Assessing entitlement to Youth Allowance (YA) special rate for Long Term Income Support Student or migrants studying English language courses 010-06040030

Note: customers aged 21 who received the LTIS rate of Youth Allowance (YA) before 1 July 2012 in relation to their current course (including English as a second language course) or Australian Apprenticeship, remain eligible for the LTIS rate after 1 July 2012 (that is, these customers are entitled to the LTIS rate of YA under the grandfathering provision). Grandfathered customers should have previously been identified.

Is the customer aged 22 years or older

• Yes, go to Step 2
• No, the customer is not eligible for the LTIS rate of YA. Record reasons for the decision in a DOC. Procedure ends here

Was the customer receiving JSP when they started study?

• Yes, go to step 3
• No, go to step 4

Does the course have a duration of at least 12 months?

• Yes, go to step 4
• No, the customer does not qualify for YA, so the LTIS rate does not apply. See Determining minimum and maximum age for Youth Allowance (YA) for more details

• Yes, the customer is not eligible for the LTIS rate of YA. Consider whether the customer is eligible for the YA rate payable to a single or partnered person with dependent children. This rate is higher than the standard rate of YA. See Rate chart for maximum payment of Youth Allowance. Record reasons for the LTIS decision on a DOC. Procedure ends here
• No, go to Step 5

• Yes, go to Step 6
• No, go to Step 7

Did the customer start an approved course in English (as a second language) when they were aged 22 or over?

Note: except for grandfathered customers, the LTIS rate is only available to YA customers who commence, or recommence after a break, a qualifying course or apprenticeship when they are 22 years of age or older.

• Yes, the customer is eligible for the LTIS rate of YA. Go to Step 10
• No, go to Step 7

Did the customer start full-time study in an approved course, or an Australian Apprenticeship when they were aged 22 or over?

Note: except for grandfathered customers previously identified, the LTIS rate is only available to YA customers who start or restart qualifying study or an apprenticeship when they are 22 years of age or older.

• Yes, go to Step 8
• No, the customer is not eligible for the LTIS rate of YA. Go to Step 9

When assessing the 39 weeks before starting or restarting qualifying study or an apprenticeship, consider:

• After a break in qualifying study or apprenticeship, the student/apprentice must satisfy the eligibility criteria from the date they restart in order to be paid the LTIS rate. See the Resources page for an example
• Existing LTIS rate customers starting a new course or apprenticeship without a break in qualifying study or apprenticeship can continue to receive LTIS
• Details of previous periods on income support can be found on the Payment Summary (PS) screen. However, the customer may have ceased qualification or payability of these payments and had debts raised. Do not count periods in the assessment where a customer was not eligible for payment but received payments
• Periods when the customer is on an employment income nil rate period do not count towards time on income support

In the 39 weeks immediately before starting or restarting qualifying study or an Australian Apprenticeship, was the customer receiving one or more of the relevant income support payments (YA rules) for at least 26 weeks (182 days)?

• Yes, go to Step 10
• No, go to Step 9

Usually, the LTIS rate is automatically determined by the system, but in very limited circumstances, manual coding may be required. This includes when a customer previously received LTIS but was no longer eligible.

When all updates are completed, check the LTIS rate is not applying:

• For a new claim:
  • select Assess
  • view the system applied rate on the NSS Period Rate Explanation (NREX) screen
• For a non-new claim update:
  • go to the Assessment Results (AR) screen but do not finalise the activity
  • from the menu, select Newstart
  • select Rate Details (RATS) to view the system applied rate

If the system is incorrectly applying the LTIS rate and the customer is not eligible, see NSS system coding for manual rate of payment.

Record the reasons for the decision on a DOC.

Procedure ends here.

Usually, the LTIS rate is automatically applied by the system, but in very limited circumstances, manual coding may be required.

Do not code LTIS on the Rate Component Override (RCO) screen if it has been automatically applied by the system. Once all updates are completed:

• For a new claim:
  • select Assess
  • view the system applied rate on the Period Rate Explanation (NREX) screen
• For a non-new claim update:
  • go to the Assessment Results (AR) screen but do not finalise the activity
  • from the menu, select Newstart
  • select Rate Details (RATS) to view the system applied rate

If manual coding is needed, contact Local Peer Support (LPS). Note: LPS does not need to contact another LPS for coding.

LPS must:

• Check LTIS rate is not automatically applied by the system
• Help Service Officers with coding LTIS manually on RCO (if required)

To code the LTIS rate on RCO:

• In the Start Date: field, enter the correct date. This should be the course/apprenticeship start date or the entitlement start date (whichever is later)
• In the End Date: field, code the date the customer is expected to finish their course or Australian Apprenticeship
• In the Type: field, enter the code 'VBM' (this will change to 'BB RATE' once [Enter] is pressed)
• In the Reason: field, enter one of the following as appropriate:
  • 'LTE' - LTU English 2nd (for customers with a first language other than English who are undertaking an English language course)
  • 'LTS' - LTU DSS Student (for LTIS customers undertaking an Australian Apprenticeship or an approved course)
• Do not enter anything in the AMOUNT: field. The system will calculate the correct rate of payment
• Press [Enter]
• Finalise the activity on the Assessment Results (AR) screen

Note: the system will automatically pay the higher rate of Energy Supplement once VBM is coded using LTE/LTS reason. Do not code a separate Energy Supplement line on RCO.

Include the following:

• name, date of commencement/recommencement and length of course or Australian Apprenticeship
• dates of payment and payment types for periods that counted towards the 26 weeks
• the rate that was coded (that is, LTE or LTS in Step 8), and
• any other relevant details

If RCO was coded within a claim activity, the grant letter will include the required rate information.

If the coding was done outside of a claim, a manual letter is required. Create a Q999 letter to tell the customer the new rate. See Resources for text to use in the letter.