LNP trying again to cut pensions after 6 weeks OS

[highlander4000]

Unless it has been that only those on DSP UP have been losing their supplement after 6 weeks and now they are trying to do it to OAP. Im not an OAP so i dont know if it has been happening with their accounts. But he doesnt specify OAP on his website link posted above by Hopeful.

[peter]

It is not really clear from the press releases, but the proposal seems to be to do away with the Base Supplement, currently paid to permanent overseas departures, and to temporary departures. The full supplement is paid for six weeks following temporary departure, and then it reduces to Base Supplement which is around $25 per fortnight and that continues whilst one is outside of aus.. What the proposal seems to be is to have all of the supplement ceased after six weeks out and not just part of it.

This was tried last Sept but the proposal got stuck in the Senate. Now the need is more urgent because just having approved the parliamentarians a pay increase taking their minimum to $200,000 a year, the government needs savings from the pensioners to help with "Budget Repair".

[highlander4000]

Oh i think i get it, beecause i was getting still about $20 pension supplement after 6 weeks. So they are planning on taking away that too, so we will be $20 worse off a fortnight, bummer!.

[highlander4000]

And the guardian had the nerve to frighten us and write that they were going to cut off pensions after 6 weeks, this guardian website sounds a little dodgy, i think they might need a lunchtime detention for that one.

[Banjo]

I'd trust the Guardian 50 times before Murdoch once so they are entitled to the occasional error.

We of all people know how complicated the Social Security Act is.

[peter]

The proposed legislation to stop all Supplement payments after six weeks out of Australia, is contained in the Payment Integrity Bill which also contains the proposals to make it fifteen years residency for oap; reduction to Family Tax Benefit A; and extension of excess liquid assets as a barrier to getting the dole from 13 weeks to 26 weeks. Four items all in the one Bill.

[peter]

The Payment Integrity Bill has been referred to a Senate Committee for inquiry and report. Submissions to the Committee should be by 4th August and the report back date is 7th Sept.

[peter]

The extension to fifteen years accumulated residence to get the oap for migrants and itinerant Australians,is not set up as a barrier to all welfare. It is intended to stop those who have spent time on welfare payments such as Special Benefit, New Start, Widow's Allowance or whatever from accessing the pension at pension age and thereby accessing a higher rate of pension. So for someone who has been on New Start or Special Benefit for prolonged periods would have to come up with fifteen years residence to access the pension. And if they could not do so, then on turning pension age they would drop off New Start and go onto Special Benefit which is the same rate as New Start but without the activity test. This seems to be what happens already with those people who do not have ten years residence and cannot access the pension, they instead access the Special Benefit. The change seems to be that those with less than fifteen years residence who have spent considerable time on Benefits, would go onto the Special Benefit. And for those with ten years residence, but without a history of living on the welfare system, they remain unaffected. Migrants would be affected but so too would itinerant Australians, who spent much of their Australian residence time on the Social Security, they would then have to pass the extended fifteen year residency period to get the oap. The Bill is presently before a Senate Committee for consideration.

[nomadic]

just got a clink letter telling me how much i get. after 6 weeks away i had lost $50.00 a fortnight but was still getting $23.00 a fortnight pension supplement. What the bloody hell is supplement anyhow? If all in Oz get it why isn't it
just in the full pension?

[peter]

In days gone by, the various governments used to juice up the pension with little bits of add ons. Then in 2009 they combined all the bits of add ons into a Pension Supplement. The add ons combined into the Supplement were the GST supplement, the Pharmaceuticals Supplement, the Utilities Allowance and the Telephone Allowance. These were not consolidated into the Pension but left outside the pension and called the Pension Supplement, presently around $65 a fortnight.

They then decided that parts of the Supplement were offsets to Australian living costs, and so it followed that if one was not in Australia paying Australian living costs, then those people would not need it and they could retain instead a Basic Supplement that covered universal living costs. That gave them the excuse to chop it for those permanently living outside of Aus to around $25 a fortnight and this is the present situation. I forget how they did the split but there was a rationale.

The same reasoning applies to the Energy Supplement which is outside and additional to the Pension Supplement. If one does not live in Oz, then they do not need it if they are foolish enough to live outside of the Promised Land.

What they are on about in the Payment Integrity Bill is to take away the remnant Basic Supplement from those who have left Aus. for more than six weeks on short term departure and from permanent departees.

[nomadic]

so they are paid to come up with these devious ways to save money? again defies belief how low they will go to look like they know what they are doing to the public at large. So Oz is the only place on earth where you pay rent, take medicine, use electricity etc etc?