7.2.1 Pre-departure arrangements for portable payments

Introduction

This section contains information on the pre-departure requirements a person who is receiving, or has claimed, a social security payment or concession card must undertake before leaving Australia (1.1.A.320), including medical assessment requirements for DSP recipients or claimants who wish to apply for unlimited portability.

On this page:

• Notification obligations
• Information about a person’s departure
• Medical information
• Departure before medical information available
• Recipient no longer medically qualifies for DSP
• Payment information – CFP
• Payment information – AWLR
• Payment information – sale of principal home before departure

Notification obligations

Under the notification provisions in the SS(Admin)Act, people who are receiving, or have claimed, a social security payment or concession card must notify Services Australia about both departures from and arrivals to Australia if their travel may impact on their entitlements or rate of payment. People residing overseas must notify Services Australia if they depart or return to their country of residence.

Pre-travel notification enables Services Australia to provide the person with advice on the portability of their payment or concession card, how their travel may impact on their entitlements or payment rate, their obligations while they are outside Australia and any payment reviews applicable.

See 7.2.4 for notification obligations while overseas.

Information required about a person's departure

When a person notifies Services Australia of a departure from Australia (or their normal country of residence), they may be required to provide the following information:

• date of departure, expected date of return (if any), destination
• reason for departure, if relevant
• medical information, if relevant
• payment information
• information about their AWLR (1.1.A.340), and
• their address for correspondence.

Based on the information provided by the person, the following will be considered to determine any impact on their entitlements or payment rate while they are overseas:

• whether their payment is portable for an unlimited or a limited period of time
• the purpose for the travel, where relevant (for example, where the payment has limited portability for approved temporary absences only)
• whether the absence is temporary or if the person will be residing in another country
• whether they are subject to the former resident rules
• whether the portability or other provisions of a social security agreement apply
• specific qualification requirements, such as mutual obligation requirements, from which the recipient has to be exempted to continue to qualify while outside Australia
• other qualification considerations (for example, whether a carer is travelling with the care receiver or is in a respite period)
• consequential changes (for example, to RA eligibility, principal home, balance of bank accounts)
• whether their rate of payment will be affected by proportional portability (1.1.P.310).

Medical information

In certain circumstances, people receiving (or claiming) DSP may be required to provide medical information before they leave Australia in order to determine portability of their DSP.

This is required where the person is applying for unlimited portability on the basis that they have:

• a terminal illness and are severely disabled, or
• a severe impairment and no future work capacity.

It may also be required to determine if the person can be paid DSP outside Australia under an international social security agreement.

DSP recipients need to apply for portability under these provisions while in Australia and may be required to undergo a portability medical assessment (JCA) and/or provide relevant medical information before departure.

Generally, recipients who are overseas will need to return to Australia to apply for unlimited under these provisions. However, if a DSP recipient is not terminally ill at the time of leaving Australia, but becomes terminally ill during their limited portability period, they may be granted unlimited portability while overseas if they provide the relevant medical evidence.

An exception to the requirement to return to Australia to apply for unlimited portability 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 limited portability period.

Departure before medical information available

In some cases where a DSP recipient has applied for unlimited portability while in Australia but some of the medical information required to determine their eligibility for unlimited portability is not available before departure, the DSP recipient may still be paid after departure, provided they are eligible for limited portability (7.1.3). Their DSP will stop if they exceed their maximum allowable portability period, unless the relevant medical information is provided and unlimited portability is granted or a discretionary extension of their allowable portability period is granted due to specified reasons. Payment may be restored with no break in entitlement if valid medical evidence is provided and the person is granted unlimited portability.

Recipient no longer medically qualifies for DSP

If a DSP recipient applies for unlimited portability and undergoes a pre-departure medical assessment and it is determined, based on that assessment, that the recipient is no longer medically qualified for DSP, their DSP will be cancelled. They may be eligible for another payment instead.

Payment information - CFP

Some countries allow people to claim a CFP, or receive an increased rate of CFP, if they travel to that country. Under the CFP rules, where a recipient travels to a country where they may be able to claim a CFP entitlement or receive a rate increase, they may be required to take reasonable steps to claim that entitlement or rate increase.

Payment information - AWLR

In cases where residence information has not yet been established, a person may be required to provide information on their AWLR before departure as their rate may be affected by proportional portability.

Payment information - sale of principal home before departure

If a recipient sells their principal home in Australia and is intending to move overseas and buy another home, the capital amount from the proceeds of the sale that are set aside for the new purchase can be disregarded as an asset (1.1.A.290) for a period of up to 24 months. However, any proceeds of the sale put in a financial investment (for example, savings account) will be subject to the deeming rules under the income test and may affect their rate of payment.