Australia to extend pension supplement for overseas travelers

The Australian Department of Social Services has announced changes to the pension supplement for recipients traveling or moving overseas, effective September 20. Under the new rules, pensioners traveling temporarily will be able to retain their full pension supplement for up to 12 weeks, an extension from the previous six-week limit.

Approximately 68,000 recipients traveling for between six and 12 weeks are expected to benefit from this change. However, the supplement will cease entirely after the 12-week period. This differs from the current system, which reduces the supplement to a basic amount that continues indefinitely while overseas.

Those moving overseas permanently or those staying abroad longer than 12 weeks will lose the supplementary payment. The Department of Social Services estimates the new system will save $218 million over five years, or approximately $63.8 million annually. About 88,000 recipients living permanently overseas will see their payments marginally docked under the new regulations.