Cancellation of qualifying benefit

If the client's main qualifying benefit is cancelled, they no longer meet the qualification for Training Incentive Allowance. Training Incentive Allowance must stop from the same date as the client's main qualifying benefit stops.

You will not need to establish an overpayment for any Training Incentive Allowance already paid as lump sum or weekly amount while the client was getting a qualifying benefit (unless the client did not qualify to get the payment during this period).

If the client transfers to another qualifying benefit Training Incentive Allowance may continue. You will need to:

• Review the client's course costs

Clients who fail or fail to complete a course are not required to repay the Training Incentive Allowance. This is because Training Incentive Allowance is based on actual and reasonable costs that the client incurs.

The client is not required to repay the Training Incentive Allowance. However, they may not be able to access the Training Incentive Allowance for 5 years if they do not have a good and sufficient reason for not completing or failing the course. 

If a lump-sum payment has been made for course fees or any additional course-related costs the client must request a refund from the Course Provider (or equivalent supplier).

If the Course Provider (or equivalent supplier) provides a refund, or a partial refund, this must be repaid to the Ministry of Social Development to offset the amount paid as a lump sum through the Training Incentive Allowance.

Note if a client has died a refund is not required.