{"id":"F2019L00846","name":"Veterans’ Entitlements (Value of Asset-tested Income Streams (Lifetime)) Determination 2019","slug":"veterans-entitlements-value-of-asset-tested-income-streams-lifetime-determination-2019","collection":"legislative_instrument","jurisdiction":"commonwealth","status":"in_force","isInForce":true,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":99471,"registerId":"commonwealth-F2019L00846-current","compilationNumber":null,"startDate":"2026-04-02","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Veterans’ Entitlements (Value of Asset-tested Income Streams (Lifetime)) Determination 2019","content":"![Commonwealth Coat of Arms of Australia](image.001.jpeg)\n\nRepatriation Commission\n\nVeterans’ Entitlements (Value of Asset‑tested Income Streams (Lifetime)) Determination 2019\n\nInstrument 2019 No. R31\n\nmade under subsection 52BAB(4) of the Veterans’ Entitlements Act 1986\n\nCompilation No. 1\n\nCompilation date: 1 January 2020\n\nIncludes amendments up to: F2020L00180\n\nAbout this compilation\n\nThis compilation\n\nThis is a compilation of the Veterans’ Entitlements (Value of Asset‑tested Income Streams (Lifetime)) Determination 2019 that shows the text of the law as amended and in force on 1 January 2020 (the compilation date).\n\nThe notes at the end of this compilation (the endnotes) include information about amending laws and the amendment history of provisions of the compiled law.\n\nUncommenced amendments\n\nThe effect of uncommenced amendments is not shown in the text of the compiled law. Any uncommenced amendments affecting the law are accessible on the Legislation Register (www.legislation.gov.au). The details of amendments made up to, but not commenced at, the compilation date are underlined in the endnotes. For more information on any uncommenced amendments, see the series page on the Legislation Register for the compiled law.\n\nApplication, saving and transitional provisions for provisions and amendments\n\nIf the operation of a provision or amendment of the compiled law is affected by an application, saving or transitional provision that is not included in this compilation, details are included in the endnotes.\n\nEditorial changes\n\nFor more information about any editorial changes made in this compilation, see the endnotes.\n\nModifications\n\nIf the compiled law is modified by another law, the compiled law operates as modified but the modification does not amend the text of the law. Accordingly, this compilation does not show the text of the compiled law as modified. For more information on any modifications, see the series page on the Legislation Register for the compiled law.\n\nSelf‑repealing provisions\n\nIf a provision of the compiled law has been repealed in accordance with a provision of the law, details are included in the endnotes.\n\nContents\n\n1 Name of Determination........................................1\n\n3 Authority.................................................1\n\n4 Definitions................................................1\n\n5 Surrender value method........................................2\n\n6 Death benefit method…………………………………………,,,,,,,..................................................…………….…….3\n\nEndnotes 5\n\nEndnote 1—About the endnotes 5\n\nEndnote 2—Abbreviation key 6\n\nEndnote 3—Legislation history 7\n\nEndnote 4—Amendment history 8\n\n1 Name\n\nThis instrument is the Veterans’ Entitlements (Value of Asset‑tested Income Streams (Lifetime)) Determination 2019.\n\n3 Authority\n\nThis instrument is made under subsection 52BAB(4) of the Veterans’ Entitlements Act 1986.\n\n4 Definitions\n\nNote: A number of expressions used in this instrument are defined in the Act, including the following:\n\n(a) asset‑tested income stream (lifetime) (see section 5J(1) of the Act);\n\n(b) assessment day (see subsections 52BAB(6) and (7) of the Act);\n\n(c) governing rules (see subsection 5J(1) of the Act).\n\nIn this instrument:\n\naccess amount, for a particular day (the access day) for an asset‑tested income stream (lifetime), means the sum of:\n\n(a) the maximum amount that would have been payable for the income stream, as determined by the contract or governing rules for the provision of the income stream, if the income stream had been commuted on the assessment day for the income stream; and\n\n(b) any instalments paid for the income stream after the assessment day and before the access day.\n\nAct means the Veterans’ Entitlements Act 1986.\n\ndeath benefit, for a particular day for an asset‑tested income stream (lifetime), means the maximum commutation amount that would be payable for the income stream, as determined by the contract or governing rules for the provision of the income stream, if the person, or persons, eligible to receive the income stream died on that day.\n\ndeath benefit comparison value has the meaning given by subsection 6(3) of this instrument.\n\nfirst half of the life expectancy period, for an asset-tested income stream (lifetime), means the number of days in the period:\n\n(a) starting on the assessment day for the income stream; and\n\n(b) ending when the number of days equal to the life expectancy period for the income stream divided by 2, and rounded down to the nearest whole number, have passed.\n\nlife expectancy period, for an asset‑tested income stream (lifetime), means the number of days worked out by:\n\n(a) using the Life Tables to calculate the number of days, at the assessment day, in the life expectancy of:\n\n(i) the person eligible to receive the income stream; or\n\n(ii) for a joint income stream—the eldest of those eligible to receive the income stream; and\n\n(b) rounding that number of days down to the nearest whole number of years; and\n\n(c) converting those years to a number of days, assuming 365 days in a year.\n\n> Life Tables means:\n\n> (a) if a person’s assessment day for an asset-tested income stream (lifetime) is before 1 January 2020—the Australian Life Tables 2010‑2012 published by the Australian Government Actuary; or\n\n    (b) if a person’s assessment day for an asset-tested income stream (lifetime) is on or after 1 January 2020—the Australian Life Tables 2015-17 published by the Australian Government Actuary.\n\nsurrender comparison value has the meaning given by subsection 5(3) of this instrument.\n\nsurrender value, for a particular day for an asset‑tested income stream (lifetime), means the maximum commutation amount that would be payable for the income stream, as determined by the contract or governing rules for the provision of the income stream, if the person, or persons, eligible to receive the income stream did not die on that day.\n\n5 Surrender value method\n\n(1) This section sets out a method for working out the value of an asset‑tested income stream (lifetime) by reference to the surrender value of the income stream.\n\n(2) The value of a person’s asset‑tested income stream (lifetime) on a particular day is the highest value for that day or any later day worked out using the following method statement.\n\nMethod statement\n\nStep 1. Determine the surrender value of the asset‑tested income stream (lifetime) for the day.\n\nStep 2. Compare the surrender value with the surrender comparison value of the income stream for the day (see subsection (3)).\n\nStep 3. The value of the income stream for the day is:\n\n(a) if the surrender value is more than the surrender comparison value and the income stream is not a joint income stream—the surrender value; or\n\n(b) if the surrender value is more than the surrender comparison value and the income stream is a joint income stream—the surrender value multiplied by the proportion of the income stream attributable to the person on that day; or\n\n(c) if the surrender value is less than or equal to the surrender comparison value—nil.\n\n(3) The surrender comparison value of an asset‑tested income stream (lifetime) is:\n\n(a) for a day during the 14 day period that begins on the assessment day for the income stream—the access amount for the day;\n\n(b) for any other day:\n\n(i) unless subparagraph (ii) applies—the amount worked out for the day under subsection (4); or\n\n(ii) if the amount worked out for the day under subsection (4) is less than or equal to zero—nil.\n\n(4) For the purposes of paragraph (3)(b), the amount for a day (the access day) is worked out using the following formula:\n\n![](image.002.png)\n\nwhere:\n\npreviously commuted amount means the sum of any amounts commuted from the income stream before the access day.\n\nremaining life expectancy means the number of days remaining in the life expectancy period for the income stream after subtracting the number of days in the period:\n\n(a) starting on the assessment day for the income stream; and\n\n(b) ending on the access day.\n\n6 Death benefit method\n\n(1) This section sets out a method for working out the value of an asset‑tested income stream (lifetime) by reference to the death benefit of the income stream.\n\n(2) The value of a person’s asset‑tested income stream (lifetime) on a particular day is the highest value for that day or any later day worked out using the following method statement.\n\nMethod statement\n\nStep 1. Determine the death benefit of the asset‑tested income stream (lifetime) for the day.\n\nStep 2. Compare the death benefit with the death benefit comparison value of the income stream for the day (see subsection (3)).\n\nStep 3. The value of the income stream for the day is:\n\n(a) if the death benefit is more than the death benefit comparison value and the income stream is not a joint income stream—the death benefit; or\n\n(b) if the death benefit is more than the death benefit comparison value and the income stream is a joint income stream—the death benefit multiplied by the proportion of the income stream attributable to the person on that day; or\n\n(c) if the death benefit is less than or equal to the death benefit comparison value—nil.\n\n(3) The death benefit comparison value of an asset‑tested income stream (lifetime) is:\n\n(a) for a day within the first half of the life expectancy period for the income stream—the access amount for the day;\n\n(b) for any other day:\n\n(i) unless subparagraph (ii) applies—the amount worked out for the day under subsection (4); or\n\n(ii) if the amount worked out for the day under subsection (4) is less than or equal to zero—nil.\n\n(4) For the purposes of paragraph (3)(b), the amount for a day (the access day) is worked out using the following formula:\n\n![](image.003.png)\n\nwhere:\n\npreviously commuted amount means the sum of any amounts commuted from the income stream before the access day.\n\nremaining life expectancy means the number of days remaining in the life expectancy period for the income stream after subtracting the number of days in the period:\n\n(a) starting on the assessment day for the income stream; and\n\n(b) ending on the access day.\n\nEndnotes\n\nEndnote 1—About the endnotes\n\nThe endnotes provide information about this compilation and the compiled law.\n\nThe following endnotes are included in every compilation:\n\nEndnote 1—About the endnotes\n\nEndnote 2—Abbreviation key\n\nEndnote 3—Legislation history\n\nEndnote 4—Amendment history\n\nAbbreviation key—Endnote 2\n\nThe abbreviation key sets out abbreviations that may be used in the endnotes.\n\nLegislation history and amendment history—Endnotes 3 and 4\n\nAmending laws are annotated in the legislation history and amendment history.\n\nThe legislation history in endnote 3 provides information about each law that has amended (or will amend) the compiled law. The information includes commencement details for amending laws and details of any application, saving or transitional provisions that are not included in this compilation.\n\nThe amendment history in endnote 4 provides information about amendments at the provision (generally section or equivalent) level. It also includes information about any provision of the compiled law that has been repealed in accordance with a provision of the law.\n\nEditorial changes\n\nThe Legislation Act 2003 authorises First Parliamentary Counsel to make editorial and presentational changes to a compiled law in preparing a compilation of the law for registration. The changes must not change the effect of the law. Editorial changes take effect from the compilation registration date.\n\nIf the compilation includes editorial changes, the endnotes include a brief outline of the changes in general terms. Full details of any changes can be obtained from the Office of Parliamentary Counsel.\n\nMisdescribed amendments\n\nA misdescribed amendment is an amendment that does not accurately describe the amendment to be made. If, despite the misdescription, the amendment can be given effect as intended, the amendment is incorporated into the compiled law and the abbreviation “(md)” added to the details of the amendment included in the amendment history.\n\nIf a misdescribed amendment cannot be given effect as intended, the abbreviation “(md not incorp)” is added to the details of the amendment included in the amendment history.\n\nEndnote 2—Abbreviation key\n\n| ad = added or inserted                         | o = order(s)                        |\n| ---------------------------------------------- | ----------------------------------- |\n| am = amended                                   | Ord = Ordinance                     |\n| amdt = amendment                               | orig = original                     |\n| c = clause(s)                                  | par = paragraph(s)/subparagraph(s)  |\n| C[x] = Compilation No. x                       | /sub‑subparagraph(s)                |\n| Ch = Chapter(s)                                | pres = present                      |\n| def = definition(s)                            | prev = previous                     |\n| Dict = Dictionary                              | (prev…) = previously                |\n| disallowed = disallowed by Parliament          | Pt = Part(s)                        |\n| Div = Division(s)                              | r = regulation(s)/rule(s)           |\n| ed = editorial change                          | reloc = relocated                   |\n| exp = expires/expired or ceases/ceased to have | renum = renumbered                  |\n| effect                                         | rep = repealed                      |\n| F = Federal Register of Legislation            | rs = repealed and substituted       |\n| gaz = gazette                                  | s = section(s)/subsection(s)        |\n| LA = Legislation Act 2003                      | Sch = Schedule(s)                   |\n| LIA = Legislative Instruments Act 2003         | Sdiv = Subdivision(s)               |\n| (md) = misdescribed amendment can be given     | SLI = Select Legislative Instrument |\n| effect                                         | SR = Statutory Rules                |\n| (md not incorp) = misdescribed amendment       | Sub‑Ch = Sub‑Chapter(s)             |\n| cannot be given effect                         | SubPt = Subpart(s)                  |\n| mod = modified/modification                    | underlining = whole or part not     |\n| No. = Number(s)                                | commenced or to be commenced        |\n\nEndnote 3—Legislation history\n\n| Name                                                                                                  | Registration             | Commencement | Application, saving and transitional provisions |\n| ----------------------------------------------------------------------------------------------------- | ------------------------ | ------------ | ----------------------------------------------- |\n| Veterans’ Entitlements (Value of Asset‑tested Income Streams (Lifetime)) Determination 2019           | 20 Jun 2019(F2019L00846) | 1 Jul 2019   | —                                               |\n| Veterans’ Entitlements (Value of Asset‑tested Income Streams (Lifetime)) Amendment Determination 2020 | 28 Feb 2020(F2020L00180) | 1 Jan 2020   | —                                               |\n\nEndnote 4—Amendment history\n\n| Provision affected                       | How affected            |\n| ---------------------------------------- | ----------------------- |\n| s 2…………………………..…………….s 4………………………………………… | rep LA s 48DF2020L00180 |\n|                                          |                         |","sortOrder":0}],"analysis":{"flash_summary":{"complexity_score":6,"scope_assessment":{"changed":true,"description":"The instrument was amended after its initial registration (see endnote 3). Key definitional material was updated (including which Life Tables apply depending on assessment day) and section references were altered in the 2020 amendment, which changes the mortality assumptions and timing rules used to calculate values and therefore can alter assessed asset values (see s 4 definitions and Endnotes 3–4 indicating amendments)."},"complexity_factors":["Multiple interlocking definitions and cross‑references to the Veterans’ Entitlements Act 1986 (definition reliance increases interpretive work) (s 4).","Two alternative valuation methods (surrender value and death benefit) with procedural steps and conditional outcomes (ss 5–6).","Time‑dependent rules: comparisons differ for early assessment windows (14‑day period and first half of life expectancy) and for later days (ss 5(3), 6(3)).","Numeric actuarial formulae that require commutation amounts, previously commuted totals, remaining life expectancy and rounding (ss 5(4), 6(4); definitions of life expectancy).","Dependence on specified Life Tables that change by assessment date (pre‑2020 vs on/after 1 Jan 2020), introducing date‑sensitive mortality assumptions (definition of Life Tables in s 4).","Joint income‑stream proportionality rules that require allocating value between beneficiaries (ss 5(3)(a)(b), 6(3)(a)(b)).","Requirement to take the highest value ‘for that day or any later day’ increases computational scope and recordkeeping (ss 5(2), 6(2)).","Potential data and compliance burden on income‑stream providers to supply commutation/death benefit figures and on administrators to apply formulas accurately (ss 4–6)."],"plain_english_summary":"This Determination tells administrators how to convert “asset‑tested income streams (lifetime)” into an assessable asset for veterans’ means‑testing. It defines key terms (access amount, surrender value, death benefit) and prescribes two valuation methods—a surrender‑value method and a death‑benefit method—so a single monetary value can be used in payment and eligibility decisions (ss 4–6). It affects veterans with lifetime income streams and the agencies and providers who must supply commutation and payment data."},"flash_summary_failed":{"failed":true,"reason":"Unauthenticated. Configure AI_GATEWAY_API_KEY or use a provider module. Learn more: https://ai-sdk.dev/unauthenticated-ai-gateway","source":"analysis-cron"},"kimi_summary":{"content_quality":"ok","complexity_score":6,"scope_assessment":{"changed":false,"description":"This Determination appears to maintain its original narrow scope. It was created specifically to implement valuation methods for asset-tested lifetime income streams under subsection 52BAB(4) of the Veterans' Entitlements Act 1986, and the 2020 amendment (F2020L00180) appears to be a minor technical amendment (removing section 2 and amending definitions) rather than an expansion of scope. The instrument remains focused solely on the mathematical methodology for valuing these specific financial products."},"complexity_factors":["Multiple interlocking defined terms (11 defined terms in section 4 alone, including recursive definitions like 'death benefit comparison value' and 'surrender comparison value' that point to other sections)","Two alternative calculation methods (surrender value and death benefit) with similar but distinct formulas and thresholds","Complex mathematical formulas with multiple variables including division, rounding, and date calculations spanning years","Conditional logic with nested exceptions (e.g., subsection 5(3)(b)(ii) has an 'unless' clause followed by a 'if less than or equal to zero' exception)","Cross-references to external documents (Australian Life Tables 2010-2012 and 2015-2017 published by the Australian Government Actuary)","Date-dependent rules that change based on whether assessment day is before or on/after 1 January 2020","Proportion calculations required for joint income streams (where multiple people are beneficiaries)","Method statements with multiple steps that must be followed sequentially"],"plain_english_summary":"This Determination sets the mathematical rules for valuing lifetime income streams (like annuities) when assessing veterans’ assets under the Veterans' Entitlements Act. It tells DVA how to convert ongoing lifetime payments into an assessed asset value that declines with remaining life expectancy.\n\nThat valuation affects veterans who own such products and determines their pension eligibility and rates."}},"importantCases":[],"_links":{"self":"/api/acts/veterans-entitlements-value-of-asset-tested-income-streams-lifetime-determination-2019","history":"/api/acts/veterans-entitlements-value-of-asset-tested-income-streams-lifetime-determination-2019/history","analysis":"/api/acts/veterans-entitlements-value-of-asset-tested-income-streams-lifetime-determination-2019/analysis","conflicts":"/api/acts/veterans-entitlements-value-of-asset-tested-income-streams-lifetime-determination-2019/conflicts","importantCases":"/api/acts/veterans-entitlements-value-of-asset-tested-income-streams-lifetime-determination-2019/important-cases","documents":"/api/acts/veterans-entitlements-value-of-asset-tested-income-streams-lifetime-determination-2019/documents"}}