Document ID: chunk:federal_register_of_legislation:C2004A04148:body:0:p11
Version: federal_register_of_legislation:C2004A04148
Segment Type: other
Provision Reference: 
Character Range: 37405–39999

amounts

"59c. (1) If an amount is to be indexed under this Subdivision on an indexation day, this Act has effect as if the indexed amount were substituted for that amount on that day.

"(2) This is how to work out the indexed amount for an amount that is to be indexed under this Subdivision on an indexation day:
         Method statement
Step 1.  Use section 59d to work out the indexation factor for the amount on the indexation day.
Step 2.  Work out the current figure for the amount immediately before the indexation day.
Step 3.  Multiply the current figure by the indexation factor: the result is the provisional indexed amount.
Step 4.  Use section 59e to round off the provisional indexed amount: the result is the indexed amount.

Note: for 'current figure' see subsection 5na (1).

Indexation factor

"59d. (1) Subject to subsections (2) and (3), the indexation factor for an amount that is to be indexed under this Subdivision on an indexation day is:

worked out to 3 decimal places.

Note: for 'reference quarter' and 'base quarter' see the CPI Indexation Table in section 59b.

"(2) If an indexation factor worked out under subsection (1) would, if it were worked out to 4 decimal places, end in a number that is greater than 4, the indexation factor is to be increased by 0.001.

"(3) If an indexation factor worked out under subsections (1) and (2) would be less than 1, the indexation factor is to be increased to 1.

Rounding off indexed amounts

"59e. (1) If a provisional indexed amount is a multiple of the rounding base, the provisional indexed amount becomes the indexed amount.

SCHEDULE 1—continued

Note 1 : for 'provisional indexed amount' see Step 3 in subsection 59c (2).

Note 2: for 'rounding base' see the CPI Indexation Table in section 59b.

"(2) If a provisional indexed amount is not a multiple of the rounding base, the indexed amount is the provisional indexed amount rounded up or down to the nearest multiple of the rounding base.

"(3) If a provisional indexed amount is not a multiple of the rounding base but is a multiple of half the rounding base, the indexed amount is the provisional indexed amount rounded up to the nearest multiple of the rounding base.

"Subdivision C—Adjustment of other rates

Adjustment of pension child add-ons

"59f. (1) This Act has effect as if, on 1 January each year, each pension under 13 child add-on were replaced with the amount that is the pension under 13 child add-on for the purposes of Part 3.16 (Indexation) of the Social Security Act on that day.

"(2) This Act has effect as if, on 1 January each year,