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Adding or updating an account-based income stream 108-05060010

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This document explains how to assess and code account-based income stream products.

Staff trained in Process Direct, select the Process Direct tab. Staff not trained in Process Direct, select Customer First.

Customer First

On this Page:

Adding or updating an income stream

Updating existing grandfathered (category 2) income stream

Updating existing deemed (category 9) income stream

Updating Provider Name and/or Product Reference Number for existing income streams

Coding SUPI for a new income stream

Coding SUPV for a new income stream

Reinstating the grandfathered status for an existing income stream

Category rectification activities

Updating existing grandfathered (category 2) income stream


Table 2

Expand table

Step

Action

1

Changes to an existing grandfathered (category 2) income stream

If the customer is notifying changes from 1 July and before the annual August review is completed, go to Step 2.

Otherwise, if the customer is:

  • Advising a change to the current account balance, go to Step 4
  • Advising a partial commutation, or a change to the gross income due to a commutation, go to Step 7
  • Advising a change to the gross income, go to Step 9
  • Advising a change to the provider name and product reference number following a Successor Fund Transfer, see Table 4 > Step 1
  • Advising a change to the product reference number only following an internal transfer within the provider's system, see Table 4 > Step 1
  • Providing information as part of a review, see:

2

Changes from 1 July and before August review
  • The customer may be notifying new gross annual income from 1 July or the new current account balance
  • Changes to gross annual income or partial commutations are only needed for grandfathered income streams (category 2)

If there is a need to make the update before the August review, for example, the change will be payment effecting, go to Step 3.

Is the customer's income stream from a SMSF or SAF?

  • Yes, tell the customer they can either:
    • wait for the August review letter and complete the review using online services as outlined in the review letter, or
    • provide a current income stream schedule, that is, a schedule issued on or after 1 July of the current financial year
    • procedure ends here for Smart Centre Call staff
  • No:
    • Tell the customer the system will update their income stream. Their provider will supply the information directly to Services Australia for the review
    • Procedure ends here

3

Updates needed before the August review
  • All the information requested for the review must be provided and updated
  • Update all details in the one transaction to prevent re-work because:
  • If the customer has provided an income stream schedule:
    • check the date
    • if it is dated before 1 July it cannot be used for the current financial year
    • a new schedule from 1 July is needed

See August income stream reviews for full details of updates needed.

1 July account balance:

  • The 1 July account balance can only be updated once in a financial year:
    • If another update is made in the same financial year, an error 'E011SN - 1 July Balance field can only be updated once in a financial year' is displayed
    • If a coding error is made and the activity is completed, delete the page and re-code with the correct information. Note: if deleting a page, a new page must be inserted with the correct details
  • The closing balance as at 30 June is usually the opening balance for 1 July. Therefore, the 30 June balance can be accepted as the 1 July balance
  • If the account balance for 1 July is not provided but a current account balance for another date in July is, this is acceptable. It can be used to update the 1 July account balance
  • Do not update new gross income amount only. If the Event Date is after 1 July the system will require an updated 1 July account balance as well, and not allow any further changes to the 1 July balance for the financial year

Procedure ends here.

4

Is the customer contacting to update the current account balance for their or their partner's income stream?

5

Check details - current account balance

Has the current account balance changed because of a commutation?

  • Yes, the customer must provide an income stream schedule. Go to Step 8
  • No, and the current account balance has:
    • increased significantly. Ask the customer if they have started a new income stream. This is important, as additional money cannot be added to an existing income stream product. Some providers re-use product reference numbers. A new income stream could have the same reference number as the old product. If it is a new income stream, the customer must provide an income stream schedule. Go to Step 8
    • not increased significantly, go to Step 6

6

Update current account balance
  • 'S'elect the appropriate product from the SUPS screen and select Continue
  • Check details on the Pension/Annuities Identification (SUPI) screen are correct. If correct, select Continue. If any changes are required, update as necessary and ‘C’orrection is required, not ‘I’nsert for SUPI screen:
    • Note: if a correction to the purchase date or purchase price is required, update the Product Cancellation Reason field to OTH – Other
    • Update Receipt Date and Source (if required)
    • Select Continue
    • Check the cancellation date of event (DOV). If needed, correct the auto generated DOV to the correct cancellation date
    • Recode the product with the corrected original purchase price and/or purchase date
    • Note: correction to the purchase price is only required if there is a whole dollar discrepancy
  • On the Pension/Annuities Details Variable (SUPV) screen make the necessary changes to following fields:
    • Event Date: date of change
    • Current Account Balance, key the new current account balance (whole dollars only)
    • Source, DOR and Action
      Note: if there is a whole dollar difference in the Original Purchase Price (OPP) field the product must be cancelled and recoded. For example, if OPP is $66,666.66 and $66,666.00 was coded, this is correct. However, if $66,667.00 was coded recoding is required
  • Select Continue
  • Check the SUPS screen displays the updated income stream details
  • Complete the activity on the Assessment Results (AR) screen
  • Record details on a DOC
  • Procedure ends here

7

Verification needed - partial commutation or change to gross annual income due to a commutation

The income stream provider must calculate the gross annual income.
Note: the Resources page has examples of the calculation. It is for specialist staff like the Authorised Review Officers, or for Service Officers who want to understand how the income is calculated.

If the update is not part of the August review, an SA330 or similar schedule from the income stream provider must be obtained before any changes are made to:

  • commutations
  • gross annual income due to commutations

Has the customer provided a current SA330 or similar schedule from the income stream provider?

8

Documents needed

The customer or partner must provide an SA330 or similar schedule from their provider:

  • Tell the income stream owner the SA330 or a similar schedule must be completed by:
    • The income stream provider for income streams purchased from a retail provider
    • The trustee for income streams paid from a self-managed superannuation fund (SMSF) or small APRA superannuation fund (SAF). Note: some SMSFs may have a retail provider as their administrator, for example, AMP, MLC, who may complete the form
    • A provider can issue their own schedule with similar questions that appear on the SA330, and this is can be accepted
    • Record details on a Fast Note
    • Procedure ends here until documents are returned
  • Issue SA330 using the Mail Forms guided procedure or tell the customer verbally to provide a similar schedule issued by their provider:
    • The customer must provide an income stream schedule for each income stream they own
    • Record a Fast Note detailing what the customer has been asked to provide

Note: where the customer or partner is unable or unwilling to provide information due to FDV (Family and Domestic Violence), escalate to Automation of Income Stream Reviews (AISR) support. AISR support will escalate to arrange the request of the information directly from the provider.

Procedure ends here until the customer provides documents.

9

Code the update

Coding incorrect details in these fields may cause the automated income stream review to fail.

'S'elect the appropriate product from the SUPS screen and select Continue:

  • Check details on the Pension/Annuities Identification (SUPI) screen are correct. If correct, select Continue. If any changes are required, update as necessary and ‘C’orrection is required, not ‘I’nsert for SUPI screen:
    • Note: if a correction to the purchase date or purchase price is required, update the Product Cancellation Reason field to OTH – Other
    • Update Receipt Date and Source (if required)
    • Select Continue
    • Check the cancellation date of event (DOV). If needed, correct the auto generated DOV to the correct cancellation date
    • Recode the product with the corrected original purchase price and/or purchase date
  • Note: correction to the purchase price is only required if there is a whole dollar discrepancy
  • On the Pension/Annuities Details Variable (SUPV) screen make the necessary changes to following fields:
    • Event Date, key date of change
    • Gross Income Amount, key the gross annual income amount exactly as stated on the schedule (including cents, if stated)
    • If there is an existing deduction figure code due to a family law split coded under Other Ded Amt (income) field, this annual amount may need to be adjusted. If it is a set amount a year then it can remain, if it is a percentage of the gross then it needs to be adjusted when the gross is adjusted
    • If the gross income amount entered into the system triggers an edit 'E853CQ Gross Income not equal to or greater than $XXXX.xx', go to Step 10
    • For coding a commutation manually, see Commutation of asset-tested income streams
    • Source, DOR and Action
      Note: if there is a whole dollar difference in the Original Purchase Price (OPP) field the product must be cancelled and recoded. For example, if OPP is $66,666.66 and $66,666.00 was coded, this is correct. However, if $66,667.00 was coded, recoding is required
  • Select Continue
  • Check details on the SUPS screen are correct
  • Complete the activity on the Assessment Results (AR) screen
  • Make sure the FAL screen is checked and any review for the return of the documents completed
  • Record details on a DOC

For instructions on how to add new products using these screens/fields, see Table 5 > Step 2.

Procedure ends here.

10

Edit - 'Gross income not equal to or greater than $XXXX.xx'

Is the provided 1 July account balance correct for the current financial year (or the opening balance if the income stream started during the financial year)?

The minimum amount is not recalculated if the current account balance has reduced or partial commutations have been made. The system calculates the minimum amount that may be drawn in the current financial year based on the 1 July account balance.

As part of the government response to COVID-19 (novel coronavirus), the minimum drawdown limits for account-based income streams under the Superannuation Industry (Supervision) Regulations 1994 have been reduced by 50% for 2019/2020, 2020/2021, 2021/2022 and 2022/2023 financial years. Customers can to reduce their gross annual income amount, subject to the reduced minimum based on the existing 1 July account balance.

  • Yes:
    • The gross annual income provided by the customer is lower than the minimum amount displayed in the Edit
    • Code the minimum amount as displayed in the Edit
    • Include the following information on a DOC: the gross income amount is less than the minimum amount needed to be drawn in a financial year under the superannuation regulations. Services Australia is needed by legislation (section 1099DAA) to apply the minimum in this case. Note the minimum figure calculated by the system
    • If applying the minimum gross income figure results in an unfavourable decision, see Advising verbally of an unfavourable decision
    • go to Step 12
  • No, go to Step 11

11

Account balance not 1 July balance

Tell the customer:

  • 1 July account balance is needed within 14 days
  • If it is not received, Services Australia will use the balance given as the 1 July account balance and apply the minimum amount which appeared in the system Edit
  • The update cannot be completed until either the customer provides the correct information or the 14 days has expired

In Customer First, create a manual review on the Review Registration (RVR) screen and complete the fields as follows:

  • Service Reason: customer's payment type
  • Review Reason: select most appropriate reason
  • Due Date: 14 days from request date
  • Source: INT
  • Date of Receipt: today's date
  • Notes: 'Check if account balance for 1 July has been received via document lodgement or verbally for <insert product reference number>. See OB 108-05060010.'
  • Keywords: ABPJUL1
  • Workgroup: leave blank
  • Position: leave blank
  • Transfer to Region: leave blank

The review will mature on the Due Date coded in the RVR activity. Workload Management will allocate the review for manual action.

Procedure ends here until information received or 14 days has expired.

Review is due:

  • If the 14 days has expired, code the income stream using the information previously provided, applying the minimum income amount

12

Continue coding
  • For coding a commutations manually, see Commutation of asset-tested income streams
  • Source, DOR and Action fields
  • Select Continue
  • Check details on the SUPS screen are correct
  • Complete the activity on the Assessment Results (AR) screen
  • Make sure the FAL screen is checked and any review for the return of the documents completed
  • Record details on a DOC
  • Procedure ends here

Adding or updating an income stream


Table 1

Expand table

Step

Action

1

Check update(s) needed

If the customer has purchased a new income stream using funds from selling their principal home and they intend to use some or all the funds to purchase a new home, See Sale of principal home.

If updates relate to a category rectification Fast Note, see Table 8 > Step 1.

If the customer has supplied a physical copy of an income stream schedule to a service centre, upload a copy of the income stream schedule to the customer's record.

Is the customer only contacting to add or update an account-based income stream?

2

Discuss all income and assets updates the customer would like to make

Discuss all income and asset updates required. For example, income stream, shares, foreign income.

Only proceed with the coding if all updates needed can be completed.

If there are concerns with the legitimacy of the customer's information, see Coding income and assets for Centrelink payments and services.

This table describes information needed to update the account-based income stream.

Can the customer provide all the other information needed?

  • Yes, go to Step 3
  • No:
    • further information or documents will be needed before the updates can be done
    • check if additional information for the income stream update is also needed
    • go to Step 3

3

Update an existing income stream, close an existing income stream or add a new income stream

All appropriately skill-tagged Service Officers can process at the point of contact for all payment types.

Navigate to the Pension/Annuities Summary (SUPS) screen. Check if the income stream is already recorded or if it is a new one.

If the update is to:

  • Close an existing income stream. There has been a full commutation or the balance is exhausted, Table 1 > Step 6 in Commutation of asset-tested income streams
  • Add a new income stream, Details of income stream product (SA330) or similar schedule completed by the provider is needed. If a schedule has:
  • Update an existing income stream, go to Step 4

4

Update existing income stream

The SUPS screen will identify the income stream:

  • The product type code for an account-based income stream will be:
    • AIS
    • ALP, or
    • ALA
  • Product category will be:
    • '2' (grandfathered), or
    • '9' (deemed)

Category 2 (grandfathered):

  • A Details of income stream product (SA330) or similar schedule completed by the provider is needed for:
    • changes to the provider name and/or product reference number following a Successor Fund Transfer
    • any partial commutations if the update is not part of the August income stream review
  • No documents are needed for a change to gross annual income, or current account balance changes, unless the change is because of a commutation

Category 9 (deemed):

  • A Details of income stream product (SA330) or similar schedule completed by the provider is needed for:
    • changes to provider name, and/or
    • product reference number following a Successor Fund Transfer
  • No documents are needed for current account balance changes

5

Is an SA330 or similar schedule needed?

Is an SA330 or similar schedule needed for the update?

6

Income stream schedule

Check the schedule can be used:

  • A provider can issue their own schedule with similar information as appears on the SA330
  • If an income stream is from a self-managed superannuation fund (SMSF) or small APRA superannuation fund (SAF):
    • The form must be completed by the trustee of the fund (generally the customer for an SMSF)
    • An income stream schedule completed by a financial adviser must not be accepted
    • Some SMSFs may have a retail provider as their administrator, for example AMP and MLC, who may complete the form
  • If there are concerns with the legitimacy of customer's information, see Coding income and assets for Centrelink payments and services

Is the schedule able to be used?

7

Check if the income stream has been updated in this financial year

Check if:

  • an update has been applied an update for the product in this financial year as part of the Automation of Income Stream Reviews (AISR) process, and
  • the DOV to be used now is before the DOV on the SUPV screen

Where this has been automatically updated the source of the update will show ‘ISP’. Where an update was completed by a CSO there will be a DOC on Document List about an 'Income stream review manual update'. The Activities tab in Customer First will also have provider data information for the related product.

Note: for New Claim processing staff and AISR staff, a Fast Note is not required. Go to Step 8.

Did a Service Officer manually update the product in this financial year as part of the AISR process and the DOV to be used now is before the DOV on the SUPV screen?

8

Update to be made

Is all the information for all income and asset updates available?

9

Request documents

Tell the customer all information is needed before any change can be made, to make sure they receive correct entitlement.

Note: if requesting an income stream schedule, do not insist on the customer providing an SA330 only. A provider can issue their own schedule with similar questions that appear on the SA330, and this can be accepted.

  • Tell the customer of all the information they must provide
  • Request forms and information. See Requesting information (CLK)
  • Select Information to be supplied within 14 Days + Delivery option
  • Record details of the contact and what has been requested on a DOC
  • Use the Mail Forms guided procedure if a form is to be sent

Note: where the customer or partner is unable or unwilling to provide information due to FDV (Family and Domestic Violence), escalate to Automation of Income Stream Reviews (AISR) support. AISR support will escalate to arrange the request of the information directly from the provider.

Procedure ends here until documents returned.

10

Create a Fast Note

Escalate by creating a Fast Note in Customer First. Use Fast Note - select Auto Text, use Older Australians > Update > Action req - Auto Income stream review.

If a work item exists, re-categorise as ZIAM_AISR_SUPS.

Procedure ends here.


Updating existing deemed (category 9) income stream


Table 3

Expand table

Step

Action

1

Changes to an existing deemed (category 9) income stream

If the customer is:

  • Advising a change to the current account balance, go to Step 2
  • Advising a change to the gross annual income or partial commutations:
    • tell the customer information not needed for this income stream product
    • only the current account balance is needed to be updated
    • go to Step 2
  • Advising a change to the provider name and product reference number following a Successor Fund Transfer, see Table 4 > Step 1
  • Providing information as part of a review, see:

Procedure ends here.

2

Update current account balance

If a commutation has occurred for more than $20,000, which has resulted in the reduction of the current account balance, ask the customer what has happened to the funds. Ask for any supporting documents needed to code new assets purchased.

If the current account balance has increased significantly, ask the customer if they have started a new income stream. Additional money cannot be added to an existing income stream product. Some providers re-use product reference numbers. A new income stream may have the same reference number as the old product. If it is a new income stream, the customer must provide an income stream schedule.

3

Coding the update

'S'elect the appropriate product from the SUPS screen and select Continue

  • Check details on the Pension/Annuities Identification (SUPI) screen are correct. Update the appropriate fields as required to amend the discrepancy and select Continue:
    • Note: if a correction to the purchase date or purchase price is required, update the Product Cancellation Reason field to OTH – Other
    • Update DOR and Action fields (if required)
    • Expand the product details and check the cancellation date of event (DOV). If needed, edit the auto generated DOV to the correct cancellation date
    • Recode the product with the corrected original purchase price and/or purchase date with the existing data
      Note:       correction to the purchase price is only required if there is a whole dollar discrepancy

On the Pension/Annuities Details Variable (SUPV) screen make the necessary changes to following fields:

  • Event Date:
    • Date of claim - where customer or partner are not current on an income support payment, Residential Care Asessment (RCA), Commonwealth Seniors Health Card (CSHC) or Low Income Care (LIC)
    • Date of change - where the customer or partner is current on an income support payment, Residential Care Assessment (RCA), Commonwealth Seniors Health Card (CSHC) or Low Income Card (LIC)
    • Note: Do not record an older balance with a newer date of event than a more current balance that is already recorded.
    • Current Account Balance, key the new current account balance
    • Source, DOR and Action fields
      Note: if there is a whole dollar difference in the Original Purchase Price (OPP) field the product must be cancelled and recoded. For example, if OPP is $66,666.66 and $66,666.00 was coded, this is correct. However, if $66,667.00 or $66,665.00 was coded, recoding is required.
  • Select Continue
  • Check the SUPS screen displays the updated income stream details
  • Complete the activity on the Assessment Results (AR) screen
  • Record details on a DOC
  • Procedure ends here

Updating Provider Name and/or Product Reference Number for existing income streams


Table 4

Expand table

Step

Action

1

Successor Fund Transfer - changes to Provider Name and/or Product Reference Number

If the income stream was grandfathered under the pre-1 January 2015 rules and the customer continues to be receiving an income support payment when the income stream is transferred, the income stream will retain its grandfathered status.

Advice regarding SFTs can be found on the Successor Fund and Intra Fund Transfers page within the Financial Investment and Network Support (FINS) Bulletin.

While in the income stream owner's record, go to the Pension/Annuities Summary (SUPS) screen.

The product type code will be AIS, ALP or ALA.

Has the customer provided a current SA330 or similar schedule from the income stream provider?

2

Documents needed

Customer or partner must provide an SA330 or similar schedule from their provider before the provider name and product reference number can be amended.

  • Request an SA330 or similar schedule issued by their provider. See Requesting information (CLK):
    • Select Information to be supplied within 14 Days + Delivery option
    • Record a DOC detailing what the customer has been requested to provide
  • Tell the income stream owner the SA330 or a similar schedule must be completed by:
    • The income stream provider for income streams purchased from a retail provider
    • The trustee for income streams paid from a self-managed superannuation fund (SMSF) or small APRA superannuation fund (SAF). Note: some SMSFs may have a retail provider as their administrator, for example, AMP. MLC, who may complete the form
    • A provider can issue their own schedule with similar questions that appear on the SA330, and this can be accepted
  • Record details on a DOC
    Note:     where the customer or partner is unable or unwilling to provide information due to FDV (Family and Domestic Violence), escalate to Automation of Income Stream Reviews (AISR) support. AISR support will escalate to arrange the request of the information directly from the provider

Procedure ends here until documents are returned.

3

Update Provider Name and/or Product Reference Number when document(s) returned
  • 'S'elect the appropriate product from the SUPS screen and select Continue
  • On the Pension/Annuities Identification (SUPI) screen make the necessary changes to the following fields:
  • Provider or SMSF/SAF Name:
    • For SMSF/SAF only: enter the name of the self-managed superannuation fund manually. Do not code the names of financial planners or accountants
    • For non-SMSF: select the appropriate Provider name from the drop-down list. Beginning to type part of the name will reduce the options. Note: the provider name may not be an exact match to the schedule. If a superannuation fund does not appear in the provider/fund name list in the first instance, please refer to FINS Bulletin page Successor Fund Transfer (SFT) page. If still unable to locate, refer to LPS for support as per normal BAU processes
  • Provider or SMSF/SAF ABN:
    • For SMSF/SAF only, enter the fund’s Australian Business Number
    • For non-SMSF/SAF: this will auto-populate. Note: the ABN may not match the schedule
    • Product Name, key the product name as it appears on the schedule, if required
    • Product Reference Number, key the correct product reference exactly as it appears on the schedule. The product reference number is unique to each income stream and may show as the product reference number, account number or policy number on the schedule. Do not code the provider ABN or the product name as the product reference number. If the product reference number is incomplete, for example *********305, obtain the full number from the customer before updating. If there are leading zeroes, code them. Coding incorrect numbers or partial numbers causes the income stream auto updates during the August and February review to fail
    • Source, DOR
    • Action, key 'C' (system will not accept 'I')
  • Select Continue
  • On the Pension/Annuities Details Variable (SUPV) screen, select Continue
  • Check details on the SUPS screen are correct
  • Complete the activity on the Assessment results (AR) screen
  • Record details on a DOC
  • Procedure ends here

Coding SUPI for a new income stream


Table 5

Expand table

Step

Action

1

Checking the details

Before starting the update, check:

  • Where did the money to buy the income stream come from? For example, the customer used a superannuation investment recoded on Managed Investment Summary (MIS) screen. An update on the MIS screen will be needed and in the same activity
  • Is it a reversionary income stream? This may be on the income stream schedule:
    • a reversionary income stream has been passed on to another person after the death of the primary beneficiary
      Note: the date of the death of the primary beneficiary will be needed for later coding
    • it must be the same income stream, that is, the details are the same as they were for the primary beneficiary
    • the Customer was receiving an income support payment at the time the income stream reverted to them
    • they have remained on an income support payment since that date, and
    • the income stream details reported on the schedule for reversionary beneficiary such as the purchase date, purchase price and relevant number, must be the same as the original income stream
  • Was it purchased as a result of a family law split, (on the income stream schedule)?
    • if the original income stream was grandfathered, the new product can retain its grandfathered status in some cases

If the income stream is reversionary, or from a family law split, note the information as it will be needed during coding and when checking the Assessment Results (AR) screen.

To ensure historical accuracy 1 July balances must be obtained for each year including and after the commencement date. If the product is Category 2, Gross Income must be coded for the same dates.

Is all information required to complete coding available?

2

Adding a new account-based income stream

Code Pension/Annuities Identification (SUPI) screen in these fields:

  • Product Type Code:
    • 'AIS' (account-based income stream)
    • Codes ALP (allocated pension) and ALA (allocated annuity) are obsolete; they cannot be used to add a new income stream. Customer records with these product types still exist, can continue to do so and can be updated. They were never converted to AIS. This will not affect assessment
  • Income stream from SMSF/SAF?:
    • 'Y'es or 'N'o whether the income stream is paid from a self-managed superannuation fund (SMSF) or a small APRA superannuation fund (SAF)
  • Provider or SMSF/SAF Name:
    • For SMSF/SAF only: enter the name of the self-managed superannuation fund manually. Do not code the names of financial planners or accountants
    • For non-SMSF: code the 3 letter code for the name of the income stream provider. The system will auto populate the correct provider name. Use field help (?) to see the list of defined benefit provider names with their 3 letter code. Note: the provider name may not be an exact match to the schedule. If a superannuation fund does not appear in the provider/fund name list in the first instance, please refer to FINS Bulletin page Successor Fund Transfer (SFT) page. If still unable to locate, refer to LPS for support as per normal BAU processes
  • Provider or SMSF/SAF ABN:
    • For SMSF/SAF only: enter the fund’s Australian Business Number.
    • For non-SMSF/SAF: this will auto-populate. Note: the ABN may not match the schedule. Do not alter the ABN.
  • Product Name:
    • name of the income stream product as stated on the schedule
  • Product Reference Number:
    • the product reference number is unique to each income stream and may be shown as the product reference number, account number or policy number on the schedule
    • make sure the correct product reference is recorded exactly as it appears on the schedule
    • do not code the provider ABN or product name as the product reference number
    • if the product reference number is incomplete, for example *********305, obtain the full number from the customer before updating. If there are leading zeroes, code them
    • incorrect coding causes the income stream auto updates during the August and February review to fail
  • Purchase Date:
    • purchase date of the income stream as stated on the schedule. If the income stream is reversionary the date is the original purchase date
  • Commencement Date:
    • same as purchase date

3

SUPI screen continued

Term or Relevant Number field

The relevant number is needed for the assessment of grandfathering (category 2) account-based income streams.

Coding of the field:

  • is needed when adding new deemed account-based products (category 9)
  • but is not used for assessment calculations

The number should be on the schedule. It is based on:

  • the life expectancy and age of the income stream owner, or
  • the reversionary beneficiary's age on the purchase date

Use the value provided on the schedule for coding this field. If the relevant number on the schedule is incorrect, or the schedule does not have the relevant number, and the product is a:

  • category 9 (deemed) account-based income stream:
    • code as declared on the schedule unless system errors as too low or it is missing then use the life expectancy factor for the customer's age on purchase date to update the Relevant Number field
    • see the life expectancy factor for the appropriate table of life expectancy or use the relevant number calculator
  • category 2 (grandfathered) account-based income stream: - check if the schedule has nominated a reversionary beneficiary:

4

SUPI screen continued
  • Section 9A/B/BA Compliant Indicator field
    • 'N'o
  • Start Date Original Commuted Product field
    • leave blank
  • Product Cancellation Reason field
    • leave blank when adding a new income stream
    • if the income stream is fully commuted, cancel the income stream with the appropriate cancellation reason. Do not use 'OTH'. Do not delete. If the product is cancelled, it stops to be assessed under income and assets tests. Use 'C'orrect in the Action field and code the cancellation reason. The SUPV screen will display and the Event Date field can be coded
  • Complete Source, DOR and Action fields and select Continue. The Pension/ Annuities Details Variable (SUPV) screen will display

See Table 6 > Step 1.


Coding SUPV for a new income stream


Table 6

Expand table

Step

Action

1

Code the Pension/Annuities Details Variable (SUPV) screen - Event Date field

Select the date for the Event Date field using the following information.

Reversionary beneficiary:

  • The Event Date is the day after the date of death of the primary beneficiary (usually the deceased partner), which is the date the customer (reversionary) is entitled to the income stream payment
    Note: this date is displayed on the MS screen
  • Assessable income from the income stream includes:
    • any lump sum arrears, and
    • regular ongoing payments
  • Normally lump sum arrears are paid for the period from the day after date of death to the date regular payments start
  • The income stream is assessed from this date even though other income and assets are assessed at the end of the 16 week bereavement review if the customer does not advise the changes before the review
  • Waiver provisions effective from 9 May 2018:
    • If the assessment of lump sum arrears result in a debt during the bereavement period for the surviving spouse, give consideration to waiver provisions contained under Class of Debt, Section 1237AB(1) of the Social Security Act 1991. See the References page for a link
    • All of the conditions included in the legislation must be met
    • These waiver provisions cannot be used to waive debts outside the 14 week bereavement period, or debts which occurred before 9 May 2018
    • If there is a debt that may be waived, record the details on a separate DOC. It will be considered by Payment Assurance Operations

New claim

The Event Date will be the:

  • date the income stream was purchased if the income stream was purchased after the date of grant of the payment
  • lodgement date for an early claim
  • start date of the 8 week assessment period for new LIC claims
  • payment grant date in all other cases

Note: if the customer or partner is current on an income support payment, Residential Care Assessment (RCA), Commonwealth Seniors Health Card (CSHC) or Low Income Card (LIC), and the income stream is not recorded, see below under ‘Previously undeclared income stream’.

New or previously undeclared income streams

The first Event Date will be the:

  • date the income stream was purchased if the customer or partner were current on income support payment, Residential Care Assessment (RCA), Commonwealth Seniors Health Card (CSHC) or Low Income Health Care Card (LIC) before the purchase date, or
  • earliest date of grant of income support payment, RCA, CSHC or LIC for customer or partner if the income stream was purchased prior to this date

Note: if client and/or partner were or are only SHC/CUR-NOI and the product was purchased after any ISP was cancelled, then historical details or historical coding are not required. See Non-income tested (NOI) concession cards for more information if required.

Additional Event Dates may need to be added to the record for subsequent updates.

Purchase of new income stream by existing customer

  • The Event Date is the purchase date of the product
  • This also applies to income streams purchased from the proceeds of a family law split
  • An additional Event Date may have to be inserted if the schedule provided is for a later date. For example:
    • A customer purchases income stream on 1 May
    • Schedule is issued on 15 May with a current account balance as at that date
    • The balance at purchase, that is, purchase price, to be coded with an Event Date of 1 May and a new page to be inserted with Event Date 15 May and balance at that date

2

SUPV screen continued

The system updates these fields. They will not display until the screen is completed and Continue is selected.

  • Channel Type field. Automatically displays whether the income stream was:
    • CSO if manually updated by Services Australia staff for new or existing income streams
    • ISP if auto bulk updated with data sent by the provider, or
    • WEB if auto updated using online services for income stream reviews
  • Product Category field. Automatically displays the category of the income stream for assessment purposes. The category for account-based income streams is:
    • 2 Assets tested (long term) income stream, or
    • 9 Assets tested (long term) deemed income stream

3

Gross Income Amount field

Code the gross annual income amount exactly as stated on the schedule (including cents, if stated).

Note: if the purchase date is on or after 1 January 2015, this field is updated only when adding a new income stream.

Did the gross income amount entered trigger an edit 'E853CQ Gross Income not equal to or greater than $XXXX.xx'?

4

Edit - 'Gross income not equal to or greater than $XXXX.xx'

Is the 1 July account balance provided as at 1 July of the current financial year (or the opening balance if the income stream started during the financial year)?

  • Yes:
    • The gross annual income provided by the customer is lower than the minimum amount displayed in the Edit
    • Code the minimum amount as displayed in the Edit
    • DOC the customer record with the following: the gross income amount is less than the minimum amount needed to be drawn in a financial year under the superannuation regulations. Services Australia is needed by legislation (section 1099DAA) to apply the minimum in this case. Note the minimum figure calculated by the system
    • If applying the minimum gross income figure results in an unfavourable decision, see Advising verbally of an unfavourable decision
    • If adding a new income stream, continue coding. Go to Step 6
  • No, go to Step 5

5

Account balance not 1 July balance

Tell the customer:

  • 1 July account balance needed within 14 days
  • if it is not received, Services Australia will use the balance given as the 1 July account balance and apply the applicable minimum income amount
  • the update cannot be completed until either the customer provides the correct information or the 14 days has expired

In Customer First, create a manual review on the Review Registration (RVR) screen and complete the fields as follows:

  • Service Reason: customer's payment type
  • Review Reason: select most appropriate reason
  • Due Date: 14 days from request date
  • Source: INT
  • Date of Receipt: today's date
  • Notes: 'Check if account balance for 1 July has been received via document lodgement or verbally for <insert product reference number>. See OB 108-05060010.'
  • Keywords: ABPJUL1
  • Workgroup: leave blank
  • Position: leave blank
  • Transfer to Region: leave blank

The review will mature on the Due Date coded in the RVR activity. Workload Management will allocate the review for manual action.

Procedure ends here until the information is received or the review becomes due.

Review is due

  • If the 14 days has expired, code the income stream using the information previously provided, applying the minimum income amount
  • Go to Step 6

6

SUPV screen (continued)

Income Frequency field:

  • System records 'annual'
  • If another value is coded, an edit displays - check the gross income amount reported on the schedule is an annual amount

Original Purchase Price field:

  • The amount originally paid for the income stream, not reduced by any commutations
  • The purchase price of an account-based income stream cannot be $0. Additional money cannot be added to an existing income stream
  • Code exactly as stated on the schedule (including cents if stated). Note: if the income stream is reversionary, it will have the same purchase price as the original income stream
  • Check details on the Pension/Annuities Identification (SUPI) screen are correct. Update the appropriate fields as required to amend the discrepancy and select Continue
    • Note: if a correction to the purchase date or purchase price is required, update the Product Cancellation Reason field to OTH – Other
    • Update DOR and Action fields (if required)
    • Expand the product details and check the cancellation date of event (DOV). If needed, edit the auto generated DOV to the correct cancellation date
    • Recode the product with the corrected original purchase price and/or purchase date with the existing data
    • Note: correction to the purchase price is only required if there is a whole dollar discrepancy
  • This field was created from 6 December 2004. For products coded before 6 December 2004, a system conversion populated this field with the value from the old Purchase Price Less Commutations field. Before December 2004, there were no commutation fields. The Purchase Price Less Commutations field had to be manually adjusted by any partial commutations

Note: the Original Purchase Price field is used for assessment purposes for category 2 (grandfathered) account based income streams only. The field is not used for assessments for category 9 (deemed) account based income streams. If the income stream product being coded is a category 9 income stream, the original purchase price will not affect the customer's ongoing entitlement.

Commutation Date field:

  • Relates to the amount coded in the Latest Commutation field
  • This date is only for information and is not the date of effect
  • If there is more than one commutation amount, the most recent commutation date must be recorded
  • If the purchase date is on or after 1 January 2015, this field does not need to be updated

Latest Commutation field - the commutation amount

  • If the purchase date is on or after 1 January 2015, this field does not need to be updated
  • If an update is needed:
    • The value in this field will continue to display until it is replaced with a new value
    • When the income stream is subsequently updated and there is no new commutation amount to be updated. For example, only the current account balance is to be updated, manually remove the amount displayed in the Latest Commutation field to avoid any confusion
    • This amount will correctly get auto added to the amount displayed in the Prev Commutations field
    • Check if commutation details were previously provided and recorded
    • If there is more than one commutation amount provided, the total of all the amounts must be recorded
    • When coding an income stream for the first time, code the sum of all commutations since the purchase date

Prev Commutations field:

  • The total commutations made from 6 December 2004 up to the current date will display
  • Commutations made before 6 December 2004 if recorded previously would have been adjusted in the Original Purchase Price field
  • Purch Price - Commutations field - system displays original purchase price less total commutations made

Oth Ded Amount method: Only relevant for Category 2 products:

  • Possible codes:
    • Blank – use if no other deductions allowed
    • ‘F’ – Family Law Split (FLS)
    • ‘S’ – Special Rate Disability Pension (SRDP) – Only for Commonwealth Superannuation account-based pensions and only if approved by Level 2 helpdesk
    • ‘B’ – Code if customer has both SRDP and FLS reductions

Other Ded Amt (income): This field must not be coded if Oth Ded Amount method field is blank

  • Family Law Split (FLS):
    • Depending on the agreement or court order involved, it is possible the provider has split the income stream and is only paying the customer their remaining share. For those cases no additional reduction is required
    • If the provider was unable to split the payment, then the amount the customer must legally pay to the other party can be coded under ‘other deduction amount’ as an annual figure to reduce the gross income assessed. For example: it may be a set amount of $10,000 per year or could be 20% of the gross. See References for link to relevant instructions. This information needs to be included in the DOC when updates are finalised
  • Special Rate Disability Pension (SRDP)
    • Recipients of SRDP from Department of Veterans' Affairs (DVA) may have a reduction to their SRDP entitlement due to their Commonwealth superannuation
    • The SRDP is reduced at 60% by an offset for the Commonwealth superannuation they receive. The amount of Commonwealth superannuation used to reduce the SRDP is exempt as income for Social Security purposes. The amount shown as Superannuation Offset on the SRDP letters is weekly and can be converted to an annual amount used as an offset and is exempt
    • Exception: If SRDP has reduced to NIL – then only the amount required to reduce it to NIL is exempt, see Resources for calculating the annual reduction amount from DVA documents. This information needs to be included in the DOC when updates are finalised

7

SUPV screen (continued)

1 July Account Balance field - account balance as at 1 July:

  • Only grandfathered category 2 account-based income streams need updating. This field cannot be updated if the purchase date is on or after 1 January 2015
  • The closing balance as at 30 June is usually the opening balance for 1 July. Therefore, the 30 June balance can be accepted as the 1 July balance
  • If the customer purchased the income stream during the current financial year and the 1 July account balance is not available, code the purchase price. Do not code $1
  • For category 2, or grandfathered account-based income streams the system calculates the minimum income amount needed to be drawn from the income stream in a financial year
  • This field can only be updated once during the financial year:
    • If an error has been made in coding and the event has been updated, delete the page and re-code the product details
    • If deleting a page make sure a new page is inserted with the correct details
  • The system will not accept $0 unless there is a cancellation reason on the SUPI screen

8

SUPV screen continued- Current Account Balance field

New income stream or new claim

Note: an additional Event Date may need to be added to record the current account balance when a later current balance is available on the schedule or from investment statements.

  • Code the current account balance with the amount as at the Event Date
  • When the DOV is the date of purchase, code the purchase price
  • Code the closest known account balance prior to the Event Date which may be:
    • the 1 July account balance rather than the current account balance on the schedule
    • the last known balance on the deceased primary beneficiary's record for a reversionary product

SMSF - customer not able to provide the latest account balance

  • Period is 1 July to 31 December, (in the first half of the current financial year):
    • The customer does not have the 1 July account balance or current balance
    • Code the closest known account balance prior to the Event Date. This may be the 1 July account balance from the prior year
    • A customer estimate can be accepted for the current balance
    • In Customer First, create a manual review on the Review Registration (RVR) screen and complete the fields as follows:
      Service Reason: customer's payment type
      Review Reason: select most appropriate reason
      Due Date: 1 January
      Source: INT
      Date of Receipt: today's date
      Notes: 'Check if account balance for 1 July has been received via document lodgement or verbally for <insert product reference number>. See OB 108-05060010.'
      Keywords: SMSFJUL1
      Workgroup: leave blank
      Position: leave blank
      Transfer to Region: leave blank
    • The review will mature on the Due Date coded in the RVR activity. Workload Management will allocate the review for manual action
    • This would be in line with the August review for account-based income streams from SMSFs
  • Period is 1 January to 30 June, (in the second half of the current financial year):
    • Request the current account balance as at 1 July in the current financial year
    • The customer has until March to complete the financials for the previous financial year as under tax rules. If not done, an estimate can be calculated. A suggested formula is the 1 July balance for the previous financial year, less gross annual income and commutations
    • The 1 July balance for the previous financial year cannot be accepted

While a customer can request their accountant prepare an estimated balance at any time, do not ask for this. The customer is likely to be charged a fee.

9

SUPV screen continued

The following fields are calculated and displayed by the system when the screen in completed. Select:

  • Continue to return to the SUPS screen
  • The product being added to go to the SUPI screen
  • Continue to return to the SUPV screen

Check the following information in these fields:

  • Deductible Amt (Income):
    • System calculates the deduction amount by which the gross income amount from an income stream is reduced to determine assessable income
  • Term Elapsed (Years):
    • System displays the period elapsed since the start date. It is not used for any calculation or assessment for this product
  • Assessable Income Amount:
    • System calculates and displays this amount - gross income amount less deductible amount (income)
  • Assessable Asset Amount:
    • System calculates and displays this amount. The current account balance is an assessable asset

If coding a new reversionary income stream, or an income stream following a family law split and the original income stream was grandfathered, go to Step 10.

In all other cases, go to Step 12.

10

SUPV - reversionary beneficiary or family law split

Check the Product Category field.

If the original income stream was grandfathered it will have been a product category 2.

Grandfathered status will be retained for a:

  • reversionary income stream if:
    • the customer was receiving an income support payment at the time the income stream reverted to them
    • they have remained on an income support payment since that date, and
    • the income stream details reported on the schedule for a reversionary beneficiary such as the purchase date, purchase price and relevant number, must be the same as the original income stream
  • a new income stream following family law split if:
    • the customer was receiving an income support payment at the time of the family law split, and
    • they have remained on an income support payment since that date

Will the income stream retain its grandfathered status?

  • Yes, and:
    • the system has automatically applied the grandfathered status (a product category 2 is displayed on the SUPS screen), go to Step 12
    • the grandfathered status must be manually restored. Go to Step 11
  • No, the new account-based income stream will automatically be updated as a category 9 deemed income stream when the activity is finalised:
    • check new income stream details on the SUPS screen are correct
    • complete the activity on the Assessment Results (AR) screen
    • Service Officer to create a DOC for the coded activities
    • make sure the FAL screen is checked and any review for the return of documents is completed
    • procedure ends here

11

SUPV screen (continued) - grandfathering

The following fields will display system generated information or can be coded manually for the specific grandfathered override reasons outlined below only.

Only the DVA Clearance Team (SCS) can update the following DVA overrides. Refer cases by email:

  • Customers who transfer from a DVA service pension to a Services Australia income support payment provided their income stream was grandfathered at the time of transfer
  • Current Services Australia income support payment (types AGE, ISS, SER) since 31 December 2014 with an income stream eligible to be grandfathered. The email to the DVA Clearance Team (SCS) must include the customers and their partners Customer Reference Number (CRN), income stream product reference number and the reason for referring the details to the team
  • Action '_' field. 'I' for Insert
  • 2015 Saved Date field. This identifies the date on which an account-based income stream was grandfathered ('saved') under the pre 1 January 2015 assessment. Deeming was extended to account-based income streams from 1 January 2015. It will be:
    • 1 January 2015, if the income support payment grant date is before 1 January 2015
    • the date the customer started receiving payments from a reversionary income stream
    • the date the new income stream was purchased as a result of a family law split
    • the payment grant date when transferring from DVA to Services Australia
  • Reason (RSN) field. This is the grandfathering reason code. The following codes may apply:
    • FAM - Family Law Split
    • REV - Reversionary Beneficiary
    • DVA - Transfer from DVA to DHS or partner on DVA income support payment
    • MAN - Manual Override
    • For the reason codes FAM, REV, DVA and MAN, a warning message will advise the staff member to contact the FINS Service Desk (Level 2 Policy) for confirmation of grandfathering eligibility. Contact the helpdesk to check if the income stream is eligible to retain grandfathered status before a manual override is applied
    • For reason code SOV (SHC overseas), a warning message will advise the staff member to contact the Cards Helpdesk (Level 2 Policy) for confirmation of grandfathering eligibility. This code applies to CSHC holders.
      Contact the Cards Helpdesk to check if the income stream is eligible to retain grandfathered status before using this code
  • End Date field:
    • This field is not relevant when adding a new income stream
    • This is the date the grandfathering stops and the income stream reverts to a Category 9 Assets Tested (Long Term) Deemed income stream. For example, in the case if a customer is not in continuous receipt of an income support payment or benefit status changes to SUS, CAN or CZR (some exceptions apply), the system will automatically update this field
  • Source:, DOR: and Action fields and select Continue
  • Check details of the new income stream on the SUPS screen are correct and the Product Category field displays '2'

Note: add the manual override information to the DOC when activity is finalised.

12

Finalise activity
  • Check the new income stream details on the SUPS screen are correct
  • Complete the activity on the Assessment Results (AR) screen

Did the system show the edit 'E001OG DVA reverse clearance needed, select for help'?


Reinstating the grandfathered status for an existing income stream


Table 7

Expand table

Step

Action

1

Updating the grandfathered status for an existing income stream which has lost its grandfathered status

When a customer with a grandfathered income stream has their income support payment suspended, the system will automatically change the category 2 grandfathered income stream to a category 9 deemed income stream.

If payment is restored from the date of suspension, the system will automatically reinstate the grandfathered status.

If the payment is restored from another date and this still means the customer receives some payment is each fortnight, the grandfathered status must be manually reinstated.

For example, JobSeeker Payment customer with an existing grandfathered income stream goes overseas for 7 days. Payments suspended the day they leave the country and restored automatically on their return. In this case, if the customer receives a part payment in the entitlement period they were temporarily suspended, they are considered to still be in continuous receipt of an income support payment and their income stream can retain the grandfathered status.

A Manual Follow-up (MFU) is generated if the restoration date is within 27 days of the date of suspension. The keyword for the MFU is 'RESGRA'.

Check if the customer has received a part payment for each fortnight before reinstating the grandfathered status. The income stream has to be updated in a separate activity with the date of receipt (DOR) as the end date of the grandfathered status so any arrears are paid. Once the income stream update activity is finalised, finalise the MFU.

Who can make the update?

An APS3 or above can determine if the Grandfathering Override field should be coded.

Note: Process Direct remains restricted to APS5 or above, an APS3 or above can update the Grandfathering Override field in Customer First.

Update the SUPV screen with:

  • 2015 Saved Date: Leave the existing start date as is
  • Reason (RSN): This is the grandfathering reason code. Update 'MAN' - Manual Override
  • End Date: Make note of the end date. Code this date as DOR to enable payment of arrears, if any. Remove the displayed end date
  • Complete Source field, DOR: code the noted end date and select Continue

A warning message will advise the staff member to contact the FINS Service Desk (Level 2 Policy) for confirmation of grandfathering eligibility:

  • Check details of the income stream on the SUPS screen are correct and the Product Category field on SUPS and SUPV screen displays '2'
  • Complete the activity on the Assessment Results (AR) screen
  • Service Officer to create a DOC for the coded activities
  • Procedure ends here

Category rectification activities


Table 8

Expand table

Step

Action

1

Investigate the product

Check the customer's record for any account-based income stream products. Determine if the income stream category is currently assessed incorrectly.

Was an account-based product identified?

2

Identify the product category which should be assessed

Examples of screens to check:

  • XDS - will provide information on customer's entitlement history
  • XDE - will provide information on the customer's rate of entitlement historically:
    • If a 0.00 rate line is identified, check to ensure this has not been deleted by a subsequent activity
    • More details and breakdown of the pension components are found by entering any of the following in the CMPNT field: PSMIN, PSREM, PSBAS and CES

Note: see Continuous receipt of an income support payment for more information. Customer must have received a part payment in each fortnight to maintain grandfathering (category 2) status.

Should the income stream be assessed as a grandfathered (category 2) income stream?

3

Product should be a deemed (category 9) income stream

As the current account balance has already been recorded, cancel and recode the income stream product from the date the grandfathering occurred incorrectly. If the product is already category 9 and correction is not required, go to Step 10.

  • Screenshot the Pension/Annuities Identification (SUPI) screen (with the provider information, purchase date, reference number and relevant number) as these will be needed for recoding
  • Screenshot the Pension/Annuities Details Variable (SUPV) screen data for all date of events after the date grandfathering occurred incorrectly, as these will need to be recoded. Also take a screenshot of the DOV at or immediately prior to the date when grandfathering occurred incorrectly
  • Return to SUPI screen
  • Code Product Cancellation Reason field as OTH
  • Source field, key 'INT'
  • DOR field 24/09/2020
    Note: if activity is being completed after 24/09/2021, DOR is 12 months prior to today's date due to system limitations. If the date the product category started being assessed incorrectly was within the last 12 months, the DOR will be the same as the Date of Event
  • Action field, key 'C'orrect
  • Continue to SUPV
  • Code the Date of Event as the date the grandfathering occurred incorrectly + 1
  • Select Continue
  • Return to SUPV screen. Delete the data from the date the grandfathering occurred incorrectly by placing a 'D'elete in the Action field
  • Select Continue, then return to SUPV screen
  • Enter the date the grandfathering occurred incorrectly as the Event Date and Insert a new page. This will ensure the data is zeroed from the date of event (DOV) that the grandfathering occurred incorrectly
  • Select Continue
  • Create a new product on SUPI screen, recoding the previous details
  • Record any entries on SUPV screen from the date grandfathering occurred incorrectly:
    • Note: record a DOV for the date the grandfathering occurred incorrectly, using the data screenshots for the DOV at or immediately prior to the date grandfathering occurred incorrectly from SUPV of the now cancelled product
    • Insert account balances in the Current Account Balance field for each DOV change

Once coding is finalised, go to the Assessment Results (AR) screen, then select 'do not finalise'. The user must progress to the AR screen for the system to reassess the product categories when a product is cancelled and recoded for rectification.

Check the coding and ensure products are now assessing as category 9 income streams. If category is assessing incorrectly contact technical support.

Go to Step 6.

4

Product should be a grandfathered (category 2) income stream

Check the record for income stream schedules for each financial year that the product has been assessed incorrectly. Check Document Tools in Customer First for documents provided.

To check for provider data in Customer First:

  • In Workspace, go to Online Interaction Summary
  • Select Search
  • Select Income Stream COC-AIS product
  • Go to Attachments tab
  • Select Income Stream Data from Provider to open the provider data

To check for provider data in Process Direct:

  • Open the customer's record
  • Go to all transactions
  • Locate 'Automated Income Stream Reviews - Income stream data from Provider' and select
  • Select the Documents icon
  • Find a Form Title 'Income Stream Data from Provider' form
  • Select View under the Doc View column

Were all required income stream schedules/provider data located?

  • Yes, go to Step 5
  • No, contact the customer and advise that we require income stream information to ensure an accurate assessment has occurred historically. Request the missing income stream schedules. See Requesting information (CLK). Procedure ends here until schedule(s) returned

5

Correct income stream category and apply schedule data

The income stream requires amendment to assess as grandfathered (category 2) product. Cancel and recode the income stream product from the date the grandfathering occurred incorrectly. If the product is already category 2 and correction is not required, go to Step 10.

  • Screenshot the Pension/Annuities Identification (SUPI) screen (with the provider information, purchase date, reference number and relevant number) as these will be needed for recoding
  • Screenshot the Pension/Annuities Details Variable (SUPV) screen data for all date of events after the date grandfathering occurred incorrectly, as these will need to be recoded. Also take a screenshot of the DOV at or immediately prior to the date when grandfathering occurred incorrectly
  • Return to SUPI screen
  • Code Product Cancellation Reason field as OTH
  • Source field, key 'INT'
  • DOR field is 24/9/2020
    Note: if activity is being completed after 24/9/2021, DOR is 12 months prior to today's date due to system limitations. If the date the product category started being assessed incorrectly was within the last 12 months, the DOR will be the same as the date of event (DOV)
  • Action field - code is 'C'orrect
  • Select Continue to go to SUPV screen
  • Code the DOV as the date the grandfathering occurred incorrectly +1
  • Select Continue
  • Return to SUPV screen. Delete the data from the date the grandfathering occurred incorrectly by placing a 'D'elete in the Action field
  • Select Continue, then return to SUPV screen
  • Enter the date the grandfathering occurred incorrectly as the Event Date and Insert a new page. This will ensure the data is zeroed from the Date of Event that the grandfathering occurred incorrectly
  • Select Continue
  • Create a new product on SUPI screen, recoding the previous details
  • Record any entries on SUPV screen from the date grandfathering occurred incorrectly:
    • Note: record a DOV for the date the grandfathering occurred incorrectly, using the data screenshots for the DOV at or immediately prior to the date grandfathering occurred incorrectly from SUPV of the now cancelled product
    • Insert the 1 July balance for the relevant financial year in the 1 July balance field, annual gross income amounts, commutations and account balances from the applicable financial year Centrelink schedules

Once coding is finalised, go to the Assessment Results (AR) screen, then select 'do not finalise'. The user must progress to the AR screen for the system to reassess the product categories when a product is cancelled and recoded for rectification.

Remain in the activity and check the coding to ensure products are now assessing as category 2 income streams. If category is assessing incorrectly contact technical support.

Go to Step 6.

6

Code Review of Assessment (ROA) screen

As the discrepancy occurred due to departmental error, ROA must be coded from the date Services Australia started assessing the income stream product category incorrectly.

Access ROA screen by typing ROA in the Nxt field.

Complete the following:

  • Section of SSA Review based on: 126
  • Source of error: Centrelink
  • Customer notified of Original Decision?: No
  • Review requested within 13 weeks of original decision: No
  • As Delegate, do you authorise the use of date of effect rules based on S109 for this assessment?: Yes
  • Start Date for Review of Decision: is the date the product category started being assessed incorrectly
  • Select Continue

Take activity to the AR screen and check outcome is correct before finalising.

Were arrears limited due to the limiting date? For more information, see Payment of arrears after reassessment and stopping a payment.

7

Determine if debts or arrears occurred

Were debts or arrears raised as a result of the activity?

  • If:
    • arrears were paid, go to Step 8
    • debt of $50 or more raised, go to Step 9
    • debt of <$50 or no reassessment occurred, finalise the activity and DOC as required. DOC the activity as required. See Resources for DOC templates. Procedure ends here

8

Arrears generated

Make 2 genuine attempts to contact customer to tell them of arrears payment.

Tell the customer that Services Australia identified an issue with how their income stream was assessed, and this has been fixed. As a result, arrears payable have been identified and paid.

Finalise the activity and DOC the activity as required. See Resources for DOC templates.

Close the associated DOC on Activity List (AL) screen.

Procedure ends here.

9

Debt raised

Finalise the activity and DOC the activity as required. See Resources for DOC templates.

A debt shell will be created on Activity List (AL) screen. Add notes to the debt shell activity on the AL screen, noting that a debt waiver is recommended as debt was caused by a system error resulting in the incorrect assessment of the customer's income stream.

Annotate the DOC created as part of this activity and document the debt waiver recommendation.

Close the associated DOC on AL screen.

Procedure ends here.

10

No action required

Annotate the 'Category rectification' Fast Note with the investigation results, then Complete the Fast Note.

Procedure ends here.