Review of discretionary benefit when child turns 18

When a parent or caregiver gets a discretionary benefit and their dependent child turns 18, they must complete a review of circumstances. The purpose of this review is to:

• confirm if the child will be continuing in education and if they are not financially independent and
• determine if the parent or caregiver still meets the qualifications for the discretionary benefit and
• review the rate of discretionary benefit payable

The parent or caregiver must complete the review of circumstances before the child's 18th birthday, or the benefit will suspend from the start of the pay period following the child's 18th birthday.

If the parent or caregiver responds to the notice and the 18-year-old can continue to be included in the discretionary benefit for a limited period, they must complete another review of circumstances when the child is excluded.

This is to check if the parent or caregiver still qualifies for the discretionary benefit and review the rate of payment.

If the parent or caregiver does not complete their review, their benefit will suspend from the start of the pay period following the date the child is excluded.

If a parent or caregiver has recently confirmed their circumstances, such as a Mandatory Review or 26-week reapplication for Jobseeker Support, MSD may use this information if it is satisfied that there is enough information to complete the review of circumstances for their discretionary benefit. To be considered recent, the parent or caregiver must generally have confirmed their circumstances within 13 weeks before the child's 18th birthday or the date the child is excluded from the benefit.

Note the parent or caregiver must always respond to the notice to confirm the child's details before the child's 18th birthday or the discretionary benefit will suspend.

Example

Jonny is getting Emergency Benefit paid at the Supported Living Payment sole parent rate. He is permanently and severely restricted in his capacity to work due to his health condition, but he does not meet the residency criteria for Supported Living Payment and is unable to earn a sufficient livelihood.

Jonny's oldest child Luke is turning 18 on 4 August 2027. Jonny responds to the notice and advises that Luke is still financially dependent on him and will finish school on 3 December 2027.

Jonny must also complete a review of his Emergency Benefit to check he continues to qualify and the rate payable. MSD reviews Jonny's information and sees that he completed his Mandatory Review for Emergency Benefit on 17 June 2027.

Because the Mandatory Review was completed recently, MSD uses the information from the Mandatory Review to determine Jonny qualifies for Emergency Benefit and the rate payable. MSD continues Emergency Benefit until 6 December 2027 (the start of the pay period following the date Luke is no longer enrolled in school).

Jonny must complete another review of circumstances before 6 December to check if he continues to qualify and the rate payable for his Emergency Benefit, otherwise his Emergency Benefit will suspend.