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Assessing and coding parental income for ABSTUDY, Assistance for Isolated Children (AIC) and Youth Allowance (YA) 108-02010090

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This page contains the process for assessing and coding parental income for ABSTUDY, AIC Additional Boarding Allowance (ABA) and Youth Allowance (YA) customers.

On this page:

Assessing parental income

Coding parental income when Youth Allowance (YA) is suspended

PIT estimate review date or estimate processing date is after 1 September of the calendar year following the tax year being assessed

Assessing parental income

Table 1:

Expand table

Step

Action

1

Supplying parental income

The parent(s)/guardian(s), including those who have a family assistance non-lodger exemption, are required to provide their income details via:

2

Reasonable estimate or actual income

See Parental Income Test (PIT) for a description of all sources of income that are assessed under the PIT.

Actual income figures may be available and verified via:

  • the parent(s)/guardian(s) FAO Income for Previous Year (FIPY) screen, these details have been supplied by the Australian Taxation Office (ATO) and are considered to be verified actual income. These display in the:
    • Actual Income table in Process Direct, or
    • Actl AMT column in Customer First
  • digitally on the parent/guardian or sibling record, via:
    • Documents icon in Process Direct, or
    • Document Tools in Customer First
  • if Maintenance Income Test (MIT) information is not needed for the assessment: actual income on the NHI screen on a sibling record

Select one of the options below:

Actual income

If actual income is being provided, check if the income needs to be verified. See documents accepted as evidence of parental income. If a request for evidence is required, see Requesting information.

If the customer is on:

Estimate

Only accept an estimate of parental income if the estimate is reasonable and there is no doubt about the information supplied.

See also Increase or decrease in parental income for Youth Allowance (YA), ABSTUDY and Assistance for Isolated Children (AIC).

Is the estimate reasonable?

3

YA payment status

Does the customer receive YA, and their payment is suspended?

4

What action is needed?

Where updates are made in Customer First, use the correct system. For:

  • ABSTUDY: use ISS system:
    • Code SVABY in the Next field and select Enter
  • AIC: use ISS system:
    • Code SVAIC in the Next field and select Enter
  • YA: use NSS system

If the update is to:

5

Coding estimates

An estimate can be accepted until the date the parent(s)/guardian(s) expect to be able to supply proof of their actual income. On this date (the Review Date), a letter is issued requesting evidence of actual income.

To code estimates select from the relevant options below:

Process Direct (ABSTUDY and YA)
  • Go to the NHI screen
  • Financial Year: relevant base or current tax year as appropriate
  • Start Date: see Event date for parental income
  • Estimate Indicator: Y yes
  • Review Date: the date the parent advises that actual income details will be available, except when the review date provided is:
    • before the payment start date. Use the start date + one day
    • before the date the income is being coded (the system will not accept it). Use 2 business days after the date the estimate coding is finalised
    • after 1 September of the year following the tax year that is being assessed (the system will not accept it). For more information, see Table 3
    • after the customer's Student End Date (SED). Use 28 days before the SED.
      If this is not possible because the SED is in the next 28 days, use 2 business days after the date the estimate coding is finalised
  • Taxable Income: and all other income fields as appropriate
  • If an overpayment occurs, go to Step 10
  • If arrears occur, go to Step 11
  • If no adjustment, go to Step 12
Customer First

ABSTUDY or YA

For ABSTUDY or YA, update the NHI screen:

  • Event Date: see Event date for parental income
  • Fin Year Ending: relevant base or current tax year as appropriate
  • Estimate: Y yes
  • Review Date: the date the parent advises that actual income details will be available, except when the review date provided is:
    • before the payment start date. Use the start date + one day
    • before the date the income is being coded (the system will not accept it). Use 2 business days after the date the estimate coding is finalised
    • is after 1 September of the year following the tax year that is being assessed (the system will not accept it). For more information, see Table 3
    • after the customer's Student End Date (SED). Use 28 days before the SED.
      If this is not possible because the SED is in the next 28 days, use 2 business days after the date the estimate coding is finalised
  • Taxable Income and all other income fields as appropriate
  • Source: as appropriate
  • DOR: as the day the information was provided to Services Australia
  • Action:
    • 'I'nsert where no estimate is recorded for the relevant tax year
    • 'U'pdate where an existing estimate is being updated
  • Accept Change: if the system calculated Event Date is:
    • correct, code Yes
    • incorrect, contact Local Peer Support to decide if the record needs to be escalated. See Technical Support Model
  • If an overpayment occurs, go to Step 10
  • If arrears occur, go to Step 11
  • If no adjustment, go to Step 12

AIC ABA

For AIC ABA update the NHI and EILA screens.

Evidence of parental income must be provided to confirm the advised parental income for payment of ABA.

  • Contact the parent/guardian (the AIC applicant) by phone and send them a manual letter to ask for evidence to confirm the actual income figure
  • Code the NHI screen:
    • Estimate: N
    • Taxable Income and all other income fields as appropriate
    • Source: as appropriate
    • DOR: as appropriate
    • the action is 'I'nsert
      Note: coding a Y in the Estimate field can incorrectly lead to the automatic suspension of not only the ABA but the Basic Boarding Allowance (BBA) as well
  • Code the Living Arrangement Details (EILA) screen:
    • Living Arrangement Start Date: review date (this should align with the AIC term instalment dates, that is 01/04/xx)
    • Annual Boarding Fees: $1
    • Action: 'I'nsert
  • If an overpayment occurs, go to Step 10
  • If arrears occur, go to Step 11
  • If no adjustment, go to Step 12

6

Extension requested to provide actual income

Before extending the PIT estimate review date, check the:

  • parent(s)/guardian(s) FAO Income for Previous Year (FIPY) screen
  • documents provided on the customer, parent/guardian and sibling records, and
  • if MIT information is not needed for the assessment: actual income coded on a sibling’s NHI screen

If there is actual income for the relevant tax year for all PIT linked parents, go to Step 8.

To code the extension select from the relevant options below:

For YA or ABSTUDY

In Process Direct, edit the existing NHI entry:

  • Review Date: the new date the parent advises that actual income details will be available, except when the review date provided is:
    • before the payment start date. Use the start date + one day
    • before the date the income is being coded (the system will not accept it). Use 2 business days after the date the estimate coding is finalised
    • after 1 September of the year following the tax year that is being assessed (the system will not accept it). For more information, see Table 3
    • after the customer's Student End Date (SED). Use 28 days before the SED.
      If this is not possible because the SED is in the next 28 days, use 2 business days after the date the estimate coding is finalised
  • Taxable Income and all other income fields, if a change in estimate is also provided
  • Finalise the activity via the Entitlement (ELD) screen
  • Record the details of the update in the finalisation Note

In Customer First, update the existing NHI entry:

  • Review Date: the new date the parent advises that actual income details will be available, except when the review date provided is:
    • before the payment start date. Use the start date + one day
    • before the date the income is being coded (the system will not accept it). Use 2 business days after the date the estimate coding is finalised
    • after 1 September of the year following the tax year that is being assessed (the system will not accept it). For more information, see Table 3
    • after the customer's Student End Date (SED). Use 28 days before the SED.
      If this is not possible because the SED is in the next 28 days, use 2 business days after the date the estimate coding is finalised
  • Taxable Income and all other income fields, if a change in estimate is also provided
  • Action: 'U'pdate
  • Accept Change: if the system-calculated Event date for parental income is:
    • correct, code Yes
    • incorrect, contact Local Peer Support to decide if the record needs to be escalated. See Technical Support Model
  • Finalise the activity via the AR screen
  • Record the details of the update on a DOC

When the review date on the NHI screen is reached, a letter is automatically issued requesting proof of actual income.

Payment automatically suspends PIE - Failed to verify Parental Income 21 days later unless actual income is coded or the review date is extended. If the evidence is still not available, an extension may be given to restore the customer's payments.

For ABSTUDY Living Allowance, when the review date on the NHI screen is reached, a Manual Follow-up (MFU) is created with the review reason PIT Estimate Reminder PIT Estimate Review. This MFU is not required and can be cancelled.

Procedure ends here until evidence of actual income supplied.

For AIC ABA:

Evidence of parental income must be supplied for payment of ABA.

If the Annual Board Fees amount on the EILA screen:

  • Has already been coded as $1:
    • No further action is required, as the applicant is only eligible for Basic Boarding Allowance
  • Has not been updated to $1, code the EILA screen:
    • Living Arrangement Start Date: appropriate date to stop future payment of ABA when evidence of parental income has not been provided for the relevant tax year
    • Annual Boarding Fees: $1
    • Action: 'I'nsert
    • Source: as appropriate
    • DOR: system date
  • Finalise the activity via the Assessment Results (AR) screen. This will stop future ABA payments
  • Record details in a DOC

Procedure ends here.

7

Evidence of parental income

Parent/guardian has provided actual income, including where they have previously provided an estimate and has now provided actual income details.

Any parent/guardian who is:

  • required to lodge an Income Tax Return must provide Services Australia with evidence of their income for the parental income to be considered verified. For examples on how evidence can be provided, see:
  • not required to lodge an Income Tax Return, is generally not required to provide evidence of parental income
  • If the information available to support the parent(s)/guardian(s) income for the relevant tax year is sufficient, no evidence is required

Notice of Assessment (NOA) consideration:

A superannuation withdrawal under the First Home Super Saver (FHSS) Scheme is not included as assessable income for calculating the PIT.

The treatment of these withdrawals differs between Services Australia and the Australian Tax Office (ATO):

  • For ATO purposes, part of the amount released is considered taxable income. It will be reflected on an individual’s NOA as taxable income
  • The income received by the agency via the data exchange will automatically have amounts released under the FHSS excluded. This will not be the case for an individual's NOA
  • A customer supplying an NOA who has had a superannuation withdrawal under the FHSS will need to advise the amount considered taxable. This can be manually excluded for the agency's purposes

If the parent(s)/guardian(s)' FAO Income for Previous Year (FIPY) screen displays actual income, use this information. However, if the parent/guardian contacts and they have any of the following income estimates recorded on their family assistance record:

  • Tax Exempt Foreign income (FEF screen)
  • Foreign Income (FFI screen)
  • Tax Free Pension/Benefit (FTF screen)
  • Deductible Child Maintenance Expenditure (FDM screen)

Obtain the actual income information for these income components from the parent/guardian.

Go to Step 8.

8

Coding actual parental income

A parental income estimate may be coded on the NHI or the Independent / Homeless / Away From Home Details (NIH) screen. Where the estimate indicator is Y on the:

  • NIH screen from the grant of self-supporting independence for students from regional and remote areas, go to Step 9
  • NHI Screen for a dependent customer, update the NHI screen when evidence of the parental income is provided, or is available via the parent(s)/guardian(s) FIPY screen, documents have been provided on the parent(s)/guardian(s)' or sibling record, or if MIT information is not needed for the assessment: actual income is coded on the sibling’s NHI screen

To update select from the relevant options below:

Process Direct (ABSTUDY and YA):

Update the NHI screen:

  • Event Date: see Event date for parental income
  • Fin Year Ending: relevant base or current tax year as appropriate
  • Estimate: N - No
  • Review Date: blank (if previous entry was an estimate, delete the review date)
  • Taxable Income: as appropriate
  • If an overpayment occurs, go to Step 10
  • If arrears occur, go to Step 11
  • If no adjustment, go to Step 12

Note: the system automatically codes $1 in the Taxable Income: field on NHI if income of $0 is coded. This is to avoid the payment cancelling PIA (Parental Income and Assets not provided) inappropriately. Process Direct may continue to display $0, Customer First will show $1.

In Customer First (ABSTUDY, AIC and YA):

Update the NHI screen:

  • Event Date: see Event date for parental income
  • Fin Year Ending: relevant base or current tax year as appropriate
  • Review Date: blank (if previous entry was an estimate, delete the review date
  • Estimate: N - No
  • Taxable Income and all other income fields, as appropriate
  • Source: as appropriate
  • DOR: as the day the information was provided to the agency
  • Action: 'I'nsert
  • Accept Change: if the system calculated Event Date is:
    • correct, code Yes
    • incorrect, contact Local Peer Support to decide if the record needs to be escalated. See Technical Support Model

Note: the system automatically codes $1 in the Taxable Income field on NHI if income of $0 is coded. This is to avoid the payment cancelling PIA (Parental Income and assets not provided) inappropriately.

For AIC:

Code the Annual Boarding Fees field on the EILA screen with the actual boarding costs for that year:

9

Update the NIH screen

A parental income estimate may have been recorded on NIH when granting self-supporting independence for students from regional and remote areas. If the parental income estimate indicator on NIH is Y make updates using Customer First. Where the actual parental income for the appropriate tax year is:

If payment is suspended Failed to Verify Parental Income (PIE), restore the payment. For:

Finalise the activity and record details of the update in a DOC.

Procedure ends here.

10

Overpayment occurs because of parental income update

The system will create an overpayment where:

  • a 1 October event date is being applied by the system and the customer has received at least 1 payment after 1 October, or
  • actual parental income is greater than the estimate, and
  • the date of receipt (DOR) is after the Event Date recorded on NHI

The system will create an overpayment from the entitlement period commencing immediately before1 October, or 1 January until the Entitlement Period End Day (EPED) of when the customer was last paid.

Where an overpayment has been created:

For a YA customer:

  • send the overpayment for investigation:
    • on the Assessment Consequences (ASC) screen in the Debt Action field, select INV
    • Go to Step 12

For ABSTUDY and AIC customers, see Raising Parental Income Test (PIT) debts

11

Arrears because of parental income update

To update select from the relevant options below:

For YA

If YA payment is current and NHI is being updated with a date of receipt (DOR) that is between:

  • 1 September and 31 December the system will generate arrears correctly from the DOR if the customer is entitled
  • 1 January and 31 August the system will generate arrears from the Event Date recorded on NHI. The customer is only entitled to arrears from the DOR that the actual parental income was provided

If the arrears are not correct determine if:

  • the arrears should be zeroed off in full:
    • If the DOR is within the same entitlement period as the update being made, then arrears should be zeroed off in full
  • a partial adjustment is required:
    • If the DOR is in a previous entitlement period and the customer has received at least one payment. They are entitled to arrears from the DOR

Where a manual adjustment is required, use the Rate Details (RATS) screen in Customer First, or the Daily Rate Component (RAC) screen in Process Direct. See How to manually calculate arrears

  • In Customer First:
    • On the Assessment Results (AR) screen, from the left hand menu select the payment type arrears will be paid with
    • Select RATS
    • Select relevant period on RAC and make any changes to the rate
    • Update the Man Adj $ and Man Adj Rsn fields
    • Select ADJ as the manual adjustment reason
  • In Process Direct:
    • Select Assess to go to the Entitlement (ELD) screen
    • Adjust the relevant lines under the Daily Rate Component (RAC)
    • Scroll down to more options and apply RAC changes before selecting Finish

Go to Step 12.

For ABSTUDY

ABSTUDY customers are entitled to arrears for any period where:

  • their rate of payment has reduced due to a parental income estimate, and
  • the actual parental income amount is less than the estimate

Service Officers must check the NHI screen to ensure arrears are paid from the Event Date to the date the customer was last paid.

Go to Step 12.

For AIC

AIC applicants are entitled to arrears for ABA for any periods where:

  • the student qualifies for Basic Boarding Allowance
  • the income level of the applicant and (if applicable) their partner is at or below the upper limit for the Parental Income Test (PIT), and
  • the student's boarding costs exceed the level of Basic Boarding Allowance less $250 for incidentals. See Rates and Thresholds page and search Basic Boarding Allowance for current rates

Go to Step 12.

12

Finalise the activity

If YA was cancelled PIA and is restorable, restore the payment.

Once all actions have been taken, finalise the activity via:

  • Assessment Results (AR) in Customer First, or
  • Entitlement (ELD) screen in Process Direct

Record details in a Note/DOC including all relevant information. See Recording reasons for decisions.


Coding parental income when Youth Allowance (YA) is suspended

Table 2

Expand table

Step

Action

1

Payment is suspended

If YA is suspended, two separate activities may be required to prevent arrears being offset by an overpayment that requires investigation. In these cases:

  • update Household Income and Assessments (NHI) screen and finalise the activity then,
  • restore the payment in a separate activity

If:

  • the customer asks for an extension of time to provide actual income, go to Step 5
  • evidence of actual income is now available, or the customer provides a new income estimate, go to Step 2

2

Check the new income estimate or actual income amount

Is the new income estimate or actual taxable income higher than the estimate currently recorded on NHI, and Parental Income Free Area (PIFA)?

3

NHI screen update

If NHI has already been coded, finalise the activity. Go to Step 4.

Otherwise, update NHI in Customer First with the income amount provided:

  • Event Date: appropriate Event date for parental income
  • Fin Year Ending: relevant base or current tax year as appropriate
  • Review Date: leave blank if coding the actual income details. If coding an estimate, use the date the parent advises that actual income details will be available, except when the review date provided is:
    • before the payment start date. Use the start date + one day
    • before the date the income is being coded (the system will not accept it). Use 2 business days after the date the estimate coding is finalised
    • after 1 September of the year following the tax year that is being assessed (the system will not accept it). For more information, see Table 3
    • after the customer's Student End Date (SED). Use 28 days before the SED.
      If this is not possible because the SED is in the next 28 days, use 2 business days after the date the estimate coding is finalised
  • Estimate: Y or N as appropriate
  • Taxable Income and all other income fields, as appropriate
  • Source: as appropriate
  • DOR: the date the income amount was provided to the agency
  • Action: 'U'pdate
  • Accept Change: if the system calculated Event Date is:
    • correct, code Yes
    • incorrect, contact Local Peer Support to decide if the record needs to be escalated. See Technical Support Model
  • Next: Assessment Results (AR)
  • If an overpayment is created, it must be sent for investigation:
    • On the Assessment Consequences (ASC) screen in the Debt Action field, select INV
  • Finalise the activity

Go to Step 4.

4

Restoring the payment

When the NHI screen updates have been finalised, go to the Benefit Action (BA) screen.

In Process Direct:

  • Benefit Type Code: YAL
  • Benefit Action: RES
  • Date of Effect: suspension date
  • Complete the Receipt Date, Channel and Service Reason
  • Select Save
  • Assess

In Customer First:

  • Service Reason: YAL
  • Action: restore
  • Reason: blank
  • Effect date: will pre-populate from the suspension date
  • Source: as appropriate
  • Receipt date: the date the restoration is being completed
  • Next: Assessment Results (AR)

On the AR/ELD screen, has the system created an arrears payment?

5

Extension requested to provide actual income

Select the system below:

In Process Direct:
  • Edit the existing NHI entry
  • Review Date: the new date the parent advises that actual income details will be available, except when the review date provided is:
    • before the payment start date. Use the start date + one day
    • before the date the income is being coded (the system will not accept it). Use 2 business days after the date the estimate coding is finalised
    • after 1 September of the year following the tax year that is being assessed (the system will not accept it). For more information, see Table 3
    • after the customer's Student End Date (SED). Use 28 days before the SED
    • If this is not possible because the SED is in the next 28 days, use 2 business days after the date the estimate coding is finalised
  • Taxable Income and all other income fields, if a change in estimate is also provided
  • Select Assess to go to the Entitlement (ELD) screen
  • Restore payment, see Restoration action below
In Customer First:
  • Update the existing NHI entry
  • Review Date: the new date the parent advises that actual income details will be available, except when the review date provided is:
    • before the payment start date. Use the start date + one day
    • before the date the income is being coded (the system will not accept it). Use 2 business days after the date the estimate coding is finalised
    • after 1 September of the year following the tax year that is being assessed (the system will not accept it). For more information, see Table 3
    • after the customer's Student End Date (SED). Use 28 days before the SED.
      If this is not possible because the SED is in the next 28 days, use 2 business days after the date the estimate coding is finalised
  • Taxable Income and all other income fields, if a change in estimate is also provided
  • Action: 'U'pdate
  • Accept Change: if the system-calculated Event Date is:
    • correct, code Yes
    • incorrect, contact Local Peer Support to decide if the record needs to be escalated. See Technical Support Model
  • Restore payment, see Restoration action below
Restoration action

Note: on the review date, the system automatically sends a letter asking for proof of the actual income.

In the same activity, restore the payment. Go to the Benefit Action (BA) screen and complete the following:

  • In Process Direct:
    • Benefit Type Code: YAL
    • Benefit Action: RES
    • Date of Effect: suspension date
  • In Customer First:
    • Service Reason: YAL
    • Action: restore
    • Reason: leave blank
    • Effect date: will pre-populate from the suspension date

Go to Step 9.

6

Coding a new estimate or actual parental income

Update the:

  • new estimate, or
  • actual income, when evidence of the parental income is provided, or available via the parent(s)/guardian(s) FIPY screen, documents provided on the parent(s)/guardian(s)' or sibling record, or if MIT information is not needed for the assessment: actual income is coded on the sibling’s NHI screen

On the NHI screen in Customer First:

  • Event Date: appropriate event date for parental income
  • Fin Year Ending: relevant base or current tax year as appropriate
  • Review Date: leave blank if the income is actual. Delete existing review date, if coding actual income where an estimate was previously recorded.
    If the income is an estimate, use the date the parent advises that actual income details will be available, except when the review date provided is:
    • before the payment start date. Use the start date + one day
    • before the date the income is being coded (the system will not accept it). Use 2 business days after the date the estimate coding is finalised
    • after 1 September of the year following the tax year that is being assessed (the system will not accept it). For more information, see Table 3
    • after the customer's Student End Date (SED). Use 28 days before the SED.
      If this is not possible because the SED is in the next 28 days, use 2 business days after the date the estimate coding is finalised
  • Estimate: Y or N as appropriate
  • Taxable Income and all other income fields, as appropriate
  • Source: as appropriate
  • DOR: as the day the information was provided to the agency
  • Action: 'U'pdate
  • Accept Change: if the system calculated Event Date is:
    • correct, code Yes
    • incorrect, contact Local peer support to decide if the record needs to be escalated. See Technical Support Model

In the same activity, go to the Benefit Action (BA) screen to restore the payment:

  • Service Reason: YAL
  • Action: restore
  • Reason: leave blank
  • Effect date: will pre-populate from the suspension date

If the system has created arrears, go to Step 7.

Otherwise, go to Step 9.

7

Arrears from PIT update

This information is for arrears generated from the PIT reassessment only. To work out a customer's entitlement to other arrears generated, see Payment of arrears after reassessment and stopping a payment.

If the arrears from the PIT update have been created from the:

  • suspension date, the customer is entitled to the arrears if the date of receipt (DOR) the actual income has been provided is within 13 weeks of the suspension date
  • event date recorded on the NHI screen, note the date of receipt (DOR). If the DOR of the actual parental income or updated estimate provided is:
    • after the suspension date, zero off any arrears from the NHI Event Date to the day before the date of suspension
    • before the suspension date, zero off the arrears from the NHI Event Date to the day before the DOR of when the estimate or actual parental income was provided

Is a manual adjustment required?

8

Manual adjustment of rate

Where a manual adjustment is required, this must be completed via the Rate Details (RATS) screen.

Select the system below:

In Process Direct:
  • Go to the Customer Daily Rate Component (RAC) screen
  • Update the amounts in the $ Man Adj fields
  • Select ADJ in the Man Adj Reason dropdown
  • Select Update
  • Select Finish

If Service Officers encounter E241NS – Basic rate entered cannot be more than $XXX.XX when adjusting RATS, do not finalise the activity. Contact Local Peer Support (LPS) to have the record escalated to a Service Support Officer (SSO). The SSO will need to issue a payment using the Payment Adjustment (PYAJ) screen. See Technical Support Model.

Go to Step 9.

In Customer First:
  • On the Assessment Results (AR) screen, from the left hand menu select the payment type arrears will be paid with
  • Select RATS
  • Select relevant period on RAC and make any changes to the rate
  • Update the Man Adj $ and Man Adj Rsn fields
  • Select ADJ as the manual adjustment reason

If Service Officers encounter E241NS – Basic rate entered cannot be more than $XXX.XX when adjusting RATS, do not finalise the activity. Contact Local Peer Support (LPS) to have the record escalated to a Service Support Officer (SSO). The SSO will need to issue a payment using the Payment Adjustment (PYAJ) screen. See Technical Support Model.

Go to Step 9.

9

Finalise the activity
  • If an overpayment is created it must be sent for investigation:
    • on the Assessment Consequences (ASC) screen in the Debt Action field, select INV

Once all appropriate actions have been taken, finalise the activity via:

  • Assessment Results (AR) in Customer First, or
  • Entitlements (ELD) in Process Direct
  • Record details in a Note/DOC including all relevant details. See Recording reasons for decisions

PIT estimate review date or estimate processing date is after 1 September of the calendar year following the tax year being assessed

Table 3: This table provides actions and coding instructions for when parents provide an estimate review date that is after 1 September of the calendar year following the tax year being assessed, or provide a review date before 1 September, that is being coded after 1 September.

Expand table

Step

Action

1

System will not accept estimates after 1 September

Parents may provide an estimate review date that is after 1 September of the calendar year following the tax year being assessed.

The system will display errors on the NHI screen when an estimate review date is coded:

  • after 1 September of the calendar year following the tax year that is being assessed, or
  • before 1 September, but the estimate is being coded on or after 1 September

If the date the estimate coding will be finalised is:

2

Updates completed before 1 September

Where updates are being made and will be finalised at least one business day before 1 September, code the Review Date as 1 September, unless 1 September is:

  • after the student end date, use 28 days before the SED. If this is not possible because the SED is in the next 28 days, use 2 business days after the date the estimate coding is finalised
  • before the payment start date, use the start date + one day. If this is on or after 1 September, go to Step 3

On the review date, the system automatically sends a letter requesting tax notices of assessment for the PIT parent/s, and for:

  • ABSTUDY Living Allowance, payments will stop after 1 September
  • YA, payment will suspend PIE - Failed to verify Parental Income if evidence of actual income is not provided within 21 days of the date of the letter

Procedure ends here.

3

Updates completed on or after 1 September

Further actions may be required because the system will not accept an estimate review date that is:

  • in the past, or
  • after 1 September

Select from the below options.

YA

If evidence of actual income has not already been requested, request it. See Requesting information (CLK). For claims, tax notices of assessment were likely requested in the online MOD JY. Procedure ends here until evidence supplied or Request for Information (RFI) falls due.

If evidence has been requested and not supplied by the due date and parental income is required for a:

  • YA claim, reject the claim PIA (Parental Income and Assets not provided), unless another more appropriate rejection reason applies, see Assessing and coding student and Australian Apprentice claims for Youth Allowance (YA)
  • YA non-new claim update, and payment is:
    • current, go to Step 4
    • suspended PIE (Failed to verify parental income), payment will cancel PIE after 13 weeks unless actual income is recorded and payment is restored
    • suspended or cancelled for any other reason, payment cannot be restored until actual income is recorded, including where the suspension or cancellation date is before 1 September

Procedure ends here.

ABSTUDY

The review date cannot be coded/extended. ABSTUDY Living Allowance cannot be paid until the required evidence is provided.

For claims, do not code parental income and only pay non-means tested ABSTUDY allowance.

If evidence of actual income has not been requested, see Requesting information (CLK).

Procedure ends here until the required evidence is provided.

4

YA current after 1 September

Payment will automatically suspend PIE (Failed to verify parental income) where:

  • the PIT estimate review letter was issued (the letter appears on the History Summary (HS) screen as a NSSREM advice), and
  • there is an NSS/SUS PIT Estimate reminder activity on the Future Activity List (FAL) screen with an Action/Date 21 days after the issue date of the review letter

Procedure ends here.