11.5 Manner of Payment
This chapter outlines [glossary:Commission:545] policy concerning the manner in which pension payments are made to pensioners.
See Also
Manner of Payment
Chapter 11.1 Effective Dates and Pension Periods
Chapter 11.3 Agents and Trustees
11.4.5 Bar to Portability - Pension Claimed During Temporary Return to Australia
Circumstances where portability is barred
Service Pension and Income Support Supplement are not payable outside Australia to a former resident of Australia who:
- returns to Australia, and
- lodges a claim for service pension, or ISS within 12 months of their return, and
- leaves Australia again before the 12 months has ended.
Exemption from bar to portability
Effective Dates for Review Requested by Pensioner
Review requested by a pensioner
If the pensioner requests a review of established holdings of managed investments and shares, the effective date will be:
Non-taxable Income Support Payments
Invalidity service pensions
Invalidity [glossary:service pension:245] is not taxable when paid to a pensioner who is under [glossary:age pension age:469].
Partner service pensions
Partner service pension is not taxable when paid to a pensioner who is:
Receipt of Gifts or Benefits
Impartiality may not be compromised by acceptance of gifts or benefits
The Public Service Act, 1999 specifies that a public servant must not take advantage, or seek to take advantage, of their official position in order to obtain a benefit for either themselves or someone else. Benefits that may compromise the ethics of a decision maker include:
11.5.4 Payment by Group Payment
Last amended: 27 October 2004
What is group payment
Group payment involves combining the pension instalments for a group of pensioners resident at one institution (eg a nursing home) and making one direct credit to that institution to cover the total of all combined instalments of the individuals within the group.
11.2.2 Instalments and Dates of Effect for Payments, Pensions and Allowances
Instalments of disability compensation payment and war widow's/widower's pension
[glossary:Disability compensation payments:574] and [glossary:war widow's/widower's pensions:705] are paid fortnightly in arrears. An instalment is payable in respect of the number of days in each fourteen day pension period for which the person is eligible and the pension is payable. (There is however no DCP/WWP entitlement in the payment/pension period in which the disability compensation payment recipient or war widow/er pensioner dies).
Effective Dates for Post-Bereavement Reviews
Last amended: 6 April 2010
11.6.3 Tax Free Payments and Benefits
Income testing of other benefits
In addition to taxable income, an individual may be required to declare certain non-taxable payments on their income tax return for the purpose of income testing for other government benefits (eg. family payments, child care benefits, tax offsets).
Payments which may be taken into account for income testing other government benefits are defined in the A New Tax System (Family Assistance) Act 1999 as a “tax free pension or benefit”.