The following steps demonstrate the method of establishing the notional assessment [2] for a case where pension is assessed at the Special Rate for only one condition.
STEPS | EXAMPLE |
Step 1 - Identify the dollar amount of Disability Compensation Payment paid in respect of the incapacity. | Step 1 - Veteran A receives $1,143.80 (SR) Disability Compensation Payment per fortnight for incapacity from PTSD [3], the only accepted condition. |
Step 2 - Identify the fortnightly amount of other compensation paid. | Step 2 - Veteran A is also receiving $1,250.60 (gross) incapacity payments per fortnight for PTSD. |
Step 3 - The above two dollar amounts are compared and the lesser is the amount by which the Disability Compensation Payment is offset. | Step 3 - Disability Compensation Payment is fully offset as the incapacity payments exceed the Disability Compensation Payment payable. |
Step 4 - The offset amount is manually entered into Process Direct, Disability Compensation Payment Summary Screen. CPI increases this initial offset amount at the same time as Disability Compensation Payment is increased. | Step 4 - The amount of $1,250.60 is manually entered into Process Direct, Disability Compensation Payment Summary Screen in the ‘Adjustment Amount’ field and ‘PTIV Non-Indexed’ field (if required). By recording the full incapacity payment in the non-index field will prevent small amounts of Disability Compensation Payment being paid should MTAWE be higher than CPI. Note. The non-indexed field is used to record periodic compensation when this amount is less than the notional assessment [3] amount. Indexation then only occurs by manual intervention at variation of DRCA [3] incap, or other periodic payment. |
The portion of the Disability Compensation Payment [2] paid in respect of the compensable condition.
Links
[1] https://clik.dva.gov.au/user/login?destination=comment/reply/24432%23comment-form
[2] https://clik.dva.gov.au/%23
[3] http://auth-clik.dvastaff.dva.gov.au/%23