affairs

BRANCH OFFICE

Centennial Plaza

280 Elizabeth Street

Sydney NSW 2000

Postal Address:

GRAEME TASWEGIAN — GPO Box 3994, Sydney NSW 2001

MARGARET TASWEGIAN

554 GRANNY SMITH RD — Telephone:

APPLE GROVE 7777 — Metropolitan residents: 213 7777

Country residents: 008 257251

14 March 1994

YOUR FILE NUMBER IS NX121212

Dear Mr and Mrs TASWEGIAN

This letter gives you details of your pension payment from Veterans' Affairs.

Indexation of pensions

Service pensions, disability pensions, maximum amount of rent assistance and rent thresholds have been increased in line with movements in the consumer price index (CPI). Indexation of rent thresholds may result in a variation of rent assistance for some pensioners. The new rates will be paid on pay day 31 March 1994.

Reassessment of managed investments

Managed investment products have been reassessed for pay-day 31 March 1994. The income and assets values for all your managed investments are detailed separately in this letter.

Shares

Your shares have been reassessed for pay-day 31 March 1994. The income and assets values for all your listed shares are detailed separately in this letter.

Payment details

The fortnightly rate of pension you will receive from 31 March 1994 is set out below.

PAYMENTS TO GRAEME TASWEGIAN and MARGARET TASWEGIAN

Service pension — 190.00 — 190.00

Rent Assistance — 31.50 — 31.50

Pharmaceutical Allowance2.60 — 2.60

TOTAL FORTNIGHTLY PAYMENT$224.10$224.10

Telephone Allowance

Managed Investments

Managed InvestmentUnitsAssetRate ofFeeIncome

ValueReturn/Deduction Per

CentsPerFortnight

Per UnitFortnight(Less Fee

Deduction)

MANCHESTER UNITY

HIBERNIAN FRIENDLY

SOCIETY - S-

FLEXISHIELD BOND — N/A$19,136.7-8.100%N/A-$59.61

Ongoing Income Only

SCHRODES AUSTRALIA

MANAGEMENT LTD - N

- PROPERTY FUND-

0RDINARY UNITS — 2,387$5,203.66 — 22.000c — N/A$20.19

Income Plus Capital Growth

MANAGED INVESTMENT INCOME FOR PENSION PURPOSES-$39.42

GUIDE TO TABLE

Ongoing Income Only - Income is assessed as it accrues based upon any dividends and any rise or fall in the value of the investment over a 12 month period, and only whilst the investment is held.

Income Plus Capital Growth - In addition to any income distributions that may currently be assessed, capital growth may also be assessable if the investment matures, or it is sold, surrendered, transferred, gifted, or it is fully or partially withdrawn.

Shares and Securities assessed as ON or POST-19 August 1992 acquisitions.

ShareNo. of AssetRate ofIncome Per

sharesValue ReturnFortnight

CRA LTD.-$1.00 ORDINARY

FULLY PAID — 10,000$12,000 — 25.00%$115.38

BROKEN HILL PTY.LTD-$1.00

ORDINARY FULLY PAID — 4,127$50,000 — 20.27%$195.27

M.I.M. HOLDINGS LTD-$0.50

ORDINARY FULLY PAID — 218$ 2184-4.20%-$3.42

TOTAL FEE DEDUCTION AS DEDUCTION AS DEDUCTIBLE INCOME-$57.24

ON OR POST 19/8/92 SHARE INCOME AND FEES FOR PENSION PURPOSES$249.99

OFFSETTING PROVISIONS

For pension purposes, any fees or negative income included in the assessment of managed investments or shares can be offset against any positive income assessed against ongoing managed investments or listed shares assessed as acquired on or post-19/8/92. The total for fees, ongoing managed investment income and income for listed shares assessed as acquired on or post-19/8/92 is shown below. Note: if this total is negative, no income is recorded for service pension purposes.

TOTAL INCOME FROM SHARES ASSESSED AS ON OR POST 19/8/92 AND

ANY ONGOING MANAGED INVESTMENT INCOME.$210.57

Shares and Securities assessed as PRE-19 August 1992 acquisitions.

ShareNo. of AssetDividendIncome Per

sharesValue (Cents per share)Fortnight

CRA LTD.-$1.00 ORDINARY

FULLY PAID — 5,200$32,240 — 7,2129$14.40

BROKEN HILL PTY.LTD-$1.00

ORDINARY FULLY PAID — 3.540$49,614 — 8.5996$11.70

M.I.M. HOLDINGS LTD-$0.50

ORDINARY FULLY PAID — 1,100$ 4,950 — 9.1980 $3.89

TOTAL PRE 19/8/92 SHARE INCOME FOR PENSION PURPOSES$29.99

Your right of review

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.

Your obligations to the Department

Your obligations have been explained to you in previous advices. These obligations still apply, but the relevant income and asset levels may have changed. These are shown below.

Your service pension is paid under the income test at less than the maximum rate. You must tell the Department within 21 days if your combined income (apart from Veterans' Affairs pensions) rises above $227 a fortnight. You must also tell us if the value of your assets rises above $290,500.

Changes you have already told us about

Pharmaceutical and Medical Benefits

Pharmaceutical Benefits

From the first of January, your new Pensioner Concession Card (PCC) replaced the Pensioner Health Benefits and Transport Concession cards.

Medical and associated treatment

If you have a yellow, red or lilac plastic Treatment Entitlement Card, show that card when obtaining medical treatment.

If you have a white Specific Treatment Entitlement card, only use that card for medical treatment of your DVA accepted disabilities; continue to use your Medicare card for other medical treatment.

Other Benefits

Your PCC also entitles you to a range of other concessions which are listed in the letter sent with your PCC.

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

Yours sincerely,

G K Stonehouse

Deputy Commissioner as

Delegate of the Secretary