Document ID: chunk:federal_register_of_legislation:C2025C00162:section:3:p7
Version: federal_register_of_legislation:C2025C00162
Segment Type: section
Provision Reference: s 3 (pt 7/10)
Character Range: 1721083–1723848

(rounded down to the nearest whole number) in respect of which the person would have received ordinary income, from the employment that was terminated, of an amount equal to the amount of the termination payment if:
 (i) the person's employment had continued; and
 (ii) the person received ordinary income from the employment at the rate per week at which the person usually received ordinary income from the employment prior to the termination.
redundancy payment includes a payment in lieu of notice.
termination payment includes:
 (a) a redundancy payment; and
 (b) a leave payment relating to a person's employment that has been terminated; and
 (c) any other payment that is connected with the termination of a person's employment.

Module H—Assets test

Effect of assets on maximum payment rate
 1066A‑H1 This is how to work out the effect of a person's assets on the person's maximum payment rate:

      Method statement
           Step 1. Work out the value of the person's assets.
                  Note 1: For the treatment of the assets of members of a couple see point 1066A‑H2.
                  Note 2: For the assets that are to be disregarded in valuing a person's assets see section 1118.
                  Note 3: For the valuation of an asset that is subject to a charge or encumbrance see section 1121.
           Step 2. Work out the person's assets value limit (see point 1066A‑H3 below).
                  Note: A person's assets value limit is the maximum value of assets the person can have without affecting the person's pension rate.
           Step 3. Work out whether the value of the person's assets exceeds the person's assets value limit.
           Step 4. If the value of the person's assets does not exceed the person's assets value limit, the person's assets excess is nil.
           Step 5. If the value of the person's assets exceeds the person's assets value limit, the person's assets excess is the value of the person's assets less the person's assets value limit.
           Step 6. Use the person's assets excess to work out the person's reduction for assets using points 1066A‑H4 to 1066A‑H7 below.
Note 1: See point 1066A‑A1 Steps 10 and 11 for the significance of the person's reduction for assets.
Note 2: The application of the assets test is affected by provisions concerning disposal of assets (sections 1123 to 1128), retirement villages (sections 1145 to 1157) and financial hardship (sections 1129 and 1130).

Value of assets of members of couples
 1066A‑H2 For the purposes of this Module:
 (a) the value of the assets of a member of a couple is to be taken to be 50% of the sum of:
 (i) the value of the person's assets; and
 (ii) the value of the person's partner's assets; and
 (b) the value of the assets