Carer Payment (CP) and Carer Allowance (CA) carer undertakes paid employment, self employment, voluntary work, education or training activities 009-06030030
Expand allCare scenarios
From 20 March 2025, carers on CP can choose to use temporary cessation of care (respite) for the whole period they exceed 100 hours in a 4-week period, as an alternative to cancellation.
Table 1
|
Item |
Description |
|
1 |
Temporary cessation of care (respite) When a carer is in receipt of CP, they can choose to use temporary cessation of care (respite) for the hours they exceed the 100 hour work limit where Care is Not Met as an alternative to suspension or cancellation. This is not required if the carer is in a 14-week extension of CP because of a bereavement period, or the care receiver permanently entering an institution. This is a beneficial application of sections 198AC(2) and 198AC(3) allowing respite for the period exceeding 100 hours rather than applying sections 198AC(4) and 198AC(5) of the Social Security Act (SSA) 1991 which would result in the cancellation of CP. |
|
2 |
Occasional increase in hours example Tom works 24 hours per week. Tom gets an extra 9 hour shift every 12 weeks that takes the hours worked for one 4-week period over 100 hours to 105. For that 4-week period, Tom could use one day of respite as an alternative to suspension or cancellation. |
|
3 |
Irregular increase in hours example Sally's employment is ongoing. Sometimes Sally gets an extra 3 hour shift which means Sally occasionally exceeds the 100 hour work limit. The respite provisions can be applied in this case. This removes the need for Sally to claim another payment or having to re-claim CP when the employment hours go back to normal. |
|
4 |
Exceeding hours on regular basis example June will be working 29 hours per week for the next 24 weeks. As the 100 hour work limit is exceeded on an ongoing basis, June cannot use the respite provisions. Service Officers will need to assess if June can be offered the extended suspension for 26 weeks, or if CP must be cancelled. |
|
5 |
Days of respite required to maintain payment Carers who use respite to remain qualified for payment only need to use enough respite to cover the excess hours, not all hours worked. Generally, the amount of excess hours is the sum of all 'Care Not Met' hours worked in the 4-week period, less the 100 hour work limit. A difference applies when the hours exceed the limit in the first entitlement period, covered in the next scenario. If a carer:
Each day of respite can offset up to 8 hours of excess hours, or part thereof. For more details, see the Resources page > Table 6 for a list of the excess hours and respite days needed. |
|
6 |
Exceeded hours in the first entitlement period or first 2 weeks If the carer exceeds the 100 hour work limit in the first entitlement period of the 4-week activity block, then they must:
If they use respite, all hours in the second entitlement period will be in excess of the limit and must be offset. The respite previously used does not affect how many days respite are required to offset any hours in the second entitlement period. For example, in the:
The calculations for this are: Entitlement period 1: (hours worked) less (work limit) equals (excess hours) 109-100 = 9. One day of respite can offset up to 8 hours, so 2 days are required as 9 hours is more than 8 hours and 1 minute, but less than 16 hours and 0 minutes. If a respite day is used to offset less than 8 hours, the difference in hours cannot be used to offset future work hours. The full respite day is simply used. For entitlement period 2, the carer reports 17 hours worked. All 17 hours are in excess as the carer already exceeded the 100 hour work limit in entitlement period 1. As one day of respite can offset up to 8 hours, 3 respite days are required as 17 hours is more than 16 hours and 1 minute, but less than 24 hours and 0 minutes. This scenario would see a total of 5 days of respite used across the 4-week period. Respite days are applied when the carer reports fortnightly. We do not wait until the end of the Carer Payment Activity Block to assess excess hours and apply respite. |
|
7 |
Respite days required is 14 days or more If the carer works so many hours that they are in excess by more than the number of days in the period, the amount of respite days coded will be the same as the number of days in the period. If they exceeded hours in entitlement period 1, and:
|
|
8 |
Carer activities are recorded on 2 screens Staff can access these screens from the Pensions Task Selector (PTS) screen, under the heading 'CAR Activities'. They will be pre-selected within the new claim screen flow. Carer Payment Activity Details (CPAD) screen The CPAD screen records the type of activity the carer is undertaking (study, work, etc.) the name of the organisation, institution or employer. In addition, it records the number of hours per week the carer spends performing the activity and the event date. There is also an indicator to record whether the carer provides constant care for the care receiver during the activity. This is to enable these hours to be excluded from the 100 hour work limit calculation. For ongoing changes of circumstance and to enable updating of the activity details, the CPAD screen will show if new work or business income is coded on the following screens:
The Carer Payment Activity Summary (CPAS) screen The CPAS screen provides a summary view of all of the different activities as a carer may be participating in more than one type of activity concurrently. |
|
9 |
Summary of the hours reported in a 4-week block - Carer Payment Activity Block A new table has been created to help staff understand what hours the carer has used in a set 4-week period. This is known as the Carer Payment Activity Block. The table shows on the:
The details shown are based on the hours coded on the Carer Payment Activity Summary (CPAS) and Carer Payment Activity Details (CPAD) screens. As the CPAS screen does not include end dates for the hours, the hours shown for the total 4-week period will include expected hours. These may change when the carer reports in the next fortnight. The Carer Payment Activity Block will show 4 weeks of details, even if no hours have been reported for either EPED in the relevant period. For example, if a carer advised they were doing 15 hours each week in their last report, the activity block will show 15 hours for each week going forwards. As the carer reports and these hours are confirmed, the activity block will roll forward the latest report. To change which 4-week activity block shows, key a different date in the As At field. The details shown at the top of the table are cumulative for the 4-week block. Details are then shown for each of the 2 entitlement periods that make up the 4-week period. Below that are weekly details that list the employer names and each record of hours, as per CPAS. |
|
10 |
Extended suspension due to exceeding 100 hours in a 4-week period If a carer has exceeded the 100 hour work limit and does not use respite days to remain qualified, they should be considered for a suspension. The carer can enter a suspension period for their CP for 26 weeks from the EPED of the entitlement period they exceeded and did not use respite, if all of the below applies:
|
|
11 |
Carer advises in advance they will exceed 100 hours in a 4 week period If a carer advises in advance they will exceed 100 hours in a 4 week period, staff should determine if the increase in hours will be:
If the increase is temporary, staff must educate customers:
The CP can be suspended on the EPED of the entitlement period the carer advised they:
|
|
12 |
Carers operating as a family day care provider from their private home If a carer is operating a Family Day Care (FDC) from their private home, and providing constant care every day, CP can only be paid if the care provided is consistent with the care receiver's need for frequent personal care or constant supervision. A carer provides constant care or constant supervision if they personally provide care on a daily basis for a significant period, equivalent to a normal working day, during each day. If the carer provides constant care or supervision while participating in an activity, the total time that constant care or supervision is provided can be subtracted from the total time of the activity. This means a carer will remain eligible if their participation in an activity exceeds 100 hours in a 4-week period but the periods where constant care or supervision was still provided can be excluded, thus reducing the total time of the activity to less than 100 hours. The following details will help to determine if this is the case:
These provisions only apply when the carer operates a family day care for more than 100 hours in a 4-week period. While it would be extremely unusual for a carer to operate family day care for less than 100 hours in a 4-week period, it is possible if the carer only operates the family day care for 2 or 3 days per week. If the carer is not providing constant care or constant supervision while participating in an activity, the total time that care is provided cannot be subtracted from the total time of the activity. If the Service Officer:
If the carer qualifies for CP, see Income and expenses of a business for details on how the income from the family day care is assessed. |
|
13 |
Policy position - Carers operating as a Family Day Care (FDC) and crosschecking departmental Child Care Subsidy (CCS) records When assessing applications for CP where the carer is also operating as an FDC provider, Service Officers may require independent and third party verification of information before making a final determination. To determine if a carer is providing the amount of care claimed, staff can cross-check the details provided by the applicant with agency Centrelink CCS records and check if constant daily care is satisfied while they are simultaneously operating as an FDC provider. Service Officers must compare the CCS hours the CP applicant is charging to care for children as an FDC provider with the hours they are providing constant care as per their CP claim. This process will help determine whether a person qualifies for CP or not. Section 202(1) of the Social Security Act 1991provides that a person may obtain protected information if the information is obtained for the purposes of social security law. Additionally, section 202(2) relevantly provides that protected information can be recorded, used or disclosed where the recording, use or disclosure is for the purposes of the social security law. The Services Australia Legal Services Division have confirmed that use of information for this purpose is authorised under section 202(2) (d) of the Social Security (Administration) Act 1999 and that use of this information also satisfies section 6.2(b) of the Australian Privacy Principles. This process will only be used when there are concerns about the validity of the information provided by the carer regarding the number of hours the carer operates the FDC and based on this information the carer would qualify for CP, for example:
When checking the details about the age and the number of hours each CCS child is attending FDC:
If there are any concerns as to either the number of days an FDC provider operates or the hours they operate or the number of children they are caring for, reject the CP claim (or cancel CP if current) based on the information obtained from the carer. |
Other changes from 20 March 2025
Table 2
|
Item |
Description |
|
1 |
Extended suspension due to exceeding temporary cessation of care (respite) provisions When a carer is absent from caring they can remain qualified for payment as long as the absences are not for more than 63 days. In limited circumstances, additional days, or an extension can be granted. Where a carer is qualified due to short term or episodic care, they may get less days on a pro-rata basis. See Change of circumstances or absences for carer and/or care receiver. These days can only be used if the absence is temporary. If it is ongoing, suspend or cancel the payment as they are no longer providing care. The carer can enter a suspension period for 26 weeks if all the following apply:
In these circumstances, a provisional automatic cancellation will be on the Benefit Action (BA) screen and the suspension should be coded for the same date of effect. |
|
2 |
Extended suspension due to exceeding hospitalisation provisions When an adult care receiver is in hospital, and the carer is not providing enough care to meet the constant care requirements, but is still providing care, they can remain qualified for payment as long as the hospitalisation is not more than 63 days. For child care receivers, there is no limit on the days. See Change of circumstances or absences for carer and/or care receiver. These days can only be used if the absence is temporary. If it is ongoing, suspend or cancel the payment. The carer can enter a suspension period for their CP for 26 weeks if all of the following apply:
In these circumstances, a provisional automatic cancellation will be on the Benefit Action (BA) screen and the suspension should be coded for the same date of effect. |
|
3 |
Extended suspension due to payment rate reducing to nil, partly or wholly due to employment income When a carer has employment income and it reduces their CP rate to nil, the carer will be eligible for the employment nil rate period. This period keeps the CP current for 12 full fortnights. Because of Working Credits, this could also include a part fortnight. At the end of the employment nil rate period, the system will determine if the customer is eligible for the 2-year extended employment suspension due to their partner's income (if they have a partner who meets the criteria). If the carer is not eligible for the 2-year extended suspension, staff must determine if the carer is eligible for the 26 week suspension. To be eligible for the 26 week suspension, the carer must:
The 26 week suspension is backdated to the day the payment rate reduced to nil. This means the suspension is likely to be between 1 and 14 days longer than the end of the employment nil rate period. |
|
4 |
Extended suspension due to payment rate reducing to nil, partly or wholly due to self-employment income When a carer has self-employment income and it reduces their CP rate to nil, staff must determine if they are eligible for the 26 week extended suspension. To be eligible for the 26 week suspension, the carer must:
The 26 week suspension starts on the day the payment rate reduced to nil. If the carer also had employment income, they would follow the process for employment income instead. |
|
5 |
Restoration from the extended suspension period Carers can request to have their payment restored when their circumstances change. For example, if they were suspended due to working too many hours, they may request a restoration once their work hours reduce below the 100 hour work limit. To request a restoration, they must contact Services Australia by phone or in person and discuss their circumstances. Staff need to consider if the customer:
Carers are not required to provide forms or evidence to support their request for restoration, however once restored, may be required to complete CP reviews. |
Before 20 March 2025 - Carers on CP can use temporary cessation of care (respite) for the whole period they exceed 25 hours per week, rather than cancellation
Table 3
|
Item |
Description |
|
1 |
Temporary cessation of care (respite) When a carer is in receipt of CP, they can choose to use temporary cessation of care (respite) for the whole period they exceed 25 hours per week where 'Care is Not Met' as an alternative to cancellation. The Carer Programme Team have confirmed this is a beneficial application of sections 198AC(2) and 198AC(3). This allows respite for the period exceeding 25 hours instead of applying sections 198AC(4) and 198AC(5) of the Social Security Act 1991 which would result in the cancellation of CP. |
|
2 |
Example - Occasional increase in hours Tom works 20 hours per week (including travel time). Tom gets an extra shift every 4-6 weeks that takes the hours worked for one week over 25 hours. For that week Tom could use the respite provisions (a full 7 days temporary cessation of care (respite) even if the 25+ hours occurred over a 3-4 day period in that week), as an alternative to cancellation. |
|
3 |
Example - Irregular increase in hours Sally's employment is ongoing. Sometimes Sally gets an extra 3 hour shift. The respite provisions can be applied in this case. This removes the need for Sally to claim another payment and having to re-claim CP when the employment hours go back to normal. |
|
4 |
Example - Exceeding hours on regular basis June will work 29 hours including travel time for the next 12 weeks. As June exceeds the 25 hour rule on an ongoing basis, June cannot use the respite provisions before cancelling the CP. CP will be cancelled from the later of the start of the 29 hour activity or the date the Working Credit balance will reduce to nil. |
|
5 |
Carer activities are recorded on 2 screens Staff can access these screens from the Pensions Task Selector (PTS) screen, under the heading 'CAR Activities'. They will be pre-selected in the new claim screen flow. Carer Payment Activity Details (CPAD) screen The CPAD screen records the:
An indicator records if the carer provides constant care for the care receiver during the activity. This is to enable exclusion of these hours from the 25 hour calculation. For ongoing changes of circumstance and to enable updating of the activity details, the CPAD screen will show if new work or business income is coded on these screens:
The Carer Payment Activity Summary (CPAS) screen The CPAS screen provides a summary view of all activities, as a carer may participate in more than one type of activity at a time. |
|
6 |
Return to work as a full-time Australian Apprentice From 1 July 2005 ABSTUDY, Austudy or Youth Allowance (YA) is payable to carers who meet the definition of an Australian Apprentice (apprentice or trainee). If the carer is returning to work as a full-time Australian Apprentice, consider entitlement to these payments if their current income support payment will be cancelled or if it is to their financial advantage to change income support payments. Customers receiving ABSTUDY, Austudy or YA as an Australian Apprentice are subject to the same income and assets tests that apply to students. |
|
7 |
Carers operating as a family day care provider from their private home If a carer operates a Family Day Care (FDC) from their private home, and provides constant care every day, CP can only be paid if the care provided is consistent with the care receiver's need for frequent personal care or constant supervision. A carer provides constant care or constant supervision if they personally provide care on a daily basis for a significant period. This is equivalent to a normal working day, during each day. If the carer provides constant care or supervision while participating in an activity, the total time that constant care or supervision is provided can be subtracted from the total time of the activity. This means a carer will remain eligible if their participation in an activity exceeds 25 hours per week but the periods where constant care or supervision was still provided can be excluded, reducing the total time of the activity to less than 25 hours per week. The following details will help determine if this is the case:
These provisions only apply when the carer operates a family day care for more than 25 hours per week. While it would be extremely unusual for a carer to operate a family day care for less than 25 hours per week, it is possible if the carer only operates the family day care for 2 or 3 days per week. If the carer is not providing constant care or constant supervision while participating in an activity, the total time that care is provided cannot be subtracted from the total time of the activity. If the Service Officer:
If the carer qualifies for CP, see Income and expenses of a business for details on how the income from the family day care is assessed. |
|
8 |
Policy position - Carers operating as a Family Day Care (FDC) and crosschecking departmental CCS records When assessing applications for CP where the carer is also operating as an FDC provider, Service Officers may need independent and third party verification of details before making a final determination. To determine if a carer is providing the amount of care claimed, Service Officers can cross-check the details provided by the applicant with Centrelink Child Care Subsidy (CCS) records. They can check if constant daily care is satisfied while the carer also operates as an FDC provider. Service Officers must compare the CCS hours the CP applicant charges to care for children as an FDC provider, with the hours they provide constant care as per their CP claim. This process will help determine if a person qualifies for CP. Section 202(1) of the Social Security (Administration) Act 1999 provides that a person may obtain protected information if the information is obtained for the purposes of social security law. Additionally, section 202(2) relevantly provides that protected information can be recorded, used or disclosed where the recording, use or disclosure is for the purposes of the social security law. The Services Australia Legal Services Division have confirmed that use of information for this purpose is authorised under section 202 (2) (d) of the Social Security (Administration) Act 1999 and that use of this information also satisfies section 6.2(b) of the Australian Privacy Principles. The use of this process only occurs when:
When checking the details about the age and the number of hours each CCS child is attending FDC:
Reject the CP claim (or cancel CP if current) based on the details obtained from the carer, if any concerns exist about the:
|
Paid care scenarios and assessing income for CP
Table 4
20 March 2025 FAQs
Table 5
|
Item |
Description |
|
1 |
What changes are being implemented? From 20 March 2025, CP customers will no longer have the 25 hour rule applied. Services Australia will assess them against the work (employment and self-employment) done in a 4-week period. It will not include travel time. CP customers can work up to 100 hours in a 4-week period where care is 'not met'. This is called the 100 hour work limit. A new 26 week (6 month) suspension will apply for CP customers who:
|
|
2 |
Why are these changes happening? The intent of these changes is to make the rules more flexible for carers when working. Carers can have peaks and troughs in the amount of work they do, allowing them to balance work in line with the care their care receiver needs. |
|
3 |
When will the change affect customers? From 20 March 2025. Anyone cancelled before this date will not be able to access the suspensions. Customers can reclaim from 20 March 2025 if they wish to test their eligibility under the new rules. For those reporting hours and income, the first entitlement period that these rules will apply to is the first entitlement period where the Entitlement Period End Date (EPED) is on or after 20 March 2025. It does not matter if part of this entitlement period is before 20 March 2025. |
|
3 |
Do the reporting requirements change? Statement reporters still need to report each fortnight and provide hours in weekly amounts. CP customers no longer need to report hours spent travelling to and from work, volunteering, studying or training. Carers do not need to report in the 26 week extended suspension. They do however need to report during the employment nil rate period, as per the rules for those provisions. |
|
4 |
How will Service Officers know if a customer has exceeded the 100 hour work limit? The hours declared will show on the Carer Payment Activity Block on the:
The hours will also show in the Work Hours summary in the My Payments section of a carer's online account. |
|
5 |
Which section of the Carer Payment Activity Block should Service Officers look at? The Carer Payment Activity Block shows details, such as:
As the Carer Payment Activity Summary (CPAS) screen does not include end dates for the hours, the hours shown for the total 4-week period will include expected hours. These may change when the carer reports in the next fortnight. Before a customer reports, all details for the previous 4-week Carer Payment Activity Block will show as estimated hours. When the customer reports and new details are coded to the CPAS screen (or current details confirmed), the Carer Payment Activity Block will update with the most recent details. After the first report for a 4-week block, the second fortnight will show the same details as projected hours. |
|
6 |
How do the 4-week periods work? The 4-week periods are 'static', not 'rolling' and are made up of 2 entitlement periods (EP). For example:
As each 4-week period is 2 entitlement periods, Entitlement Period Start Day (EPSD) to EPED, this means that if the customer has a short entitlement period for any reason, they may be assessed for a shorter period of time. They can still work up to 100 hours, just in less time. |
|
7 |
Why are the suspensions manual? The legislation that allows for a suspension in these circumstances requires Service Officers to make discretionary decisions, particularly about whether someone resides in Australia. Similar automated cancellations exist that pause to let Service Officers make these decisions. Where an automatic cancellation happens without that, a Manual Follow Up will be created for Service Officers to determine if they should offer a suspension. |
|
8 |
How do Service Officers know if a carer is eligible for the suspension? Carers receiving CP are eligible if they:
|
|
9 |
Is the suspension available for CA? No, these suspensions apply to CP only. |
|
10 |
Are carers still eligible for the employment nil rate period? Yes, if eligible for the employment nil rate period, they will continue to enter the employment nil rate period. Service Officers must make the decision to suspend at the conclusion of the nil rate period and backdate to the first day the payment rate was nil. |
|
11 |
Are carers still eligible for the 2-year suspension if their partner is eligible? Yes, if a CP customer has a partner that qualifies the carer for the 2-year extended employment suspension, they will enter that suspension as per current processes. |
|
12 |
What happens if the customer does not reside in Australia? To qualify for CP the carer must be an Australian resident. Eligibility should be reviewed in relation to their residence status. If they are still eligible for payment because of their residence status, but do not reside in Australia, they are not eligible for the suspension and their CP should be cancelled due to not providing constant care. It is not expected that a customer would be eligible for payment due to residence but not meet the residence criteria for the suspension. In these cases it may be necessary to check with a Technical Peer Support Officer, Service Support Officer, or Level 2 policy helpdesk. |
|
13 |
What happens if someone reports on or after 20 March 2025, but it is for an earlier reporting period? If a carer contacts on or after the 20 March 2025 to do a late report for an entitlement period that ended before 20 March 2025, Service Officers must assess them under the 25 hour rules. If the hours are too high, offer the carer use of their respite to remain on CP. If they do not have enough respite, an extension of 7 to 14 days can be applied, but only enough applied to allow the payment to stay current. The intent of this is to enable them to stay current for the last report before 20 March 2025, so the next time a suspension can be considered. |
|
14 |
How do Service Officers know if care is Met or Not Met? Some carers can provide care while they work, but many do not. Only the hours where care is not being provided is counted in the 100 hour work limit. When coding the hours, staff are required to indicate whether care is being provided. Questions to help with determining if Care is Met or Not Met Discuss with the carer the impact of the activity on their ability to provide care. Consider all of the following:
It may also be determined that other questions should be asked. If still unsure if sufficient care is provided, social worker involvement may be necessary. Record as Met or Not Met Care is Met where:
Care is Not Met where the care receiver is:
If a Service Officer cannot determine if care is Met, they must not use Unknown, they must code the care as Not Met. If a carer has periods where they meet care at home and periods where they do not meet care, Service Officers must code the hours where care is:
|
|
15 |
Why can Service Officers not use Unknown on CPAS and CPAD in Customer First anymore? Process Direct does not capture Unknown hours on CPAS or CPAD. If Unknown hours are coded, then the Carer Payment Activity Block in Customer First will include the Unknown hours, but Process Direct will not. This creates inconsistent outcomes for carers. Service Officers must not use Unknown. The Carer Program Team are investigating a possible removal of this field in the future. |
|
16 |
How do I record foreign income hours on CPAS and CPAD? Foreign income hours have not had a dedicated activity type on CPAS or CPAD. Instead, they have been coded as VOLuntary hours as a workaround. A new activity type is being created, FGN, to allow coding of foreign income hours. This will only be allowed to be coded if there is an entry on the Foreign Employment Income (FEIP) screen. This brings foreign income in line with employment income processes. |
|
17 |
How do Service Officers know if someone exceeds the 100 hour work limit on an ongoing basis? If a carer advises they will be working more than the 100 hour work limit for a period of 12 weeks or more, Service Officers should consider if it is ongoing. The start time of their activity is unlikely to align to the start of a 4-week period, but it is a good marker to see if they have already exceeded, or will exceed, for 3 consecutive 4-week blocks. This can be done by changing the as at date field in the Carer Payment Activity Block. If it is the third block that the carer will exceed, discuss with the carer if they will be reducing their hours. If satisfied the carer intends to reduce their hours, and they have enough respite to use, they may use respite to stay on payment. Carers do not need to provide evidence. In the 4th 4-week block, the carer should be below the limit. If they are still exceeding, it is likely to be ongoing, and respite should not be used. The payment will need to be suspended or cancelled as appropriate. |
Excess hours and days of respite needed
Table 6: explains the number of excess hours which can be offset against days of respite.