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Social Security Act 1991

Authoritative Version
  • - C2023C00070
  • In force - Superseded Version
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Act No. 46 of 1991 as amended, taking into account amendments up to Paid Parental Leave Amendment (Improvements for Families and Gender Equality) Act 2023
An Act to provide for the payment of certain pensions, benefits and allowances, and for related purposes
Administered by: Prime Minister and Cabinet; Employment and Workplace Relations; Social Services; Home Affairs
Registered 30 Mar 2023
Start Date 26 Mar 2023
End Date 29 Mar 2023
Table of contents.

Commonwealth Coat of Arms of Australia

Social Security Act 1991

No. 46, 1991

Compilation No. 207

Compilation date:                              26 March 2023

Includes amendments up to:            Act No. 4, 2023

Registered:                                         30 March 2023

This compilation is in 5 volumes

Volume 1:       sections 1–661F

Volume 2:       sections 665A–1067L

Volume 3:       sections 1068–1263

                        Schedule 1A

Volume 4:       Endnotes 1–4

Volume 5:       Endnote 5

Each volume has its own contents

About this compilation

This compilation

This is a compilation of the Social Security Act 1991 that shows the text of the law as amended and in force on 26 March 2023 (the compilation date).

The notes at the end of this compilation (the endnotes) include information about amending laws and the amendment history of provisions of the compiled law.

Uncommenced amendments

The effect of uncommenced amendments is not shown in the text of the compiled law. Any uncommenced amendments affecting the law are accessible on the Legislation Register (www.legislation.gov.au). The details of amendments made up to, but not commenced at, the compilation date are underlined in the endnotes. For more information on any uncommenced amendments, see the series page on the Legislation Register for the compiled law.

Application, saving and transitional provisions for provisions and amendments

If the operation of a provision or amendment of the compiled law is affected by an application, saving or transitional provision that is not included in this compilation, details are included in the endnotes.

Editorial changes

For more information about any editorial changes made in this compilation, see the endnotes.

Modifications

If the compiled law is modified by another law, the compiled law operates as modified but the modification does not amend the text of the law. Accordingly, this compilation does not show the text of the compiled law as modified. For more information on any modifications, see the series page on the Legislation Register for the compiled law.

Self‑repealing provisions

If a provision of the compiled law has been repealed in accordance with a provision of the law, details are included in the endnotes.

  

  

  


Contents

Chapter 3—General provisions relating to payability and rates     1

Part 3.6—Benefit Rate Calculator B                                                                          1

1068...................... Rate of jobseeker payment.................................................. 1

Benefit Rate Calculator B                                                                                          2

Module A—Overall rate calculation process                                                  2

Module B—Maximum basic rate                                                                            4

Module BA—Pension supplement                                                                        10

Module C—Energy supplement                                                                            11

Module D—Pharmaceutical allowance                                                             13

Module G—Income test                                                                                             17

Module J—Remote area allowance                                                                    31

Part 3.6AParenting Payment Rate Calculator                                             35

1068A................... Rate of parenting payment—pension PP (single)............. 35

Pension PP (Single) Rate Calculator                                                                  35

Module A—Overall rate calculation process                                                35

Module B—Maximum basic rate                                                                          37

Module BA—Pension supplement                                                                        37

Module BB—Energy supplement                                                                         38

Module C—Pharmaceutical allowance                                                             39

Module E—Ordinary income test                                                                        41

Module F—Remote area allowance                                                                    49

1068B.................... Rate of parenting payment—PP (partnered)..................... 50

Benefit PP (Partnered) Rate Calculator                                                           50

Module A—Overall rate calculation process                                                50

Module C—Maximum basic rate                                                                         53

Module D—Income test                                                                                             54

Module DA—Pension supplement                                                                        63

Module DB—Energy supplement                                                                         65

Module E—Pharmaceutical allowance                                                             66

Module G—Remote area allowance                                                                   70

Part 3.7—Rent assistance                                                                                                73

Division 1—Operation of this Part                                                                      73

1070...................... When this Part applies...................................................... 73

1070A................... Effect of this Part.............................................................. 73

Division 2—Qualification for rent assistance                                                74

1070B.................... Qualification—general rule............................................... 74

1070C.................... Common requirements (about aged care residence, home ownership and rent)       74

1070D................... Specific requirement (carer payments and certain age and disability support pensions)           74

1070E.................... Specific requirement (certain parenting payments)............ 75

1070F.................... Specific requirement (certain disability support pensions) 76

1070G................... Specific requirement (youth allowance)............................ 79

1070H................... Specific requirement (austudy payment and jobseeker payment)             80

1070J..................... Specific requirement (certain parenting payments)............ 81

Division 3—Rate of rent assistance                                                                    83

1070K.................... Rate depends on social security payment and family situation 83

1070L.................... Rate for carer payments and certain age and disability support pensions 83

1070M................... Rate for certain parenting payments.................................. 86

1070N................... Rate for disability support pension (person aged under 18) 87

1070P.................... Rate for disability support pension (person aged between 18 and 21)     91

1070Q................... Rate for youth allowance, austudy payment and jobseeker payment        94

1070R.................... Rate for certain parenting payments.................................. 96

Division 4—Certain concepts used in this Part                                             98

1070S.................... Division has effect for purposes of Part........................... 98

1070T.................... Rent threshold amount...................................................... 98

1070U................... Fortnightly rent................................................................. 98

1070V................... Rent paid by a member of certain couples......................... 99

1070W................... Partner with a rent increased pension................................ 99

1070X................... Partner with a rent increased benefit................................. 99

Part 3.9—Seniors Health Card Income Test Calculator                            102

1071...................... Seniors Health Card Income Test Calculator.................. 102

Seniors Health Card Income Test Calculator                                             102

Part 3.9A—Health Care Card Income Test Calculator                             110

1071A................... Health care card income test............................................ 110

Health Care Card Income Test Calculator                                                  110

Part 3.10—General provisions relating to the ordinary income test   115

Division 1—Ordinary income concept and treatment of certain income amounts          115

1072...................... General meaning of ordinary income.............................. 115

1072A................... Treatment of certain lump sum payments........................ 115

1073...................... Certain amounts taken to be received over 12 months.... 116

Division 1AAA—Work bonus                                                                              118

1073AA................ Work bonus.................................................................... 118

1073AAA............. Meaning of gainful work................................................ 123

1073AB................. Unused concession balance............................................ 125

1073AC................. Temporary increase to unused concession balances........ 125

Division 1AA—Employment income attribution rules                            127

1073A................... Attribution of employment income paid in respect of a particular period or periods                127

1073B.................... Attribution of employment income paid monthly............ 129

1073BA................. Attribution of employment income paid not in respect of a particular period           130

1073BB................. Anti‑avoidance................................................................ 132

1073BC................. Exclusion of certain payments........................................ 134

1073BD................. Daily attribution of employment income for amounts not elsewhere covered in this Division 135

1073C.................... Fortnightly or yearly expression of attributed employment income          135

Division 1AB—Working credit accrual and depletion rules and their consequences    136

1073D................... To whom do working credit accrual and depletion rules apply?               136

1073E.................... Opening balance............................................................. 136

1073F.................... Working out accruals and depletions of working credit for social security beneficiaries          140

1073G................... Working out the effect of a working credit depletion on the fortnightly rate of ordinary income for a social security beneficiary......................................................... 142

1073H................... Working out accruals and depletions of working credit for social security pensioners            142

1073I..................... Working out the effect of a working credit depletion on the yearly rate of ordinary income for a social security pensioner........................................................................ 144

1073J..................... Working credit balance prevents loss of qualification in certain cases      145

Division 1A—Business income                                                                             146

1074...................... Ordinary income from a business—treatment of trading stock                146

1075...................... Permissible reductions of business income..................... 146

Division 1B—Income from financial assets (including income streams (short term) and certain income streams (long term))                                                                        148

1076...................... Deemed income from financial assets—persons other than members of couples     148

1077...................... Deemed income from financial assets—members of pensioner couples  149

1078...................... Deemed income from financial assets—members of non‑pensioner couples           151

1081...................... Deeming threshold.......................................................... 153

1082...................... Below threshold rate, above threshold rate..................... 153

1083...................... Actual return on financial assets not treated as ordinary income              154

1084...................... Certain money and financial investments not taken into account              154

1084A................... Valuation and revaluation of certain financial investments 155

Division 1C—Income from income streams not covered by Division 1B             156

Subdivision B—Income streams that are not family law affected income streams      156

1097A................... Scope of Subdivision...................................................... 156

1098...................... Income from asset‑test exempt income stream................ 156

1099...................... Income—income stream not a defined benefit income stream  157

1099A................... Income—income stream is a defined benefit income stream 158

1099AA................ Income from market‑linked asset‑test exempt income stream.. 158

1099B.................... Income from asset‑tested income stream (long term)...... 160

1099C.................... Income—asset‑tested income stream (long term) that is not a defined benefit income stream  161

1099D................... Income—asset‑tested income stream (long term) that is a defined benefit income stream        162

1099DAA............. Income from certain low‑payment asset‑tested income streams               162

1099DAB.............. Income—asset‑tested income stream (lifetime)............... 164

Subdivision C—Family law affected income streams                                  164

1099DA................ Scope of Subdivision...................................................... 164

1099DB................. Income from asset‑test exempt income streams.............. 165

1099DC................. Income from asset‑tested income stream (long term)...... 166

1099DCA.............. Income from asset‑tested income stream (lifetime)......... 166

1099DD................ Decision‑making principles............................................ 166

Division 1D—Aged care accommodation bonds: certain transactions before 6 November 1997           167

1099E.................... Scope of Division........................................................... 167

1099F.................... Exempt bond amount does not count as income............. 168

1099G................... Person’s ordinary income reduced using financial asset rules  168

1099H................... Meaning of exempt bond amount................................... 168

Division 1E—Refunds to charge exempt residents                                   170

1099J..................... Scope of Division........................................................... 170

1099K.................... Refunded amount does not count as income................... 170

1099L.................... Person’s ordinary income reduced using financial asset rules  170

1099M................... Application of Division.................................................. 171

Division 2—Conversion of foreign currency amounts                           172

1100...................... How value of a payment received in a foreign currency is to be determined            172

1100A................... Determining value of a payment originally denominated in a foreign currency but made in Australian currency........................................................................................ 173

Division 3—Disposal of ordinary income                                                      175

1106...................... Disposal of ordinary income........................................... 175

1107...................... Amount of disposition.................................................... 176

1108...................... Disposal of ordinary income—individuals..................... 176

1109...................... Disposal of ordinary income—members of couples....... 177

1111...................... Dispositions more than 5 years old to be disregarded..... 178

Part 3.12—General provisions relating to the assets test                           180

Division 1—Value of person’s assets                                                                180

1118...................... Certain assets to be disregarded in calculating the value of a person’s assets           180

1118A................... Value of superannuation investments determined by Minister to be disregarded     188

1118AA................ Value of assets reduced by amounts received from Mark Fitzpatrick Trust             189

1118AB................. Value of person’s assets reduced: certain transactions to do with aged care accommodation bonds        190

1118AC................. Value of person’s assets reduced: refunds to charge exempt residents    190

1119...................... Value of asset‑tested income streams that are not defined benefit income streams, asset‑tested income streams (lifetime) or family law affected income streams............. 190

1120...................... Value of asset‑tested income streams that are defined benefit income streams         192

1120AA................ Value of asset‑tested income streams (lifetime) that are managed investments         193