Social Security and Other Legislation Amendment (Pension Reform and Other 2009 Budget Measures) Act 2009 (60 of 2009)

Schedule 4   Pension supplements

Part 2   Amendment of Rate Calculators

Social Security Act 1991

22   Section 1068 (after Module B)

Insert:

Module BA - Pension supplement

Pension supplement

1068-BA1 A pension supplement amount is to be added to the person's maximum basic rate if the person is residing in Australia, has reached pension age and:

(a) is in Australia; or

(b) is temporarily absent from Australia and has been so for a continuous period not exceeding 13 weeks.

1068-BA2 The person's pension supplement amount is:

(a) if an election by the person under subsection 1061VA(1) is in force - the amount worked out under point 1068-BA4; and

(b) otherwise - the amount worked out under point 1068-BA3.

Amount if no election in force

1068-BA3 The person's pension supplement amount is the amount worked out by:

(a) applying the applicable percentage in the following table to the combined couple rate of pension supplement; and

(b) dividing the result by 26; and

(c) if:

(i) the person is not partnered; and

(ii) the amount resulting from paragraph (b) is not a multiple of 10 cents;

rounding the amount up or down to the nearest multiple of 10 cents (rounding up if the amount is not a multiple of 10 cents but is a multiple of 5 cents).

Note: For combined couple rate of pension supplement , see subsection 20A(1).

Amount if election in force

1068-BA4 The person's pension supplement amount is the amount worked out as follows:

(a) work out the amount for the person under point 1068-BA3 as if the election were not in force;

(b) from that amount, subtract 1/26 of the person's minimum pension supplement amount.