Personal earnings exemptions

Clients granted Supported Living Payment as they are permanently and severely incapacitated for employment due to a health condition, injury or disability can have a personal earnings exemption.

Note a client getting Supported Living Payment (caring for a person), is not entitled to the personal earnings exemption.

Income earned from the client's personal effort (that is, work completed by the client) qualifies for a personal earnings exemption.

The following are not included as personal earnings:

Student Allowances
earnings related Superannuation
earnings related accident compensation that does not relate to the disability for which Supported Living Payment has been granted
a partner's income
other income not earned through personal effort, for example, interest from savings, dividends etc

When assessing income for Supported Living Payment, disregard:

all personal earnings of a totally blind person
up to $20 gross a week of personal earnings for all other clients, including partners, who qualify to get Supported Living Payment in their own right

The client may also be entitled to an exemption for severe disablement.

Note the personal earnings exemption applies to Supported Living Payment only. Any income that has been disregarded must be included in the assessment of any Special Benefit or Temporary Additional Support.

Example 1

Theo is getting Supported Living Payment due to a health condition, injury, or disability.

Theo works part-time and earns income of $400 gross a week.

Theo qualifies for a personal earnings exemption of $20 a week.

Weekly gross income		$400.00
Less personal earnings exemption		$20.00
Less income allowed before benefit is affected		$160.00
Equals income that will affect benefit		$220.00
Reduction is 30 cents per $1 of income over $160 up to $250 ($90 x 0.3)	$27.00
and 70 cents from every $1 of income over $250 ($130 x 0.7)	$91.00	$118.00 reduction