Examples of income assessment
Example 1
A married client is getting Jobseeker Support Student Hardship and their partner works for 2 weeks earning $190.53 gross in the first week and $850.00 gross in the second week.
To work out the income deduction:
Week 1 | Week 2 | |
Gross income (excluding cents) | $190.00 | $850.00 |
Less income allowed before benefit is affected | $160.00 | $160.00 |
Equals income | $30.00 | $690.00 |
Income over $160 reduces benefit by 70 cents per $1.00 | $30 x 0.7 | $690 x 0.7 |
Amount benefit reduced on account of income | $21.00 | $483.00 |
To work out the benefit rate payable:
Maximum benefit (net as at 1 July 2021) | $453.62 | $453.62 |
Less reduction due to income | $21.00 | $483.00 |
Benefit rate payable | $432.62 | $NIL |
Example 2
A client is getting Jobseeker Support Student Hardship at the half married, civil union or de facto rate as their partner has a voluntary unemployment stand-down imposed. The client is also working and earning $190.43 gross a week on a regular basis.
To work out the income deduction:
Gross income (excluding cents) | $190.00 |
Less income allowed before benefit is affected | $160.00 |
Equals income | $30.00 |
Income over $160 reduces benefit by 35 cents per $1.00 | $30 x 0.35 |
Amount benefit reduced on account of income | $10.50 |
To work out the benefit rate payable:
Maximum net benefit (as at 1 July 2021) | $226.81 |
Less reduction due to income | $10.50 |
Benefit rate payable | $216.31 |
Example 3
A sole parent getting Jobseeker Support Student Hardship is working and earning $190 gross per week.
To work out the income deduction:
Gross income (excluding cents) | $190.00 |
Less income allowed before benefit is affected | $160.00 |
Equals income | $30.00 |
Income over $160 reduces benefit by 30 cents per $1.00, and 70 cents per $1.00 over $250 | $30 x 0.30 |
Amount benefit reduced on account of income | $9.00 |
To work out the benefit payable:
Maximum net benefit (as at 1 July 2021) | $406.78 |
Less reduction due to income | $9.00 |
Benefit rate payable | $397.78 |
Income may be charged on a weekly or annual basis.
For more information see:
Legislation
- Jobseeker support rates schedule 4, part 1 Social Security Act 2018
- Calculation of income clauses 11-14, part 3, schedule 3 Social Security Act 2018
