8.4 Payment Methods

Introduction

This chapter contains information on methods of payment, including handling payments in special circumstances.

The Administration Act provides a common framework for payments in which:

Payments are made in arrears and by instalments of no more than 14 days.
Instalments are generally paid to the customer but the delegate may direct that they be paid to a nominee (1.1.N.80).
Lump sum benefits are generally paid to the customer but the delegate may direct that they be paid to a nominee.
In cases of severe financial hardship, part or all of the first instalment may be paid in advance.
Certain payments may be paid outside Australia (1.1.A.320).
Where a DVA pension and specified social security pensions (section 23(1)-'social security pension') are both payable the social security instalments may be aligned with the DVA instalments.
Social security payments (section 23(1)-'social security payment') are rounded to the nearest cent and any payment less than one dollar is rounded up to one dollar.
Payments must be made into bank accounts unless the delegate exempts the recipient from this requirement.
In defined and limited circumstances, some social security payments and the pension bonus may be paid to someone else after the death of the recipient.

Act reference: SSAct section 23(1)-'social security pension', section 23(1)-'social security payment'

The following legislative provisions are payment specific:

If PA is payable, the minimum instalment is the fortnightly PA rate.
YA is generally paid to a parent (section 5(1)-'parent') of a customer aged under 18 and not independent but the delegate may direct that it be paid to the customer in some circumstances.
TAL is paid in 4 annual instalments.
FAA is generally paid as a reimbursement to the customer after the journey has been made but the delegate may direct that it be paid to the transport operator before the journey.

Act reference: SSAct section 5(1)-'parent'

This chapter contains the following sections:

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Last reviewed: 29 May 2000

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