The Guides to Social Policy Law is a collection of publications designed to assist decision makers administering social policy law. TheĀ 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.

5.1.4.20 PP - calculating a rate for PP - general

Summary

The maximum rate of PP for a recipient is affected by the following factors:

  • whether they are a member of a couple (1.1.M.120)
  • if they are partnered, whether they are an illness separated couple (1.1.I.04), respite care couple (1.1.R.240), or have a partner imprisoned (1.1.P.85)
  • if they are in a de facto relationship but one or both partners are under the age of consent, and
  • whether they attract RA, PhA or RAA.

This topic explains the general factors that impact on the assessment of the rate of PP. A recipient who does not have a partner is treated under PPS rules and conditions. A recipient who has a partner, but has been determined under SSAct section 24 as not being a member of a couple, is also entitled to PPS. A recipient who is a member of a couple is treated under PPP rules and conditions.

Act reference: SSAct section 1068A Rate of PP-pension PPS, section 1068B Rate of PP-PPP

Policy reference: SS Guide 5.1.4.10 PP - current rates, 5.1.4.30 Calculating a rate of PP - partnered, 2.2.5 Verifying membership of a couple

Partners living apart due to imprisonment, illness or respite care

A recipient who is a member of an illness separated couple, respite care couple, or has a partner imprisoned is treated under PPP rules. The MBR of payment is the 'single, with child' rate, specified in the Common Benefit Rates.

Act reference: SSAct section 1068B-C2 Maximum basic rate - benefit PPP

Policy reference: SS Guide 2.2.5.80 Determining treatment of claimant/recipient with partner in gaol - general provisions, 5.1.8.20 Common benefit rates

Recipient under the age of consent

With the exception of a recipient who is legally married, a recipient is assessed under the PPS qualification and payability conditions, IF they:

  • have a PP child, AND
  • are in a de facto relationship, AND
  • EITHER party in the relationship is under the age of consent under the law of the state or territory in which they live.

Explanation: A person who is in a de facto relationship is not regarded as a member of a couple, if either party is under the age of consent under the law of the state or territory in which they live.

If a recipient is qualified for PPS because either they or their partner are under the age of consent, the rate payable cannot exceed the rate of PPP that would apply if they were regarded as a member of a couple.

Payment made under this limitation is still regarded as PPS, EVEN IF the rate is the same as that applicable to a partnered recipient. This means that the rate payable contains PhA at the single rate.

Act reference: SSAct section 1068A(3) If a person has a relationship ā€¦

Policy reference: SS Guide 3.5.1.10 Qualification summary for PP, 5.1.4.30 Calculating a rate of PP - partnered

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