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Assistance for Isolated Children (AIC) Scheme student turns 16 102-06020020



This page contains the process to follow when an Assistance for isolated Children (AIC) Scheme student turns 16.

Eligibility for payment under AIC Scheme after student turns 16

This table describes whether a student is still eligible for payment under the Assistance for Isolated Children (AIC) Scheme when they turn 16. If they are not eligible, the document also outlines other payments that may be available to them.

Step

Action

1

Assistance for Isolated Children (AIC) student is turning 16 + Read more ...

If the AIC student is undertaking:

2

Primary or equivalent ungraded level study undertaken + Read more ...

Is the applicant in receipt of AIC Pensioner Education Supplement (PES) for the student?

  • Yes, go to Step 3
  • No, the student is eligible to receive AIC until they are 19 years of age (or 20 years if their progress through school has been delayed by special circumstances). Procedure ends here

3

AIC PES + Read more ...

The applicant is eligible to receive AIC PES for the student while they undertake this level of study, until they turn 21 years of age.

At that stage, they will need to transfer to either PES or ABSTUDY PES, whichever is applicable.

For the eligibility requirements for ABSTUDY PES or PES, see either:

Procedure ends here.

4

Secondary level study undertaken + Read more ...

Is the student in receipt of a Disability Support Pension (DSP) or a Parenting Payment single (PPS) benefit?

  • Yes, the student is not eligible to receive AIC PES. They need to claim PES or ABSTUDY PES, whichever is applicable
  • No, go to Step 5

5

Student is still eligible to receive AIC until they turn 19 years of age + Read more ...

In certain circumstances, students who turn 16 may also meet the eligibility requirements for either Youth Allowance (YA) or ABSTUDY.

Students are not entitled to receive another similar payment concurrently. Therefore, advise the applicant of the main features of these payment types so they can make an informed choice.

To determine the most beneficial payment, consideration to the following is required:

  • Most families receiving AIC and Family Tax Benefit (FTB) for a student will generally be better off remaining on these payments over YA, even where the student could receive the YA Away from Home rate or Rent Assistance (RA)
  • FTB may be paid in addition to AIC where as other payments including YA, ABSTUDY Living Allowance and other income support payments are income tested for customers over 16 and will no longer qualify for FTB
  • YA is available for dependent students who need to live away from home to study, and is subject to the means tested with Personal and Parental Income Tests.
    Initial contact with students or Australian Apprentices claiming Youth Allowance (YA) outlines eligibility. FTB Part A is subject to parental income tests however do not include family means or actual means tests. Eligibility for Family Tax Benefit (FTB) - individuals provides further information
  • AIC Basic Boarding Allowance, Second Home Allowance and Distance Education Allowance are non-means tested. Only the AIC Additional Boarding Allowance (ABA) is means tested, that is, it is subject to a Parental Income Test and the level of the student's boarding costs
  • Students boarding or living in a second home away from parents may be entitles to YA or ABSTUDY Away from Home rate as well as Rent Assistance
  • Most state and territory governments provide assistance for isolated students that in some cases, is tied to eligibility for AIC

Go to Step 8

6

Tertiary study undertaken + Read more ...

Is the student in receipt of DSP or PPS?

  • Yes, the student is not eligible to receive AIC PES. They need to claim either PES or ABSTUDY PES, whichever is applicable
  • No, go to Step 7

7

The entitlement end date for tertiary students + Read more ...

The entitlement end date is the day the student meets the minimum education and training participation age or requirement for their state or territory. See Determining the Entitlement End date for the Assistance for Isolated Children (AIC) Scheme.

Tertiary students who are no longer eligible for AIC need to claim ABSTUDY or YA, whichever is applicable.

8

YA/ABSTUDY eligibility + Read more ...