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.

4.10.4.20 Historical widow B means test limits & additional payments

Summary

This topic contains historical means test limits and additional payments for Widow Class B from July 1942 to March 2020. On 20 March 2020, WidB ceased with remaining recipients transferring to Age. This topic contains the following 3 tables:

Table NumbersExplanation
1Means test - July 1942 to October 1958
2Merged means test - March 1961 to November 1984
3Income and assets (1.1.A.290) test - March 1985 to March 2020

Act reference: SSAct section 8(1)-'income'

Table 1: Means test - July 1942 to October 1958

The table shows amounts in dollars. Income is shown in dollars per annum.

Date
Note A
Permissible incomeLimit of propertyProperty exemptionRA
Note B
27/07/194265800
Note C
100-
13/08/19461041,300100-
26/10/19481561,500200-
06/11/19511562,000200-
05/11/19532082,500300-
19/10/19543643,500400-
28/10/19583644,50040052
Note D

Notes for Table 1

NoteExplanation
ADates on which the rates applied.
BBefore 5 September 1985 RA was known as 'supplementary assistance'.
CNo pension was payable if income or property exceeded the limits.
DRA of $52.00 per year was paid to pensioners paying rent (1.1.R.160) and entirely dependent upon pension.

Table 2: Merged means test - March 1961 to November 1984

The table shows amounts in dollars. Income is shown in dollars per annum.

Date
Note E
Means as assessedProperty exemptionRA
Note F
14/03/1961364
Note G
40052
19/10/1965364400104
Note H
02/05/1967520400104
30/09/1969520
Note I
400104
10/10/19721,040400208
05/11/19741,040400260
Note J
25/11/19761,040abolished
Note K
260
11/02/19821,040-416
Note L
04/11/19821,560-520
Note M
01/11/19841,560-780
Note N

Notes for Table 2

NoteExplanation
EDates on which the rates applied.
FBefore 5 September 1985 RA was known as 'supplementary assistance'.
GThe merged means test was introduced. Maximum pension was reduced by amount by which 'means as assessed' (income plus property component) exceeds $364.00. The fixed disqualifying limit of property was abolished.
HRA - means test was introduced under which the maximum rate was reduced by the amount by which means as assessed exceeded $52.00.
IA tapered means test was introduced. Maximum rate of pension was reduced by half of the amount by which means as assessed exceeded permissible means as assessed.
JThe increase was applied subject to the principle that the rate did not exceed the amount of rent paid. No existing payment was reduced as a result of adopting this principle.
KThe property test was abolished. The means test became an income test only with property excluded. However, income from property was included as income.
L

The maximum rate of RA increased to $8.00 per week (one half was paid to each member of a pensioner couple) and the rules for payment changed. The rate of RA was:

  • half the amount of rent in excess of $10.00 per week to the maximum of $8.00 per week, and
  • less half the income (combined income for a husband and wife) apart from pension. Entitlement ceased when income reached $16.00 per week.

RA was not payable if rent was paid to a State or Australian Government Housing Authority. A savings provision protected payments current at 1 February 1982.

M

The maximum rate of RA was increased to 10.00 per week. The rate of RA payable was:

  • half the amount of rent in excess of $10.00 per week to the maximum of $10.00 per week, and
  • less half the income (combined income for a husband and wife) apart from pension. Entitlement ceased when income reached $20.00 per week.
N

The maximum rate of RA was increased to $15.00 per week. The rate of RA payable was:

  • half the amount of rent in excess of $10.00 per week to a maximum of $15.00 per week, and
  • less half the income (combined income for a husband and wife) apart from pension. Entitlement ceases when income reaches $30.00 per week.

The savings provision which applied on 1 February 1982 still applied.

Table 3: Income & assets test - March 1985 to present date

The table shows amounts in dollars. Income is shown in dollars per annum.

Date
Note O
Permissible incomeAllowable assetsRA
Note P
HomeownerNon-homeowner
21/03/19851,56070,000
Note Q
120,000780
1/05/19861,56075,750129,750780
25/12/19861,56075,750129,750780
Note R
25/06/19871,56083,250143,250780
09/07/19872,08083,250143,250780
23/06/19882,08089,250153,250780
22/06/19892,08096,000164,500

780 or 1,040

Note S

21/12/19892,08096,000164,5001,040 or 1,300
26/04/19902,08096,000164,5001,040 or 1,300
21/06/19902,080103,500177,500

1,300, 1,560 or 1,820

Note T

27/09/19902,080103,500177,5001,560, 1,820 or 2,080
28/03/19912,080103,500177,500

1,612, 1,882.40 or 2,150.20

Note U

01/07/19912,184110,750190,2501,612, 1,882.40 or 2,150.20
26/03/19922,184110,750190,2501,635.40, 1,911 or 2,181.40
01/07/19922,236112,500193,0001,635.40, 1,911 or 2,181.40
24/09/19922,236112,500193,0001,638, 1,913.60 or 2,184
01/07/19932,288112,750193,2501,747.20, 1,918.80 or 2,189.20
01/07/19942,340115,000197,0001,778.40, 1,955.20 or 2,230.80
01/07/19952,444118,000202,0001,825.20, 2,002.00 or 2,288.00
01/07/19962,548124,000212,5001,918.80, 2,236.00 or 2,532.40
01/07/19972,600125,750215,750Note V
01/07/19982,600125,750215,750-
01/07/19992,652127,750219,250-
01/07/20002,756133,250228,750-
01/07/20012,912141,000242,000-
01/07/20023,016145,250249,750-
01/07/20033,120149,500257,500-
01/07/20043,172153,000263,500-
01/07/20053,224157,000270,500-
01/07/20063,328161,500278,500-
01/07/20073,432166,750287,750-
01/07/20083,588171,750296,250-
01/07/20093,692178,000307,000-
01/07/20103,796181,750313,250-
01/07/20113,900186,750321,750-
01/07/20123,952192,500332,000-
01/07/20134,056196,750339,250-
01/07/20144,160202,000348,500-
01/07/20154,212205,500354,500-
01/07/20164,264209,000360,500-
01/01/20174,264250,000450,000
Note W
-
01/07/20174,368253,750456,750-
01/07/20184,472258,500465,500-
01/07/20194,524
Note X
263,250473,750-

Notes for Table 3

NoteExplanation
ODates on which the rates applied.
PBefore 5 September 1985 RA was known as 'supplementary assistance'.
QAssets test introduced on 21 March 1985. Non-homeowners were allowed extra assets. The assets test only applied if it produced a lesser rate. Recipients whose rates were determined under the assets test were ineligible for RA.
R

From 25 December 1986 the rate of RA payable was:

  • half the amount of rent in excess of $15.00 per week to a maximum of $15.00 per week; and
  • less half the income (combined income for husband and wife) apart from pension. Entitlement ceased when income reached $30.00 per week.
SFrom 22 June 1989 the maximum rate of RA for recipients with dependent children increased by $5.00 per week to $20.00 per week.
TFrom 26 June 1989 the rates of RA increased by $5.00 per week plus an additional increase of $5.00 per week for recipients with 3 or more children.
UFrom March 1991 RA became subject to twice yearly indexation.
VRates of RA set after 1 July 1996 can be found in topic 5.2.6.10 RA rates - June 1990 to present date.
WFrom 1 January 2017, the assets test free areas increased under a one-off adjustment as part of the measure to rebalance the assets test parameters. Regular indexation arrangements continued after this date.
XOn 20 March 2020, WidB ceased with remaining recipients transferring to Age.

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