26Pension payable to surviving spouse after death of invalid

26 Pension payable to surviving spouse after death of invalid

Payability of pension (1) Invalid’s spouse pension is payable to the surviving spouse of an invalid who was receiving an invalidity pension on the day the invalid died.

Note: This Division also applies in relation to certain invalids who are not actually receiving invalidity pension on the day they die as if they had been receiving that pension on that day: see Division 5.

Basic rate of invalid’s spouse pension (2) The annual rate of the invalid’s spouse pension on a day (the key day) is 67% of the current value on the key day of the basic annual rate of the invalidity pension on the day the invalid died.

Note: Division 5 may affect the rate of invalidity pension that is taken for the purposes of this subsection to have been payable to the invalid on the day he or she died.

General adjustment of basic rate of invalid’s spouse pension (3) Subsection (2) has effect subject to section 39 (which deals with how much benefit is payable to each surviving spouse of the invalid if there is more than one surviving spouse of the invalid). Reduction in rate if spouse had only short relationship with invalid (4) Despite subsection (2), the annual rate of invalid’s spouse pension payable to the surviving spouse is worked out using the formula at the end of this subsection if the marital or couple relationship of the spouse with the invalid began: (a) after the invalid started to receive invalidity pension; and (b) after the invalid turned 60; and (c) less than 3 years before the invalid died. Start formula Annual rate of pension payable to the spouse under subsection (2), as affected by section 39 if relevant times start fraction Number of days for which the marital or couple relationship existed over 1,095 end fraction end formula Increase in rate—eligible children (5) The rate under subsection (2) (as affected by section 39 and by subsection (4), if relevant) of pension for a period when there are one or more eligible children of the invalid is increased by the spouse pension child supplement percentage for those children.

Note: This increase may be reduced or negated under section 41 so that a pension can be paid to someone else for the welfare of those children.

Special rate for first 7 instalments after invalid’s death (6) For working out the amount of the first 7 instalments of pension payable to the spouse after the invalid’s death, the annual rate of the invalid’s spouse pension is, subject to section 39, the annual rate of invalidity pension that would have been payable to the invalid if he or she had not died. This subsection has effect despite subsections (2), (3), (4) and (5). Pension not payable if lump sum is payable instead (7) This section has effect subject to: (a) Subdivision B; and (b) section 44 (which deals with automatic conversion of small pensions to lump sums).