Once the details to be used in the calculation of the overpayment have been identified, you need to establish what rates were actually paid (the "off” rate) and what rate of pension should have been paid (the "on” rate). Always use the gross amounts of income paid in the calculations.
6.6.1.1 — An "off" rate is the rate of pension that the client was actually paid during the period of the overpayment.
6.6.1.2 — The pension file is a reasonable source for determining the off rates. However, with off file processing, global runs and other departmental updates (such as deeming), the file should be used more as a confirmation of the details used in the assessment at a certain time, rather than as a place to view a full list of rates previously paid.
6.6.1.3 — The VIEW payment history (Payment Master File / PMF History) tab records all the income support pension payments and allowances that have been paid from February 1993 to April 2000, with both taxable and non-taxable rates. The VIEW outward payments tab and the assessment outcome section of the pension assessment folder contain payment histories from April 2000 onwards. If the calculation is for a period prior to what is available on VIEW, the off rates can be obtained for periods prior to February 1993 by checking file and tax microfiche records held in the payments area of the State Office.
6.6.1.4 — What to look for when establishing "off” rates:
6.6.2.1 — An "on" rate is the rate of pension to which the client was actually entitled.
6.6.2.2 — These rates are assessed using the details of income and/or assets received during the period of the overpayment.
6.6.2.3 — The investigation stage will have established what details are to be used in the calculation of the overpayment. These details together with the relevant effective dates are entered on to the What if screen on PIPS to gain the rate of pension that should have been paid at that date. When utilising the What if screen, always request a print out (screen dump) for every variation and place on file as a record for Quality Assurance Officers (QAOs), and for other examiners to peruse if required. Be aware that when using certain effective dates, What If PIPS may not provide the correct “on” rates and deemed interest amounts. These effective dates are contained within this manual's Section 6.9 Historical Dates. Check with the System Support Officer (SSO) or QAOs for details and assistance.
Note:See also this manual's Section 6.8 Example of a Summary of Income/Assets to be used in Assessing “Off” and “On” Rates.
6.6.3.1 — Once the off and on rates have been established, the amount of debt is calculated using the following formula:
Total Debt |
= |
(Off Rate |
- |
On Rate) |
x |
number of paydays (or days as applicable) in overpayment period |
The formula may need to be repeated if there are rate variations during the overpayment period.
Automatic overpayments due to DOE provisions, calculated with effective dates post 21 April 2000, may be calculated using the Pensioner Information Processing System (PIPS). If an overpayment is calculated using PIPS, the overpayment amount will be automatically transferred to the Debt Management Recovery System (DMRS). Overpayments occurring prior to 21 April 2000 must be calculated manually e.g. Excel, or a calculation sheet. Manually calculated overpayments must be recorded manually in DMRS. The DMRS System manual can be accessed via the Intranet and contains the procedures for adding a debt to DMRS manually.
More ? [5]
Example
Veteran was paid service pension at the rate of $200 per fortnight for the period 6 January 2003 to and including 12 May 2003 (i.e. 10 pays).
The rate of service pension which should have been paid during that period was $150 per fortnight. Accordingly total overpayment is calculated as follows:
Total Debt = ($200 - $150) x 10 = $500
System Guides – DMRS Manual
http://sharepoint/programsandprojects/systemguides/view/dmrs/Pages/DMRS%20Online%20Help.aspx [6]
Links
[1] https://clik.dva.gov.au/user/login?destination=comment/reply/24361%23comment-form
[2] https://clik.dva.gov.au/user/login?destination=comment/reply/24347%23comment-form
[3] https://clik.dva.gov.au/user/login?destination=comment/reply/24191%23comment-form
[4] https://clik.dva.gov.au/user/login?destination=comment/reply/24258%23comment-form
[5] https://clik.dva.gov.au/book/export/html/24361#tgt-csref_manual_ftn14
[6] http://sharepoint/programsandprojects/systemguides/view/dmrs/Pages/DMRS%20Online%20Help.aspx
[7] https://clik.dva.gov.au/book/export/html/24361#ref-csref_manual_ftn14