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Changes to the parental income test

parental-income-test

Q: I’ve heard there will be changes to the parental income test from July 1. What will this mean?

A: Yes, there will be changes to the way parental income affects Youth Allowance, Abstudy and Assistance for Isolated Children payments. Currently, only dependent siblings aged 16 to 21 are included in the parental income test. This will be expanded to include all siblings in your “family pool”. So you may see changes to your payment rate.

If you or a dependent child have previously claimed one of these payments and your claim was rejected due to parental income, you may now qualify if you have younger siblings. In most cases, the change will apply automatically. If we do need more information, you will have received a letter in April.

You can quickly and easily check the current details of your family pool online. If you have a Centrelink onlineaccount, you can update your family’s details at my.gov.au. The change was announced in the 2015-16 budget.

Visit the Department of Human Services website for more information.

Justin Bott, department of human services

Written by Justin Bott

Justin Bott

Justin Bott is financial information officer for the Department of Human Services.

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