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4.10.4.10 Historical Widow Class A & Sole Parent Benefit Means Test Limits

Summary

This topic contains historical means test limits for Widow Class A and Sole Parent Benefit from July 1942 to July 1996. This topic contains the following 3 tables:

1) Means test - July 1942 to October 1958,

2) Merged means test - March 1961 to December 1983, and

3) Income (section 8(1)-'income') and assets (1.1.A.290) test - March 1985 to present date.

 

Act reference: SSAct section 8(1)-'income'

 

1) Means test - July 1942 to October 1958

The table shows amounts in dollars. Income is shown in dollars per annum.

Date

Note A

Permissible income

Limit of property

Property exemption

Income

deduction

 

 

 

 

for children

27/07/1942

65

2,000

100

 

13/08/1946

104

2,000

100

 

8/07/1947

104

2,000

100

26 or 52 Note B

26/10/1948

156

2,000

200

26 or 52

6/11/1951

156

2,500

300

26 Note C

7/10/1952

156

2,500

300

52

5/11/1953

208

3,000

300

52

19/10/1954

364

3,500

400

52

28/10/1958

364

4,500

400

52

 

Notes

These notes relate to means test - July 1942 to October 1958:

A

Dates on which the rates applied.

B

The income of a widow with children was reduced by an amount of $26.00 per year in respect of the first child under 16 years in her custody, care and control and by $52.00 per year in respect of each additional child under 16 years. The maximum deduction was reduced by any payment (e.g. family allowance, state assistance) received in respect of the child and/or children.

C

Deductions from income were allowed in respect of dependent children (1.1.D.70) under 16 years. Income was reduced to $26.00 per year for each child in the widow's custody, care and control. The maximum deduction was reduced by any payment other than family allowance received in respect of the child.

 

2) Merged means test - March 1961 to December 1983

The table shows amounts in dollars. Income is shown in dollars per annum.

Date

Note D

Means as assessed

Property exemption

Income deduction for children

14/03/1961

364 Note E

2,000

52

8/10/1963

364

2,000

52 Note F

19/10/1965

364

2,000

52 Note G

4/10/1966

364

2,000

156 Note H

2/05/1967

520

2,000

156

30/09/1969

520 Note I

2,000

208

10/10/1972

1,040

2,000

312

27/03/1973

1,040

2,000

312 Note J

25/11/1976

1,040

abolished Note K

312

4/11/1982

1,560

-

-

1/12/1983

1,560

-

312 Note L

 

Notes

These notes relate to merged means test - March 1961 to December 1983:

D

Dates on which the rates applied.

E

Merged means test was introduced. Maximum pension was reduced by the amount by which 'means as assessed' (income plus property component) exceeds $364.00. If property is $4,500, or less, property component is 'nil'. If property exceeds $4,500, the property component is $2.00 for each $20.00 of property over $2,000.

Fixed disqualifying limit of property was abolished, except to the extent that, if a recipient has more than one child, no pension was payable if the property component was equal to or exceeded the maximum rate of pension (excluding additional pension for children) plus $364.00.

F

The deduction from income of $52.00 per year in respect of each child in the widow's custody, care and control was extended to include a child over 16 years until the end of the calendar year in which he or she reached 18 years if the child was dependent on the widow and receiving full-time education.

G

The period for which the deduction from income was allowed in respect of a student child was further extended until the date of his or her 21st birthday.

H

The maximum deduction from income for each child under 16 years or dependent full-time student under 21 years in the widow's custody, care and control was increased by $104.00 per year to $156.00 per year. The amount of war pension, service pension or education allowance paid by DVA was no longer a reduction from the maximum income deduction allowed.

I

A tapered means test was introduced. The maximum rate of pension was reduced by half of the amount by which means as assessed exceeds permissible means as assessed.

J

The age limit of 21 years for dependent full-time student children was removed thereby enabling the income deduction to be continued indefinitely, where suitable.

K

The property test was abolished. The means test became an income test only with property excluded. However, any monies received by, for example, rental of the property, were included as income. As from 9 November 1978 payment of additional pension in respect of a dependent full-time student ceased at an upper age limit of 25 years.

L

Eligibility for supporting parent's benefit extended to a person caring for a child, who lives apart from the partner indefinitely due to the partner's ill health.

 

3) Income & assets test - March 1985 to present date

The table shows amounts in dollars. Income is shown in dollars per annum.

Date

Permissible

Allowable assets

Income

 

income

homeowner

non-homeowner

deduction for children

21/03/1985

1,560

70,000

120,000 Note N

312

1/05/1986

1,560

75,750

129,750

312

25/06/1987

1,560

83,250

143,250

312

9/07/1987

2,080 Note O

83,250

143,250

624

23/06/1988

2,080

89,250

153,250

624

22/06/1989

2,080 Note P

96,000

164,500

624

21/06/1990

2,080

103,500

177,500

624

1/07/1991

2,184

110,750

190,250

624

1/07/1992

2,236

112,500

193,000

624

1/07/1993

2,288

112,750

193,250

624

1/07/1994

2,340

115,000

197,000

624

1/07/1995

2,444

118,000

202,000

624

1/07/1996

2,548

124,000

212,500

624

1/07/1997

2,600

125,750

215,750

624

1/07/1998

2,600

125,750

215,750

624

1/07/1999

2,652

127,750

219,250

624

1/07/2000

2,756

133,250

228,750

639.60

1/07/2001

2,912

141,000

242,000

639.60

1/07/2002

3,016

145,250

249,750

639.60

1/07/2003

3,120

149,500

257,500

639.60

1/07/2004

3,172

153,000

263,500

639.60

1/07/2005

3,224

157,000

270,500

639.60

1/07/2006

3,328

161,500

278,500

639.60

1/07/2007

3,432

166,750

287,750

639.60

1/07/2008

3,588

171,750

296,250

639.60

1/07/2009

3,692

178,000

307,000

639.60

1/07/2010

3,796

181,750

313,250

639.60

1/07/2011

3,900

186,750

321,750

639.60

 

Notes

These notes relate to income and assets test - March 1985 to July 1996:

M

Dates on which the rates applied.

N

The assets test was introduced on 21 March 1985. Non-homeowners are allowed extra assets. There is no increase in the allowable assets amounts for children.

O

Allowable income for married supporting parents (see Note L) was increased to $1,820.

P

In March 1989 supporting parent's benefit and class A widow's pension were amalgamated under a new title of sole parent's pension.

_______________________________________________________

Last reviewed: 1 July 2011


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