Loss of earnings allowance

Last updated: 
6 February 2020

What is Loss of Earnings Allowance

The allowance helps to replace lost pay if you need to take time off work to get treatment for a service-related injury or condition. We can also pay it to someone who takes time off work to help you get treatment or claim Disability Pension.

Who can receive it

  You can receive the allowance as a veteran if you:

  • get the Disability Pension, but not at the Special Rate, or
  • have put in a claim for Disability Pension, and we need you to attend a medical appointment.
  • work and have lost pay or used up your sick leave while getting treated for a service-related injury or condition.

You need to have been employed and on unpaid leave for the period you are claiming.

If you are self-employed you will need to provide BAS or payslips (if sub-contracted) to provide evidence of your loss.

You can get the allowance as a representative if you:

  • act on behalf of a veteran in relation to their claim for Disability Pension.
  • work and have lost pay while helping the veteran claim.

You can get the allowance as an authorised attendant if you:

  • travel with a veteran who needs someone to go with them to get treatment or attend a medical appointment.
  • work and have lost pay while travelling with the veteran.

How much you can receive

You will either receive:

  • the difference between the Special Rate (TPI) of the Disability Pension and the rate you got while you were off work, or
  • the amount of pay you actually lost.

You will get the smaller of these two amounts.

If you get a lump sum Permanent Impairment payment, it may reduce the amount of allowance you can receive.

How to claim

You can apply by submitting claim form D3006.

Important information

  • The allowance is linked to the Disability Pension, it is not paid in relation to Incapacity Payments.
  • You need to submit your claim within 12 months from the start of the time in which you lost earnings.
  • The allowance is meant to be a short-term payment. If you can’t work for long periods or indefinitely, you may need to apply for an increase in your Disability Pension.
  • The allowance is for when you can’t work because of medical treatment, not just because of your injury or illness.
  • Treatment for a service-related injury or condition can include time off work to rest and recover, if a doctor has recommended it.
  • You can claim the allowance if you are off work waiting for an artificial limb or other surgical device to be supplied or repaired.
  • If you have used up all your sick leave because of a service-related injury or condition, you can claim the allowance for unpaid sick leave even if you need it for a condition that isn’t service-related.
  • You don’t need to use up all your sick leave before claiming the allowance. You can choose to take leave without pay and claim the allowance for that time.