3.10.5.65 PP change between single & partnered
Summary
The gain or loss of a partner (1.1.P.85) will result in a change in rate for PP recipients, provided all eligibility requirement are met, including their youngest child remaining a PP child (1.1.P.340).
When a PP recipient’s relationship status changes, a reassessment must occur to establish if the person remains entitled to receive PP and to determine the correct rate. This is because a person’s circumstances may affect payability, particularly changes in income levels.
PPP and PPS recipients are subject to different income and asset tests, including different income taper rates. Eligibility for supplementary payments such as PhA are also dependent on whether a recipient receives PPP or PPS.
Note: If a PPS recipient becomes partnered and their youngest child is aged 6 or above, they are no longer eligible for PP, as they do not have a PP child. They would need to test their eligibility for another income support payment, for example, JSP.
Example: Carly is a PPS recipient and her son Sheldon is 5 years old. Carly becomes partnered with Ellie, and Carly’s PPS is reassessed and is transferred to PPP. As a result of the reassessment and transfer to PPP, Carly’s rate is reduced, she has a lower income free area and a different taper rate. Ellie’s income is now also considered in assessing Carly’s PPP entitlement and Carly’s payment is reduced because of Ellie’s income.
Example: Kim is receiving PPP. She has 4 children aged between 2 and 14 years old. Kim has separated from her former husband and Kim’s PPP is reassessed and she is transferred to PPS. On PPS, Kim’s rate will increase and she will get the basic pension supplement and TAL, in addition to higher rates for the supplementary payments she is already receiving. Kim will remain on PPS until her youngest child has turned 14, providing she continues to meet eligibility criteria and remains single.
Example: Emilio receives PPS as the principal carer of his 7-year-old daughter Sienna-Rose. Emilio becomes partnered with Lucia and he is reassessed for PP. It is determined Sienna-Rose is not a PP child for PPP (as she is over the age of 6 years) and therefore Emilio is no longer qualified for PP. Emilio tests his eligibility for JSP, meets the requirements, and is transferred to JSP.
Act reference: SSAct section 500D PP child, section 500 Qualification for PP
Date of effect for rate reductions or cancellations - transfer from PPS to PPP
For rate reductions or cancellations, the date of effect is calculated having regard to when the person notifies and when Centrelink processes the change as explained in the following table.
| If the person … | and is processed by Centrelink … | ||
|---|---|---|---|
| in the same entitlement period then … | in the next entitlement period then … | in a later entitlement period then … | |
| has correctly advised of the change of circumstances within the notification period | the date of effect is date of event. | the date of effect is start of the next entitlement period. | the date of effect is the day after the end of the notification period. |
| has NOT correctly advised of the change of circumstances within the notification period | - | the date of effect is the day of the change in relationship status. | the date of effect is the day of the change in relationship status. |
Date of effect for rate increases - transfer from PPP to PPS
For rate increases, the date of effect is calculated having regard to whether a person is a notification reporter or a statement reporter.
| Notification requirement | SS(Admin)Act section | Date of effect |
|---|---|---|
|
Notification reporter |
section 110(1) |
The determination takes effect on the later of:
|
|
Statement reporter |
section 110(2) |
The determination takes effect on the day the matter arose. |
|
Partner is a statement reporter |
section 110(3) |
The determination takes effect on the day the matter arose. |
Act reference: SS(Admin)Act section 110 Date of effect of favourable determination
Late reporting of statement leading to cancellation
When a recipient transfers from PPP to PPS, and the recipient and/or partner fail to lodge the statement on their reporting day, sections 110(2) and 110(3) do not apply. If the recipient and/or their partner is late reporting and the recipient's payment is cancelled, section 114 is applicable.
| Notification requirement | SS(Admin)Act section | Date of effect |
|---|---|---|
|
Statement reporter - section 110 does not apply as the person was late lodging their statement and the payment cancelled |
section 114 |
(1) The day on which the determination is made or such other day as specified in the determination. (2) A day specified in a determination for the purpose of subsection (1) may be:
|
Act reference: SS(Admin)Act section 114 Date of effect of other favourable determinations
Rate increases - bereavement or death - recipient transfers from PPP to PPS
The date of effect is one of the alternatives listed in the following table, PROVIDED the change of rate is:
- caused by bereavement, AND
- the recipient has given notification within the required period since the death.
| If the recipient is … | then the date of effect is … | Notification period |
|---|---|---|
| NOT qualified for bereavement payments | the date of death of the recipient's partner. | 28 days |
| IS qualified for bereavement payments BUT chooses not to receive them | the date of death of the recipient's partner. | 28 days |
| IS qualified for bereavement payments AND chooses to receive them | the date determined under the bereavement arrangements. | 28 days |
Act reference: SS(Admin)Act section 110 Date of effect of favourable determination, section 118 Date of effect of adverse determination—general rules, section 114 Date of effect of other favourable determinations
Policy reference: SS Guide 3.5.1 PP - qualification & payability, 3.10.5 Dates of effect, 3.10.5.60 Transfers between payments