Document ID: chunk:federal_register_of_legislation:C2004A04771:front:0:p48
Version: federal_register_of_legislation:C2004A04771
Segment Type: other
Provision Reference: 
Character Range: 122552–125276

person's partner were receiving a service pension, income support supplement or a social security pension or benefit.

Reduced rate if social security pension was payable to person in the previous week

  "(3) If:

     (a) income support supplement becomes payable to a person without a dependent child or dependent children on a pension payday ('income support supplement payday'); and

     (b) a social security pension was payable to the person on the pension payday (within the meaning of the Social Security Act) immediately before the income support supplement payday;

the rate at which income support supplement is payable to the person on the income support supplement payday is to be worked out by using the formula:

where:

'annual rate' means the rate of the person's income support supplement worked out by using the Rate Calculator at the end of this section.

"INCOME SUPPORT SUPPLEMENT RATE CALCULATOR
WHERE THERE ARE NO DEPENDENT CHILDREN

"MODULE A—OVERALL RATE CALCULATION PROCESS

Method of calculating rate

"45X-A1. The rate of income support supplement is an annual rate (fortnightly amounts are provided for information only):

          Method statement
Step 1.   Work out the person's maximum basic rate using MODULE B below.
Step 2.   Work out the amount per year (if any) payable by way of remote area allowance (see MODULE C below).
Step 3.   Work out the amount per year (if any) for rent assistance using MODULE D below.
Step 4.   Add up the amounts obtained in Steps 1, 2 and 3: the result is called the maximum payment rate.
Step 5.   Apply the adjusted income test using MODULE E below to work out the reduction for adjusted income.
Step 6.   Take the amount obtained in Step 5 away from the maximum payment rate: the result is called the adjusted income reduced rate.
Step 7.   Apply the assets test using MODULE F below to work out the reduction for assets.
Step 8.   Take the reduction for assets away from the maximum payment rate: the result is called the assets reduced rate.
Step 9.   Work out the person's ceiling rate using points 45X-A3 and 45X-A4.
Step 10.  Find out, using points 45X-A5 and 45X-A6, whether the pension payable to the person under Part II or Part IV is compensation reduced. If the pension is compensation reduced, go to Step 11. If the pension is not compensation reduced, ignore Step 11 and go directly to Step 12.

          Method statement—continued
Step 11.  This Step applies only to a person whose pension under Part II or IV is compensation reduced. Compare the adjusted income reduced rate (see Step 6) and the assets reduced rate (see Step 8); the rate of income support supplement is equal to:
            (a) whichever is the lower of those