Child changes in circumstances
Any change to the circumstances of a dependent child may affect the household type or the rate of Income Related Rent, especially if it is the only dependent child included in the household.
Dependent child not living at home
If a dependent child is no longer living in the social housing property, for example, because they are attending boarding school, the rate of Income Related Rent is not reviewed unless the child is no longer considered to be dependent. The child will still be considered a dependent child if the client pays for some of the costs including school fees, pocket money, clothing or travel, and the child returns to the client for some of the school holidays.
Child turns 16
Where a child aged 16 or 17 leaves school or tertiary education, they can still be included in the household type if the child remains a dependent child.
If they become financially independent they will no longer be a dependent child and would be excluded from the household type.
Child turns 18
If a dependent child turns 18 the rate of Income Related Rent is reviewed if they are no longer considered to be dependent. The child would be excluded from the household type.
An 18-year-old child is still considered to be a dependent child for a limited period if MSD is satisfied they are:
- continuing in education and
- not financially independent
Additional child for a tenant or partner with no other dependent children
Following the birth of a child or a dependent child coming into care, the rate of Income Related Rent may need to be reviewed. The child would be included in the household type.
Note if the client or partner has other dependent children included in their care, this would not change the household type, but MSD must update the client's record and complete a review, due to the change in circumstances to check the rate of Income Related Rent is correct.
Dependent child starts work
A dependent child's income from personal earnings is not included as assessable income, providing the child still meets the definition of dependent child.
Client has other dependent children
Not all child changes in circumstances affect the household type and therefore the calculation of the rate of Income Related Rent. For example, if the tenant or their partner has three children and one leaves their care or is no longer a dependent child, this would not result in a change to the household type. MSD must update the client's record and complete a review due to the change in circumstances, to check the rate of Income Related Rent is correct.
Care and protection concerns
When a child has come into a client’s care, MSD should consider if there are any care and protection concerns.
If MSD believes any child has been, or is likely to be harmed (physically, emotionally or sexually), ill-treated, abused, neglected, deprived or MSD has concerns about the wellbeing of the child, the case must be referred to Oranga Tamariki.
MSD staff must notify Oranga Tamariki if they are aware that the child's sole caregiver has been remanded in custody and/or sentenced to a term of imprisonment.
