Assessing an Income and Assets Update (SA220) form 110-02010030

If the SA220 form is a bereavement review, ensure that any assets or income owned jointly with their deceased partner are updated to 100%, where relevant.

Process Direct

A single change of circumstance (COC) update can be processed in Process Direct using a task selector.

For staff initiated non new claim income and assets updates:

• In the customer's record, key START into the Super Key
• Select Income and Assets Update from the task selector
• Select the income and asset screens to be updated from the list presented
• Select Start to initiate the COC flow

Customer First/Customer Record

In Customer First, check the income and assets summary before starting the updates.

Use the Income/Assets Update and Reviews script in Customer Record to:

• record return of the form, and
• complete the updates

Update customer's address if different from what is on their record. See the relevant procedure below for assistance, if required:

• Changing address or rent details
• Updating address details
• Permanent vacation of principal home
• Vacation of principal home due to illness
• Change of address to an aged care home
• Temporary change of address to an aged care home for respite care
• Sale of principal home
• Purchasing another residence
• Assessing a life interest in a home

Any cash on hand customers (and/or their partners) may have apart from monies for regular day to day expenses must be recorded.

First, check the Savings Summary (SVS) screen. If there is a cash on hand entry already on the system, update if required. If not, go to Direct Investment Account (SVDI) to enter the new details.

See Coding income and assets for Centrelink payments and services for more help.

Check the customer's Gift and Deprived Assets Details (GIFTS) screen.

• If details are not on the customer's record, select Add on the GIFTS screen
• For help, see Assessing deprivation/gifting

Check details on the Earnings (EANS) screen. If the employment details are different from that indicated on the review form, update with the new details.

If the income is from overseas employment, the income must be coded in the appropriate currency on the Foreign Income Paid Details (FEIP) screen.

For help, see:

• Employment income
• Recording and correcting employment income details
• Foreign income and assets

Note: when coding Carer Payment employment income, the Carer Payment Activity Summary (CPAS) screen will need to be updated. See Carer Payment (CP) processing in the Earnings and reporting tool.

When coding DSP employment income, check Commencing or returning to work or self-employment Disability Support Pension (DSP).

If the customer has paid/is paying an accommodation payment or advising their accommodation payment has been refunded, see Aged care fees and charges - accommodation payments.

The customer will need to provide the supporting document of payment for accommodation cost. After they provide the required document, update the accommodation payment on the Exempt Income and Assets (EXIA) screen. To go the EXIA screen:

• In Process Direct, key EXIA in the Super Key, or
• 'S'elect the Exempt Acc. Bonds from:
• Pension Task Selector (PTS) or
• RCA Task Selector (RCTS) or
• Income and Asset Task Selector

Check details on customer's Real Estate Business Identity Details (REBS). 'S'elect or expand the property for more information.

The customer must uniquely identify the location of any real estate or business site they (and/or their partner) own or have an interest in.

A customer's individual circumstances determine the appropriate method of assessment for real estate assets at new claim. Depending on the circumstances, the assessment may result in:

• acceptance of the customer's estimated value
• a check of the customer's estimated value, or
• a formal valuation

Following this process, to maintain payment accuracy, an annual indexation will be applied to the property value.

The indexation review will also be displayed on the Future Activity List (FAL) screen in Customer First. Only one review will display for all properties.

For further information regarding indexation and valuation of real estate and other assets, see Valuation of real estate and other assets.

• If customer's (and/or their partner's) income from the farm has not been reviewed in the last 12 months, request copies of their latest Business and Personal Income Tax Returns and Business Financial Statements
• 'S'elect or expand the property from REBS to see when it was last updated. If it is for the most recent year no further action is required
• Check the FAL screen in Customer First in case a review is due soon to request customer's Income Tax Return

For help, see:

• Assessing and coding real estate details for details on coding the real estate screens and requesting a valuation
• Assessment and sale of real estate and timeshare asset
• Assessing and coding the Business details for sole traders and partnerships MOD F. This gives details on how to assess income and assets if the farm is a partnership
• Assessing and coding the Private Company details from the MOD PC. This gives details on how to assess income and assets if the farm is a private company
• Assessing and coding the Private Trust details from the MOD PT. This gives details on how to assess income and assets if the farm is a private trust

For business assessments, contact the local Complex Assessment Officer (CAO) if further assistance is required.

If the customer has received any fringe benefits, see Assessing fringe benefits for Social Security income test purposes for assessment details.

• If a customer (and/or their partner) has any funeral bonds or investments see Exempt Funeral Investments (Funeral Bonds) for assessment details
• If the customer (or their partner) also has a contract to have funeral services provided for which an agreed sum has already been paid to the provider or used to buy funeral bonds assigned to the provider, request a copy of the contract

Update if details on the SA220 are different from details on customer's Other Assets Details (OAS).

If the household contents or personal effects are provided in currency other than Australian dollars, record the asset value on Foreign Income Details (FID).

See Coding income and assets for Centrelink payments and services for assistance on how to code this information.

There are automatic reviews in place for Income Stream products. If customer has given a new schedule, or it is a new product, update the details provided. Request schedule for new products. See:

• Adding or updating an account-based income stream
• Adding or updating a defined benefit or military invalidity pension income stream
• Income stream reviews

If an Income and Assets Review (AUS220) form is being assessed, see Assessing an overseas Income and Assets Review (AUS220).

Update if details on the SA220 are different from details on the customer's record:

• Overseas income includes income from:
• A business located overseas
• Overseas compensation (not restitution payments but compensation for work injury or similar). Note: some types of overseas compensation are subject to normal compensation rules. Clearance must be obtained from the compensation team. See Treatment of periodic compensation payments (CLK). See Treatment of periodic compensation payments (CLK)
• Superannuation paid by a company in an overseas country. Note: this is not a pension paid by the government of a country. Only private superannuation payments should be recorded on Foreign Income Details (FID)
• Employment income from employment overseas
• Any other type of income which is received in a foreign currency

Coding overseas income:

• Overseas income and overseas real estate are recorded on the Foreign Income Details (FID) screen. See Foreign income and assets for more information
• Note: overseas bank accounts are recorded in the overseas currency on Direct Investment Account (SVDI) screen. They cannot be recorded as foreign income/assets on FID. See Coding income and assets for Centrelink payments and services for further information
• For Foreign pensions, where the foreign pension has not previously been updated through an automated foreign pension update process. See Foreign Pension coding for more details

This could be for reasons such as:

• illness and in care of someone else
• in nursing home
• moved to hostel
• taking a long vacation (particularly relevant to people going overseas long term)

See Permanent vacation of principal home how this may affect the customer and/or their partner.

See Changing address or rent details.

If the customer (and/or their partner) has a life insurance policy with a surrender value, the surrender value is included as an asset on their record. Check and update Other Assets Details (OAS) if required.

On maturity, or when a customer has cashed in a life insurance policy the difference between the maturity payment and the sum of the purchase price and premiums paid by the investor is assessed as income for 12 months from the date the policy expires. See Assessment of income for Centrelink payments for details.

See Coding income and assets for Centrelink payments and services for assistance in coding.

This can be a loan to friends or relations or a loan to a business, trust or company.

See Loans for assessment details.

The type of lump sum received will affect how it is assessed. There are provisions to exempt some lump sum payments.

If the lump sum has not previously been notified by the customer or the partner, see Treatment of lump sums for assessment assistance.

Check that details on the SA220 and customer's Investments Summary (MIS) are the same. Update if different. See Managed investments - updating existing investments.

If this is the first advice of the customer's (and/or their partner's) managed investments, verification should be requested.

See Managed investments - adding a new investment for assistance.

Update if details on the SA220 are different from details on the customer's Other Assets Details (OAS).

See Coding income and assets for Centrelink payments and services for assistance in the coding of any updates.

This can cover various types of income.

Check the Other Income (OINS) to see if details are the same on the SA220 and customer's record. Some income types mentioned on the SA220 will not be recorded on OINS. See the links below for information on which screens other types of income can be found.

Income provided in currency other than Australian dollars must be recorded via Foreign Financials (FIPS, FPD, FID).

For help, see:

• Boarders and Lodgers, see Income from boarders and lodgers
• Compensation, see Treatment of periodic compensation payments (CLK). This income will be on the Compensation Summary (CMPS) screen in Customer First or Pension Income and Asset Summary (PIAS) in Process Direct
• Director's fees, for details on director's fees, stipends, or honoraria, see Assessment of employment income for Centrelink payments. This income must be coded on the Earnings (EANS) screen and not on any other screen
• Commission Income, see Income for an independent contractor and commission income
• Restitution payments. This may be exempt income. Before recording the payment, check if the restitution payment is exempt or not, and whether it has been paid as a one-off lump sum or as an ongoing payment. Record this income on Foreign Pension Details (FPD). See Foreign Pension coding
• Scholarship income, see Assessing scholarship income

Veterans Affairs, see Payments from the Department of Veterans' Affairs (DVA) and referrals to the DVA Clearance Team. The income is shown on the Veteran Affairs Pension Summary (DVAS) For help, see:

• Coding income and assets for Centrelink payments and services
• Recording other income on the Other Income (OIN) screen
• Exempt income and assets

Check details on the SA220 against customer's Other Asset Details (OAS).

For help, see:

• Assessment of assets for Centrelink payments
• Coding income and assets for Centrelink payments and services
• Verifying and recording assets changes

If an Income and Assets Review (AUS220) form is being assessed, see Assessing an overseas Income and Assets Review (AUS220).

Overseas assets are recorded on the Foreign Income (FID).

If already recorded, 'S'elect or expand the asset from (FID).

This question is to establish whether the customer is a member of a couple.

See Member of a Couple (MoC) and Separated under one roof (SUOR) assessments.

If the customer and/or their partner have already disclosed that they are involved in a private company, no further action is required.

See Customer contact regarding trusts and companies program review.

If they have not previously disclosed they are involved in a Private Company, a Module PC - Private Company (MOD PC) should be issued.

On return of the MOD PC, refer to Complex Assessment Officer (CAO).

Check details on the SA220 against customer's (and/or their partner's) shares on the Shares and Securities Summary (SIS) and update where required.

See Adding shares and securities for assistance in recording newly listed or unlisted shares.

If the customer (and/or their partner) owns real estate other than their principal home, or their home property is larger than 2 hectares the details of the real estate may need updating. Check details on the customer's Real Estate/Business Identity Details (REBS). 'S'elect or expand the property for more information.

A customer's individual circumstances determine the appropriate method of assessment for real estate assets at new claim. Depending on the circumstances, the assessment may result in:

• acceptance of the customer's estimated value
• a check of the customer's estimated value, or
• a formal valuation

Following this process, to maintain payment accuracy, an annual indexation will be applied to the property value.

If a property is currently in the indexation cycle, a Y will appear in the Review Cycle: field on the REBS in Customer First.

The indexation review will display on the Future Activity List (FAL) screen in Customer First. Only one review will display for all properties.

For further information regarding indexation and valuation of real estate and other assets, see Valuation of real estate and other assets.

The customer must uniquely identify the location of any real estate or business site they own or have an interest in.

If income details from real estate have changed, request customer's latest Income Tax Return to verify details. If this is not a true reflection of what the income is now:

• Ask customer to supply details of income and expenses, or
• Allow one third of income as a deduction for expenses plus mortgage interest as a deduction on the gross rental income. This is only to be used if no other verification is available
• Assessing income from real estate and timeshare
• Assessing and coding real estate details for details on coding the Real Estate screens, requesting a valuation and income assessment
• Assessment and sale of real estate and timeshare asset
• If a valuation given on the Service Update is different from what the customer has supplied and further investigation is needed

Process Direct

• If the income and assets workflow is run, Notes will prepopulate and display for review when Finish is selected
• At this point, any additional information can be added, as per Online Document Recording (ODR)
• Once Notes are updated, Select Finalise. Notes will replicate to the Document List (DL)
• Where there is no update, a standalone Notes can be created using

Customer Record

• If the Income/Assets Update and Reviews script is run, it will record a detailed DOC

Customer First

• If the Service Officer manually selects the screens, record a detailed DOC of the update

Update any changes to relationship status.

See:

• Change in relationship status from single to partnered, or
• Changes in relationship status from partnered to single if assistance is needed

Update customer's rental details if there are changes to:

• their address, or
• the amount of rent paid, or
• their landlord details, or
• they are no longer paying rent

See:

• Completing the Accommodation Details (AC) screen and assessing Rent Assistance (RA)
• Updating address details

Check details on customer's record on the Other Assets (OAS). Adjust customer's record if necessary.

See Assessment of entry contribution for assistance.

Compare savings and investments on the SA220 to customer's Savings (SVS) and update any changes.

See Coding income and assets for Centrelink payments and services for assistance.

This includes sole traders, partnerships or sub-contractors.

'S'elect or expand customer's business details from the Real Estate/Business Identity Details (REBS).

To correctly assess a business, see the customer's (and/or their partner's) latest Business Income Tax Return as well as their personal Income Tax Return. This needs to include the Profit and Loss statement and the Balance Sheet. A business or farm can be operated as a sole-trader, partnership, private trust or private company. A sole-trader will usually only have a personal Income Tax Return.

Note: private trusts and private companies can only be assessed by a Complex Assessment Officer (CAO). If the customer is advising of a new trust or company, or providing updated financial information about a trust or company refer to the CAO.

Did customer (and/or their partner) supply the latest Income Tax Return with their form?

• Yes, assess new details. Contact the local CAO if help is needed
• No, the expanded business details should show when the last Income Tax Return (ITR) was assessed
• Check the Future Activity List (FAL) screen in Customer First in case a review has already been set for the next ITR
• Request the latest ITR if it has been 12 months since the last assessment or a new ITR should be available
• Assess new business details once the ITR is received. Contact the local CAO if help is needed

For help, see:

• Assets and liabilities of a business
• Assessment of income from trusts and companies
• Assessment of assets for trusts and companies
• Assessing sole trader income
• Assessing sole trader assets
• Assessing partnership income
• Assessing partnership assets
• For details on a trust, see Trusts

Compare details on the SA220 to the details on the customer's Shares and Securities Summary (SIS). Update any changes.

See Adding shares and securities for assistance.

If a customer is sharing accommodation with someone other than their partner, their entitlement to Rent Assistance (RA) may be assessed differently.

Some exceptions are:

• Nursing homes
• Aged care hostels
• Commercially operated premises for example, guest house, hotel, rooming or lodging house etc.
• Disability Support Pension recipients
• Carer Payment recipients

See Completing the Accommodation Details (AC) screen and assessing Rent Assistance (RA).

Check the Investment Summary (MIS) and update customer's (and/or their partner's) superannuation investments if needed. Included is any money held in a complying Self Managed Superannuation Fund (SMSF) or Small APRA fund (SAF).

• If customer's rollover investments are unit based, check that the correct number of units are recorded. The system will update the dollar value from this information
• If a customer is under Age Pension age, the value of these rollover investments is not assessed
• See Managed investments - updating existing investments for assistance in updating a rollover investment as well as any other managed investment

If one rollover investment is updated the system will update the value of all the customer's managed investments.

A private trust includes a non-complying Self-Managed Superannuation Fund (SMSF) or a non-complying Small APRA Fund (SAF).

• If the customer has already disclosed that they (and/or their partner) are involved in a Private Trust or a Special Disability Trust (SDT), no further action is required. See:
• Customer contact regarding trusts and companies program review, or
• Special Disability Trust (SDT) - initial contact
• If the customer has not previously disclosed to Centrelink they (and/or their partner) are involved in a Private Trust, a Module PT - Private Trust (MOD PT) should be issued. Note: a MOD PT is not required for a SDT
• If the customer has not previously disclosed to Centrelink they (and/or their partner) are involved in a SDT, a Module SDT - Special Disability Trust should be issued:
• On return of the MOD PT, see Assessing and coding the Private Trust details from the MOD PT
• On return of the MOD SDT, see Special Disability Trust (SDT) Beneficiary Assessment Process