Calculating the emergency housing contribution using net weekly income
When a client has to pay an emergency housing contribution, MSD needs to work out how much this is. To work it out, MSD needs to calculate the client's net weekly income.
The emergency housing contribution is worked out using the higher of the:
- net weekly income calculation or
- the appropriate net rate of Jobseeker Support calculation
The contribution must be worked out using both methods and the higher amount is selected.
To work out the client's emergency housing contribution using the net weekly income calculation MSD needs to determine:
- 25% of the net weekly 'emergency housing income' of the client and their partner and
- 25% of the client's and their partner's family tax credit entitlement (if they have children)
These 2 amounts added together are referred to as the client's combined weekly income.
How to calculate net weekly income
The net weekly income calculation is the amount estimated by MSD for:
- a 7-night period, starting on the first night of the Emergency Housing Grant and
- divided by 7 and rounded to the nearest cent and
- multiplied by the number of nights of accommodation to which the contribution applies
Steps to work out the contribution using net weekly income
Step 1 | Add 25% of the net weekly emergency housing income and 25% of the weekly family tax credit entitlement together. | = $ 25% of combined weekly income |
Step2 | Divide 25% of combined weekly income by 7. | = $ net daily income |
Step 3 | Round net daily income to the nearest cent. | = $ rounded daily income |
Step 4 | Multiply the rounded daily income by the number of nights' accommodation the contribution applies for. | = $ the client's emergency housing contribution using the net weekly income for the grant. |
For more information see:
- Paying the emergency housing contribution by the date or dates determined by MSD
- Calculating the emergency housing contribution
- Net weekly emergency housing income
- Main benefit rate used to calculate the emergency housing contribution using net weekly income
- Calculating 25% of family tax credit entitlement for emergency housing contribution
- Examples of calculating the emergency housing contribution
