Social Security (Rates of Benefits and Allowances) Order 2011

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2011/16

Coat of Arms of New Zealand

Social Security (Rates of Benefits and Allowances) Order 2011

Anand Satyanand, Governor-General

Order in Council

At Wellington this 21st day of February 2011

Present:
His Excellency the Governor-General in Council

Pursuant to sections 61H and 61HA of the Social Security Act 1964 and section 15 of the New Zealand Superannuation and Retirement Income Act 2001, His Excellency the Governor-General, acting on the advice and with the consent of the Executive Council, makes the following order.

Order

1 Title
  • This order is the Social Security (Rates of Benefits and Allowances) Order 2011.

2 Commencement
3 Date from which certain provisions to have effect
  • Clauses 4, 5, and 7, and Schedules 1 and 3, have effect from 31 March 2011 (that is to say, at the beginning of 1 April 2011).

4 Increasing amounts of funeral grants
  • (1) Sections 61DB, 61DC, and 61DD of the Social Security Act 1964 are amended by omitting $1,855.75 and substituting in each case $1,925.34.

    (2) The amendments made by subclause (1) apply only in respect of people who die on or after 1 April 2011.

5 Increasing asset and income limits and certain benefits and allowances payable under Social Security Act 1964
  • (1) Each provision of the Social Security Act 1964 listed in the first column of Schedule 1 is amended by omitting the expression set out opposite it in the second column and substituting the expression set out opposite it in the third column.

    (2) By virtue of section 61HA(5) of the Social Security Act 1964, this clause and Schedule 1

    • (a) come into force on 1 April 2011; and

    • (b) apply to benefits (within the meaning of that Act) payable on and after that date.

6 Increasing New Zealand superannuation, etc, payable under New Zealand Superannuation and Retirement Income Act 2001
  • (1) Each provision of the New Zealand Superannuation and Retirement Income Act 2001 listed in the first column of Schedule 2 is amended by omitting the expression set out opposite it in the second column and substituting the expression set out opposite it in the third column.

    (2) By virtue of section 15(6) of the New Zealand Superannuation and Retirement Income Act 2001, this clause and Schedule 2

    • (a) come into force on 1 April 2011; and

    • (b) apply to New Zealand superannuation (within the meaning of that Act) payable on and after that date.

7 Further increases to certain amounts
  • (1) The amounts set out in clauses 1(a) to (c) and 2(a) and (b) of Schedule 1 of the New Zealand Superannuation and Retirement Income Act 2001 (as substituted by clause 6) are further increased in the manner provided in subclause (2) of this clause.

    (2) Each provision of Schedule 1 of the New Zealand Superannuation and Retirement Income Act 2001 listed in the first column of Schedule 3 of this order is amended by omitting the expression set out opposite it in the second column and substituting the expression set out opposite it in the third column.

8 Consequential revocations

Schedule 1
Increases to asset and income limits and certain benefits and allowances payable under Social Security Act 1964

cl 5

Provisions
amended
 Expressions omitted
($)
 Expressions substituted
($)
Schedule 3    
Clause 1 278.04 288.47
Clause 2 202.20 209.78
Schedule 4    
Clause 1(a) 188.88 195.96
Clause 1(b) 172.77 179.25
Clause 1(c) 156.56 162.43
Clause 1(d) 134.91 139.97
Schedule 6    
Clause 1(a) 196.35 203.71
Clause 1(b) 242.63 251.73
Clause 1(c) 318.75 330.70
Clause 1(e) 202.20 209.78
Clause 1(f) 202.20 209.78
Clause 1(g) 202.20 209.78
Clause 2 332.20 339.78
  40.43 41.95
Schedule 9    
Clause 1(aa) 129.41 134.26
Clause 1(a) 161.76 167.83
Clause 1(b) 194.12 201.40
Clause 1(c) 278.04 288.47
Clause 1(d) 161.76 167.83
Clause 1(e) 161.76 167.83
Clause 1(f) 161.76 167.83
Clause 2 161.76 167.83
Clause 5 161.76 167.83
Schedule 16    
Clause 1 278.04 288.47
Clause 2 202.20 209.78
Schedule 17    
Clause 1 196.35 203.71
Clause 2 242.63 251.73
Clause 3 318.75 330.70
Clause 5 202.20 209.78
Clause 6 202.20 209.78
Clause 7 202.20 209.78
Clause 8 202.20 209.78
Schedule 19    
Clause 1 43.81 44.55
Clause 2 58.13 59.12
Clause 3 35.55 36.88
Schedule 22    
Clause 1 35.55 41.64
Schedule 26    
Clause 1 161.76 167.83
Clause 2 161.76 167.83
Clause 3 161.76 167.83
Schedule 31    
Clause 1 970.87 1,007.28
Clause 2 1,617.73 1,678.39
Clause 3 1,274.79 1,322.59
Clause 4 1,369.39 1,420.74
Clause 5 443.46 460.09
Clause 6 509.68 528.79
Clause 7 740.27 768.03
Clause 8 618.46 641.65
Clause 9 651.58 676.01
Clause 10 479.24 497.21
Clause 11 554.68 575.48
Clause 12 821.04 851.83
Clause 13 668.39 693.45
Clause 14 704.19 730.60

Schedule 2
Increases to New Zealand superannuation, etc, payable under New Zealand Superannuation and Retirement Income Act 2001

cl 6

Provisions
amended
 Expressions omitted
($)
 Expressions substituted
($)
Schedule 1    
Clause 1(a) 373.56 386.52
Clause 1(b) 342.58 355.10
Clause 1(c) 280.62 292.11
Clause 2(a) 561.24 584.22
Clause 2(b) 531.72 552.84
Clause 3 35.55 41.64
Clause 4 35.55 36.88

Schedule 3
Further increases to New Zealand superannuation, etc, payable under New Zealand Superannuation and Retirement Income Act 2001

cl 7

Provisions
amended
 Expressions omitted
($)
 Expressions substituted
($)
Schedule 1    
Clause 1(a) 386.52 389.14
Clause 1(b) 355.10 357.40
Clause 1(c) 292.11 294.08
Clause 2(a) 584.22 588.16
Clause 2(b) 552.84 556.62

Michael Webster,
for Clerk of the Executive Council.


Explanatory note

This note is not part of the order, but is intended to indicate its general effect.

This order, which comes into force on 1 April 2011, does 2 things.

First, it increases most benefits, pensions, and allowances.

The rate of benefit payable to long-term hospital patients (if they have no dependent children and are married or in a civil union or a de facto relationship, or are single and in receipt of a benefit) is increased to maintain parity with the personal allowance payable to people with age-related care needs receiving subsidised residential care.

The increases to Child Disability Allowance and Disability Allowance reflect the extent to which the 3.75% increase in the New Zealand Consumers Price Index from the December 2009 quarter to the December 2010 quarter (calculated using the CPI All Groups for the first quarter and the CPI All Groups excluding cigarettes and other tobacco products for the other quarters) has not already been compensated for by the increases made on 1 October 2010 to reflect the increase in the rate of goods and services tax.

The other increases reflect the 3.75% increase fully.

Clauses 4 and 5 amend the Social Security Act 1964. Clause 4 increases the amounts of funeral grants. Clause 5 increases—

  • the following benefits or allowances: widow's, orphan's, unsupported child's, invalid's, unemployment, sickness, domestic purposes, child disability, disability, independent youth, and related emergency benefits; and

  • the rate of benefit payable to long-term hospital patients.

The maximum amount of income that a blind beneficiary may earn, and still receive a subsidy, is also increased, as are the asset and income limits in Schedule 31 of the Social Security Act 1964.

Clause 6 amends the New Zealand Superannuation and Retirement Income Act 2001 so as to increase the rates of New Zealand superannuation entitlements. The rates of New Zealand superannuation that are amended are the gross rates, but the CPI adjustment has been calculated in relation to the net rate in each case.

Secondly, clause 7 makes some additional increases to figures already increased by clause 6, to honour the Government's commitments in relation to the level of New Zealand superannuation.


Issued under the authority of the Acts and Regulations Publication Act 1989.

Date of notification in Gazette: 24 February 2011.

This order is administered by the Ministry of Social Development.