Reimbursing fares for the cheapest mode of public transport for Youth Allowance (YA), Austudy and Pensioner Education Supplement (PES) 010-04060050

FAA is normally paid for the cheapest and most practicable mode of transport available for the journey taken. This is the amount that would be paid regardless of the cost actually incurred by the student. In some circumstances, the student may be eligible for a rail or airfare rather than a bus, dependent on the length of the journey and if the student has an illness or incapacity.

The cheapest mode of public transport is generally bus, followed by train, then by plane, but this is not always the case. Where an alternative method of transport is cheaper than a bus service, the student would be reimbursed for that method of transport.

Where a student chooses to travel by a more expensive mode of transport and does not meet one of the exemptions shown below, they will only be reimbursed for the cost of the cheapest mode of transport.

Students can be reimbursed for the next available cheapest mode of travel if:

• they are unable through illness or incapacity to travel by the cheapest mode of travel
• a journey by bus would exceed 18 hours, including waiting time between connections, or
• a journey by train would exceed 36 hours, including waiting time between connections. (The cost of a sleeping berth may be included in the cost of second-class rail travel if it is not possible for the journey to be made by day)

Note: if a customer has utilised frequent flyer points to undertake their trip, they are not eligible for reimbursement. Fares Allowance may be reimbursed for a non-frequent flyer portion of a fare where evidence is provided. For example, a customer booked a flight using a combination of frequent flyer points and payment.

There are different levels of 'economy' airfares for example, saver lite, saver and flexi fares.

FAA is reimbursed for the cheapest, most practicable mode of transport. The Service Officer must choose the cheapest fare that provides one economy seat plus the necessary baggage requirement. It is not possible to obtain historical fare prices as Corporate Travel Management (CTM) does not keep a list of past fares. Where an applicant is claiming reimbursement for a flight already taken, it is reasonable for the Service Officer to check the best fare of the day over the next 5 business days commencing 7 days from date claim is being processed. This amount can be averaged to determine the reimbursement rate. If the amount of the flight was deemed as reasonable, this is not required.

The following travel costs would not be covered by FAA:

• airport parking fees
• manual check-in fees
• SMS itinerary costs
• travel insurance, or
• entertainment bundles
• seat allocation
• accommodation booked during the period of travel

Fares Allowance can generally be paid to students to cover the cost of one standard piece of checked in luggage.

If an airline charges extra for 1 piece of luggage, FAA may be paid for this luggage. This applies whether the person has pre-booked the fare and luggage together, or the luggage is purchased at the time of check-in.

Note: In some cases, additional luggage costs may be covered by FAA where the cost of the excess baggage for a flight, is required to transport living necessities or personal belongings, such as essential kitchenware. While it would be reasonable to expect a student may require excess baggage if they are moving to a premises for the first time, it would not be reasonable for excess baggage to be booked if they are returning home for a holiday period and maintaining their residence where they study. FAA may also cover excess baggage costs to transport necessary course equipment for example, a music student has to transport their musical instrument in order to complete their course of study.

When making an unfavourable decision, speak to the customer:

• explain the decision
• give them a chance to provide more information, and
• advise their review and appeal rights