The Guides to Social Policy Law is a collection of publications designed to assist decision makers administering social policy law. The information contained in this publication is intended only as a guide to relevant legislation/policy. The information is accurate as at the date listed at the bottom of the page, but may be subject to change. To discuss individual circumstances please contact Services Australia.

10.11.8.50 Inside Australia Rate - Agreement with Austria

Inside Australia rate

The rate of Australian benefit payable under the Agreement to people who are inside Australia is calculated in the same way as for other Australian residents, except that any Austrian benefit is disregarded under the income test and instead is directly deducted from the rate otherwise payable.

Article 12, paragraph 5 of the Agreement provides for this rate to then be compared with the rate that would be payable if the person was outside Australia. The person is then paid the higher of the 2 rates.

This annual review is needed if the person is continuing to accrue Australian working life residence used in the proportional calculation. Although such pensioners will be accruing Australian working life residence each month, Article 12, paragraph 8 calls for an adjustment to be made only on each successive anniversary of the date of grant. The above rate comparison (for people inside Australia) must be reviewed every 12 months after the first payment following the date on which the claim for benefit was lodged.

Temporary departure from Australia

People paid under the Agreement who reside in Australia, and temporarily travel outside Australia, will continue to have their rate calculated using the inside Australia rate (where it is higher than the outside Australia rate) for a period of up to 26 weeks. After 26 weeks, their rate will be calculated using the outside Australia rate in 10.11.8.20. If the person was paid the outside Australia rate while inside Australia, under Article 12, paragraph 5 they will continue to be paid that rate immediately they leave Australia for as long as they are absent.

Act reference: SS(IntAgree)Act Schedule 10 Austria

Policy reference: SS Guide 10.1.9.60 Inside Australia Rate for Agreement Payments

Last reviewed: