Reproduced from Centrelink's "A Guide to Australian Government Payments 1 January - 19 March 2012"

Basic Conditions of Eligibility
Residence Requirements
Basic Rates
Student Start-up Scholarships
Relocation Scholarships
Fares Allowance
Rent Assistance
Youth Disability Supplement
Parental Income Test
Personal Income Test
Full-time Student Income Bank
Assets Test
Family Actual Means Test

Basic Conditions of Eligibility

• Full-time students and Australian Apprentices aged 16-24, or students who are temporarily incapacitated for full-time study aged 21-24.
• Students and Australian Apprentices aged 25 and over, getting Youth Allowance immediately before turning 25 and remaining in the same course of study or Australian Apprenticeship.
• Job seekers, aged under 21, looking for work or combining part-time study with job search, or undertaking any other approved activity, or temporarily incapacitated for work or study.
• Young people under 21 years of age without a Year 12 or equivalent qualification will usually need to:
  • participate in education and training full-time; or
  • participate full-time (that is, for at least 25 hours a week) in part-time study or training, in combination with other approved activities, until they complete Year 12 or an equivalent Certificate Level II or above qualification.
• Independent, aged 15 and above the school leaving age in their state who are satisfying or are exempt from the activity test.

Residence Requirements

• Must be an Australian resident.
• Available to newly arrived migrants after 104 weeks in Australia as an Australian resident in Australia (some exemptions may apply).
• If exempt from activity test may be paid for up to 13 weeks for temporary absence from Australia in certain limited circumstances. The length of your last return to Australia may affect your entitlement during the absence from Australia.
• May be paid for 13 weeks of temporary absence or longer if the person has to travel to study or train as part of their full-time Australian course or Australian Apprenticeship.

Basic Rates

Student Start-up Scholarships

• All full-time students in receipt of Youth Allowance, who are undertaking higher education or preparatory course at a higher education institution will receive the Student Start-up Scholarship, paid in a maximum of two half-yearly instalments of $1,025 (a total of $2,050 in 2012).
  
  
• Students already receiving a Commonwealth Education Costs Scholarship (CECS) or Indigenous CECS are not eligible to receive a Student Start-up Scholarship.

Relocation Scholarships

• Full time dependent students in receipt of Youth Allowance who have to live away from home to undertake a higher education or preparatory course at a higher education institution will receive a Relocation Scholarship.
• The Relocation Scholarship is also available to to independent students who are disadvantaged by personal circumstances and are unable to live in the parental home.
• Students already receiving a Commonwealth Accommodation Scholarship (CAS) or Indigenous CAS are not eligible to receive the Relocation Scholarship.
• The Relocation Scholarship will provide $4,000 to eligible students in the first year they are required to live away from home to study, and
• For students from major cities, $1,000 in each year thereafter that the student lives away from home to study, or
• For students from regional areas, $2,000 in each of the second and third years that the student lives away from home to study and $1,000 in the following years the student lives away from home to study.
• The Relocation Scholarship is payable in addition to the Student Start-up Scholarship.

Merit and Equity-based Scholarships Exempt from Means Testing

Students in receipt of equity and merit-based scholarships will have the first $7,223 exempt from means testing. Any scholarship in excess of this amount will be subject to means testing.

Fares Allowance

• Only paid to teriary students who have to live away from their permanent home for study.
• Reimbursement of the cost of cheapest practicable form of public transport, regardless of transport actually used.
• Not payable for daily travel.

Rent Assistance

Family Situation	Maximum payment per fortnight	No payment if your fortnightly rent is less than	Maximum payment if your fortnightly rent is more than
Single, no children	$119.40	$106.20	$265.40
Single, no children, sharer	$79.60	$106.20	$212.33
Couple, no children	$112.60	$172.80	$322.93
One of a couple who are separated due to illness, no children*	$119.40	$106.20	$265.40
One of a couple who are temporarily separated, no children	$112.60	$106.20	$256.33

*Includes respite care and partner in prison.

• Rent Assistance for families with children is usually paid with Family Tax Benefit. See Family Tax Benefit Part A for current rates.
• Rent Assistance is not paid:
  • to people paying rent to a government housing authority, although in some situations sub-tenants may qualify for Rent Assistance.
  • for residents of Australian Government funded nursing homes and hostels.
  • to single Disability Support Pensioners under 21, without dependants, living with parents.
  • to other single people aged under 25, living with parents.
• Special rules apply to single sharers, people who pay board and lodging or live in a retirement village.
• Rent Certificates are required to verify rent where the person does not have a formal tenancy agreement or is not named as a tenant on a formal tenancy agreement.
• Rent Assistance is paid as part of another payment. It may be reduced due to the income test rules applying to that primary payment.
• Rent Assistance is subject to portability provisions where relevant.

• Rent assistance for single people without children may only be paid to those who receive the away from home rate of Youth Allowance.
• Where both members of a couple without children are getting an allowance or benefit, Rent Assistance is shared.

Youth Disability Supplement

• Youth Disability Supplement of up to $114.00 per fortnight is payable to Youth Allowance recipients aged under 21 who have been assessed as having partial capacity to work.
• Youth Disability Supplement is added to the rate of Youth Allowance and the rate payable cannot exceed the rate payable to those over 21 on Newstart Allowance.

Parental Income Test

• If not independent, a parental income test applies.
• Rate reduces if parent's income exceeds threshold of $46,355.
• Rate reduces by 20 cents for every $1.00 over the threshold.
• After applying parental income test, a personal income test is applied.
• The rate payable will be thhe lowest produced by the Family Actual Means Test, parental income test or the personal income test.
• The parental income and assets test does not apply if the parent(s) hold a current low-income Health Care Card or they receive a designated income support payment through either Centrelink or the Department of Veterans' Affairs. The Family Actual Means Test may still apply.
• In some circumstances, (where parental income decreases/increases substantially) parent/s' income in the current tax year is used.
• The parental means test does not apply to Youth Allowance (job seekers) assessed as having a partial capacity to work.

Personal Income Test

• Gross income is assessed.
• The first $7,223 of a merit and equity based scholarship is exempt from means testing.
• There is an income-free area of $62.00 per fortnight if unemployed and $236.00 per fortnight for students and Australian Apprenticies.
• Income above the income-free area reduces payment unless credit in Income Bank (for students and Australian Apprentices - see below) or working credit.

Family Situation	For full Allowance (pf)*	For part Allowance (pf)
Single, aged under 18, at home:
Students & Australian Apprentices	up to $236	less than $603.84
Job Seekers	up to $62	less than $447.84
Single, aged 18 or over, at home
Students and Australian Apprentices	up to $236	less than $675.67
Job Seekers	up to $62	less than $519.67
Single or partnered, no dependants, away from home
Students and Australian Apprentices	up to $236	less than $897.17#
Job Seekers	up to $62	less than $741.17#
Partnered, with dependants
Students and Australian Apprentices	up to $236	less than $960.50#
Job Seekers	up to $62	less than $804.50#
Single, with dependants
Students and Australian Apprentices	up to $236	less than $1,098.00#
Job Seekers	up to $62	less than $942.00#
Single, long-term unemployed aged 21 or over, undertaking full-time study or Australian Apprenticeship, at home	up to $236	less than $772.67
Single, long-term unemployed aged 21 or over, undertaking full-time study or Australian Apprenticeship, away from home	up to $236	less than $1,036.17#
Partnered, long-term unemployed, no dependants, aged 21 or over undertaking full-time study or Australian Apprenticeship, no children	up to $236	less than $960.50#

*

For job seekers, fortnightly income between $62 and $250 reduces fortnightly allowance by 50 cents in the dollar. Income above $250 reduces payment by 60 cents in the dollar. For students and New Apprentices, fortnightly income between $236 and $316 reduces the fortnightly allowance by 50 cents in the dollar. Income above $316 reduces payment by 60 cents in the dollar. For students and Australian Apprentices the income test is subject to Income Bank credit. Partner income which exceeds the cut-off point reduces fortnightly allowance by 60 cents in the dollar.

#

These figures may be higher if you are eligible for Rent Assistance or Pharmaceutical Allowance.

Income Bank

• Allows Youth Allowance recipients to accumulate up to $6,000 of any unused portion of their fortnightly income-free area.
• Allows Youth Allowance Australian Apprentices to accumulate up to $1,000 of any unused portion of their fortnightly income-free area.
• Income Bank credits can be used to offset any income earned that exceeds the fortnightly income-free area.

Assets Test

• If not independent, family assets test applies (no personal assets test):
  • No payment can be made if the family's assets exceed $619,500.
  • A 75 per cent discount for farm/business assets applies to the family assets test.
• If independent:

Assets Test Limits for Allowances and Full Pensions

Some assets are deemed to earn income, while certain assets are not included in the assets test; see Deeming - Financial Investments or contact Centrelink for more information.

Allowances, Austudy and Parenting Payment are not payable if assets exceed these amounts.

For pensions, assets over these amounts reduce pension by $1.50 per fortnight for every $1,000 above the amount (single and couple combined).

Assets Test Limits for Part Pensions

Transitional

Assets Test for Disability Support Pension - Aged under 21 (no children)

Some assets are deemed to earn income, while certain assets are not included in the assets test; see Deeming - Financial Investments or contact Centrelink for more information.

Note: The rate of payment is calculated under both the income and assets tests. The test that results in the lower rate (or nil rate) will apply.

#  Limits will increase if Rent Assistance is paid with your pension.

The asset limits above may only apply to people who are resident in Australia, or are temporarily absent for up to 13 weeks. Contact Centrelink for more information.

Extra Allowable amount for Retirement Village and Granny Flat Residents

If your Entry Contribution is equal to or less than the Extra Allowable Amount, you are assessed as a non-homeowner. Your Entry Contribution will count as an asset. You may qualify for Rent Assistance. The Extra Allowable Amount is the difference between the non-homeowner and homeowner test limits, currently $135,000.

Hardship Provisions

If you have assets but little or no income you are expected to rearrange your affairs to provide for yourself. In some cases that is not possible. If you are in "severe financial hardship" you may be able to get a social security payment. Different tests apply to such cases.

• Payment may be deferred when liquid assets exceed $3,000 (single) or $6,000 (couple or single with dependants).
• Hardship provisions may apply to the personal assets test.

Family Actual Means Test

• Family actual means (i.e. family spending and savings) in the year 2010-11 tax year is used where you are not independent and where one or both of your parents:
  • had an interest in a trust, private company or unlisted public company;
  • was self-employed (except as a sole trader engaged wholly or mainly in primary production) or a partner in a partnership;
  • earned in excess of A$2,500 (including tax exempt income) from a source in Norfolk Island or overseas.
  • was a wage or salary earner who claimed or will claim a tax deduction for a business loss (whether current or carried forward) that does not consist only of a passive investment loss in your partnership income tax returns;
  • had an interest in assets held in a country other than Australia in excess of A$2,500 or is migrant who first entered Australia under a business skills category (business migrant) in the last 10 years.
• In certain circumstances family actual means in the current tax year may be used.
• Where a family member receives Exceptional Circumstances Relief Payment the Family Actual Means Test does not apply.

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