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Student allowance : Contents

Reassessment of parental income (RPI)

Reassessing parental income

Entitlement to Student Allowances for students who are under 24 years old with no supported children is assessed on their parents' income.

If, after the approval of a Student Allowance, but during the student's course of study, there is a reduction of at least 25% in the parents combined income, the parental income amount can be reassessed.

Note when parental income has increased a reassessment is not required.

Calculation

The parents' income must reduce by a minimum of 25% to qualify for a reassessment.

The reduction is the difference between the most recently approved parental income assessment (either the original assessment, or, if applicable, the most recently approved reassessment) and the new reduced income assessment.

A Reassessment of Parental Income application must be due to a reduction that has already occurred and cannot be based on a future date.

If the parents income reduces further, then another Reassessment of Parental Income can occur if the income decreases by at least 25%.

For more information see:

Date of new rate of Student Allowance

The new rate of Student Allowance will apply from the date the reduction in parental income occurs.

Timeframe for receiving an application

Applications for the Reassessment of Parental income must be received by the end of the period of study for which the Student Allowance has been applied for, unless special circumstances exist.

Note the use of discretion is required when determining whether special circumstances exist.

Siblings also getting a Student Allowance

When the student has one or more siblings also getting a Student Allowance with the same nominated parents, a parental income reassessment also needs to be completed for the siblings.

Legislation

Discretion is often expressed in law by the use of the word "may" as opposed to the use of "shall" or "must".

Exercising discretion involves the use of reason and judgement to make a decision within a "range" of decisions that are potentially available to the decision maker.

The extent of the discretion available to the decision maker depends on the particular provision.

Discretion involves:

Special circumstances are circumstances that are unusual and are specific to the person and/or situation and therefore would not otherwise occur.