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General portability (1.1.P.310) of pensions started on 8 May 1973. The legislation for portability is in Part 4.2 of the SSAct and in the SS(IntAgree)Act, which give effect to international social security agreements (1.1.A.120).
Full details about each of Australia's Social Security Agreements are in Part 10 of the Guide to Social Security Law. Details of the 2002 New Zealand Social Security Agreement can be found in the Guide to Social Security Law.
Act reference: SSAct Part 4.2 Overseas portability
Policy reference: SS Guide Part 10 Australian Social Security Agreements, 10.2 Agreement with New Zealand 2002
If you need to refer to:
Since general portability of Australian pensions began in 1973, there have been a number of important changes including:
From 1 July 2004 generally all payments are portable for up to 13 weeks (for most payments, only for temporary absences). Specific conditions must be met for some payments. This includes severely disabled DSP recipients who previously had unlimited portability.
The 13 week portability period is subject to continuing qualification for the payment and nothing in the portability rules confers a right on a recipient to continue to be paid if the recipient is not qualified for the payment (section 1212D). This means that qualification for the payment overrides any portability provisions.
Portability is defined in terms of payability, i.e. as long as a person qualifies for a payment the payment can be paid for temporary absences of up to 13 weeks. Ancillary payments such as RA and PhA are also portable for up to 26 weeks (13 weeks for TAL) for temporary absences only if the main payment is portable indefinitely.
Entitled WidB, entitled WP and Age are portable indefinitely. Terminally ill DSP recipients, who are severely disabled, may also have unlimited portability for permanent departures. These recipients with unlimited portability may have their payments proportionalised after 26 weeks of absence if their AWLR is less than 25 years (there are special rules if the recipient is departing to New Zealand). Some of these recipients may also retain the 20 September 2000 savings provision (see below).
Act reference: SSAct section 1212D Part does not affect need for qualification
If extreme circumstances beyond the recipient's control arise after departure and prevent a recipient, who has a limited portability period, from returning to Australia the portability period may be extended under the Secretary's discretionary waiver power.
A pension granted to a former resident who resumes Australian residency is not portable for the first 24 months following their resumption of residence in Australia. There is NO discretionary power to allow for portability in this period.
Act reference: SSAct Schedule 1A clause 128 Saving provision - portability rules relating to rates of pension
Recipients overseas immediately before 1 July 2004 are subject to the rules under which they departed until they return to Australia.
Example: A PP recipient given 26 weeks' portability on 14 June 2004 can continue with that absence. However, any absence starting on or after 1 July 2004 will be under the new rules (generally 13 weeks).
DSP recipients who were outside Australia immediately before 1 July 2004 with unlimited portability may keep that unlimited portability for any departure on or after 1 July 2004 providing they have not returned to Australia for permanent residence.
If these recipients return temporarily, they will not be entitled to ancillary payments such as RA and PhA, or entitled to a concession card. This is because they are not Australian residents. If a recipient chooses to resume Australian residency (and therefore entitlements to ancillary payments, e.g. concession cards), then they will lose the savings provision and any new absence will be under the new rules.
If DSP recipients continue to be payable indefinitely under this savings provision, they will retain their previous proportional rate exemptions and rules (including pre 20 September 2000 rules if applicable).
Act reference: SSAct Schedule 1A clause 135 Unlimited maximum portability period for disability support pension
Age, entitled WP and entitled WidB recipients who were overseas before 20 September 2000 and who have not since returned to Australia for a period of 26 weeks or more are to be paid their portable pensions under the pre 20 September 2000 rules.
Age and WidB recipients (who were granted before 2 July 1986 or who were Australian residents on 8 May 1985, and left Australia for any country before 1 January 1996, or, after that date for a country with which Australia does NOT have a social security agreement) will not have their rate proportionalised. In some circumstances Age and WidB recipients can use their partner's (or former partner's) AWLR in determining their proportional rate.
Note: The above rules MAY also continue to apply to DSP 'saved' overseas on 1 July 2004 (as above) for as long as they retain that 1 July 2004 saving.
DSP recipients granted on or after 12 November 1991 who are not severely disabled, and wife and WidB pensioners who are not entitled may still have their 20 September savings provision (allowing them 12 months of portability) for absences that commenced prior to 1 July 2004. These recipients were overseas immediately before 20 September 2000 and have not since returned for more than 26 weeks although they have returned every year for a short period to 'renew' their 12 months' portability period. Once these recipients return to Australia this savings provision will be lost and they will generally be limited to 13 weeks' portability for any departure commencing on or after 1 July 2004.
Note: The following exemptions from proportionality were not altered by either the 20 September 2000 or 1 July 2004 changes:
Act reference: SSAct section 1220B(2) Proportionality-disability support pension rate for a severely disabled person, section 1221(2) Proportionality-wife pension and widow B pension rate for entitled persons, Schedule 1A clause 128 Saving provision - portability rules relating to rates of pension
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Last reviewed: 7 April 2008
