Child leaves care suddenly
When a child stops being a dependent child of a sole parent client because of a sudden change of circumstances beyond the control of the client, payment of the benefit may continue at the existing rate for 28 days following the date the child stopped being dependent.
This is to allow a period of transition for the client to adjust to their change in circumstances.
For example when a child suddenly goes into the care of Oranga Tamariki, payment may continue for 28 days from the date the child is no longer dependent on the client.
Extra help payments that can be continued for 28 days are:
- Accommodation Supplement
- Child Disability Allowance
- Disability Allowance
- Temporary Additional Support
- Winter Energy Payment
The exception is Childcare Assistance, including Guaranteed Childcare Assistance Payment (GCAP) which must be stopped on the day after the client stopped caring for the dependent child.
During the 28 days continuation of payment, if the client has other changes of circumstances such as a change in income, the rate of main benefit and extra help will need to be reassessed.
Family tax credit and Best Start tax credit
Family tax credit and Best Start tax credit should be stopped from the start of the pay period following the date the child left care (whether planned or suddenly) to avoid an overpayment with Inland Revenue for the client.
For more information see:
Legislation
- General rule if person's entitlement to benefit ceases section 325 Social Security Act 2018
- Benefits payable to sole parent who stops caring for dependent child due to sudden and uncontrollable circumstances section 327 Social Security Act 2018
- Assistance to financially disadvantaged persons regulations made under clause 21 of Schedule 32 of 1964 Act: Schedule 1, clause 67 Social Security Act 2018
