Example of annual review periods
Example 1
Insufficient information to calculate a correct rate
Jason was sent his annual review form on 14 April 2023, 5 weeks before his next scheduled review date of 19 May 2023.
Jason currently pays Income Related Rent calculated at $150 per week and is paying rent to Kāinga Ora weekly on a Thursday (the rent charge date). The market rent rate for the property is $220 per week.
Jason does not return his annual review form and MSD does not have any other recent information to verify his circumstances as there has been no contact since the last annual review, when the rent remained unchanged.
MSD notifies the housing provider that Jason should be charged rent at the rate equal to the market rent rate for the property. Jason continues to not contact MSD.
Week 1 | Week 3 - Week 5 | Week 6 - Week 7 | Week 8 - Week 16 | Week 17 | ||
14 April 2023 | 28 April 2023 | 19 May 2023 | 20 May 2023 | 22 May 2023 | 24 July 2023 | 31 July 2023 |
MSD sends initial notice to client to complete the annual review. | MSD sends a reminder notice to client to complete the annual review. | Next scheduled review date - review completed. | MSD notifies housing provider that client should be charged rent at the market rent rate. Housing provider notifies the tenant of the change to their rent and the date that the new rate will apply from as soon as possible. | Housing provider issues notice of change to rent amount. | End of the 60-day notice period calculated by CMS. The new rent takes effect from the earliest rent effective date. | The earliest rent effective date is the Thursday following the 60-day notice period |
| CMS will calculate the 60-day period (+ service period + 1 system day) as 19 May 2023 to 24 July 2023. | |||||
Example 2
Sufficient information to calculate a correct rate, increase the rate of Income Related Rent
Richard was sent his annual review form on 8 July 2023, 5 weeks before his next scheduled review date of 12 August 2023.
Richard currently has a rate of Income Related Rent calculated at $89 per week and is paying rent to a community housing provider weekly on a Wednesday (the rent charge date).
Richard returns his annual review forms on 27 July 2023 and advises his partner will be starting work on the 3 August 2023.
MSD completes the annual review with no change to the rate of Income Related Rent. The information from the future change is recorded.
The Income Related Rent is reassessed as $133 when the change is determined to be permanent at the appropriate 8-weekly anniversary of the tenancy start.
Week 1 | Week 3 | Week 4 | Week 6 | Week 14 | Week 22-23 | |
8 July 2023 | 27 July 2023 | 3 August 2023 | 12 August 2023 | 7 October 2023 | 8 December 2023 | 9 December 2023 |
MSD send initial notice to client to complete the annual review. | Annual review forms returned with information on a future change in circumstances - review completed (no change to Income Related Rent). | Partner starts work | 8-weekly anniversary of the tenancy start. Income Related Rent is not reviewed as there has not been a permanent change in circumstances - the income change from week 4 has not lasted for 8 weeks or more. | Next 8-weekly anniversary of the tenancy start. MSD determines that the increase in income since 3 August 2023 is a permanent change, and reviews the client's Income Related Rent. Housing provider notifies the tenant of the change to their rent and the date that the new rate will apply from as soon as possible. | End of 61-day period calculated by CMS. The new rent takes effect from the earliest rent effective date | The earliest rent effective date is the Wednesday following the 61-day period. |
CMS will calculate the 61-day period (+ 1 system day) as 7 October 2023 to 8 December 2023. | ||||||
Example 3
Sufficient information to calculate a correct rate, increase the rate of Income Related Rent
Kerry was sent her annual review form on 4 August 2023, 5 weeks before her next scheduled review date of 8 September 2015.
Kerry is paying rent to a community housing provider weekly on a Wednesday (the rent charge date) and her rent has not changed since the tenancy started over a year ago.
Kerry returns her annual review forms on 17 August 2023. She has had no changes to her circumstances, but her Supported Living Payment has increased due to the annual general adjustment.
MSD completes the annual review and activates an increase of the rate of Income Related Rent from the date they process the annual review.
Week 1 | Week 3 | Week 4 - Week 12 | Week 13 | ||
4 August 2023 | 17 August 2023 | 20 August 2023 | 21 August 2023 | 25 October 2023 | 28 October 2023 |
MSD send initial notice to client to complete the annual review | Annual review forms returned | Annual review forms processed - review completed | Housing provider notified by MSD the rate of the Income Related Rent will increase due to an annual review, and the date of processing of the annual review. The housing provider notifies the tenant of the change to their rent and the date the new rate will apply from as soon as possible after the 60-day notice period. | End of the 60-day notice period calculated by CMS. The new rent takes effect from the next rent effective date. | The next rent effective date is the Wednesday following the 60-day notice period |
CMS will calculate the 60-day period (+ service period + 1 system day) as 20 August 2023 to 25 October 2023. | |||||
