Social Security (Rates of Benefits and Allowances) Order 2017

Reprint as at 5 December 2017

Coat of Arms of New Zealand

Social Security (Rates of Benefits and Allowances) Order 2017

(LI 2017/30)

Patsy Reddy, Governor-General

Order in Council

At Wellington this 27th day of February 2017

Present:
The Right Hon Bill English presiding in Council

Note

Changes authorised by subpart 2 of Part 2 of the Legislation Act 2012 have been made in this official reprint.

Note 4 at the end of this reprint provides a list of the amendments incorporated.

This order is administered by the Ministry of Social Development.

This order is made under sections 61H and 61HA of the Social Security Act 1964 and sections 15 and 16 of the New Zealand Superannuation and Retirement Income Act 2001 on the advice and with the consent of the Executive Council.

Order

1 Title

This order is the Social Security (Rates of Benefits and Allowances) Order 2017.

2 Commencement

(1)

This order comes into force on 1 April 2017.

(2)

Subclause (1) applies with the following exceptions:

(a)

clause 5 comes into force as stated in clause 5(2):

(b)

clause 6 comes into force as stated in clause 6(2):

(c)

clause 7 comes into force immediately after the commencement of clauses 5 and 6.

Order: confirmed, on 5 December 2017, by section 11 of the Subordinate Legislation Confirmation Act 2017 (2017 No 47).

3 Date from which certain provisions to have effect

In accordance with section 61H(2) (including as applied by section 61HA(6)) of the Social Security Act 1964, clauses 4, 5, and 7

(a)

have effect from 1 April 2017 (that is to say, from the beginning of 1 April 2017); and

(b)

apply to amounts payable or applicable on or after 1 April 2017.

4 Discretionary increases under section 61H of Social Security Act 1964 to amounts of funeral grants

(1)

In the Social Security Act 1964, sections 61DB, 61DC, and 61DD, replace “$2,008.76” with “$2,030.91”.

(2)

The amendments made by subclause (1) apply, in accordance with section 61H(2) of the Social Security Act 1964, only in respect of persons who die on or after 1 April 2017.

5 Mandatory adjustments under section 61HA of Social Security Act 1964

(1)

In each provision of the Social Security Act 1964 listed in the first column of Part 1 of Schedule 1 of this order, replace, in each place, the amount set out opposite to that provision in the second column with the amount set out opposite to that provision in the third column.

(2)

By virtue of section 61HA(5) of the Social Security Act 1964, this clause—

(a)

comes into force on 1 April 2017; and

(b)

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

6 Mandatory adjustments under sections 15 and 16 of New Zealand Superannuation and Retirement Income Act 2001

(1)

In each provision of the New Zealand Superannuation and Retirement Income Act 2001 listed in the first column of Part 2 of Schedule 1 of this order, replace the amount set out opposite to that provision in the second column with the amount set out opposite to that provision in the third column.

(2)

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

(a)

comes into force on 1 April 2017; and

(b)

applies to New Zealand superannuation payable on and after that date.

7 Other discretionary increases under section 61H of Social Security Act 1964

(1)

In each provision of the Social Security Act 1964 listed in the first column of Part 1 of Schedule 2 of this order, replace the amount set out opposite to that provision in the second column with the amount set out opposite to that provision in the third column.

(2)

In each provision of the New Zealand Superannuation and Retirement Income Act 2001 listed in the first column of Part 2 of Schedule 2 of this order, replace the amount set out opposite to that provision in the second column with the amount set out opposite to that provision in the third column.

8 Revocations

Schedule 1 Mandatory adjustments

cls 5, 6

Part 1 Adjustments to social security benefits and allowances

Provision amendedOld amount ($)New amount ($)
Schedule 3 (Rates of generally abolished former widows’ benefits under section 21 as saved by clause 3 of Schedule 32 for reciprocity agreement applicants or recipients)
Clause 1325.98329.57
Clause 2218.86221.27
Schedule 3A (Rate of sole parent support)
Clause 1325.98329.57
Schedule 4 (Maximum rates of orphans’ benefits and unsupported child’s benefits)
Clause 1(a)204.46206.71
Clause 1(b)187.01189.07
Clause 1(c)169.48171.35
Clause 1(d)146.04147.65
Schedule 6 (Rates of supported living payment benefits)
Clause 1(a)212.54214.88
Clause 1(b)262.64265.54
Clause 1(c)370.02374.10
Clause 1(d)218.86221.27
Clause 1(d)(i)2525.28
Clause 1(d)(ii)12.5012.64
Clause 1(e)218.86221.27
2525.28
Clause 1(f)218.86221.27
2525.28
Clause 1(g)218.86221.27
2525.28
Clause 3(a)218.86221.27
Clause 3(b)243.86246.55
Schedule 9 (Rates of jobseeker support)
Clause 1(aa)140.08141.62
Clause 1(a)175.10177.03
Clause 1(ab)218.86221.27
Clause 1(b)210.13212.45
Clause 1(ba)325.98329.57
Clause 1(c)325.98329.57
Clause 1(d)175.10177.03
Clause 1(d)(i)2525.28
Clause 1(d)(ii)12.5012.64
Clause 1(e)175.10177.03
2525.28
Clause 1(f)175.10177.03
2525.28
Clause 2175.10177.03
Clause 5175.10177.03
12.5012.64
Schedule 16 (Rates of generally abolished former DPB for solo parents under section 27B as saved by clause 3 of Schedule 32 for reciprocity agreement applicants or recipients)
Clause 1325.98329.57
Clause 2218.86221.27
Schedule 22 (Rates of benefits payable to long-term hospital patients)
Clause 143.4543.93
Schedule 26 (Rates and component of youth payment and young parent payment, and criteria for incentive payments)
Clause 1175.10177.03
Clause 2165.08166.90
Clause 3325.98329.57
Clause 4175.10177.03
Clause 5175.10177.03
Clause 5(i)2525.28
Clause 5(ii)12.5012.64

Part 2 Adjustments to superannuation entitlements

Provision amendedOld amount ($)New amount ($)
Schedule 1 (New Zealand superannuation entitlements)
Clause 1(a)443.43448.55
Clause 1(b)407.53412.33
Clause 1(c)335.74339.70
Clause 2(b)636.20643.44

Schedule 2 Discretionary increases

cl 7

Part 1 Increases to social security asset limits, etc

Provision amendedOld amount ($)New amount ($)
Schedule 6 (Rates of supported living payment benefits)
Clause 2348.86351.27
43.7844.27
Schedule 19 (Rates of child disability allowance and disability allowance)
Clause 146.4947.00
Clause 261.6962.37
Clause 338.4838.90
Schedule 26 (Rates and component of youth payment and young parent payment, and criteria for incentive payments)
Clause 10211.96214.30
261.96264.30
Clause 11211.96214.30
311.96314.30
Schedule 31 (Asset and income limits that may be applied to certain assistance)
Clause 11,050.921,062.51
Clause 21,751.131,770.44
Clause 31,379.901,395.12
Clause 41,482.301,498.64
Clause 5480.03485.32
Clause 6551.70557.78
Clause 7801.31810.15
Clause 8669.46676.84
Clause 9705.31713.09
Clause 10518.76524.48
Clause 11629.04635.99
Clause 12933.59944.49
Clause 13723.49731.47
Clause 14762.26770.66

Part 2 Increases to superannuation entitlements

Provision amendedOld amount ($)New amount ($)
Schedule 1 (New Zealand superannuation entitlements)
Clause 1(a)448.55450.10
Clause 1(b)412.33413.60
Clause 1(c)339.70340.80
Clause 2(a)671.48681.60
Clause 2(b)643.44645.56
Clause 343.4543.93
Clause 438.4838.90

Michael Webster,
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 2017, increases a range of benefits, allowances, asset limits, superannuation entitlements, etc. The increases reflect both mandatory adjustments and some additional discretionary increases. Where an annual CPI increase is required, it reflects the increase of 1.10% in the New Zealand Consumers Price Index from the December 2015 quarter to the December 2016 quarter, calculated for all quarters using the New Zealand Consumers Price Index (All Groups), excluding cigarettes and other tobacco products.

Annual CPI increases are required under section 61HA of the Social Security Act 1964 for the following benefits: former widows’, sole parent support, orphans’ and unsupported child’s, supported living payment, jobseeker support, former domestic purposes, the hospital rate, and youth payments and young parent payments. These increases are set out in Part 1 of Schedule 1.

Annual CPI increases are also required, under section 15 of the New Zealand Superannuation and Retirement Income Act 2001, to superannuation entitlements. Those increases may sometimes also be more than the CPI increase in order to meet the further requirements (in sections 15(3)(a) and (b) and 16) that the increases maintain a specified relationship to the net average wage and also maintain the proportional relationship of specified rates. The total of the increases required by both sections 15 and 16 is set out in Part 2 of Schedule 1.

The discretionary increases made under section 61H of the Social Security Act 1964 are in respect of—

  • funeral grants:

  • the income thresholds for a totally blind beneficiary to be eligible for an additional allowance:

  • the rates of child disability allowance and disability allowance:

  • the abatement rates and income limits for the youth payment and young parent payment:

  • various asset and income limits that may be applied to certain assistance.

The increases are set out in clauses 4 and 7 and Part 1 of Schedule 2.

Increases to superannuation entitlements, which build on the increases set out in Part 2 of Schedule 1, are also made, in order to implement the Government’s commitment to ensure that the net married couple rate of New Zealand superannuation is set at a minimum of 66% of the net average wage. (The rates of New Zealand superannuation that are amended in all cases are the gross rates, but the increase has been calculated in relation to the net rate in each case. Single rates are increased consequentially in order to maintain the proportional relationship of rates.) These increases are set out in Part 2 of Schedule 2.

This order is a confirmable instrument, and an annual confirmable instrument, under section 47B of the Legislation Act 2012. It is revoked, or taken to have been invalid for past operation, at the close of 30 June 2018, unless earlier confirmed by an Act of Parliament. That stated time is the applicable deadline under section 47C(1)(a) of the Legislation Act 2012.

Issued under the authority of the Legislation Act 2012.

Date of notification in Gazette: 2 March 2017.

Reprints notes
1 General

This is a reprint of the Social Security (Rates of Benefits and Allowances) Order 2017 that incorporates all the amendments to that order as at the date of the last amendment to it.

2 Legal status

Reprints are presumed to correctly state, as at the date of the reprint, the law enacted by the principal enactment and by any amendments to that enactment. Section 18 of the Legislation Act 2012 provides that this reprint, published in electronic form, has the status of an official version under section 17 of that Act. A printed version of the reprint produced directly from this official electronic version also has official status.

3 Editorial and format changes

Editorial and format changes to reprints are made using the powers under sections 24 to 26 of the Legislation Act 2012. See also http://www.pco.parliament.govt.nz/editorial-conventions/.

4 Amendments incorporated in this reprint

Subordinate Legislation Confirmation Act 2017 (2017 No 47): section 11