Income stops

When a Young Parent Payment client advises that income has stopped you must review their Young Parent Payment and any Extra help they may be receiving, from the day after the income ceased.

You will need to determine why the income has stopped for example, a client may advise that the interest payments from their investment have ceased. You need to find out what the client has done with the money that was invested.

There is discretion to reduce or decline a benefit (or Extra help) where clients have deprived themselves of income or assets.

For more information see:

• Core Policy Definition of income
• Types of income

When a Young Parent Payment client stops work you need to decide when to commence or review their Young Parent Payment from.

You will need to find out:

• the date they ceased work
• the reason they ceased work
• final pay details (including any holiday pay, redundancy etc)

Note if the client currently getting Young Parent Payment receives any holiday pay charge the holiday pay as ongoing income over the period it represents.

Client has been earning $250 gross per week and ceases work 1 April 2026 getting $500 in holiday pay.

This is the equivalent of 2 weeks holiday pay. Continue to charge $250 per week for the period 1 April 2026 to 14 April 2026.

You can use DREW to help with this calculation.