Qualification for payment of Rent Assistance (RA) 108-08080010

RA is an add-on payment. Customers can only get RA when they receive another payment. The RA start day for new claims will generally be the same as the start day for the primary payment. Rent and accommodation details are recorded on the Accommodation Details (AC) screen.

An A-Z of all Rent Assistance terms and codes is in Rent Assistance (RA).

For RA, rent means amounts paid or payable:

• on a regular basis
• by the customer, or their partner
• as a condition of occupying their principal home in Australia

RA is payable to a qualifying customer (or their partner) who:

• is receiving an income support payment (including Austudy from 1 January 2008)
• is receiving more than base rate Family Tax Benefit (FTB) Part A
• would receive FTB Part A except that they have care of a Regular Care Child
• is receiving ABSTUDY Schooling B and Tertiary Awards

RA is not payable to customers who:

• pay less than the rent threshold according to their family circumstances
• pay government rent to a state or territory housing authority. The exception is defence force housing. View the definition for Government rent to see a list of the state housing authorities.
  Note: the National Rental Affordability Scheme (NRAS) is an Australian Government initiative but it is not government rent. Non-government organisations own and manage these properties. This scheme is due to end in 2026 and properties will be exiting the scheme. This will not impact the customer’s eligibility for RA, providing they continue to meet all RA eligibility requirements.
• are assessed as an ineligible homeowner and are living in the home they own
• is a homeowner temporarily absent from the principal home and does not meet the eligibility for RA for their temporary accommodation
• reside in an Australian Government subsidised bed in an accredited aged care home
• provides services in exchange for free accommodation
• paying rent as part of a 'rent to buy' scheme
• receive either Age Pension (blind) or Disability Support Pension (DSP) (blind) when income and assets have not been assessed
• receive their entire payment as a loan under the Home Equity Access Scheme (HEAS)
• are residing in Australia, paid under an International Social Security Agreement and receiving a proportional rate of payment
• receive (or whose partner receives) Incentive Allowance
• receive (or whose partner receives) Second Home Allowance
• are excluded because of eligibility rules that apply to some young single customers when they are living in the principal home of a parent. This depends on the payment type received and their age. See the Process page for more information
• receive ABSTUDY Schooling A, Part-time, Testing and Assessment, Masters and Doctorate, Student in Lawful Custody Awards
• receive FTB Part A rate reduced to the base rate due to income or maintenance income
• lose access to their FTB Part A because it is precluded or prohibited due to:
• non-payment of FTB instalment payments to zero entitlement customers
• prohibition of FTB instalment payments (PIP)
• RA can be paid with the customer's income support payment if non-payment of FTB instalment payments to zero entitlement customer applies. See Customers receiving Rent Assistance (RA) with their primary payment instead of Family Tax Benefit (FTB)
• are in a payment preclusion period

RA is paid at the rate of 75 cents for every $1 of rent paid over the rent threshold, up to the maximum RA rate relevant to the customer's circumstances. That is, subtract the threshold from the rent amount and multiply by 0.75. Include cents. Round the total up to the nearest cent and compare with the maximum RA rate.

When a customer pays for board and lodgings, if the amount for lodging cannot be identified, two-thirds of the total amount is considered to be for rent.

If the customer shares their accommodation, the rate can be reduced.

The income and assets test that applies to the primary payment also applies to RA.

When RA is paid with an income support payment, the hierarchy of reductions is applied reducing the basic pension or benefit first under the means test, then other components including RA.

When a customer has excess income or maintenance income affecting their rate of FTB Part A, each component (including RA) is reduced proportionately. For more information, see Apportionment of income/maintenance reduction for Family Tax Benefit (FTB) Part A.

Help offered through rent relief schemes can impact on payability of RA. Generally, RA is payable only on the amount of rent paid or payable by the RA recipient (and/or their partner) net of any subsidies or payments from other tenants.

There are a few exceptions to this for specified rental relief schemes where the RA recipient (and or their partner) will qualify for RA on the amount of rent nominated on their lease and any subsidy they are provided is disregarded. However, if part of the rent is covered by payments from other tenants, these amounts are not disregarded.

See the Process page for more information.

Customers paying rent to a community housing organisation are entitled to RA. For more information about community housing organisations, search Community housing and OHO in the A-Z of Rent Assistance terms and codes. Community housing organisations include (but are not limited to):

• Transitional housing programs - generally short term housing for people who are homeless
• Housing co-operatives
• Disability housing
• Aboriginal housing organisations

Note: customers in Victoria who have a lease with the Transitional Housing Management (THM) program are paying government rent and are not entitled to receive RA.

RA may be payable, in certain circumstances, to customers who live in temporary accommodation.

In general, all customers who receive RA may now be selected for a Rent Assistance (RA) Profile review.

A homeowner who is not eligible for RA is known as an ineligible homeowner. Some exemptions apply.

It is the responsibility of all Services Australia staff to make sure customers who are experiencing or at risk of homelessness are given additional support and information to:

• lodge a claim for an income support payment if they are not on payment
• apply for a formal review a decision, if they disagree with it
• code a Homelessness Indicator on the customer's record if the customer consents
• consider if they need an:
• internal referral to an agency specialist
• external referral within the community, such as emergency accommodation or welfare agency help