5.9.4 DFISA Bonus (ceased 2022)

DFISA was removed 1 January 2022.  This is for historical reference only.

What was the DFISA bonus?

The DFISA bonus was a VEA payment. A person was entitled to the DFISA bonus if their social security pension bonus was reduced because of the inclusion of adjusted DP in the calculation of their age pension rate.

There was no DFISA bonus payable to a recipient of DFISA-like payment as the underlying payments that attracted a DFISA-like payment were not eligible for the social security pension bonus.

How was it calculated?

The DFISA bonus was the difference between:

• the amount of pension bonus received under social security law, and
• the amount of pension bonus that would have been received if adjusted DP had not been included in the assessment of age pension.

Any amount of DFISA bonus payable was calculated automatically, using the adjusted DP details from the age pension claim. There was no need to claim the DFISA bonus separately.

Who calculated the DFISA bonus?

The following table clarifies which agency calculated the DFISA bonus.

Who paid the DFISA bonus?

DVA paid the DFISA bonus, regardless of whether it was calculated by Centrelink or DVA.

DFISA bonus may have been payable where DFISA not payable

It was possible for a person to receive a DFISA bonus but not receive ongoing DFISA payments. Where the notional increase in age pension equalled the reduction applied to the notional rate of rent assistance, no DFISA was payable. However, because the pension bonus calculation does not take account of rent assistance, a DFISA bonus payment may have been payable.    

Example of DFISA bonus

Mrs Phillips registered with Centrelink for the social security pension bonus scheme in March 2004. On 27 March 2009 she claimed the age pension and the pension bonus and a bonus of $15,000 was payable. The amount was reduced because of her husband's adjusted DP. If adjusted DP were excluded from her age pension assessment she would have received a bonus of $18,500.

Centrelink advised DVA to pay a DFISA bonus of $3,500.

Impact on pension bonus eligibility if DFISA bonus received

Once a person had received a DFISA bonus they:    

• could no longer be a member of either the social security law or VEA pension bonus scheme, and
• could never receive a pension bonus.

Impact on pension bonus eligibility if DFISA payment received

Generally, if a person received DFISA after the age at which they would otherwise become eligible for a pension bonus under the VEA or the SSA, they:     

• could no longer be a member of either the social security law or VEA pension bonus schemes, and
• could never receive a pension bonus.

Note: This did not apply if the primary payment of the person, who received the DFISA, was a carer payment. That is, if their DFISA was paid in respect of carer service pension or carer payment.

DFISA top up

DFISA top ups could apply to pension bonus claims lodged on or after 1 January 2008.  They allowed pension bonus recipients to receive an extra amount on top of the pension/DFISA bonus they originally received if there was a reduction in their income and/or assets resulting in an increase in their combined rate of pension and DFISA within the first 13 weeks following the grant of the pension bonus.

There was no formal claim for the top-up.  The top up was a recalculation of the original bonus amount and was payable if they had received less than the maximum possible combination of pension rate and DFISA at the time the pension was granted.

DFISA bonus bereavement payment

From 1 January 2008, if a DFISA bonus would have been payable to a person who dies before claiming the person's social security pension bonus, a DFISA bonus bereavement payment may have been payable to the person's surviving partner. The payment was made automatically when the pension bonus bereavement payment was worked out. No separate DFISA bonus claim was required.