Pension Bonus Bereavement Payment: Who Gets It and How to Claim
Most surviving spouses know about the standard Centrelink Bereavement Payment — the 14-week lump sum triggered when a partnered Age Pensioner dies. Far fewer know about a different payment that sits alongside it: the Pension Bonus Bereavement Payment.
This payment is specifically for people whose partner was registered in the Pension Bonus Scheme and accumulated bonus entitlements but died before successfully claiming their Age Pension and bonus. It can represent a substantial lump sum — equivalent to the pension bonus the deceased would have received — and it must be claimed within a strict 26-week window.
What the Pension Bonus Scheme Was
The Pension Bonus Scheme was a government program that allowed older Australians to defer claiming the Age Pension in exchange for a one-time bonus payment added to their first pension payment. The longer the deferral, the larger the bonus.
The scheme closed to new members on 20 September 2009. However, many Australians who registered before that date continued — and continue — to accumulate bonus periods. Some of these registered members die before they ever make their claim, leaving the bonus unclaimed.
That is the situation the Pension Bonus Bereavement Payment addresses.
Eligibility for the Pension Bonus Bereavement Payment
To claim this payment, you must meet all of the following:
Your partner must have been:
- Registered in the Pension Bonus Scheme (registered before 20 September 2009)
- Still a registered member at the time of death (not deregistered or already claimed)
- Eligible for the Age Pension at the time of death — meaning they met the age and residency requirements, even if they had chosen not to claim yet
- Not previously claimed both the Age Pension and the pension bonus
You must be:
- The surviving partner of the deceased registered member
- Applying within 26 weeks of the date of your partner's death
The 26-week deadline is firm. Services Australia can extend it in limited circumstances — specifically, if you were unable to make the claim due to illness or other exceptional circumstances — but do not count on this. Claim early.
How Much Is the Pension Bonus Bereavement Payment?
The amount you receive equals the pension bonus your partner would have received if they had claimed on the day they died.
The bonus is calculated based on:
- The number of full years of accruing membership in the Pension Bonus Scheme (each year of continued work and deferral adds to the total)
- The rate of Age Pension the deceased would have received on the day of death
The formula produces a lump sum calculated as a multiple of the deceased's annual pension entitlement. For example, a member who accrued five bonus years would receive a larger lump sum than one who accrued two years.
Services Australia will calculate the exact amount based on the bonus period accumulated and the pension rate. You do not need to calculate this yourself — but you do need to have documentary evidence of your partner's registration and bonus accrual periods.
This payment is tax-free.
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How to Claim
Contact Services Australia as soon as possible after the death — ideally within the first two weeks, to avoid any risk of approaching the 26-week deadline while you are still gathering documents.
What you will need:
- Your partner's death certificate (in the ACT, issued by Access Canberra)
- Evidence that your partner was registered in the Pension Bonus Scheme (registration confirmation letters, correspondence from Services Australia)
- Evidence of the bonus periods accrued (work test evidence, including tax returns or employer confirmation for each bonus year)
- Proof of your relationship to the deceased (marriage certificate, or de facto relationship evidence)
- Your own identification and bank account details for payment
You can lodge the claim through your MyGov account linked to Centrelink, or in person at a Services Australia service centre.
After lodgement: Services Australia will assess the claim, verify the Pension Bonus Scheme registration, and calculate the bonus entitlement. If documentation is incomplete, they will contact you for additional evidence. Processing times vary but can take several weeks for complex cases involving multiple bonus accrual years.
The Pension Bonus Bereavement Payment vs. the Standard Bereavement Payment
These are two separate payments, and you may be eligible for both.
The standard bereavement payment is the 14-week combined payment calculated for surviving Age Pensioners whose partner was receiving a Centrelink payment at the time of death. It is calculated as the combined rate the couple would have received over 14 weeks, minus the surviving partner's single rate.
The pension bonus bereavement payment is the lump sum equivalent of the pension bonus the deceased never lived to claim. It is not calculated on pension payments but on the bonus formula.
If your partner was registered in the Pension Bonus Scheme and was also receiving income support at death, you may qualify for both. Discuss this with Services Australia at the time of lodgement.
What If the Claim Is Rejected?
If Services Australia rejects your claim — for example, disputing that your partner met the work test requirements for a particular bonus year — you have the right to request a formal review. A different officer at Services Australia will review the decision. If you remain dissatisfied after that internal review, you can escalate to the Administrative Review Tribunal.
Keep copies of all documentation submitted, and request written reasons for any rejection.
Where the ACT Survivor Benefits Navigator Fits In
For ACT families navigating the weeks after a death, the Pension Bonus Bereavement Payment is just one of multiple federal and territory entitlements that need to be identified and claimed within tight timeframes. The difficulty is that each payment comes from a different agency, has its own eligibility rules, and runs on a separate clock.
The Australian Capital Territory Survivor Benefits Navigator maps the full financial landscape — Services Australia, DVA, the ACT Revenue Office, and the ACT Supreme Court — into a single, chronological checklist so no deadline is missed and no entitlement is left unclaimed.
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Download the Australian Capital Territory — Survivor Benefits Checklist — a printable guide with checklists, scripts, and action plans you can start using today.