The Pension Supplement
The Government introduced these changes on 20 September 2009 as part of the Secure and Sustainable Pension reforms.
See also
- Pension Supplement - frequently asked questions
- Quarterly Pension Supplement - frequently asked questions
Quarterly Pension Supplement
From 1 July 2010, you have the option to receive part of the Pension Supplement on a quarterly basis. This component/part is known as the minimum Pension Supplement amount. You may find this option useful for budgeting purposes.
If you choose this option, the amount of Pension Supplement paid with your payment each fortnight will be reduced. The minimum Pension Supplement amount accrues daily during the quarter and is paid as soon as possible after 20 March, 20 June, 20 September and 20 December with your fortnightly pension payment.
The option to receive the minimum Pension Supplement as a fortnightly payment or quarterly payment can be changed at any time.
Affected payments
From 20 September 2009, the following payments were rolled into the Pension Supplement which will be automatically paid to pensioners and other eligible income support payment recipients with their regular fortnightly payment:
- Pharmaceutical Allowance (PA)
- Utilities Allowance (UA)
- GST Supplement
- Telephone Allowance (TAL)
The separate payments listed above are no longer paid to recipients of the Pension Supplement. However their value is maintained in the Pension Supplement.
This Pension Supplement is separate and in addition to the increase to the pension rate.
Pension Supplement table
Example
Additional payments for a single full rate pensioner per fortnight prior to 20 September 2009:
| Payments | Rate |
|---|---|
| GST Supplement | $19.50 |
| Pharmaceutical Allowance | $6 |
| Telephone Allowance ($34.60 per quarter) | $5.32 |
| Utilities Allowance ($129.70 per quarter) | $19.95 |
| Total additional payments per fortnight | $50.77 |
From 20 September 2009, the Pension Supplement for full rate pensioners replaced these payments.
Effective from 20 September 2011, the maximum fortnightly rate of Pension Supplement is $59.80 if you are single or $90.20 for couples (combined).
Customers receiving a reduced rate
Part rate pensioners and other eligible income support recipients being paid a reduced rate will receive the Pension Supplement (or an equivalent amount if they are receiving the transitional rate).
If you remain eligible for some income support payment under the means test you will be paid at least the minimum amount of the Pension Supplement per fortnight.
Effective from 20 September 2011, the minimum amount of Pension Supplement per fortnight is $32.20 for a single person and $48.60 combined for a couple.