Commonwealth Consolidated Acts

SOCIAL SECURITY ACT 1991 - SECT 1067G

Youth allowance rate calculator

  (1)   The rate of youth allowance of a person referred to in section   556 is to be calculated in accordance with the Rate Calculator in this section.

Limit on rate of allowance

  (2)   If:

  (a)   a person is living with another person as the spouse of the other person on a genuine domestic basis although not legally married to the other person (whether the persons are the same sex or different sexes); and

  (c)   either or both of them are under the age of consent that applies in the State or Territory in which they are living;

the rate of the person's youth allowance is not to be more than the rate at which the allowance would be payable to the person if the other person were the person's partner.

Method of calculating rate

  1067G - A1   The rate of allowance is a daily rate. That rate is worked out by dividing the fortnightly rate calculated according to this Rate Calculator by 14.

Maximum basic rate

  1067G - B1   The maximum basic rate of a person is to be worked out as follows:

  (a)   if the person is not independent (see section   1067A) and is not a long term income support student (see section   1067F)--use Table BA;

  (b)   if the person is independent and is not a long term income support student--use Table BB or point 1067G - B3A;

  (c)   if the person is a long term income support student--use Table BC.

Person who is not independent

  1067G - B2   If the person is not independent (see section   1067A) and is not a long term income support student (see section   1067F), work out whether the person:

  (a)   lives at home (see section   1067E); or

  (b)   is required to live away from home (see section   1067D).

The person's maximum basic rate is the amount in column 3 of the table that corresponds to the person's situation as described in column 2 of the table.

Note:   The rates in column 3 are indexed annually in line with CPI increases (see sections   1191- 1194).

Person who is independent

  1067G - B3   If the person is independent (see section   1067A) and is not a long term income support student (see section   1067F), work out:

  (a)   whether the person is an accommodated independent person (see section   1067B); and

  (b)   if the person is not an accommodated independent person, whether the person:

  (i)   is in supported State care (see section   1067); or

  (ii)   is in unsupported State care (see section   1067); or

  (iii)   is a member of a couple (see section   4); or

  (iv)   has a dependent child (see subsections   5(2) to (9)).

The person's maximum basic rate is the amount in column 3 of the table that corresponds to the person's situation as described in column 2 of the table.

Note:   The rates in column 3 are indexed annually in line with CPI increases (see sections   1191- 1194).

Certain children treated as dependent children if in recipient's care for at least minimum period

  1067G - B3AA   For the purposes of point 1067G - B3, the maximum basic rate for a person receiving youth allowance is worked out as if the person had a dependent child if:

  (a)   the person is not undertaking full - time study and is not a new apprentice; and

  (b)   either:

  (i)   the person is legally responsible (whether alone or jointly with another person) for the day - to - day care, welfare and development of a child under 16; or

  (ii)   under a family law order, registered parenting plan or parenting plan that is in force, a child under 16 is supposed to live or spend time with the person; and

  (c)   the child is in the person's care for at least 14% of:

  (i)   the instalment period in relation to which the maximum basic rate is being worked out; or

  (ii)   if the Secretary, under point 1067G - B3AB, determines another period for the person for the purposes of this subparagraph--that other period; and

  (d)   none of subsections   5(3), (6) and (7) prevents the child from being a dependent child of the person.

Note 1:   For undertaking full - time study see section   541B.

Note 2:   For new apprentice , family law order , registered parenting plan and parenting plan see subsection   23(1).

  1067G - B3AB   The Secretary may, in writing, determine a period of either 14 days or 28 days for the purposes of subparagraph   1067G - B3AA(c)(ii). In making the determination, the Secretary must have regard to the guidelines (if any) determined under point 1067G - B3AD.

  1067G - B3AC   A determination made under point 1067G - B3AB is not a legislative instrument.

  1067G - B3AD   The Secretary may, by legislative instrument, determine guidelines to be complied with when making a determination under point 1067G - B3AB.

  1067G - B3A   Despite point 1067G - B3, if a person:

  (a)   is independent (see section   1067A) and is not a long term income support student (see section   1067F); and

  (b)   is not a member of a couple; and

  (c)   either:

  (i)   has an exemption under section   542FA because of a determination in relation to the person under subsection   542FA(3) or (3A); or

  (ii)   is not required to satisfy the employment pathway plan requirements because of a determination that is in effect under subsection   40P(2) of the Administration Act because of paragraph   40P(2)(a) or (b) of that Act;

the person's maximum basic rate is the amount worked out as follows:

where:

"pension PP (Single) maximum basic amount" is the sum of:

  (a)   the amount that would have been the person's maximum basic rate under Module B of the Pension PP (Single) Rate Calculator if the person was receiving parenting payment; and

  (b)   the amount that would have been the person's pension supplement under Module BA of the Pension PP (Single) Rate Calculator if the person was receiving parenting payment.

Note:   A person's maximum basic rate under Module B of the Pension PP (Single) Rate Calculator is indexed 6 monthly in line with increases in Male Total Average Weekly Earnings (see section   1195).

Long term income support student

  1067G - B4   If the person is a long term income support student (see section   1067F), work out:

  (a)   whether the person is independent (see section   1067A); and

  (b)   if the person is not independent, whether the person:

  (i)   lives at home (see section   1067E); or

  (ii)   is required to live away from home (see section   1067D); and

  (c)   if the person is independent, whether the person is an accommodated independent person (see section   1067B); and

  (d)   whether the person is a member of a couple (see section   4).

The person's maximum basic rate is the amount in column 3 of the table that corresponds to the person's situation as described in column 2 of the table.

Note:   The rates in column 3 are indexed annually in line with CPI increases (see sections   1191 to 1194).

  1067G - BA1   An energy supplement is to be added to the person's (the recipient's ) maximum basic rate if the recipient is residing in Australia and:

  (a)   is in Australia; or

  (b)   is temporarily absent from Australia and has been so for a continuous period not exceeding 6 weeks.

However, this Module does not apply if quarterly energy supplement is payable to the recipient.

Note:   Section   918 may affect the addition of the energy supplement.

General case--recipient not covered by point 1067G - B3A and youth disability supplement not added

  1067G - BA2   The recipient's energy supplement is the amount worked out using the following table if:

  (a)   the recipient is not covered by point 1067G - B3A; and

  (b)   an amount of youth disability supplement is not added under Module D to the recipient's rate.

Recipient covered by point 1067G - B3A

  1067G - BA3   If the recipient is covered by point 1067G - B3A, the recipient's energy supplement is $12.00.

Youth disability supplement added to the recipient's rate

  1067G - BA4   If an amount of youth disability supplement is added under Module D to the recipient's rate, the recipient's energy supplement is the amount worked out using the following table:

Qualification for pharmaceutical allowance

  1067G - C1   Subject to points 1067G - C2 and 1067G - C2A, an amount by way of pharmaceutical allowance is to be added to a person's maximum basic rate if the person:

  (a)   has a partial capacity to work; or

  (b)   is the principal carer of at least one child and is not a member of a couple; or

  (c)   either:

  (i)   has a temporary incapacity exemption under section   542A; or

  (ii)   is not required to satisfy the employment pathway plan requirements because of a determination that is in effect under section   40L of the Administration Act and that has been made because of the circumstance referred to in paragraph   40L(5)(a) of that Act.

Note 1:   For partial capacity to work see section   16B.

Note 2:   For principal carer see subsections   5(15) to (24).

No pharmaceutical allowance if partner receiving certain supplements under other Acts

  1067G - C2   Pharmaceutical allowance is not to be added to a person's maximum basic rate if:

  (a)   the person is a member of a couple; and

  (b)   the person's partner is receiving:

  (i)   veterans supplement under section   118A of the Veterans' Entitlements Act; or

  (ii)   MRCA supplement under section   300 of the Military Rehabilitation and Compensation Act; or

  (iii)   pharmaceutical supplement under Part   3A of the Australian Participants in British Nuclear Tests and British Commonwealth Occupation Force (Treatment) Act 2006 ; or

  (iv)   pharmaceutical supplement under Part   4 of the Treatment Benefits (Special Access) Act 2019 ; and

  (c)   the person's partner is not receiving a service pension or a veteran payment.

No pharmaceutical allowance for full - time students and new apprentices without temporary incapacity exemptions

  1067G - C2A   Pharmaceutical allowance is not to be added to a person's maximum basic rate if the person:

  (a)   does not have a temporary incapacity exemption under section   542A; and

  (b)   is undertaking full - time study or is a new apprentice.

Note 1:   For undertaking full - time study see section   541B.

Note 2:   For new apprentice see subsection   23(1).

Amount of pharmaceutical allowance

  1067G - C3   The amount of pharmaceutical allowance is the amount a fortnight worked out using the following table:

Note 1:   For member of a couple , partnered , illness separated couple , respite care couple and partnered (partner in gaol) see section   4.

Note 2:   The amounts in column 3 are indexed or adjusted annually in line with CPI increases on 1   January (see sections   1191 to 1194 and 1206A).

Youth disability supplement

  1067G - D1   If a person:

  (a)   has a partial capacity to work; and

  (b)   has not turned 22;

an amount by way of youth disability supplement is to be added to a person's rate. The rate of youth disability supplement is $92.40 per fortnight.

Note 1:   For partial capacity to work see section   16B.

Note 2:   The rate of youth disability supplement is adjusted annually in line with CPI increases (see section   1198C).

  1067G - D2   If:

  (a)   an amount by way of youth disability supplement is to be added to a person's rate of youth allowance under point 1067G - D1; and

  (b)   the sum of:

  (i)   the person's maximum basic rate of youth allowance; and

  (ii)   the amount of youth disability supplement;

    would exceed the maximum basic rate of jobseeker payment for a person with a partial capacity to work;

the rate of youth disability supplement is to be reduced (but not below zero) by the amount of the excess.

Note:   For partial capacity to work , see section   16B.

Person's reduction for parental income

  1067G - E1   This is how to work out the person's reduction for parental income for the purposes of the method statement in point 1067G - A1.

Base FTB child rate

  1067G - E2   The base FTB child rate is the amount that would be the base FTB child rate within the meaning of the Family Assistance Act, if the person were an FTB child of a parent of the person.

Maximum FTB child rate

  1067G - E3   The maximum FTB child rate is the amount specified for item   2 in column 2 of the table in clause   7 of Schedule   1 to the Family Assistance Act.

Note:   The amount is indexed under Schedule   4 of the Family Assistance Act.

Parental income test result

  1067G - F1   This is how to work out the parental income test result for a person for the purposes of the method statement in point 1067G - E1.

Parent receiving Commonwealth benefit

  1067G - F3   A person is exempt from the parental income test while a parent of the person:

  (a)   is receiving a payment of pension, benefit, allowance or compensation referred to in Module L; or

  (c)   is receiving a payment under the ABSTUDY Scheme.

Appropriate tax year

  1067G - F4   Subject to this Submodule, the appropriate tax year for a youth allowance payment period is the base tax year for that period.

Base tax year

  1067G - F5   The base tax year for a youth allowance payment period is the tax year that ended on 30   June in the calendar year that came immediately before the calendar year in which the period ends.

Example:   A youth allowance payment period ends on 25   January 1999--this day occurs in the calendar year 1   January 1999 to 31   December 1999--the calendar year that came immediately before this one is the calendar year 1   January 1998 to 31   December 1998--the base tax year is the tax year that ended on 30   June 1998 (i.e. the year of income that began on 1   July 1997).

Change to appropriate tax year because of increase in combined parental income

  1067G - F6   If a person's combined parental income under Submodule 4 for the tax year following the base tax year exceeds:

  (a)   125% of the person's combined parental income under that Submodule for the base tax year; and

  (b)   125% of the person's parental income free area under Submodule 5;

the appropriate tax year, for the purpose of applying this Module to the person in respect of a youth allowance payment period that ends after 30   September in a year, is the tax year following the base tax year.

Change to appropriate tax year at person's request

  1067G - F7   If:

  (aa)   a person's combined parental income for the tax year following the base tax year is substantially less than it was in the base tax year and is likely to continue to be so for 2 years after the later of:

  (i)   1   January in the tax year following the base tax year; or

  (ii)   the day on which the combined parental income is reduced; and

  (a)   the person requests the Secretary to make a determination under point 1067G - F8; and

  (b)   as a result, the Secretary determines under that point that, for the purpose of applying this Module to the person in respect of a youth allowance payment period that ends on or after:

  (i)   the day on which the request is made; or

  (ii)   1   January in a year;

    whichever day is later, the appropriate tax year is the tax year following the base tax year;

the appropriate tax year, for that purpose, is the tax year following the base tax year.

Person may ask Secretary to change appropriate tax year

  1067G - F8   If:

  (a)   youth allowance:

  (i)   is not payable to a person because the rate of youth allowance because of this Module is nil; or

  (ii)   is payable at a reduced rate because of this Module; and

  (b)   the person gives the Secretary an estimate of the person's combined parental income under Submodule 4 for the tax year following the base tax year; and

  (c)   the person requests the Secretary to make a determination under this point; and

  (d)   the person agrees that the person's rate of youth allowance is to be recalculated if the person's actual combined parental income for that tax year exceeds the amount that the person estimated;

the Secretary must determine that, for the purpose of applying this Module to the person in respect of a youth allowance payment period that ends on or after:

  (e)   the day on which the request is made; or

  (f)   1   January in a year;

whichever day is later, the appropriate tax year is the tax year following the base tax year.

Form of request

  1067G - F9   A request under point 1067G - F8 must be made in writing in accordance with a form approved by the Secretary.

Combined parental income

  1067G - F10   For the purposes of this Module, a person's combined parental income for a particular tax year is the sum of the following amounts ( income components ) in respect of each of the person's parents:

  (a)   the parent's taxable income for that year, disregarding each parent's assessable FHSS released amount (within the meaning of the Income Tax Assessment Act 1997 ) for that year;

  (b)   the parent's adjusted fringe benefits total for that year;

  (c)   the parent's target foreign income for that year;

  (d)   the parent's total net investment loss for that year;

  (da)   the parent's tax free pensions or benefits for that year (worked out in accordance with clause   7 of Schedule   3 to the Family Assistance Act);

  (e)   the parent's reportable superannuation contributions (within the meaning of the Income Tax Assessment Act 1997 ) for that year.

Note 2:   For taxable income see subsection   23(1).

Note 3:   For adjusted fringe benefits total see subpoint 1067G - F11(2).

Note 4:   For target foreign income see subpoint 1067G - F11(3).

Note 5:   For total net investment loss , see subsection   10B(2).

Income components for tax year

  1067G - F11(1)   A parent's taxable income for a tax year is:

  (a)   the parent's assessed taxable income for that year; or

  (b)   if the parent does not have an assessed taxable income for that year--the accepted estimate, in respect of the parent, of taxable income for that year.

1067G - F11(2)   A parent's adjusted fringe benefits total for a tax year is the amount worked out using the formula:

where:

"other employer fringe benefits total" is the amount that is the sum of the following:

  (a)   each of the parent's reportable fringe benefits amounts for the tax year under section   135P of the Fringe Benefits Tax Assessment Act 1986 ;

  (b)   each of the parent's reportable fringe benefits amounts for the tax year under section   135Q of the Fringe Benefits Tax Assessment Act 1986 , to the extent that section relates to the parent's employment by an employer described in section   58 of that Act.

"section 57A employer fringe benefits total" is the amount that is the sum of each of the parent's individual quasi - fringe benefits amounts for the tax year under section   135Q of the Fringe Benefits Tax Assessment Act 1986 , to the extent that section relates to the parent's employment by an employer described in section   57A of that Act.

  1067G - F11(3)   A parent's target foreign income for a tax year is the accepted estimate of the amount of the parent's foreign income (as defined in section   10A) for the tax year that is not:

  (a)   taxable income; or

  (b)   received in the form of a fringe benefit (as defined in the Fringe Benefits Tax Assessment Act 1986 , as it applies of its own force or because of the Fringe Benefits Tax (Application to the Commonwealth) Act 1986 ) in relation to the parent as employee (as defined in the Fringe Benefits Tax Assessment Act 1986 ) and a year of tax.

Assessed taxable income

  1067G - F12   A parent's assessed taxable income for a tax year at a particular time is the most recent of:

  (a)   if, at that time, the Commissioner of Taxation has made an assessment or an amended assessment of that taxable income--that taxable income according to the assessment or amended assessment; or

  (b)   if, at that time, a tribunal has amended an assessment or an amended assessment made by the Commissioner--that taxable income according to the amendment made by the tribunal; or

  (c)   if, at that time, a court has amended an assessment or an amended assessment made by the Commissioner or an amended assessment made by a tribunal--that taxable income according to the amendment made by the court.

Accepted estimate

  1067G - F13   An accepted estimate of an income component or an amount described in subpoint 1067G - F11(3), in respect of a parent, for a tax year is that income component or amount according to the most recent notice given under point 1067G - F14 and accepted by the Secretary for the purposes of this Module.

Notice estimating income component

  1067G - F14   A notice setting out an estimate of an income component or an amount described in subpoint 1067G - F11(3), for a tax year, of a parent of a person claiming or receiving youth allowance may be given to the Secretary by:

  (a)   the parent; or

  (b)   the person claiming or receiving youth allowance.

However, if the parent gives a notice, any notice given, in respect of the same income component or amount and the same tax year, by the person claiming or receiving youth allowance is taken not to be, or not to have been, given.

Acceptance of notice

  1067G - F15   The Secretary is to accept a notice referred to in point 1067G - F14 for the purposes of this Module only if the Secretary is satisfied that the estimate is reasonable.

Income reduced by maintenance paid by a parent

  1067G - F20   A parent's combined parental income for a tax year is reduced by an amount equal to any maintenance paid during the tax year by the parent:

  (a)   for the upkeep of a child of the parent if the parent does not have care of the child; or

  (b)   to a former partner of the parent.

Parental income free area

  1067G - F22   For the purposes of this Module, a person's parental income free area for a time in a calendar year is an amount equal to the income free area under clause   38N of Schedule   1 to the A New Tax System (Family Assistance) Act 1999 , as affected by indexation under Schedule   4 to that Act, on 1   January in the calendar year.

Note:   The parental income free area is not indexed under this Act because it is affected by indexation under the A New Tax System (Family Assistance) Act 1999 .

Having parental income in common

  1067G - F26   For the purposes of this Submodule, 2 or more persons have parental income in common if:

  (a)   the parental income test applies to each of them; and

  (b)   a parent of one of the persons is also a parent of each of the other persons.

Note:   See also points 1067G - F30 and 1067G - F31, which extend the situations in which a person will have parental income in common with other persons.

Person who does not have parental income in common with anyone else

  1067G - F27   Work out a person's parental income test result using the following formula and point 1067G - F29 if:

  (a)   the person does not have parental income in common with anyone else; and

  (b)   the person's combined parental income (see Submodule 4) for the appropriate tax year exceeds the person's parental income free area (see Submodule 5):

Note:   Dividing by 130 is equivalent to dividing by 26 (for 26 fortnights in a year) and dividing again by 5 (so that the parental income test result is only 20 cents for each dollar of the excess).

Person who has parental income in common with someone else

  1067G - F28   Work out a person's parental income test result using the following formula and point 1067G - F29 if:

  (a)   the person has parental income in common with one or more other persons; and

  (b)   the person's combined parental income (see Submodule 4) for the appropriate tax year exceeds the person's parental income free area (see Submodule 5):

Note:   Dividing by 130 is equivalent to dividing by 26 (for 26 fortnights in a year) and dividing again by 5.

Rounding the parental income test result

  1067G - F29   If the result of the formula in whichever of points 1067G - F27 and 1067G - F28 applies is not a multiple of 10 cents, round the result to the nearest 10 cents (rounding a multiple of 5 cents upwards).

Extension to recipients under ABSTUDY or Assistance for Isolated Children Scheme

  1067G - F30   This Submodule applies in relation to a person in respect of whom a payment is made under the ABSTUDY Scheme or the Assistance for Isolated Children Scheme and to whom a parental income test under that scheme applies as if:

  (a)   the parental income test under this Module applied to the person; and

  (b)   the total of the amounts described in the following table as relevant to the person were the maximum payment rate for the person for the purposes of this Submodule.

Note:   This Submodule does not (of its own force) affect the amount payable to the person under the ABSTUDY Scheme or the Assistance for Isolated Children Scheme.

Extension to FTB children and regular care children

  1067G - F31   In working out a person's (the recipient's ) parental income test result for the purposes of this Module:

  (a)   an FTB child, or a regular care child, of someone who is a parent of the recipient is taken to be a person (a relevant sibling ) who has parental income in common with the recipient; and

  (b)   in using the formula in point 1067G - F28 for the recipient, the maximum payment rate for relevant siblings is 14 / 365 of the amount worked out under point 1067G - F32.

Note:   For FTB child and regular care child , see section   23.

  1067G - F32   For the purposes of paragraph   1067G - F31(b), the amount worked out under this point is the amount that would, at the time the recipient's rate of youth allowance is worked out, be the parent's maximum rate:

  (a)   under step 1 of the method statement in clause   3 of Schedule   1 to the Family Assistance Act (having regard only to clauses   7 and 11 for the purposes of paragraph   (a) of that step); or

  (b)   if the only relevant sibling is a regular care child--under step 1 of the method statement in clause   28A of Schedule   1 to the Family Assistance Act.

  1067G - F33   In working out the parent's maximum rate for the purposes of point 1067G - F32:

  (a)   assume that the parent has made a claim for payment of family tax benefit by instalment in accordance with the Family Assistance Administration Act; and

  (b)   assume that the parent has not made an election under subsection   58A(1) of the Family Assistance Act; and

  (c)   make any other assumption that the Minister, by legislative instrument, specifies.

  1067G - F34   Work out the amount under point 1067G - F32 for one parent only.

  1067G - F35   Count the amount worked out under point 1067G - F32 once only in using the formula in point 1067G - F28 for a recipient, regardless of how many relevant siblings the recipient has.

Maintenance income test result

  1067G - GA1   This is how to work out the maintenance income test result for a person for the purposes of the method statement in point 1067G - E1.

Parent exempt from FTB maintenance income test

  1067G - GA2   A person is exempt from the maintenance income test if paragraphs 19B(a) and (b) of Schedule   1 to the Family Assistance Act apply to the person's parent or to the parent's partner.

Annualised amount of maintenance income

  1067G - GA3   Work out the annualised amount of maintenance income for a parent of the person as if step 1 of the method statement in clause   20 of Schedule   1 to the Family Assistance Act applied. In doing so:

  (a)   assume that the person is an FTB child of the parent; and

  (b)   assume that paragraphs   (a), (b), (c) and (d) are not in the step; and

  (c)   only take into account maintenance income received in relation to the person; and

  (d)   in working out whether maintenance income is received in relation to the person, have regard to the considerations that would apply under the Family Assistance Act; and

  (e)   have regard to maintenance income for the income year in respect of which the person's rate of youth allowance is being worked out.

Main rule

  1067G - GA4   The maintenance income free area for a parent of a person is:

  (a)   the column 2 amount (see point 1067G - GA7); or

  (b)   if another point in this Submodule applies--the amount worked out in the point.

If there are other siblings including an FTB child

  1067G - GA5   This point applies if the parent of the person is also the parent of:

  (a)   an FTB child in relation to whom the parent receives maintenance income; or

  (b)   both:

  (i)   an FTB child in relation to whom the parent receives maintenance income; and

  (ii)   another person who is receiving youth allowance and in relation to whom the parent receives maintenance income.

The maintenance income free area for the parent is the column 3 amount (see point 1067G - GA7).

If there are other siblings but no FTB child

  1067G - GA6   This point applies if the parent of the person:

  (a)   is also the parent of another person (an other recipient ) who is receiving youth allowance and in relation to whom the parent receives maintenance income; and

  (b)   is not the parent of an FTB child in relation to whom the parent receives maintenance income.

The maintenance income free area for the parent is worked out using this formula:

Definitions of column 2 amount and column 3 amount

  1067G - GA7   In this Submodule:

"column 2 amount" means the amount specified for item   1 in column 2 of the table in clause   22 of Schedule   1 to the Family Assistance Act.

"column 3 amount" means the amount specified for item   1 in column 3 of the table in clause   22 of Schedule   1 to the Family Assistance Act.

Note:   The amounts are indexed under Schedule   4 of the Family Assistance Act.

Receiving maintenance income in relation to a person

  1067G - GA8   In working out whether a parent of a person receives maintenance income in relation to an FTB child or other person, have regard to the considerations that would apply under the Family Assistance Act.

Effect of ordinary income on maximum payment rate

  1067G - H1   This is how to work out the effect of a person's ordinary income, and the ordinary income of a partner of the person, on the person's maximum payment rate:

Note 1:   For ordinary income see subsection   8(1).

Note 2:   The application of the income test is affected by provisions concerning:

(a)   the general concept of ordinary income and the treatment of certain income amounts (Division   1 of Part   3.10);

(b)   business income (sections   1074 and 1075);

(c)   income from financial assets (including income streams (short term) and certain income streams (long term)) (Division   1B of Part   3.10);

(d)   income from income streams not covered by Division   1B of Part   3.10 (Division   1C of Part   3.10);

(e)   disposal of income (sections   1106 to 1111).

Ordinary income of members of certain couples

  1067G - H2   If a person is a member of a couple and the person's partner is receiving a social security pension, a service pension, income support supplement or a veteran payment, the person's ordinary income is taken to be one half of the sum of:

  (a)   the amount that would be the person's ordinary income if he or she were not a member of a couple; and

  (b)   the amount that would be the ordinary income of the person's partner if the partner were not a member of a couple.

Friendly society amounts

  1067G - H3   The ordinary income of a person:

  (a)   who has a temporary incapacity exemption under section   542A; or

  (b)   who is a partner of a person who has a temporary incapacity exemption under that section;

is not to include any amount received from an approved friendly society in respect of the incapacity to which the temporary incapacity exemption relates.

1067G - H3A   The ordinary income of a person:

  (a)   who is not required to satisfy the employment pathway plan requirements because of a determination that is in effect under section   40L of the Administration Act and that has been made because of the circumstance referred to in paragraph   40L(5)(a) of that Act; or

  (b)   who is a partner of a person who is not required to satisfy the employment pathway plan requirements because of a determination that is in effect under section   40L of the Administration Act and that has been made because of the circumstance referred to in paragraph   40L(5)(a) of that Act;

is not to include any amount received from an approved friendly society in respect of the incapacity that resulted in the determination.

Lump sum payments arising from termination of employment

  1067G - H4   Subject to points 1067G - H11 to 1067G - H20 (inclusive), if:

  (a)   a person's employment has been terminated; and

  (b)   as a result the person is entitled to a lump sum payment from the person's former employer;

the person is taken to have received the lump sum payment on the day on which the person's employment was terminated.

Ordinary income to include certain sick leave entitlements

  1067G - H5   If a person is qualified for youth allowance and the person:

  (a)   has a temporary incapacity exemption under section   542A; or

  (b)   is not required to satisfy the employment pathway plan requirements because of a determination that is in effect under section   40L of the Administration Act and that has been made because of the circumstance referred to in paragraph   40L(5)(a) of that Act;

the person's ordinary income is taken to include an amount equal to the amount in respect of sick leave worked out under points 1067G - H6, 1067G - H7 and 1067G - H8.

Sick leave entitlements

  1067G - H6   If:

  (a)   a person has sick leave entitlements on a day that the person is incapacitated for work; and

  (b)   the person has the right to claim payment from the person's employer by way of sick leave payment in respect of that day; and

  (c)   the person's employer is able to pay the person the person's sick leave payment in respect of that day; and

  (d)   the person is not receiving a leave payment (other than a sick leave payment) in respect of that day;

the person is, for the purposes of this point, taken to have received a sick leave payment equal to the person's sick leave entitlements in respect of that day, assuming that the person does not exercise any rights the person may have in relation to the amount to be paid in respect of that day.

Subsequent consecutive applications of point 1067G - H6

  1067G - H7   If point 1067G - H6 has applied to a person in respect of a day, then, for the purposes of any subsequent consecutive applications of the point, the person's sick leave entitlements are to be taken to be reduced by a day.

Sick leave payments already included in ordinary income

  1067G - H8   A person's ordinary income is not to include a payment received by the person in respect of sick leave to the extent that an amount equal to the payment has been included in the person's ordinary income under point 1067G - H5.

Certain leave payments taken to be ordinary income--employment continuing

  1067G - H11   If:

  (a)   a person is employed; and

  (b)   the person is on leave for a period; and

  (c)   the person is or was entitled to receive a leave payment (whether as a lump sum payment, as a payment that is one of a series of regular payments or otherwise) in respect of a part or all of a leave period;

the person is taken to have received ordinary income for a period (the income maintenance period ) equal to the leave period to which the leave payment entitlement relates.

Certain termination payments taken to be ordinary income

  1067G - H12   If:

  (a)   a person's employment has been terminated; and

  (b)   the person receives a termination payment (whether as a lump sum payment, as a payment that is one of a series of regular payments or otherwise);

the person is taken to have received ordinary income for a period (the income maintenance period ) equal to the period to which the payment relates.

Exception to points 1067G - H11 and 1067G - H12

  1067G - H12A   Point 1067G - H11 or 1067G - H12 does not apply in relation to a person's entitlement referred to in paragraph   1067G - H11(c) or in relation to a person's termination payment referred to in paragraph   1067G - H12(b) if:

  (a)   the person makes a claim for youth allowance on or after the commencement of this point; and

  (b)   the person makes the claim after the death of the person's partner on or after the commencement of this point; and

  (c)   if the person is a man or a woman who was not pregnant when her partner died--the person makes the claim in the period of 14 weeks starting on the day of the death of the partner; and

  (d)   if the person is a woman who was pregnant when her partner died--the person makes the claim:

  (i)   in the period of 14 weeks starting on the day of the death of the partner; or

  (ii)   in the period starting on the day of the death of the partner and ending when the child is born or the woman otherwise stops being pregnant;

    whichever ends later; and

  (e)   the entitlement referred to in paragraph   1067G - H11(c) arose, or the termination payment referred to in paragraph   1067G - H12(b) was paid, in the period applicable under paragraph   (c) or (d) of this point.

More than one termination payment on a day

  1067G - H13   If:

  (a)   the person is covered by point 1067G - H12; and

  (b)   the person receives more than one termination payment on a day;

the income maintenance period is worked out by adding the periods to which the payments relate.

Start of income maintenance period--employment continuing

  1067G - H14   If the person is covered by point 1067G - H11, the income maintenance period starts on the first day of the leave period to which the leave payment entitlement relates.

Start of income maintenance period--employment terminated

  1067G - H14A   Subject to point 1067G - H14C, if the person is covered by point 1067G - H12, the income maintenance period starts, subject to point 1067G - H14B, on the day the person is paid the termination payment.

Commencement of income maintenance period where there is a second termination payment

  1067G - H14B   If a person who is covered by point 1067G - H12 is subject to an income maintenance period (the first period ) and the person is paid another termination payment during that period (the second leave payment ), the income maintenance period for the second termination payment commences the day after the end of the first period.

Start of income maintenance period where liquid assets test waiting period applies

  1067G - H14C   If a person to whom point 1067G - H14A applies is subject to a liquid assets test waiting period, the income maintenance period is taken to have started on the day on which the liquid assets test waiting period started.

Leave payments or termination payments in respect of periods longer than a fortnight

  1067G - H15   Subject to points 1067G - H5 to 1067G - H8 (inclusive), if:

  (a)   a person receives a leave payment or termination payment; and

  (b)   the payment is in respect of a period greater than a fortnight;

the person is taken to receive in a payment fortnight or part of a payment fortnight an amount calculated by:

  (c)   dividing the amount received by the number of days in the period to which the payment relates ( daily rate ); and

  (d)   multiplying the daily rate by the number of days in the payment fortnight that are also in the period.

  1067G - H16   If the Secretary is satisfied that a person is in severe financial hardship because the person has incurred unavoidable or reasonable expenditure while an income maintenance period applies to the person, the Secretary may determine that the whole, or any part, of the period does not apply to the person.

Note 1:   For in severe financial hardship see subsection   19C(2) (person who is not a member of a couple) and subsection   19C(3) (person who is a member of a couple).

Note 2:   For unavoidable or reasonable expenditure see subsection   19C(4).

Note 3:   If an income maintenance period applies to a person, then, during that period:

(a)   the allowance claimed may not be payable to the person; or

(b)   the amount of the allowance payable to the person may be reduced.

When a person receives a leave payment or a termination payment

  1067G - H17   For the purposes of points 1067G - H6 to 1067G - H16 (inclusive), a person ( first person ) is taken to receive a leave payment or termination payment if the payment is made to another person:

  (a)   at the direction of the first person or a court; or

  (b)   on behalf of the first person; or

  (c)   for the benefit of the first person; or

  (d)   the first person waives or assigns the first person's right to receive the payment.

Single payment in respect of different kinds of termination payments

  1067G - H18   If a person who is covered by point 1067G - H12 receives a single payment in respect of different kinds of termination payments, then, for the purposes of the application of points 1067G - H11 to 1067G - H17 (inclusive), each part of the payment that is in respect of a different kind of termination payment is taken to be a separate payment and the income maintenance period in respect of the single payment is worked out by adding the periods to which the separate payments relate.

Definitions

  1067G - H19   In points 1067G - H11 to 1067G - H18 (inclusive):

"payment fortnight" means a fortnight in respect of which a youth allowance is paid, or would be paid apart from the application of an income maintenance period, to a person.

"period to which the payment relates" means:

  (a)   if the payment is a leave payment--the leave period to which the payment relates; or

  (b)   if the payment is a termination payment and is calculated as an amount equivalent to an amount of ordinary income that the person would (but for the termination) have received from the employment that was terminated--the period for which the person would have received that amount of ordinary income; or

  (c)   if the payment is a termination payment and paragraph   (b) does not apply--the period of weeks (rounded down to the nearest whole number) in respect of which the person would have received ordinary income, from the employment that was terminated, of an amount equal to the amount of the termination payment if:

  (i)   the person's employment had continued; and

  (ii)   the person received ordinary income from the employment at the rate per week at which the person usually received ordinary income from the employment prior to the termination.

"redundancy payment" includes a payment in lieu of notice.

"termination payment" includes:

  (a)   a redundancy payment; and

  (b)   a leave payment relating to a person's employment that has been terminated; and

  (c)   any other payment that is connected with the termination of a person's employment.

Meaning of leave payment

  1067G - H20   In points 1067G - H5 to 1067G - H19 (inclusive):

"leave payment" includes a payment in respect of sick leave, annual leave, maternity leave and long service leave, but does not include an instalment of parental leave pay.

Board and lodging

  1067G - H22   A person's ordinary income is not to include a payment to the person for board or lodging provided by the person to a parent, child, brother or sister of the person.

Ordinary income generally taken into account when first earned, derived or received

  1067G - H23   Subject to points 1067G - H23A, 1067 - H23B, 1067G - H24 and 1067G - H25 and sections   1072A and 1073, ordinary income (except employment income) is to be taken into account in the fortnight in which it is first earned, derived or received.

Note:   See Division   1AA of Part   3.10 for the treatment of employment income.

Claimant or recipient receives lump sum amount for remunerative work

  1067G - H23A   If a person whose claim for youth allowance has been granted receives, after the claim was made, a lump sum amount that:

  (a)   is paid to him or her in relation to remunerative work; and

  (b)   is not a payment to which point 1067G - H24 applies; and

  (c)   is not an exempt lump sum; and

  (d)   is not employment income;

the person is, for the purposes of this Module, taken to receive one fifty - second of that amount as ordinary income during each week in the 12 months commencing on the day on which the person becomes entitled to receive that amount.

Partner of claimant or recipient receives lump sum amount for remunerative work

  1067G - H23B   If:

  (a)   a person whose claim for youth allowance has been granted is a member of a couple; and

  (b)   after the person had made the claim, the person's partner receives a lump sum amount that:

  (i)   is paid to him or her in relation to remunerative work; and

  (ii)   is not a payment to which point 1067G - H24 applies; and

  (iii)   is not an exempt lump sum; and

  (iv)   is not employment income;

the partner is, for the purposes of this Module, taken to receive one fifty - second of that amount as ordinary income during each week in the 12 months commencing on the day on which the partner becomes entitled to receive that amount.

Operation of points 1067G - H23A and 1067G - H23B

  1067G - H23C   Points 1067G - H23A and 1067G - H23B have effect even if the person who has made the claim:

  (a)   is subject to a liquid assets test waiting period or an income maintenance period in respect of the allowance claimed; or

  (b)   is subject to a seasonal work preclusion period;

during the period of 12 months referred to in those points.

Ordinary income received at intervals longer than one fortnight

  1067G - H24   Subject to points 1067G - H11 to 1067G - H20 (inclusive), if:

  (a)   a person receives a number of payments of ordinary income (except employment income); and

  (b)   each payment is in respect of a period ( work period ) that is greater than a fortnight; and

  (c)   there is reasonable predictability or regularity as to the timing of the payments; and

  (d)   there is reasonable predictability as to the quantum of the payments;

the person is taken to receive in a fortnight falling within, or overlapping with, a work period an amount calculated by:

  (e)   dividing the amount received by the number of days in the work period ( daily rate ); and

  (f)   multiplying the daily rate by the number of days in the fortnight that are also within the work period.

Payment of arrears of periodic compensation payments

  1067G - H25   If:

  (a)   at the time of an event that gives rise to an entitlement of a person to compensation, the person is receiving youth allowance; and

  (b)   in relation to that entitlement, the person receives a payment of arrears of periodic compensation;

the person is taken to receive, in a fortnight falling within, or overlapping with, the periodic payments period, an amount calculated by:

  (c)   dividing the amount received by the number of days in the periodic payments period ( daily rate ); and

  (d)   multiplying the daily rate by the number of days in the fortnight that are also within the periodic payments period.

Note:   For periodic payments period see section   17.

Partner income free area

  1067G - H26   The partner income free area for a person is:

  (a)   if the person's partner is not receiving a social security benefit and has not turned 22--the amount of income of the partner (rounded up to the nearest dollar) beyond which youth allowance would not be payable to the partner if the partner were qualified for a youth allowance and were not undertaking full - time study (see section   541B); or

  (b)   if the person's partner is not receiving a social security benefit and has turned 22--the amount of income of the partner (rounded up to the nearest dollar) beyond which jobseeker payment would not be payable to the partner if the partner were qualified for a jobseeker payment; or

  (c)   if the person's partner is receiving a social security benefit--the amount of income of the partner (rounded up to the nearest dollar) beyond which that benefit would not be payable to the partner.

1067G - H26A   For the purposes of paragraph   1067G - H26(a), disregard steps 2, 2A and 3 of the method statement in point 1067G - A1.

1067G - H26B   For the purposes of paragraph   1067G - H26(b), disregard steps 2 and 3 of the method statement in point 1068 - A1.

Partner income excess

  1067G - H27   If:

  (a)   a person is a member of a couple; and

  (b)   the person's partner is not receiving a social security pension, a service pension, income support supplement or a veteran payment; and

  (c)   the partner's ordinary income exceeds the partner income free area for the partner;

then:

  (d)   the person has a partner income excess; and

  (e)   the person's partner income excess is the amount by which the partner's ordinary income exceeds the partner income free area.

Partner income reduction

  1067G - H28   If a person has a partner income excess, the person's partner income reduction is an amount equal to 60% of the person's partner income excess.

Example:  

Facts:   Alice's partner Martin has an ordinary income of $800. Assume that the partner income free area under point 1067G - H26 is $640.

Result:   Martin's ordinary income exceeds the partner income free area. Alice therefore has a partner income excess under point 1067G - H27 of:

  Alice's partner income reduction under point 1067G - H28 is therefore:

Ordinary income free area

  1067G - H29   A person's ordinary income free area is:

  (a)   if the person is undertaking full - time study at any time in the fortnight in respect of which a youth allowance may be payable, other than in compliance with a requirement contained in an employment pathway plan that is in force in relation to the person--$400; or

  (aa)   if the person is a new apprentice at any time in the fortnight in respect of which a youth allowance may be payable--$400; or

  (b)   otherwise--$150.

Ordinary income excess

  1067G - H30   If a person's ordinary income exceeds the person's ordinary income free area:

  (a)   the person has an ordinary income excess; and

  (b)   the person's ordinary income excess is the amount by which the person's ordinary income exceeds the person's ordinary income free area.

Ordinary income reduction

  1067G - H31   If a person has an ordinary income excess, the person's ordinary income reduction is the sum of:

  (a)   the person's lower range reduction (if any)(see point 1067G - H32); and

  (b)   the person's upper range reduction (if any) (see point 1067G - H33).

Lower range reduction

  1067G - H32   The person's lower range reduction is an amount equal to 50% of the part of the person's ordinary income excess that does not exceed:

  (a)   if the person is undertaking full - time study at any time in the fortnight in respect of which a youth allowance may be payable, other than in compliance with a requirement contained in an employment pathway plan that is in force in relation to the person--$80; or

  (b)   if the person is a new apprentice at any time in the fortnight in respect of which a youth allowance may be payable--$80; or

  (c)   otherwise--$100.

Upper range reduction

  1067G - H33   The person's upper range reduction is an amount equal to 60% of the part (if any) of the person's ordinary income excess that exceeds:

  (a)   if the person is undertaking full - time study at any time in the fortnight in respect of which a youth allowance may be payable, other than in compliance with a requirement contained in an employment pathway plan that is in force in relation to the person--$80; or

  (b)   if the person is a new apprentice at any time in the fortnight in respect of which a youth allowance may be payable--$80; or

  (c)   otherwise-- $100 .

Student income bank

  1067G - J1   A person's ordinary income under Module H may be reduced under this Module. This diagram sets out how to work out:

  (a)   whether the person's ordinary income for a particular fortnight, in respect of which youth allowance may be payable to the person, is to be reduced; and

  (b)   if it is to be reduced, the amount of the reduction.

Application of this Module

  1067G - J2   This Module applies to a person during a particular fortnight, in respect of which youth allowance may be payable to the person, if the person is undertaking full - time study (see section   541B) or is a new apprentice (see subsection   23(1)) at any time during the fortnight.

Income bank credit

  1067G - J3   A person's income bank credit for a particular income bank fortnight of the person is to be worked out as follows:

Income credit

  1067G - J4   For the purposes of point 1067G - J3, if the amount that would, apart from this Module, be the person's ordinary income for an income bank fortnight of the person is less than the ordinary income free area (see paragraph   1067G - H29(a) or (aa)):

  (a)   the person has an income credit for that fortnight; and

  (b)   the income credit is an amount equal to the difference between the ordinary income free area (see paragraph   1067G - H29(a) or (aa)) and the first - mentioned amount.

Drawing from income bank credit

  1067G - J5   For the purposes of point 1067G - J3, if the amount that would, apart from this Module, be the person's ordinary income for an income bank fortnight of the person is greater than the ordinary income free area (see paragraph   1067G - H29(a) or (aa)):

  (a)   the person is taken to have drawn from the person's income bank credit in respect of that fortnight; and

  (b)   the amount drawn is taken to be an amount equal to the difference between the first - mentioned amount and the ordinary income free area (see paragraph   1067G - H29(a) or (aa)).

Income bank fortnight

  1067G - J6   For the purposes of this Module, an income bank fortnight of a person is any fortnight, in respect of which youth allowance may be payable to the person, during the whole or a part of which this Module applies to the person.

Opening balance following cancellation of another social security pension or benefit

  1067G - J7   If:

  (a)   a person ceases to be a working credit participant because of a determination to cancel, or an automatic cancellation of, the person's social security pension or social security benefit; and

  (b)   the person had a working credit balance greater than nil immediately before the date of effect of the determination or cancellation; and

  (c)   the person makes a claim, or is taken to have made a claim, for a youth allowance; and

  (d)   the Secretary determines that the claim is to be granted with effect from a day within 12 months after the date of effect mentioned in paragraph   (b); and

  (e)   the person becomes a person to whom this Module applies on a day (the module application day ), being either the day with effect from which the claim is granted or a day following that day;

the working credit balance mentioned in paragraph   (b) becomes the opening balance of the income bank credit applicable to the person on the module application day.

Opening balance following suspension of youth allowance

  1067G - J8   If:

  (a)   a person ceases to be a working credit participant because of a determination to suspend the person's youth allowance; and

  (b)   the person had a working credit balance greater than nil immediately before the date of effect of the determination; and

  (c)   within 12 months after the date of effect of the determination:

  (i)   the person commences to undertake full - time study or becomes a new apprentice; and

  (ii)   the payment of the person's youth allowance is resumed; and

  (d)   the person becomes a person to whom this module applies on the day with effect from which the person's youth allowance is resumed;

the working credit balance mentioned in paragraph   (b) becomes the opening balance of the income bank credit applicable to the person on the day mentioned in paragraph   (d).

Opening balance following suspension and subsequent cancellation of another social security pension or benefit

  1067G - J9   If:

  (a)   a person ceases to be a working credit participant because of a determination to suspend the person's social security pension or social security benefit; and

  (b)   while the person's pension or benefit is suspended, there is a determination to cancel the person's pension or benefit; and

  (c)   the person had a working credit balance greater than nil immediately before the date of effect of the suspension determination; and

  (d)   the person makes a claim, or is taken to have made a claim, for a youth allowance; and

  (e)   the Secretary determines that the claim is to be granted with effect from a day within 12 months after the date of effect mentioned in paragraph   (c); and

  (f)   the person becomes a person to whom this Module applies on a day (the module application day ), being either the day with effect from which the claim is granted or a day following that day;

the working credit balance mentioned in paragraph   (c) becomes the opening balance of the income bank credit applicable to the person on the module application day.

Opening balance following commencement of full - time study by youth allowance recipient

  1067G - J10   If:

  (a)   a person is receiving youth allowance and is not undertaking full - time study; and

  (b)   the person commences to undertake full - time study; and

  (c)   either because of a determination made as a result of the commencement or, if no determination is necessary, because of the commencement itself, the person, on a day (the module application day ):

  (i)   ceases to be a working credit participant; and

  (ii)   becomes a person to whom this Module applies; and

  (d)   the person had a working credit balance greater than nil immediately before the module application day;

the working credit balance mentioned in paragraph   (d) becomes the opening balance of the income bank credit applicable to the person on the module application day.

Opening balance following commencement as a new apprentice by youth allowance recipient

  1067G - J11   If:

  (a)   a person is receiving youth allowance and is not a new apprentice; and

  (b)   the person becomes a new apprentice; and

  (c)   either because of a determination made as a result of the commencement or, if no determination is necessary, because of the commencement itself, the person, on a day (the module application day ):

  (i)   ceases to be a working credit participant; and

  (ii)   becomes a person to whom this Module applies; and

  (d)   the person had a working credit balance greater than nil immediately before the module application day;

the working credit balance mentioned in paragraph   (d) becomes the opening balance of the income bank credit applicable to the person on the module application day.

Remote area allowance--person physically in remote area

  1067G - K1   An amount by way of remote area allowance is to be added to a person's rate of youth allowance if:

  (a)   the person's rate of youth allowance apart from this point is greater than nil; and

  (b)   the person's usual place of residence is situated in the remote area; and

  (c)   the person is physically present in the remote area.

Note 1:   For remote area see subsection   14(1).

Note 2:   A person may be considered to be physically present in a remote area during temporary absences (see subsection   14(2)).

Rate of remote area allowance

  1067G - K2   A person's rate of remote area allowance is worked out using Table K. Work out which family situation in the table applies to the person. The rate of remote area allowance is the corresponding amount in column 3 plus an additional corresponding amount in column 4 for each FTB child, and each regular care child, of the person.

Note:   For member of a couple , partnered , illness separated couple and partnered (partner in gaol) see section   4.

Meaning of remote area allowance

  1067G - K3   In Table K, remote area allowance means an amount added to a person's youth allowance by way of remote area allowance.

In remote area

  1067G - K4   For the purposes of Table K, a person is in the remote area if:

  (a)   the person's usual place of residence is in the remote area; and

  (b)   the person is physically present in the remote area.

Special rule if partner has an FTB or regular care child but is not receiving a pension

  1067G - K6   If:

  (a)   an additional allowance is to be included in the rate of remote area allowance for a person who is a member of a couple; and

  (b)   the person's partner is not receiving a social security pension or social security benefit; and

  (c)   the person's partner has an FTB child or a regular care child;

the child is taken, for the purposes of this Module, to be an FTB child, or a regular care child, (as the case requires) of the person.

Special rule if partner has an FTB or regular care child but is not receiving additional allowance for the child

  1067G - K7   If:

  (a)   an additional allowance is to be included in the rate of remote area allowance for a person who is a member of a couple; and

  (b)   the person's partner has an FTB child or a regular care child; and

  (c)   the person's partner is not receiving additional allowance for the child;

the child is taken, for the purposes of this Module, to be an FTB child, or a regular care child, (as the case requires) of the person.

Special rule dealing with the death of an FTB or regular care child

  1067G - K9   If an FTB child, or a regular care child, of a person dies, this Module has effect, for a period of 14 weeks after the death of the child, as if the child had not died.

Note:   This point does not prevent this Module having the effect it would have had if the child would otherwise have ceased to be an FTB child, or a regular care child, during that 14 weeks.