Assessing payment rates and independence for Disability Support Pension customers under 21 years 008-03140000

DSP customers under 21 get different rates of DSP if they are:

• dependent
• independent, or
• meet other criteria

Their circumstances are assessed to determine:

• the maximum basic rate of DSP
• income and assets limits
• payment of Rent Assistance (RA)

DSP customers can be paid at the independent rate if they are:

• 16 or 17 and live away from the parental home due to their disability or medical condition
• 18 to 20 (inclusive) and live away from the parental home

DSP customers under 21 years who:

• currently have a dependent child in their care are eligible for the '21 and over' (common) DSP rate from the date the child entered their care. This is a different rate to the independent rate
• previously had a dependent child in their care are eligible for the independent rate from the date the child left their care. This is a different rate to the '21 and over' (common) DSP rate

Customers under 21 who live in the parental home are usually paid the dependent rate of DSP, however there are some exceptions to this. See Process for more information.

If a customer under 21 returns to live in the parental home and is being paid the independent rate, their circumstances must be reassessed to see whether they:

• can continue to get the independent rate
• meet other criteria, to get the independent rate or the '21 and over' (common) DSP rate, or
• are now dependent and must get the dependent rate

DSP customers are not subject to a Parental Income Test (PIT).

Customers under 21 can get the independent rate if they meet 1 of the following criteria:

• are or have been married or in a registered relationship
• are or have been a member of a couple for at least 1 year, or 6 months in exceptional circumstances
• have had a dependent child. Note: If they currently have a dependent child in their care, the '21 and over' (common) DSP rate will be paid automatically when the dependent child details are recorded
• are an orphan
• are a refugee without parents in Australia and not dependent on anyone else
• their parents cannot exercise their responsibilities (e.g. in prison, mentally incapacitated, living in a nursing home or missing)
• in state care or only left state care due to their age
• have worked an average of 30 hours per week for at least 18 months during any 2 year period
• have worked part-time for at least 15 hours per week for at least 104 weeks (time worked does not have to be consecutive) since leaving secondary school
• earned at least 75% of the National Training Wage Schedule (NTWS) rate in any 18 month period since last leaving secondary school

It is important the correct coding is used because it determines:

• the correct customer's rate of DSP for the customer's circumstances
• if the independence status needs to be reviewed
• if the customer is automatically triggered for Income Management

Customers aged 16 or 17 can be paid the independent rate if it is unreasonable for them to live at home (UTLAH) due to extreme family breakdown, other similar exceptional circumstances, or their parents are unable to provide a home. To assess UTLAH for customers aged 16 or 17, book a Social Work Unreasonable to Live at Home (UTLAH) appointment.

Note: a social worker referral is required for all UTLAH assessments to determine the independence rate. If a customer asks to speak to a social worker about a separate issue an appointment must be booked.

Customers under 21 who are claiming DSP may have previously had their independence status assessed for Youth Allowance (YA), ABSTUDY or DSP. Some categories of independence are subject to review if there is a change in circumstance.