The passing of a loved one is never easy, especially when it involves someone receiving a government pension. In Australia, when a pensioner passes away, Centrelink requires prompt notification so that necessary adjustments can be made to payments and entitlements. Understanding how Centrelink processes the death of a pensioner helps surviving partners, family members, or executors manage the financial and legal aspects with greater clarity. Navigating Centrelink procedures at such a difficult time can feel overwhelming, but knowing what to expect and what actions are required can ease the burden significantly.
Notifying Centrelink After a Pensioner’s Death
Who Needs to Notify Centrelink?
When a Centrelink pension recipient dies, it’s important that Centrelink is notified as soon as possible. Typically, this responsibility falls on a close family member, executor of the estate, or funeral director. In some cases, the aged care provider or nursing home may also assist with notifying Centrelink.
How to Notify Centrelink
There are several ways to notify Centrelink of a pensioner’s death:
- Online via your Centrelink online account (through myGov)
- By phone call Centrelink’s Older Australians line
- In person at a local Services Australia Centre
- By submitting a form such as the Advice of Death form (SA116A)
It’s helpful to have the deceased’s details ready, such as their full name, date of birth, Customer Reference Number (CRN), and date of death. If available, a copy of the death certificate may be requested later as confirmation.
Payments and Adjustments Following Death
Final Pension Payments
Once Centrelink is informed of a death, they will stop the pension payments to the deceased. However, in some cases, payments made after the date of death may need to be repaid. If a partner is receiving a joint payment, such as the Age Pension for couples, Centrelink will reassess the surviving partner’s entitlements and adjust the payment accordingly.
It’s important to avoid using funds from payments issued after the date of death, as these may be subject to recovery.
Bereavement Payment
Centrelink may provide a bereavement payment to the surviving partner or carer in some cases. This payment is meant to assist with the sudden change in financial circumstances following the death of a pensioner. Eligibility depends on the type of pension the deceased was receiving and the relationship to the surviving person.
Examples of bereavement assistance include:
- Continuation of the partnered rate for 14 weeks for the surviving partner
- A one-time lump sum payment for carers
- Support for people who were receiving a Widow Allowance, Parenting Payment, or similar benefit
Overpayment Recovery
If Centrelink makes a payment after the pensioner’s death, they may seek recovery of the funds. This process usually involves contacting the executor or estate manager. It’s important for estate representatives to avoid withdrawing funds from the deceased’s account until Centrelink confirms whether any money needs to be returned.
Impacts on Surviving Family Members
Surviving Partner or Spouse
The surviving spouse or de facto partner may experience changes to their Centrelink payments. If the couple were both receiving the Age Pension as a couple, the surviving person will be reassessed as a single pensioner, which could change the rate of payment. They may also qualify for a bereavement payment as mentioned above.
To ensure the transition is smooth, the surviving partner should update their personal circumstances with Centrelink, either online, over the phone, or by visiting a service centre.
Carers and Family Members
Family members who were receiving Carer Payment or Carer Allowance may no longer be eligible once the person they were caring for passes away. However, they may be eligible for a bereavement payment or continue receiving payments for a short period. It’s best to notify Centrelink immediately and ask what options are available for continued support.
Centrelink and Estate Administration
Providing a Death Certificate
In many cases, Centrelink will request a copy of the death certificate to finalize the deceased person’s record. This can be uploaded online, mailed, or submitted in person. This document helps verify the date of death and can prevent accidental future payments or issues with the deceased’s account.
Responsibilities of the Executor
The executor or administrator of the estate is responsible for dealing with Centrelink on behalf of the deceased. Their duties may include:
- Returning overpaid funds if requested
- Providing documents such as the will or death certificate
- Notifying other relevant government departments through the Australian Death Notification Service (ADNS)
Executors should keep detailed records of communications with Centrelink and any payments related to the estate.
Using the Australian Death Notification Service
The Australian Death Notification Service allows a death to be reported to multiple government agencies at once, including Centrelink. This can help streamline the process, especially when dealing with Medicare, the Australian Tax Office, and other services. Only one notification is needed to alert all participating organizations.
To use this service, you’ll need the deceased’s personal details and death certificate. Once submitted, the system notifies relevant government bodies automatically.
Avoiding Common Mistakes
Delaying Notification
One of the most common mistakes is delaying the notification of a pensioner’s death. While it’s understandable due to grief and funeral arrangements, delaying too long can result in overpayments, which will later need to be repaid. Notify Centrelink as soon as possible, ideally within 14 days of the date of death.
Withdrawing Funds After Death
Another critical mistake is withdrawing funds from a joint or individual bank account after the death, especially if payments were made after the date of death. It’s best to wait until Centrelink and the bank have reviewed the account and confirmed whether funds must be returned.
Not Updating Details for Surviving Partners
Failing to update Centrelink about changes in marital status, living arrangements, or financial situation can impact the surviving partner’s entitlements. It’s important to review and update your details to ensure you continue receiving the correct payments.
Support Services Available
Centrelink offers support services during the bereavement period, including social workers who can assist with emotional and practical guidance. These services are free and confidential. You can request to speak with a social worker when contacting Centrelink.
Additionally, local community organizations and aged care providers often offer grief counselling, estate planning assistance, and financial counselling to help surviving family members navigate the challenges following a pensioner’s death.
Dealing with Centrelink after the death of a pensioner involves several important steps, from notification and adjustment of payments to accessing bereavement support. Understanding your responsibilities and options can reduce stress during an already emotional time. Prompt communication with Centrelink, proper documentation, and careful handling of financial matters help ensure a smoother transition for the surviving spouse or family members. With clear information and support, the process can be managed with confidence and respect for the deceased.