Income for an independent contractor and commission income 043-03050030

Type of commission used

Assessment

Amount paid in each entitlement period (EP) is known.

Assess income paid in fortnight as income in 1 period (IOP). The customer reports the amount paid in the EP. Customer will be a statement reporter.

Regular payments are equal to or less than 2 weeks apart, but the period the commission covers is greater than one entitlement period (EP).

Assess income paid in the entitlement period (EP) as income longer than one period (LOP). The customer will need to provide the start date and the end date of the period the commission was paid for.

Regular payments of commission income are greater than 2 weeks apart. Period commission is paid for is greater than one entitlement period (EP).

Assess using LOP frequency for the number of days the payment represents from the start of the entitlement period (EP) in which it is paid. For example, if the payment is for a period of 31 days, assess as lump sum income for 31 days from the entitlement period start date (EPSD). The customer will need to provide the start date and the end date of the period the commission was paid for.

One-off or ad hoc where period paid is known and is greater than one entitlement period (EP).

Assess using LOP frequency for the number of days the commission was paid for. For example, if the commission represents a period of 15 months code the start and dates of the 15 month period and the system will assess the income from the entitlement period start date (EPSD) of the period in which it was paid.

One-off or ad hoc where the period paid is unknown.

Assess using LOP frequency for a period of up to 52 weeks starting from the entitlement period start date (EPSD). If the period cannot be determined after discussions with the customer and a Local Peer Support (LPS), have your LPS refer the case to the Level 2 Policy Helpdesk.