OAP - Two years re-establish residency details, please share

[Five hundred]

I’m hoping some experienced older Ozzies might share some clarity in regard to Oz citizens who have lived abroad for many years and now contemplating returning to Oz for 2 years to:

 

a). Lodge a claim for the old age pension and

 

b). To gain permanent portability of the pension (If the OAP is approved), meaning that after the 2 years of being back in Australia the citizen can then live abroad permanently and can receive the pension payments paid direct to a bank abroad permanently.

 

I’ve searched the Centrelink website extensively and found some details. And I’ve found a number of other community websites which have some member contributed information but in some cases the details posted start-up more questions than they answer. And some details on these sites are clearly incorrect and very misleading.

 

I’ve found a lot of old threads on ThaiVisa which has provided much more information however I’d appreciate If some old experienced hands

would please help with some very specific answers to the following questions (sorry for so many questions):

 

1.       When applying for the old age pension the applicant must provide documentary proof that their Australian personal taxes have been cleared for all of the years the citizen lived abroad. Is this correct?  (My situation is that I have such documents for the last 10 years, but for the previous years I’ cannot find these documents.) Or, is this perhaps a new requirement? 

 

The Income and assets tests seem to be quite straightforward (I would be under the thresholds).

 

The Australian Work Life calculation seems to be quite easy - I would be around 38 to 39 years

 

2.       This question stems from a phone conversation to Centrelink in Hobart. I called their office, a lady answered then said she would transfer me to the international team, then said, all busy, so never mind I’ll answer your question, as follows: 

 

"Must be in Australia to lodge the OAP application but When the OAP is approved the person can immediately return abroad but must come back to Australia for at least 7 days every six months, but after 2 years total no further visits to Australia needed". 

 

This ’version’ seems to be wrong, and it leaves we looking for a correct answer. 

 

3.       So I’m assuming that the pensioner must stay in OZ for the 2 years to gain portability, but is the 2 years calculated:

 

a.       From the date the person arrived back in OZ?  or

 

b.       The date the person lodged their application for the OAP in Oz?  or

 

c.       The date the OAP was approved?

 

4.         I’ve read that visits abroad are allowed during the 2 years to gain portability but I can’t find any specific ‘rules’ or a ‘formula’. (e.g. how often/how long?)

 

5.       I’ve also read that a few short visits abroad during the 2 year ‘stay in Oz’ period don’t interrupt building the 2 years. Is this correct?

 

6.       I also found a page where all pensioners have to advice Centrelink, on-line, that they intend to travel abroad and have to do this before leaving Australia, including the following information:

 

a.       Departure date out of Australia,

 

b.       Date planned to arrive back in Australia.

 

c.       But no requirement to advise what countries etc., will be visited. 

 

d.       Then, quickly after return to OZ must advice Centrelink, on-line, the actual date of arrival back in Australia.

 

e.       My question, in a nutshell:

 

e.i -  Do I have to get Centrelink approval, in advance, to travel during the 2 years?  or

e.ii - Do I have to just advise Centrelink after I’ve made a booking re the dates before and after the travel to confirm I have returned?

 

7.       Is there a Centrelink portal where I can progressively check my progress in building the 2 years? Or is it perhaps not calculated until Centrelink becomes aware that the pensioner has moved abroad?

 

8.   After the 2 years is completed do I need to apply to Centrelink to claim portability and/or request permission to leave OZ permanently?

 

9.   Or, Do I just book a flight and then tell Centrelink, on-line that I am departing OZ on xx/xx/xxxx, but with no return date?

 

10.   I’m guessing, further to 9 above, I should very quickly advice Centrelink on-line my new residential address abroad (I say quickly assuming that some allowances must stop when the pensioner starts residing abroad, and any delay in advising Centrelink of the new residential address abroad could mean backdated reductions in various allowances.)

 

Or, are the cancellations/reductions of the allowances automatic at 6 weeks out of Oz for all pensioners, and applicable from the date aligned to 6 weeks out of Oz? Or are they applicable from the date the pensioner departed Australia?

 

11.   I’m confused further about portability; from what I’ve found it seems that citizens who have lived all their life in Australia then gained the OAP cannot get portability. If this correct, surely it can't be like that? Or am I misunderstanding the comments that always seem to be present re ‘outside for 6 weeks’?  

 

Any added comments / advice you could share would be appreciated.

 

I'm elderly and get things confused easily, my questions are sincere to ensure I do fully understand and to get these answers in writing so I can easily read them again when I need to. Please post facts, not opinions and should be comments.  

 

Hopefully the questions and answers might be of value to other Australians. Thank you.

 

[JWRC]

I have been through this and I can answer your questions and also some of the things you have been told are incorrect. Please pm me and I will be glad to help.

[UncleMhee]

 

 

4 hours ago, Five hundred said:

I’m confused further about portability; from what I’ve found it seems that citizens who have lived all their life in Australia then gained the OAP cannot get portability. If this correct, surely it can't be like that? Or am I misunderstanding the comments that always seem to be present re ‘outside for 6 weeks’?  

If you've lived all of your life, except for some overseas holidays; you definitely do get full portability upon receipt of Aged Pension.

The 6 weeks relates to how long your full pension will be paid. After 6 weeks you only lose the energy supplement, not the Pension. 

4 hours ago, Five hundred said:

 So I’m assuming that the pensioner must stay in OZ for the 2 years to gain portability, but is the 2 years calculated:

From the date the person arrived back in OZ

Yes; the 2 years starts after you return to Oz permanently. Eg. If you return and re-establish residency 6 months prior to being granted the pension, your full portability starts 18 months after you receive it.

4 hours ago, Five hundred said:

do I need to apply to Centrelink to claim portability and/or request permission to leave OZ permanently?

You don't have to make an application to receive full portability; just call International Services in Hobart to confirm your pension won't be unexpectedly cut off and your 2 year sentence has now been expunged. There is no need to request permission to leave Oz permanently. It is a right enshrined in legislation. However by advising you will be leaving permanently, your payment will be lowered upon leaving to the post 6 week amount, which is currently $884.80. Approx. $100 shy of the full basic payment in Oz.

Edited May 17, 2020 by UncleMhee

[scorecard]

4 hours ago, UncleMhee said:

 

 

If you've lived all of your life, except for some overseas holidays; you definitely do get full portability upon receipt of Aged Pension.

The 6 weeks relates to how long your full pension will be paid. After 6 weeks you only lose the energy supplement, not the Pension. 

Yes; the 2 years starts after you return to Oz permanently. Eg. If you return and re-establish residency 6 months prior to being granted the pension, your full portability starts 18 months after you receive it.

You don't have to make an application to receive full portability; just call International Services in Hobart to confirm your pension won't be unexpectedly cut off and your 2 year sentence has now been expunged. There is no need to request permission to leave Oz permanently. It is a right enshrined in legislation. However by advising you will be leaving permanently, your payment will be lowered upon leaving to the post 6 week amount, which is currently $884.80. Approx. $100 shy of the full basic payment in Oz.

Thanks for all these answers, much appreciated.

 

You mention that the pension payment amount will be (because allowances not paid) reduced by $100-. Is that the energy supplement? What about the chemist/medicines allowance (which I think is approx $13 a fortnight), is that also not paid abroad?

 

In my case this one might be a bit more complicated because I also receive a DVA Disability pension, already transferred abroad for many years. So I'm wondering whether that makes and difference to the chemist/medicines allowance? 

[simple1]

1 hour ago, scorecard said:

Thanks for all these answers, much appreciated.

 

You mention that the pension payment amount will be (because allowances not paid) reduced by $100-. Is that the energy supplement? What about the chemist/medicines allowance (which I think is approx $13 a fortnight), is that also not paid abroad?

 

In my case this one might be a bit more complicated because I also receive a DVA Disability pension, already transferred abroad for many years. So I'm wondering whether that makes and difference to the chemist/medicines allowance? 

I receive the Age Pension in Oz and have never received or heard of a 'medicines allowance'. For medicines on the PBS i pay $5.60 per prescription, once the annual spend exceeds $700 (?) PBS prescriptions are provided at no charge. The energy allowance is currently $14.10 per fortnight for a single person and not paid if receiving Age Pension overseas. 

 

Edited May 17, 2020 by simple1

[scorecard]

32 minutes ago, simple1 said:

I receive the Age Pension in Oz and have never received or heard of a 'medicines allowance'. For medicines on the PBS i pay $5.60 per prescription, once the annual spend exceeds $700 (?) PBS prescriptions are provided at no charge. The energy allowance is currently $14.10 per fortnight for a single person and not paid if receiving Age Pension overseas. 

 

Thank you for your response and the information. More valuable learning. 

[scorecard]

3 hours ago, scorecard said:

 

  Thank you for your response and the information. More valuable learning. 

 

 

  3 hours ago, simple1 said:

I receive the Age Pension in Oz and have never received or heard of a 'medicines allowance'. For medicines on the PBS i pay $5.60 per prescription, once the annual spend exceeds $700 (?) PBS prescriptions are provided at no charge. The energy allowance is currently $14.10 per fortnight for a single person and not paid if receiving Age Pension overseas. 

 

Thank you for your response and the information. More valuable learning. 

 

Something to share re Pharmaceutical Allowance, please see the link: https://www.dss.gov.au/about-the-department/benefits-payments/pharmaceutical-allowance

[simple1]

17 minutes ago, scorecard said:

  Thank you for your response and the information. More valuable learning. 

 

 

  3 hours ago, simple1 said:

I receive the Age Pension in Oz and have never received or heard of a 'medicines allowance'. For medicines on the PBS i pay $5.60 per prescription, once the annual spend exceeds $700 (?) PBS prescriptions are provided at no charge. The energy allowance is currently $14.10 per fortnight for a single person and not paid if receiving Age Pension overseas. 

 

Thank you for your response and the information. More valuable learning. 

 

Something to share re Pharmaceutical Allowance, please see the link: https://www.dss.gov.au/about-the-department/benefits-payments/pharmaceutical-allowance

Thanks. if on Age Pension it's the line item I mentioned above if you exceed a certain annual spend - from memory it's $700. Official term is "PBS Safety Net Threshold".

[scorecard]

44 minutes ago, simple1 said:

Thanks. if on Age Pension it's the line item I mentioned above if you exceed a certain annual spend - from memory it's $700. Official term is "PBS Safety Net Threshold".

Are you aware of any other allowances (other than the Energy Allowance) normally paid with the OAP when the pensioner is in Australia which are not paid when the pensioner receives the pension payments permanently abroad?

[simple1]

11 hours ago, scorecard said:

Are you aware of any other allowances (other than the Energy Allowance) normally paid with the OAP when the pensioner is in Australia which are not paid when the pensioner receives the pension payments permanently abroad?

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