10.6.100 Spanish Glossary

Introduction

This section contains a list of terms used in and applicable to the Agreement with Spain.

Australian Carer Payment/Carer Payment

Under the Agreement, qualification for CP is restricted to a partner who cares for a severely handicapped partner who is in receipt of Age or DSP for the severely disabled. Such a pension is deemed to be an Agreement pension. CP is not payable to a person who has never been an Australian resident.

Australian Disability Support Pension/Disability Support Pension

When the previous Agreement was negotiated, DSP was known as 'invalid pension' and the Agreement therefore covered DSP for both the severely disabled and the non-severely disabled. This Agreement, however, only covers DSP for the severely disabled.

Australian Parenting Payment (Single)/Parenting Payment (Single)

Under the Agreement PPS is limited to legal (de jure) widows and widowers.

Australian Widow B Pension

There have been no new grants of WidB since March 1997. Under the previous Agreement, WidB was limited to legal (de jure) widows. Other categories of WidB (divorcees, dependent females etc) were not covered under that Agreement.

Australian Wife Pension/Wife Pension

There have been no new grants of WP since June 1995 even under an Agreement. An autonomous wife pensioner can transfer to an Agreement WP (when an Agreement covers this concurrent entitlement) as this is not classified as a 'new grant' of WP. WP granted under the Agreement before 1 July 1995 continue to be paid outside Australia. WP can only be paid under the Agreement to a woman who has been an Australian resident at some time.

Benefit

Benefit, for Australia, means a pension, benefit or allowance payable under Australian social security legislation as specified in Article 2 of the Agreement. It also includes any additional amount or increase that is payable to a person who qualifies for that increase. RA, PhA, TAL and RAA may be payable to people inside Australia, but are subject to the portability restrictions of the SSAct for people outside Australia.

Period of Australian Working Life Residence

This includes periods of Australian working life residence as defined in SS(IntAgree)Act section 15, but excludes periods deemed to be periods of Australian residence in Article 9 of the Agreement.

Spain

Spain includes the Canary Islands (Islas Canarias - La Palma, Tenerife, Gomera, Hierro, Gran Canaria, Fuerteventura and Lanzarote), the Balearic Islands (Islas Baleares - Mallorca, Ibiza, Menorca, Formentera and Cabrera), Ceuta and Melilla in North Africa and the adjoining territories (Islas Chafarinas, Isla Alboran, Penones de Velez de la Gomera and Alhucemas).

Spanish Age Pensions

Spanish age pensions are known as pensión por jubilación (retirement) or pensión de vejez (age). Both women and men must be 65 years old to qualify, although some special occupations like miners can get Age as early as age 60. Contributions of 15 years (including 2 years in the 15 years before eligibility) are needed. People must be retired in order to claim. The pension is not income tested but, if employment is resumed after grant, pension payments may be suspended.

Spanish Creditable Period/s

These periods are defined in Spanish law. They may be actual contributions or deemed contributions under Spanish law (e.g. periods of military service). Under the Agreement with Spain, Australian working life residence for totalisation for Australian benefits can accrue from age 16 to age pension age. When totalising for Spanish benefits, working life residence for a woman can accrue under the Agreement from age 16 to age 65. This arrangement was made when Australian age pension age for women was 60 years of age. This arrangement became obsolete in 2014 when Australian age pension age for women reached 65.

Spanish Death Benefit

Spanish death benefit is known as auxilio por defunción. It is a lump sum paid to a dependent survivor (normally the partner) of a deceased contributor. No special contribution periods are needed except that the deceased was validly insured with the scheme at the time of death.

Spanish Invalid Pension

Spanish invalid pension is known as pensión por invalidez permanente. There are 4 different categories of invalidity and contribution requirements vary according to the category. A pension for partial or permanent incapacity for usual occupation requires 5 years contributions in the 10 years before, unless invalidity results from an industrial accident. Pensions for the remaining categories (total permanent incapacity for usual occupation, total permanent incapacity for all employment and total permanent incapacity requiring constant care and attention) need contributions for half the period from age 16 to incapacity (if under 26 years of age) or contributions for a quarter of the period from age 20 to incapacity with at least one-fifth being paid in the 10 years before the incapacity occurred (if over 26 years of age).

Spanish Orphan Pension

Spanish orphan pension is paid to surviving children of deceased contributors, if contribution requirements for widow pension are met. Orphans get 20% of the calculated salary of the deceased or 20% of the deceased's pension but, if both parents are dead, the percentage is increased to 45%. Orphan pension ceases at age 18 or if the orphan marries, forms a de facto relationship or enters a religious order.

Spanish Relative's Pension

If contribution requirements for widow pension are met, widowed parents and grandparents (over 60 years of age), grandchildren and siblings who were FINANCIALLY DEPENDENT on the contributor may get a relative's pension. Such relatives can get 20% of the deceased's calculated salary or pension. If the deceased has no surviving partner, the percentage is increased to 45%. Pensions for grandchildren and siblings cease when they reach 18 years of age. Payments to other dependants cease on marriage, forming a de facto relationship or entering a religious order

Spanish Sickness Benefit

Spanish sickness benefit is available only to people residing in Spain.

Spanish Unemployment Benefit

Spanish unemployment benefit is available only to people residing in Spain.

Spanish Widow Pension/Spanish Widower's Pension

Spanish widow/widower's pension is known as pensión de viudedad. The late contributor must have contributed for at least 500 days in the 5 years before death. No prior contributions are needed if death was due to an accident. The surviving partner or non-remarried ex-partner of a contributor (or pensioner) is entitled to this pension on the contributor's death. It is equivalent to 45% of the deceased' s calculated salary or 60% of the pension that was being paid to the deceased. The pension stops on remarriage or on entering a religious order but a one-time payment of 24 months entitlement is also made if either happens. Pension will also stop if a de facto relationship is formed.

Widowed Person

The term is restricted to legally married people whose partner has died. It does not include a widowed person who has since formed a de facto relationship and continues to live in that relationship. The term does not include divorced people whose ex-partners have died. Payments of parenting payment (single), bereavement allowance and widow B pension can be made under the Agreement only to a widowed person as defined.

Last reviewed: 9 November 2015