7.1.2 Payments with unlimited portability

Introduction

The following payments have unlimited portability (also called indefinite portability):

• age pension
• DSP in certain circumstances only (where terminally ill, or severely impaired with no future work capacity).

Note: For age pension and DSP recipients who are covered by an international social security agreement (1.1.A.120), see 7.1.5 and Part 10.

On this page

• Age pension
• DSP – terminal illness
• DSP – severely impaired & no future work capacity
• DSP recipient no longer eligible for unlimited portability
• Portability of age pension or DSP for former Australian residents
• Portability of age pension or DSP for recipients with a QRE
• Ancillary payments and concession cards

Age pension

People receiving age pension are able to travel overseas temporarily or permanently for any length of time and continue to receive their pension (provided they otherwise remain qualified and the pension remains payable).

After 26 weeks’ overseas absence, the rate of age pension may be proportionalised (recalculated) depending on the person's AWLR (1.1.A.340). An extension of the 26-week period can be granted in certain circumstances (7.1.4). Further information on using AWLR to recalculate the rate is in 7.2.2.

Ancillary payments may also be reduced or ceased, and concession cards cancelled, after a period of absence (see ‘Ancillary payments and concession cards’ section below for further information).

Note: Unlimited portability previously also applied to WidB and WP 'entitled'. WidB and WP ceased from 20 March 2020 and recipients were transferred to age pension or another payment where eligible.

DSP - terminal illness

Recipients of DSP who are in the terminal phase of a terminal illness (where life expectancy is less than 2 years) may be granted unlimited portability if:

• they are severely disabled (1.1.S.110), and
• the purpose of their departure is to be near or with a family member, or to return to their country of origin.

After 26 weeks’ overseas absence, the rate of DSP may be proportionalised (recalculated) depending on the person's AWLR. This does not apply if the person became permanently blind, or their CITW occurred, while they were an Australian resident (1.1.A.330). Further information on using AWLR to recalculate the rate is in 7.2.2.

Ancillary payments may be reduced or ceased and concession cards cancelled after a period of absence (see Ancillary payments and concession cards section below for further information).

Note: A carer receiving a payment with limited portability (for example, CP and/or CA) who is accompanying a DSP recipient with a terminal illness is considered to be going overseas for a temporary period and therefore may be entitled to the allowed portability period for their payment (6 weeks).

DSP - severely impaired & no future work capacity

DSP recipients with a severe impairment and no future capacity to work may be granted unlimited portability of their pension. DSP recipients applying for portability under these rules are generally required to undergo an assessment of their impairment and their future work capacity (JCA).

To be eligible for unlimited portability under these rules, a DSP recipient must:

• have a severe impairment (1.1.S.127) which will persist at this level for at least the next 5 years (that is, no significant improvement is expected to the level of impairment within this period), and
• be prevented by their impairment from performing any work independently of a program of support within the next 5 years (that is, they are unlikely to have any capacity to undertake work in the open employment market in the next 5 years, even with interventions).

A DSP recipient has a severe impairment if they are assessed as having an impairment rating of at least 20 points under the relevant Impairment Tables, of which 20 or more points are under a single Impairment Table (3.6.3.01).

Being prevented from performing any work generally has its plain and ordinary meaning. That is, the person is entirely unable to perform work of any kind. 'Work' is not limited to work the person usually performs or work available in the person's locally accessible labour market, and includes work that exists in Australia in the open labour market for wages that are at or above the relevant minimum wage.

Given the difficulty in working out the exact number of working hours a person can perform in a given week, JCAs practically assess a person’s work capacity as a part of broader bandwidth. If a person’s measured capacity to work is 0 to 7 hours per week (that is, less than 8 hours per week) as a result of their impairment/s, they are accepted as being prevented from performing any work for the purposes of eligibility for unlimited portability.

A person who is assessed as being able to work 8 hours or more a week, or who would benefit from training, education or rehabilitation to the extent that it would allow them to be able to work 8 hours or more a week, is not considered to be prevented from performing any work.

A DSP recipient who was granted DSP because they were assessed as manifestly eligible under the current (post December 2002) manifest criteria is considered to meet the severe impairment and inability to perform work independent of a program of support criteria for unlimited portability, without having to undergo a JCA.

DSP recipients must apply for unlimited portability under these rules while in Australia and are generally required to undergo a portability assessment before departure. DSP recipients granted DSP under the manifest eligibility policy do not need to undergo a portability assessment, but they do need to apply for unlimited portability before departure to enable a determination to be made.

Generally, DSP recipients who are overseas and wish to apply for unlimited portability will need to return to Australia. An exception to the requirement to return to Australia will apply in limited circumstances where a DSP recipient is unable to return to Australia because they have had a serious accident, or been hospitalised, before the end of their current portability period.

For those granted unlimited portability, after 26 weeks’ overseas absence, the rate of DSP may be proportionalised (recalculated) depending on the person's AWLR. This does not apply if the person became permanently blind, or their CITW occurred, while they were an Australian resident. An extension of the 26-week period can be granted in certain circumstances (7.1.4). Further information on using AWLR to recalculate the rate is in 7.2.2.

Ancillary payments may be reduced or ceased and concession cards cancelled after a period of absence (see Ancillary payments and concession cards section below for further information).

DSP recipient no longer eligible for unlimited portability

A DSP recipient who has been granted unlimited portability will cease to be eligible for unlimited portability if they are no longer severely impaired with no future work capacity, or terminally ill and severely disabled.

If they are overseas, they may instead be eligible for limited portability of their DSP, starting from the day they ceased to be eligible for unlimited portability – see 7.2.3.

Portability of age pension or DSP for former Australian residents

Former Australian residents who resume residence in Australia and are granted age pension or DSP cannot be paid during any overseas absence that occurs within 2 years of resuming residence. This rule overrides any unlimited portability that may otherwise apply to their pension within the 2-year period. This rule is explained further in 7.1.6.

Portability of age pension or DSP for recipients with a QRE

Refugees and former refugees have a QRE, which means they are exempt from the qualifying residence requirements for age pension and DSP. The QRE only applies when the recipient resides in Australia (3.1.1.10). Unless the recipient otherwise satisfies the qualifying residence requirements (for example, they have accumulated 10 years’ qualifying Australian residence (1.1.Q.15)), they can only continue to be paid while overseas if their absence is clearly temporary. If they leave Australia to reside overseas and they do not otherwise satisfy the qualifying residence requirements, they are no longer eligible for a QRE and their age pension or DSP will be cancelled on departure. Long-term absences that are in reality permanent should be treated as such.

For further information on temporary absences, see 7.1.8.

Ancillary payments & concession cards

A person with unlimited portability of age pension or DSP may continue to be paid certain ancillary payments for a specified period after departure. After this period, the ancillary payments will be reduced or ceased:

• Pension supplement is reduced to the basic amount after 6 weeks’ temporary absence from Australia (or immediately on departure if the absence is not temporary, for example, they are leaving Australia to reside overseas).
• RA, IA and PhA will cease after 26 weeks absence from Australia, or when the person no longer qualifies for the ancillary payment, whichever is earlier.

All other ancillary payments, such as ES and RAA, are only payable for temporary absences and only for a limited period. They will cease immediately on departure if the absence is not temporary, for example, the person departs Australia to reside overseas.

If a person with unlimited portability of age pension or DSP goes overseas temporarily, their PCC will remain current for 6 weeks after departure. After this period, the card will be cancelled. A replacement PCC can be issued upon the person’s return to Australia where necessary, provided the person remains qualified for the card. If a person’s absence is not temporary, for example, they leave Australia to reside overseas, the PCC should be cancelled immediately on departure.

A full list of allowable portability periods and conditions for ancillary payments and concession cards is provided in 7.1.1.