Removing incentive payments

Incentive payments should be removed when the young person:

• is subject to a grade 1, 2 or 3 sanction
• is in hospital for longer than 13 weeks and they are receiving the hospital rate of payment
• moves from Young Parent Payment to Youth Payment because they no longer have a dependent child (Parent education incentive only)
• moves from Young Parent Payment onto a main benefit
• has intentionally acted in a way that is inconsistent with the purpose of the incentives

Note young people can continue to receive their incentive payments once they are earned if they are granted an exemption from their obligations, unless the reason the exemption is needed is because they have acted in a way that is inconsistent with the purpose of the incentive.

For more information see:

• Examples of actions inconsistent with purpose
• Incentive payments can continue
• Restoring incentive payments