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Ci004.0609 (Page 1 of 37) Information you need to know about your claim for Austudy (Students/Australian Apprentices) Full-time Students/Australian Apprentices aged 25 years and over Youth Allowance (Students/Australian Apprentices) Full-time Students/Australian Apprentices between 16 and 24 years Youth Allowance (Job Seekers) Job Seekers aged under 21 years Note: Some people who are working part time may be considered to be unemployed for the purposes of Youth Allowance. For more information about Austudy or Youth Allowance call Centrelink on: 13 2490 — for Students. 13 3633 — for Australian Apprentices (apprentices or trainees). 13 2850 — for Job Seekers Please keep this booklet.
Ci004.0609 (Page 2 of 37) Enquiries If you need any help or further information about Austudy or Youth Allowance – Students, please call Centrelink on13 2490 Austudy or Youth Allowance – Australian Apprentices, please call Centrelink on 13 3633 or for more information on Youth Allowance – Job Seekers, please call Centrelink on 13 2850 To speak to Centrelink in languages other than English, call 13 1202. If you need an interpreter or translator of other documents for Centrelink business, we will arrange this for you free of charge. TTY service, only for people who are deaf or have a hearing or speech impairment. An Auslan interpreter can be arranged if you need to attend an appointment at Centrelink — call TTY FREECALL™ 1800 810 586 or ask at your local Centrelink Customer Service Centre before your appointment. A TTY phone is required for this service. Calls to '13' numbers from a standard telephone service can be made from anywhere within Australia for not more than the cost of a local call (call charges may vary depending upon the telephone service provider). Calls to '1800' numbers are free of charge. Calls from public and mobile telephones may be charged at a higher rate. If you would like further information on Centrelink services and payments you can visit the Centrelink website at www.centrelink.gov.au Information in other languages
Ci004.0609 (Page 3 of 37)
Contents
Payments 4
Austudy (Students/Australian Apprentices) 4
Youth Allowance (Students, Australian Apprentices, Job Seekers) 4
Payments other than Austudy/Youth Allowance 5
Paying tax (Austudy and Youth Allowance) 5
Austudy/Youth Allowance – Students 6
Study rules 6
Income Bank 9
Fares Allowance 9
Austudy/Youth Allowance – Australian Apprentices 10
Living Away from Home Allowance (Australian Apprentices/Trainees) 10
Income Bank – Australian Apprentices 10
Austudy – Students and Australian Apprentices
Youth Allowance – Students, Australian Apprentices, Job Seekers 11
Independence (Youth Allowance) 11
Away from home rate (Youth Allowance) 12
Partner 12
Application of waiting periods 13
Australian residence requirements 13
Health Care Card/Low Income Card 13
Income and Assets 14
Parental Means Test (Youth Allowance) 14
The Family Actual Means Test (Youth Allowance) 15
The Personal Income Test (Austudy and Youth Allowance) 16
Assets Test (Austudy and Youth Allowance) 17
Reporting Income (Austudy and Youth Allowance) 17
Youth Allowance – Job Seekers 18
Work 18
Activity Test 19
About the information you give 23
Privacy and your personal information 23
Penalties 23
Terms and Conditions 24
Short Message Service (SMS) and Email 24
Secured Online Mail (Online Letters) 24
Getting others to look after your affairs for you 25
Proving your identity to Centrelink 26
Changes you must tell Centrelink about 29
If you disagree with a decision 30
Other payments, concessions and help 31
Family Tax Benefit 34
Child Support 34
Additional information 35
Youth Allowance – Mutual Obligation—Principal carer of a dependent
child under 16 and people with a partial capacity to work 35
Youth Allowance Job Seeker – Mutual Obligation—What activity can I choose? 35
More information 37
Your interview
Day Date Time Office
/ /
If you have been given an interview time, please arrive at reception on time. Otherwise a
new interview time will need to be made.
If you are asked to come in for an interview but you cannot attend, please call 13 1021
for another interview time.
If you don’t turn up to your interview, you may not get your payment.Ci004.0609 (Page 4 of 37)
Payments
Austudy (Students/Australian Apprentices)
You may get Austudy if:
• you are a full-time student aged 25 or over and undertaking an approved course at an approved
institution; or
• you are a full-time Australian Apprentice (apprentice or trainee); and
• your and/or your partner’s income and assets are below a certain amount; and
• you are an Australian resident, in Australia and not subject to the two year newly arrived residents
waiting period.
The amount of Austudy you get depends on whether you are single, have a partner and/or children, and how
much you and your partner earn. It also depends on whether you are a long-term income support student.
Youth Allowance (Students, Australian Apprentices and Job Seekers)
Minimum age – 16 years
Where the young person is above school leaving age in their State or Territory and is considered independent
(see page 12), then the minimum age for Youth Allowance is 15 years.
Special rules for under 18 year olds
Young people aged under 18 years are generally NOT considered to have reached the minimum age for
Youth Allowance if they have not completed year 12 or equivalent. However, they may qualify if they:
• are in full-time study or training; OR
• have a disability which prevents them from studying full-time and are studying part-time
• agree to enter an Activity Agreement; OR
• are a full-time Australian Apprentice (apprentice or trainee); OR
• are the principal carer of a dependent child(ren).
Young people who are temporarily unable to study or train may be granted a short term exemption from
this requirement of up to 13 weeks. However, they may still be required to enter into an Activity Agreement.
Year 12 and equivalent
Young people are eligible for an under 18 exemption from study if they are under 18 years of age and
can verify they have already completed Year 12. Completion of Year 12 is verified through any of the
following:
ACT - Year 12 Certificate;
NSW - Higher School Certificate;
NT/SA - South Australian Certificate of Education;
QLD - Senior Certificate;
TAS - Certificate of Education;
VIC - Certificate of Education; or
WA - Tertiary Entrance Examination.
In addition to these Year 12 courses, the following courses are at Year 12 level:
• courses of one year or less at TAFE colleges or higher education institutions that give the student entry
to at least one approved tertiary course (does not include the NSW Certificate in Adult Basic Education
- Year 10 level - which is at a lower level than the Certificate in General Education - Year 12 equivalent);
• tertiary orientation programs; and
• university open foundation or bridging courses.
Maximum age for Youth Allowance is:
Students/Australian Apprentices
• 25 years for full-time students or Australian Apprentice (apprentice or trainee).
NOTE: This is extended for full-time students and Australian Apprentices (apprentices or trainees) who
were in receipt of Youth Allowance immediately before turning 25 years and intend to study the same
course or intend to complete the same apprenticeship or traineeship.
Job Seekers
• 21 years for unemployed young people.Ci004.0609 (Page 5 of 37)
Payments • continued
To get Youth Allowance you must be:
• an Australian resident;
• willing to undertake, or undertaking, suitable paid employment; and
• prepared to enter into, comply or vary an existing Activity Agreement to fulfill the activity test; or
• participating in a full-time Australian Apprenticeship (apprenticeship or traineeship); or
• studying or intending to study in an approved course in an approved institution; or
• have a temporary illness or other reason which currently prevents you looking for work or studying but
you will commence looking for work or studying once you are able;
• you must NOT be working full-time or substantially involved in a business unless you are a full-time
student or an Australian Apprentice (apprentice or trainee);
• you must meet income and assets tests, including a parental means test, family actual means test
(if applicable) or a partner income test (if applicable);
• you must NOT be in prison, remand centre or similar place; and
• if you are under a home detention order or similar order, you must satisfy the activity test.
If you have a partner he or she will need to complete a separate Partner form (Mod P), unless claiming
a payment in their own right.
Parent(s)/guardian(s)
A ‘parent/guardian’ includes the natural and adoptive parent/guardian and that person’s partner who
normally lives with the parent/guardian, or a person upon whom the parent is wholly or substantially
dependent. This also includes a step–parent and a de facto partner of the parent/guardian.
Step-parent
A step-parent’s means are included if:
• the step-parent is the parent’s partner (married or de facto); and
• the step-parent lives with the parent; and
• the Youth Allowance customer’s permanent home is the same as the parent and step-parent.
NOTE: A Youth Allowance customer may occasionally live away from that home for temporary absences
while studying, looking for work etc. and still be assessed on parent/step-parent means.
A step-parent’s means are NOT included if the Youth Allowance customer has never lived and does not
intend to live in the permanent home with the step-parent.
Payments other than Austudy/Youth Allowance
If you are 21 years or over and looking for work (and NOT studying full-time) you should claim Newstart
Allowance instead of Youth Allowance.
If you are 16–24 years and NOT eligible for Youth Allowance, or are only entitled to a low rate of Youth
Allowance, your parent/guardian may be eligible for Family Tax Benefit. Ask for comparative details of
rates and other matters which will allow you and your family to select the best payment for you.
If you have a dependent child you (or your partner) may be eligible for Parenting Payment and Family Tax
Benefit.
If you are Aboriginal or Torres Strait Islander and either studying full-time or undertaking a full-time
Australian Apprenticeship, you may be entitled to claim ABSTUDY instead of Austudy or Youth Allowance.
For more information on ABSTUDY, call Centrelink on 13 2317.
Paying tax (Austudy/Youth Allowance)
There are some payments that are taxable and have to be added to other income you get during the
financial year. This could mean you have to pay tax.
If you ask us to, we can deduct tax from your payment, if it is taxable. For more information speak
to a qualified accountant or call the Australian Taxation Office.Ci004.0609 (Page 6 of 37)
Austudy/Youth Allowance – Students
Study rules
Full-time student - undertaking full-time study
For the purposes of Austudy and Youth Allowance, full-time study is defined as at least 3/4 of the standard
full-time load for tertiary students. It differs depending on whether the course is a Commonwealth supported
course (previously known as a HECS course) or a fee-paying course.
For a Commonwealth supported (previously known as HECS) course, full-time load is measured against
the standard student study load for the course. A student is considered full-time for the period that they
are undertaking study with an equivalent full-time student load (EFTSL) value of:
• 0.75 for a full year (for full year subjects); or
• 0.375 for a half year.
For a fee-paying course (or non-Commonwealth supported courses), a student is considered full-time
where:
• the institution classifies their course as full-time and they are doing at least 3/4 of the full-time load;
or
• they are undertaking an amount of study equivalent to at least 3/4 of the average amount required
to complete the course in the minimum time; or
• if neither of the first or second conditions apply, they undertake at least 15 hours face to face study
in a week (it may be a combination of lectures and formal consultations with course supervisors).
Concessional study loads
Students undertaking competency based training/open learning courses will have varied weekly hours
and the institution is best placed to determine the study load that the student is undertaking during a
period.
For secondary students, the only circumstances regarded as constituting full-time study (where full-time
study is a set amount of work accepted by the school as being full-time for any given period) are:
• attending full-time at a secondary school; or
• enrolled in and studying at least 75% of the normal full-time study load at an institution other than
a secondary school, or by correspondence/distance education.
For academic reasons the study load of a tertiary or secondary student may be reduced to two thirds
of the normal study load because of:
• the institution’s normal requirements, for example, timetable clashes, subject prerequisites have not
been satisfied because of failure or other reasons, subject stopped or over-enrolled, or reduced study
load needed to complete the course, or
• a specific direction in writing from the academic registrar or equivalent officer, or
• a recommendation in writing from the academic registrar or equivalent officer for academic or vocational
reasons, regardless of whether or not a reason is given with the recommendation.Ci004.0609 (Page 7 of 37)
Austudy/Youth Allowance – Students • continued
Concessional study load for customers with a disability (Austudy)
Customers who have a substantial physical, psychiatric or intellectual disability and are therefore NOT
capable of full-time study or of completing a course in the minimum time allowed for other students CAN
undertake at least 25% of the normal full-time study load for the course and still get Austudy. This includes
studying a course offered on a part-time basis where the study load is at least 25% or more of a
comparable full-time course.
If you would like to know more about Austudy and concessional study loads, please call Centrelink on
13 2490.
Proof of student status
Proof of enrolment will be required only if requested by a Centrelink Customer Service Adviser.
Temporarily unfit
Temporarily unfit means a temporary incapacity that is expected not to exceed 2 years. You may be eligible
to be referred for a Job Capacity Assessment.
Approved courses – Austudy
For the purposes of Austudy an approved course of education or study is one approved by the Minister
for Education, Science and Training who has the authority to approve courses and institutions.
The courses are:
• secondary courses including an accredited secondary course through a secondary school or TAFE
institution, higher education institution or special school and ESL courses, Stream 2000 courses or
preparatory courses for tertiary education;
• tertiary courses including Stream 3000 and 4000 courses;
• Open Learning courses;
• Certificate courses;
• Advanced Certificate courses;
• Bachelor Degree courses;
• Graduate Certificate courses;
• Graduate Certificate Diplomas or Degrees; or
• Master qualifying courses.
There is NO minimum duration for a course to be approved, but the length of a course may influence the
date from which a person is considered to be a full-time student.
Mainstream Master and Doctorate studies are NOT approved courses for Austudy.
A customer who is undertaking a Masters or Doctorate level course is not eligible for assistance under
any payment type other than ABSTUDY. A customer who has already completed a Masters or Doctorate
course (or the equivalent), whether in Australia or outside Australia, is not eligible for assistance under
payment types other than ABSTUDY and Youth Allowance as a job seeker.
Approved courses – Youth Allowance
For the purposes of Youth Allowance, approved courses of study include:
• traditional institution based courses; and
• courses with flexible study arrangements such as:
- competency based training;
- open learning; and
- other self-paced courses.
Mainstream Master and Doctorate studies are NOT approved courses for Youth Allowance purposes. If
you are under 21 years you may get Youth Allowance while you are doing non approved study, however,
you need to establish the study will improve your work prospects and enter into an Activity Agreement.
However, if this is the case, you would not get the benefit of the higher fortnightly income free area or
access to the Student Income Bank.Ci004.0609 (Page 8 of 37)
Austudy/Youth Allowance – Students • continued
Allowable time rules - Youth Allowance
Students need to complete a course in an allowable period of time that is based on the minimum time
it normally takes to complete the course, plus an additional allowable period of time. The following is a
summary of the various conditions that may be allowed:
• a course of one year or less, in up to twice the course duration;
• a semester based course lasting more than one year, in the minimum time plus one semester additional
time;
• a course lasting more than one year in which at least one subject in the current year is a year long
subject, in the minimum time plus one year additional time;
• honours study extends the minimum time for completing a course by one year;
• previous part-time study is taken into account on a pro-rata basis;
• time allowed for completing a self-paced course is the same as would be allowed for completing the
course by conventional full-time study; and
• in exceptional circumstances some students may be granted an extension to their allowable time.
Such circumstances include illness, family trauma, natural disaster, relocation and caring responsibilities.
If you do not complete the course within these time limits, are under 21 years, wish to continue with
full-time study and Centrelink agrees to you undertaking this activity, you will be required to enter into
an Activity Agreement. However, you will not be regarded as a full-time student for Youth Allowance purposes
and you will not receive the associated benefits of a full-time student such as eligibility for the Student
Income Bank.
External students are strongly advised to check with Centrelink:
a) that your annual work load is full-time and complies with the Austudy/Youth Allowance study load
rules
b) that adequate progress is being made throughout the year so that you cannot be deemed on the basis
of progress to be undertaking less than a full-time load.
Failure to have or to complete a full-time study load will result in the raising of a debt.
Study at the same level/additional full-time course - Youth Allowance
There is no limit on the number of courses a customer can undertake at the same level and retain full-
time status. However, students need to complete a course in an allowable period of time that is based
on the minimum time it normally takes to complete the course, plus an additional allowable period of
time.
Progress rules - Austudy
For secondary students studying at:
• secondary school, they must be in full-time study and complete a set amount of work accepted by
the school as being full-time for any given period; and
• an institution other than a secondary school or by correspondence or distance education, they must
be studying at least 75% of the normal full-time study load for the course in which they are enrolled.
Customers will NOT usually be considered a full-time secondary student for Austudy purposes while
attempting Year 12 for a third time.
The progress of tertiary students is measured against the minimum amount of time it would normally
take to complete a course either full-time or part-time as appropriate. Study in courses at the same level
are all measured against the same allowable time. Allowable time is measured against the minimum time
of a tertiary course CURRENTLY being studied. Time already spent in study at the SAME LEVEL is then
deducted from this limit to determine whether the customer is still undertaking qualifying study.
As a general rule, where the minimum time to complete the course is:
• one year or less then the allowable time is the minimum time of the course;
• more than one year and all the subjects are semester based, the allowable time is the minimum time
of the course plus half a year; and
• more than one year and at least one of the subjects in the current year is year based, the allowable
time is the minimum time of the course plus one year.Ci004.0609 (Page 9 of 37)
Austudy/Youth Allowance – Students • continued
For secondary and tertiary students with disabilities different rules apply. Customers with a disability
who are tertiary students and undertaking 25% of a full-time study load can get Austudy as a
full-time student up to four times the normal duration of a full-time course.
External students are strongly advised to check with Centrelink:
a) that your annual study load is full-time and complies with the Austudy/Youth Allowance rules
b) that adequate progress is being made throughout the year so that you cannot be deemed on the
basis of progress to be undertaking less than a full-time load.
Failure to have or to complete a full-time study load will result in the raising of a debt.
Income Bank – Student
If you are a student and earn money from paid work for a short time, for example in the Christmas holidays,
Income Bank helps you keep more of your Austudy or Youth Allowance. Under Income Bank you can earn
up to $236.00 a fortnight before your Centrelink payment starts to go down. If you earn less than this,
the balance up to the $236.00 is ‘deposited’ into the Income Bank for times when you earn more than
this in a fortnight.
If you previously had an Income Bank balance within the last 12 months the unused portion can be
transferred into working credits, up to a maximum of 1000 credits.
Fares Allowance
Tertiary students, who are not considered independent, and are receiving the ‘away from home rate’, a
married student living away from his/her spouse, or a single principal carer living away from his/her
child(ren), may be eligible for a Fares Allowance.
Students receiving Austudy or Youth Allowance for at least six months may be entitled to two return trips
a year. This includes a single trip to begin a course and a single trip home at the end of the year, as well
as one return trip during the year. Students in receipt of Austudy or Youth Allowance for less than six
months, may be entitled to a single trip to begin a course and a single trip home.
Students studying by distance education (correspondence), may receive one return trip a year to attend
a compulsory residential component of their course.
Centrelink will generally reimburse students at the rate of the least expensive, practical form of public
transport. Where travelling time is excessive, students may be paid for air fares.
Reimbursement for travel by car will be considered but, if public transport was available, students will
be reimbursed at the public transport rate.
Application forms for Fares Allowance are available on www.centrelink.gov.au, from Centrelink offices
or you can call 13 2490 to request a copy. These applications must be received by Centrelink before
1 April of the year following the year of study.
Pre-booked travel – In some instances, particularly for air fare, Centrelink may pre-book travel via QANTAS.
You should notify Centrelink at least two weeks before your departure to allow time for the travel to be
booked.Ci004.0609 (Page 10 of 37)
Austudy/Youth Allowance – Australian Apprentices
If you are undertaking a full-time Australian Apprenticeship (apprenticeship or traineeship), you may be
entitled to financial assistance through Austudy or Youth Allowance as an Australian Apprentice.
Part-time Australian Apprentices may be entitled to receive Youth Allowance if they combine their training
with other agreed activities.
Living Away from Home Allowance (Australian Apprentices/Trainees)
If you receive Austudy or Youth Allowance you are not able to be paid the Living Away From Home Allowance
(LAFHA) which may be available through your Australian Apprenticeship Centre. The amount of Austudy
or Youth Allowance you can receive may be more, or less, than the amount you may be eligible for under
the Living Away From Home Allowance. You should compare entitlements under the different schemes
so you can choose the one that will assist you better. It is important to consider all alternatives as you
cannot receive more than one of these payments at any one time. You can find out more about LAFHA
by visiting www.newapprenticeships.gov.au
Income Bank – Australian Apprentices
If you are an Australian Apprentice (apprentice or trainee), you have access to the Income Bank. The
Income Bank allows you to build up ‘credits’ during periods where you are earning reduced or no income.
These ‘credits’ can then be used to offset any income you earn later, allowing you to keep more of your
Austudy or Youth Allowance.
If you were receiving a payment which has working credits within the last 12 months, any unused balance
of working credits can be transferred into Income Bank, up to a maximum or 1000 credits.Austudy – Students and Australian Apprentices Ci004.0609 (Page 11 of 37)
Youth Allowance – Students, Australian Apprentices and Job Seekers
Independence (Youth Allowance)
You are considered independent if:
* Note: The employment may be • you are 25 years or older; or
either in Australia or outside • you have worked to support yourself in full-time paid employment* of at least 30 hours per week for
Australia and that suitable at least 18 months during any period of 2 years; or
documentary evidence must • you have worked to support yourself in part-time paid employment* of at least 15 hours per week
be provided to substantiate any for at least 2 years since you last left secondary school; or
such claim. • you have worked to support yourself in paid employment*, earning at least 75% of the maximum
Commonwealth Training Award payment (see table below) within an 18 month period since leaving
secondary school (a period of 18 months must have elapsed since you last left school); or
Commonwealth 75% of rate which equals Dates effective
Training Award rate minimum earnings
$23,556 $17,667 From 3 July 2005
$22,828 $17,121 From 3 July 2004 to 2 July 2005
$22,048 $16,536 From 7 July 2003 to 2 July 2004
$21,320 $15,990 From 3 July 2002 to 6 July 2003
$20,592 $15,444 From 17 August 2001 to 2 July 2002
$20,127 $15,095 From 17 August 2000 to 16 August 2001
$19,448 $14,586 From 13 August 1999 to 16 August 2000
$18,928 $14,196 From 3 July 1998 to 12 August 1999
$18,356 $13,767 From 25 June 1997 to 2 July 1998
$17,940 $13,455 From 1 January 1997 to 24 June 1997
Example: A young person would be considered independent for Youth Allowance if they last left school
in September 2001 and earned at least $15,444 over an 18 month period since leaving school. The
young person may be considered independent under this self-supporting provision for Youth Allowance
in March 2003.
• you are under 21 years of age and a job seeker and have been assessed as having a partial capacity
to work; or
• you are or have been married; or
• you are or have been living in a marriage-like relationship for 12 months or more; or
• you had been living in a marriage-like relationship for 6 months or more which ended because of the
death of your partner or because of domestic violence; or
• you have or have had a dependent child(ren); or
• your parent(s)/guardians(s) are unable to exercise parental responsibilities because they are in a
nursing home, are mentally incapacitated, cannot be located or are in prison; or
• it is unreasonable to live at home due to:
- extreme family breakdown; or
- where there is a serious risk if you continue to live in the parental home; or
- you are consistently deprived of basic necessities such as food, water, clothing, power, shelter or
sleep; or
- your health and well-being are seriously threatened by drug or alcohol abuse, criminal or illegal
activities; or
- there is violence in the home; or
- your parent(s)/guardian(s) being unable to provide a suitable home because they lack stable
accommodation; or
• you are a refugee, an orphan, or are (or have been) in State care.
NOTE: You may be required to provide proof of any claim for independence based on any of the
reasons listed above.Ci004.0609 (Page 12 of 37)
Austudy/Youth Allowance • continued
Orphan
An orphan is a person aged 15 years or older whose natural or adoptive parents are both dead.
State care
A person is in State care where they are not living with a parent, and:
• they are in the guardianship, care or custody of a court, a Minister or a Department of the Commonwealth,
State or Territory; or
• there is a current direction from a court, Minister or Department placing them in another person’s care
or custody who is not their parent; or
• they stopped being in State care as described above only because of their age.
Refugee without parents in Australia
Someone who holds a Group 1.3 entry permit (permanent resident, refugee and humanitarian) or had
one of these when they were granted Australian Citizenship, is regarded as independent for the purposes
of Youth Allowance. However, a person is not independent under this criteria if they have a parent living
in Australia or is wholly or substantially dependent on someone else on a long term basis.
Away from home rate (Youth Allowance)
The basic rate of payment for a dependent Youth Allowance customer is the ‘at home’ rate. A higher ‘away
from home’ rate is payable to those customers who are considered by Centrelink to have a need to live
away from home. A dependent customer who chooses to live away from home without an acceptable
reason would continue to be paid the at home rate.
Acceptable reasons are:
Difficult home conditions
This means your ability to study at home, undertake your Australian Apprenticeship or to improve your
employment opportunities is prevented or disrupted by extensive noise, overcrowding, chronic illness or
lack of facilities.
Geographically isolated from educational institutions or employment opportunities
This means the time it takes to travel one way from home to your Australian Apprenticeship place of
employment, post-secondary educational institution or employment opportunities by public transport is
more than one and a half hours (90 minutes) one way, or if you are the principal carer of a dependent
child(ren), 1 hour (60 minutes) one way.
Difficult to study or improve your work opportunities in your local area
It may be that it is too difficult to remain living in the parental home because it is isolated from educational
institutions and/or training and work opportunities. You will need to provide details when claiming, of your
circumstances if you feel this relates to you.
Partner
For the purposes of Austudy and Youth Allowance, a partner is a person of the opposite sex you are married
to or are living with in a marriage-like relationship.
A marriage-like relationship is determined by circumstances including:
• financial aspects of the relationship;
• nature of the household;
• social aspects of the relationship;
• any sexual relationship; and
• nature of the people’s commitment to each other.
If you have a partner they will need to complete an additional form ‘Partner Details’ (Mod P). Depending
on your circumstances your partner may be able to claim a payment in their own right. Please call Centrelink
on 13 2490 for more information.Ci004.0609 (Page 13 of 37)
Austudy/Youth Allowance • continued
Application of waiting periods
You may be qualified for payment but need to serve a waiting period, or non-payment period, before you
can be paid.
Your payment may start later if:
• you have liquid assets (for example, money in the bank or cash) worth more than $2500 (if you are
single), or $5000 (if you have a partner or child);
• you have had a lump sum compensation payment (for example, insurance payouts for damages);
• you were not born in Australia and have not lived in Australia for a total of two years;
• you were born in Australia but have not lived here for a total of two years;
• you or your partner receive a payment for leave entitlements or a redundancy payment;
• you or your partner ceased seasonal, contract or intermittent work in the 6 months prior to claiming
and earned money above a certain level from that work;
• you voluntarily left employment, or were dismissed from employment due to misconduct (this only
applies to job seekers); OR
• your course start date is after you lodge your claim.
Australian residence requirements
An Australian resident (as defined by the Social Security Act 1991) is a person who lives in Australia and
is one of the following:
• an Australian citizen; or
• the holder of a permanent visa; or
• a Special Category Visa holder (a person who arrived on a New Zealand passport) who was in Australia
on 26 February 2001 or in a limited number of other special circumstances.
NOTE: Recent migrants to Australia may be subject to a 104 weeks waiting period for some payments
from Centrelink. There are some exemptions, including refugees or the holder of certain other visas.
Check with Centrelink if you are unsure about your circumstances.
Health Care Card/Low Income Card
People in receipt of Youth Allowance, looking for full-time work will automatically qualify for a Health Care
Card.
Full-time students and Australian Apprentices (apprentices or trainees) need to provide details of their
income from all sources within the previous 8 weeks to qualify for a Low Income Card. In most cases your
eligibility for a Low Income Card will be assessed through the Austudy or Youth Allowance claim form.
However, if you are lodging an early claim for Youth Allowance (i.e. in anticipation that you will qualify
for Youth Allowance on your 16th birthday), you may be asked to lodge a Claim for a Health Care Card
(SS050) when you turn 16.
For Youth Allowance students, once your parent(s)/guardian(s) stop(s) receiving Family Tax Benefit for
you, you will no longer be covered by their Health Care Card. This means you would need to claim a Low
Income Card of your own to have access to Commonwealth concessions.
NOTE: In some states and territories transport concessions only apply to job seekers. Youth Allowance
(students) and Austudy customers may need to apply for a Student Concession Card.Ci004.0609 (Page 14 of 37)
Income and Assets
Parental Means Test (Youth Allowance)
The Parental Means Test consists of three separate parts which are the:
• Parental Income Test;
• Family Assets Test; and
• Family Actual Means Test (FAMT).
The Parental Income Test includes taxable income plus maintenance income, fringe benefits received from
employers, income from outside Australia and net passive business losses.
You may be exempt from the Parental Means Test and Family Assets Test if:
• you are considered independent for Youth Allowance purposes (see page 11); or
• your parent(s)/guardian(s) is/are:
- receiving a pension, benefit or allowance; or
- receiving an Exceptional Circumstances Relief Payment (ECRP); or
- getting ABSTUDY Living Allowance and is a single parent; or
- getting ABSTUDY Living Allowance and have a partner who is also getting ABSTUDY Living Allowance;
or
- holder(s) of a current Low Income Card (LIC).
See page 32 under Exceptional Circumstances Relief Payment for FAMT exemptions.
Proof of income: Usually the production of an Income Tax Notice of Assessment is sufficient proof of
income. However, where such a notice has not been issued or is not available, you should discuss the
matter with Centrelink. You may be able to verify your income by providing a full tax return and payment
summaries/group certificates, or a letter from employer(s) on employer(s)’ letterhead.
The Base Tax Year
Information provided in the Youth Allowance claim form should be in respect of the base tax year.
The base tax year for a Youth Allowance payment period is the tax (financial) year that ended on 30 June
in the calendar year prior to the calendar year in which the Youth Allowance is to be paid.
A Current Tax Year Assessment
An assessment can be based on the current tax year where there has been a substantial decrease in
parental income that is likely to continue for more than 2 years. You will need to apply for a current tax
year assessment for this reason and documentation is usually required. Estimates of income may be
acceptable until a Tax Notice of Assessment is available.
Where the parent(s)/guardian(s) are in the Family Actual Means Test (FAMT) category a current FAMT
application will also be required.
A Current Tax Year Assessment is also applied where parental income for the financial year immediately
following the base tax year exceeds the base tax year income by more than 25%. This assessment applies
from 1 October.
Refer to the appropriate year of payment listed below to ascertain the appropriate tax year:
The year of payment The appropriate Base Tax Year The appropriate Current Tax Year
(calendar year) (1 July to 30 June) (1 July to 30 June)
2006 2004 – 2005 2005 – 2006
2007 2005 – 2006 2006 – 2007
2008 2006 – 2007 2007 – 2008
2009 2007 – 2008 2008 – 2009Ci004.0609 (Page 15 of 37)
Income and Assets • continued
The Family Actual Means Test (Youth Allowance)
While tests of income and assets are in most cases sufficient to determine a customer’s level of need,
there are times when taxable income alone may not be a reliable indicator.
The Family Actual Means Test (FAMT) is applied to those people whose taxable income may not provide
a good indication of their need for Youth Allowance and determines the actual financial position of families
in certain designated categories by measuring their ‘actual means’, that is, what they spend and save in
a particular period.
The FAMT does not apply to:
• Youth Allowance customers who are independent; and
• families in receipt of Exceptional Circumstances Relief Payment.
The actual means of all ‘family members’ (living in the family home) existing in the year in which the
Youth Allowance is payable are assessed for the financial year being used for the assessment.
A customer’s ‘family’ members are:
• the Youth Allowance customer;
• the parent(s)/guardian(s) whose income and assets are being taken into account under the Youth
Allowance parental income and family assets tests;
• any dependent children in the family under 16 years of age; and
• any dependent children in the family aged 16–24 years who do not meet the independence criteria
for Youth Allowance.
Fringe benefits
Where the total value of employer provided benefits (fringe benefits) received from an employer during
the appropriate tax year is greater than $1,000, it is counted as income under the Parental Income Test.
An employer provided benefit (fringe benefit) is any right, privilege, service, in-kind payment or facility
that an employee receives, or assigns to someone else, from their employment. Generally this includes
the voluntary deferment of an entitlement to a benefit or income which is termed a salary sacrifice
arrangement. However, where it involves a salary sacrifice for superannuation purposes it is only included
where the person is of Age Pension age. Employers are now required to include the total amount of any
employer provided benefits on Payment Summary/Group Certificates where the amount is greater than
$1,000, in accordance with a formula supplied by the Australian Taxation Office. Additional details may
be obtained from Centrelink.
The amount the customer’s parents must tell Centrelink is the total of all gross amounts of fringe benefits
that are shown in their Payment Summary(s)/Group Certificate(s) for taxation purposes.
Net passive business losses (NPBL)
NPBL include net losses from rental property (negative gearing) and non-property passive income
investments such as shares. The value of such losses is added back to income for Youth Allowance.
A passive income earning investment is an investment in which a parent is usually engaged for less than
17.5 hours per week (on average) working on that investment.
Maintenance
Maintenance income received is included in combined parental income for the Youth Allowance parental
income test. All amounts of maintenance received by either parent for the upkeep of any child in care
are included, as is spousal maintenance.
Maintenance paid out is deducted from combined parental income for the Youth Allowance parental
income test. Any amounts of maintenance paid out for the upkeep of a child are deducted, as is spousal
maintenance.Ci004.0609 (Page 16 of 37)
Income and Assets • continued
The Personal Income Test (Austudy and Youth Allowance)
Income includes money received from employment and money deemed to be earned from investments.
It also includes money from outside Australia.
Proof of income: You may be able to verify your income by providing a full tax return and payment
summaries/group certificates, or a letter from employer(s) on employer(s)’ letterhead.
Your income may include:
• gross income from earnings (i.e. earnings before tax);
• *certain scholarships and bursaries (including Long Tan bursary);
• fringe benefits;
• sick or holiday pay;
• sick or accident insurance;
• compensation;
• net income from business, including farms;
• gifts or allowances (including an allotment or a dependant’s allowance) of a regular nature;
• superannuation;
• retiring allowance or similar payments for long service leave;
• loans or bonds;
• an annuity or income from a deceased estate;
• income from rent, boarders or lodgers;
• pension from outside Australia;
• war pension (disability pension);
• government assistance; and
• deemed* income.
* Deeming assumes that bank accounts and other financial investments are earning a certain amount
regardless of the income they are actually earning - deemed income can include money from financial
investments such as:
– bank, building societies and credit union accounts
– loans and debentures
– shares and securities
– managed investments
Income does NOT include:
• Family Tax Benefit;
• Commonwealth Trade Learning Scholarships;
• *certain other scholarships;
• health insurance benefits; or
• pay and allowances received by Defence Force reservists (Army, Navy and Air Force) other than pay
and allowances in respect of full-time continuous service.
*NOTE: Scholarship payments are treated as income unless otherwise excluded. The following table
describes the different types of scholarships.
Type of scholarship Treatment of scholarship as income
Paid directly to the scholarship recipient or to Treated as income.
a third party (e.g. an education institution) in Except for Commonwealth Learning Scholarships.
respect of a student.
Scholarship that waives or reduces fees Treated as income.
Except for scholarships offered by higher education
institutions that grant full exemption from fees,
contribution amounts and/or student contribution
payment charges or the amount of a scholarship that
partly or fully waives tuition fees or course charges.
Certain scholarships awarded outside Australia have been exempted from the income test by the Minister
for Families, Community Services and Indigenous Affairs.Ci004.0609 (Page 17 of 37)
Income and Assets • continued
Assets Test (Austudy and Youth Allowance)
Youth Allowance customers who are dependent are subject to the Family Assets Test. Austudy customers
and Youth Allowance independent customers are subject to Personal Assets Test.
For the Family Assets Test, 75% of the value of a person’s interest in farm and business assets will be
disregarded.
Working out your payment based on your income and assets is more complicated if you have an interest
in a farm, a business, a trust or company, or if you own your real estate in Australia or outside Australia.
You (or your partner) may also need to fill in other forms.
We use the current market value not the replacement cost or the insurance value of your assets.
Generally, any debt owing on an asset is deducted from the value of the asset.
Current market value means money you would get if you sold the asset.
Your assets may include:
• home contents (excluding fixtures like wall to wall carpets or wall heaters);
• cars, boats, motor bikes, trailers;
• caravans (unless it is where you live);
• real estate other than your home, such as rental properties, farm, second homes, holiday houses;
• financial investments (including money in bank, building society or credit union accounts, term deposits,
debentures, bonds, managed investments and shares);
• market value of investments (including the surrender value of any life insurance policies);
• loans you have made to other people, family trusts and companies;
• value of your business;
• an interest in a trust or private company; or
• jewellery, antiques and other collectables.
Assets do NOT include:
• the principal family home whether personally owned outright or subject to a mortgage or if owned
by a family business, partnership or family trust, and special aids for people with a disability;
• some income stream products;
• cemetery plots; or
• pre-paid funeral expenses.
If you think your assets are over the assets limit, you may still qualify for payment under Asset Hardship
Provisions.
If you are unsure about what counts as an asset, call Centrelink on 13 2490.
Reporting Income (Austudy and Youth Allowance)
You are required to report the details of any income that you earn while receiving Austudy or Youth
Allowance payment. If you do not report your earnings you risk incurring a debt which will need to be
repaid and may also incur an additional recovery fee.
Centrelink has introduced a range of Self Service options to make reporting income from earnings easier
and more convenient for many eligible customers. Self Service reporting can be done online or by
telephone. Once you are receiving payment you can visit the Centrelink web site at www.centrelink.gov.au
(click on Online Services) or call 13 2490 to find out more about the Self Service options.Ci004.0609 (Page 18 of 37)
Youth Allowance – Job Seekers
Work
Full-time work
Full-time work is considered to be 35 hours or more of suitable paid work per week.
Part-time work
Part-time work is considered to be less than 35 hours of paid work per week.
Looking for work
You must be able to demonstrate you are actively looking for suitable paid employment for the entire
period, unless you are otherwise meeting activity test requirements while you are claiming a payment
from Centrelink. Looking for work includes:
• actively looking for suitable paid work including full-time, part-time and casual work
• applying for jobs/attending job interviews - up to 10 per fortnight may be required (you may be issued
with a Job Seeker Diary at your appointment to help you record your efforts in looking for work)
• filling out your Job Seeker Diary when required
• being willing to undertake any work you are able to do not just the type of work you usually do
• attending ALL appointments when requested.
At your interview you will need to show what you have been doing to obtain suitable paid employment.
Centrelink will discuss and agree with you what you need to do to satisfy your ongoing obligations.
Centrelink is the gateway to a network of employment and referral services called the Job Network. The
Job Network is made up of government, community and private organisations. While in receipt of a
Centrelink payment the Job Network will help you find work.
Combining looking for work and study
If you are studying part-time you may also need to search for work and/or undertake other activities.
Some people will need extra help to update skills before they can find sustainable employment. Others
will consider longer term prospects in terms of career goals and will want to consider a return to full-time
study either vocational or tertiary to achieve these goals. If you need more information about full-time
study or are not sure if you fall into the full-time student status, call Centrelink on 13 2490.
You may be able to participate in approved activities such as Work for the Dole, or Job Placement,
Employment and Training (JPET), do some voluntary work, combine jobsearch with part-time study and
still get Youth Allowance. Participation in education and training can assist job seekers on the pathway
to work.
Mutual Obligation for people 18 and over
Mutual Obligation means that when you have been receiving income support for six months you are
asked to meet additional activity test requirements while you continue to look for work.
This could mean doing a course, working part-time, taking part in Work for the Dole or another activity
to improve your chances of getting a job. It's all based on putting something back into the community
in return for your payments.
As long as you take part in your activity/activities for the required time and keep looking for work, you
will meet your Mutual Obligation requirement.
When the time comes for you to start your Mutual Obligation activity, Centrelink will write to you. You will
be required to attend an interview to discuss your chosen Mutual Obligation activity.
Principal carers and those assessed as having a partial capacity to work who are meeting their activity
test by working at least 15 hours per week do not have a Mutual Obligation.
For more information see page 34 of this booklet, or ask at your local Centrelink Customer Service
Centre.Ci004.0609 (Page 19 of 37)
Youth Allowance – Job Seekers • continued
Working Credit
If you are not a student, Working Credit can assist you to take up work by allowing you to:
• keep more of your Centrelink payment if you start full-time, part-time or casual work;
• keep some extra benefits (for up to 12 weeks) if you are working and not getting any payment from
Centrelink; or
• get your payments and benefits back if a short term job ends.
More information on how Working Credit can help you is available from Centrelink.
If you are a student please refer to Income Bank on page 9 of this booklet.
Activity Test
Activity Test means you must:
• be actively looking for suitable paid work or be participating in activities that will improve your chances
of finding work; and
• be willing to take any job that you are capable of doing including full-time, part-time and casual
jobs; and
• agree to requests to take suitable paid work or to go on approved training courses.
What is suitable paid work?
It is any work that you can do. You must not restrict your efforts to only a few employers or to industries
where you prefer to work. You are required to apply for any work you are capable of doing.
Filling in your application for payment
• While you are receiving Youth Allowance as a job seeker you must fill in an ‘Application for Payment’
form and take it to Centrelink each fortnight. Centrelink will advise you if you can lodge your forms
less often or via a different lodgement channel, this will depend on your circumstances.
• When completing your form you must provide full details of the employers you have approached.
Make sure you include the employer’s name, phone number and type of work you applied for.
• You need to tell us about any work that you (or your partner) have done in the fortnight and the
amount of income you have earned. You can attach your payslips or use the ‘Income Record’ form to
help you do this.
• Centrelink may check the information you provide including contacting the employers you have
nominated.
• You must return your completed form on time to make sure you get paid. If you have trouble lodging
your form on the day it’s due talk to Centrelink and we may be able to change your lodgement day.
Job Seeker Package
This package includes both a ‘Job Seeker Diary’ (for people aged 18–54 years) and ‘The Job Seeker
Guide’ to job search.
The Job Seeker Diary, when issued, must be used to record all your efforts to find work. For every job
you apply for you must give details of the following:
• name, address and phone number of the employer;
• name of the person you contacted; and
• how you applied for the job.
You will be advised of the date you will be required to return the Job Seeker Diary to Centrelink and
your efforts to find work may be verified. If you don’t return the Job Seeker Diary on the required date,
without a valid reason, your payments may be stopped. If your payments are regranted you may not be
entitled to back payment. You may also incur a participation failure.
The Guide is yours to keep. It has been included in the package to help you find work. It includes tips
on job hunting, interview techniques and preparing your resumé. The Guide also includes pages for you
to make notes. These notes could include action you feel you need to take to follow up on your
continuing job search activities or ideas you think may help you in your future job search.Ci004.0609 (Page 20 of 37)
Youth Allowance – Job Seekers • continued
Doing other activities to improve your chances of getting a job
Have you considered doing a training course, voluntary work or developing your own business?
There are some real benefits in doing these activities:
• you can develop contacts which may lead to paid work;
• gain valuable work experience;
• obtain a reference;
• update your skills; and
• help the community.
You can do these activities part-time (15 hours or more per week) while you look for paid work and
lodge your ‘Application for Payment’ form.
You can be approved to do an activity for a maximum period of 12 months but most are often for
shorter times. Some of these activities can be counted as part of your activity test/participation
requirements. Check with Centrelink first and they will provide you with more information.
Activity Agreements
You will be required to negotiate and sign an Activity Agreement in order to receive Youth Allowance. The
Agreement may include:
• job search requirements;
• referrals to Job Network members;
• referrals to specialist assistance; and
• a list of activities that you agree to undertake now or in the future to improve your chances of
finding work.
The agreement is designed to ensure you clearly understand what you need to do to continue to receive
payment. It provides a plan of action and tailored solutions to your individual circumstances.
Principal carer of dependent child(ren) under 16
If you are a Youth Allowance (Job Seeker) customer and the principal carer of a dependent child(ren)
under 16 you must either be:
• working in suitable paid employment for at least 15 hours per week, or
• actively looking for suitable paid employment of 15 hours or more per week, and/or
• actively participating in an approved activity.
People assessed as having a partial capacity to work
If you are a Youth Allowance (Job Seeker) customer with a permanent disability that prevents you from
working full-time, you must either be:
• working in suitable paid employment for at least 15 hours per week, or
• actively looking for suitable paid employment of 15 hours or more per week, and/or
• actively participating in an approved activity.
Special circumstances
If you think there are special circumstances which stop you from looking for work you should contact
Centrelink. You may be exempted from activity test/participation requirements (such as looking for
work) for a short period.
You will be required to provide evidence of any special circumstances (e.g. a medical certificate).Ci004.0609 (Page 21 of 37)
Youth Allowance – Job Seekers • continued
Participation Requirements — Exemptions
If you are the principal carer of a child(ren) under 16 you may qualify for an exemption from active
participation requirements.
If you are a single parent, receiving Youth Allowance, and are a registered and active foster carer, home
educator, distance educator or have a large family, you will receive a higher rate of allowance, which is
equivalent to the Parenting Payment (single) rate. There are a number of temporary exemptions for special
family circumstances, from active participation requirements, which may be available to you as a parent,
no matter which payment you receive.
Centrelink will discuss your participation requirements and individual family circumstances with you when
negotiating your participation requirements and Activity Agreement.
Thinking of moving? Have you moved recently?
If you move to a new location and your job opportunities are reduced your Youth Allowance may be
stopped. You may then have to wait up to 26 weeks from when you move before you can get payment.
Centrelink will not impose this 26 weeks non-payment period if you move:
• to a location where Centrelink considers you have not reduced your job opportunities;
• to take up a definite job offer;
• to live with or near immediate family; or
• where a doctor recommends you or a member of your immediate family move for health reasons.
Remember it is important that you check with Centrelink before you move.
Declaring income from work
You will need to tell us on your ‘Application for Payment’ form about any work that you (or your partner)
have done in the period covered by your ‘Application for Payment’ form.
Remember, if you don’t tell Centrelink about income you have earned, or provide false or misleading
information about this income, you may be overpaid. In addition to repaying this debt, you may also have
to pay an additional recovery fee.
You will need to tell us about:
• the dates you (or your partner) worked;
• the number of hours you (or your partner) worked;
• how much you (or your partner) earned (before tax), even if you have not been paid; and
• business related expenses if you work for yourself.
If you receive payslips please attach them to your ‘Application for Payment’ form.
You must declare your earnings fortnightly to Centrelink.
To help you keep track of your earnings you can also ask for an ‘Income Record’ form.
Employer Contact Certificates
‘Employer Contact Certificates’ are used to promote active job search and to confirm that you are
looking for work. The certificates may be given to you at any time while you are in receipt of Youth
Allowance or Newstart Allowance as a job seeker. They should be completed and returned by the
required date.
If you do not return the ‘Employer Contact Certificates’ on the required date, without a valid reason, your
payments may be stopped. If your payments are regranted you may not be entitiled to back payment.
You may also incur a participation failure.You can also read
