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5.3.4 Recoverable overpayment?

5.3.4.1Once the facts of the case have been established, a decision needs to be made about whether or not an overpayment of pension has occurred and if it is recoverable. For example, recovery of manual debts less than $200 may be automatically waived by a competent authority without first being investigated or calculated. Regard must be had to the cost effectiveness of the recovery. If it is clear that a recoverable overpayment has occurred which is likely to exceed $200, investigation should be undertaken. This would apply in cases where debts are still manually processed, such as those raised by the Death Processing System (DPS). While the $200 Ministerial waiver still exists, the automatic calculation of debts under DMRS means that it is now cost effective to recover most overpayments. If the person is in payment then recovery action is automatically initiated on all debts. If the person is no longer in payment a $50 threshold applies, and debts below this amount may be waived.