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Item |
Scenario |
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1 |
David claims Youth Allowance (YA) (job seeker) at the unreasonable to live at home (UTLAH) rate within 4 weeks of leaving home. David is a 17 year old job seeker, living in safe and secure accommodation with an aunt, but has minimal funds. While waiting for the YA/UTLAH claim to be finalised, David's aunt is meeting some of David’s immediate needs. David needs to pay her back. David is granted YA/UTLAH.
David indicates there is only $20 in their bank account. As this is less than 2 weeks' allowance at the maximum payment rate payable to David, they would be considered to be in severe financial hardship.
David will qualify for a waiver of the OWP as the personal financial crisis occurred within the 4 weeks prior to the start date of payment, and provides the following:
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Evidence of current liquid assets. This could be a bank statement or a digital copy of account information showing transactions over the relevant period (date ceased work or previous circumstance to date of claim), it must include:
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BSB and account number
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current account balance
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account holders name
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Bills or receipts to show that some of David's expenses meet the criteria for unavoidable or reasonable expenditure
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A letter/statement from David's aunt stating that David’s aunt covered these costs and that David is required to reimburse these expenses
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Information on David's record regarding the UTLAH claim is also to be considered supporting evidence of these circumstances
The waiver code for the OWP would be RUE (unavoidable or reasonable expenditure).
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2 |
Nina claims JobSeeker Payment (JSP) after losing a casual waitressing job. Nina is in hardship, and when the Service Officer assessing Nina's claim discusses the criteria for personal financial crisis, Nina advises of an abusive relationship until about 3 weeks ago, when the ex-partner moved out.
Nina has no supporting evidence such as a domestic and family violence order, police report, doctor's report, or letter from a support service. Nina saw a social worker at the local health centre to seek support prior to the ex-partner moving out.
If Nina can provide the following evidence, the OWP will be waived:
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proof of current liquid assets. This could be a bank statement or a digital copy of an account showing transactions over the relevant period (date ceased work or previous circumstance until date of claim). It must include:
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BSB and account number
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current account balance
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account holders name
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a letter from the health service to confirm that Nina attended their service within the last 4 weeks due to issues related to domestic or family violence, or
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verbal verification from the health service. Verification could be obtained via an outbound call made to the service, with Nina's consent, by the Service Officer assessing the claim and OWP waiver
The waiver code for the OWP would be DOM (domestic or family violence).
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3 |
Dan is 21, claims Youth Allowance (YA) (job seeker) who is eligible for the living away from home rate of payment. Dan had $750 and became unemployed 2 weeks ago. Dan lives in rental accommodation and pays $150 per week rent, and has liquid assets of $350 at the time of Dan's claim. Dan claims hardship and as evidence provides a bank statement covering the relevant period (date ceased work or previous circumstance until date of claim) and a $20 supermarket receipt for groceries.
If some or all of the following evidence can be provided, Dan will qualify for a waiver of the OWP as Dan is experiencing a personal financial crisis (including being in severe financial hardship) and his available funds are less than 2 weeks at the maximum rate of payment:
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a rent receipt covering a period of time within the 4 weeks prior to the payment start date, plus any utility bills paid within the 4 weeks, or
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a bill or invoice for a more substantial expense such as car repairs, or
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a combination of evidence such as rent, bills and/or other unavoidable or reasonable expenditure
The waiver code for the OWP would be RUE (unavoidable or reasonable expenditure).
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4 |
Rory is aged 20 and claiming Youth Allowance (YA) (job seeker) after losing a casual job. Rory advised of $1,200 in their bank account and no cash 4 weeks ago, however they advised that they now have $200 in their bank account and $50 on hand for day-to-day expenses. Rory advised of no other liquid assets. Rory lives in rental accommodation with two friends and pays $200 per month for rent.
When asked about expenses over the last four weeks, Rory advised expenses including:
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$200 rent
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a new phone for $600 as an upgrade
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a special gift and dinner for their mum's 50th birthday last week, which cost $150
Rory provides evidence of paying the rent and the purchase of the new phone.
A gift and dinner for Rory's mother is not considered an unavoidable expenditure.
Purchasing a new phone is generally not considered an unavoidable or reasonable expenditure. The purchase amount would be disregarded in calculating severe financial hardship unless Rory can provide evidence that the old phone no longer worked and this was the main form of contact for prospective employers.
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If Rory provides evidence to support that the new phone was essential, it could be considered as unavoidable or reasonable expenditure and the OWP waived as Rory's available funds would be under the allowable limit
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If no suitable evidence for the purchase of the phone was provided, the OWP should not be waived, as the assessed available funds would be over the allowable limit. For example, Rory had $1,000 4 weeks ago minus unavoidable expenditure of $200 equals $1,000 assessed as available funds. This is more than 2 weeks benefit Rory would be entitled to, therefore Rory would not be considered in severe financial hardship
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5 |
Jenna is claiming JobSeeker Payment (JSP). Jenna provides a bank statement showing $1900 in their bank account 4 weeks ago and provides another confirming only $150 remains. Jenna also has $90 in cash and confirms there is no other liquid assets. Jenna's Employment Separation Certificate confirms no leave payments are due.
Jenna lives in a rental property costing $200 a week, and provides bank statements to verify rent payment. Jenna also provides a receipt for car registration of $700 3 weeks ago.
Jenna has provided suitable evidence that the reasonable cost of living and an unavoidable financial expense have placed Jenna in severe financial hardship. Jenna now only has $240 in available funds. Because Jenna's funds are less than 2 weeks at the maximum rate of payment, Jenna is eligible to have the OWP waived.
The waiver code for the OWP would be RUE (Unavoidable or reasonable expenditure).
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6 |
Karl is 20 years old, claiming Youth Allowance (YA) (job seeker). Karl lost a full time job 2 months ago and has been unable to find new employment.
Karl moved back into their parents' home a week after losing the job, and Karl’s parents have been taking care of all Karl's financial costs.
Karl brings in a bank statement with $13 in the bank account and $20 in cash. A bank statement provided from 4 weeks ago shows that Karl had $53 in the bank account and $40 in cash.
Karl is not eligible to have the OWP waived because, even though Karl is in severe financial hardship, these expenses cannot be proven to be unavoidable or reasonable expenditure.
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7 |
Roseanne is claiming JobSeeker Payment (JSP) after losing a part time job last week. Rosanne's partner, Greg, currently works part time and earns $200 each fortnight.
Roseanne produced a digital copy of a joint bank account that verifies Roseanne and Greg currently have $400 in their bank account. Roseanne also produces a bank statement showing they had $600 in their bank account exactly 4 weeks ago.
Rosanne produces receipts for groceries purchased during the 4 weeks prior to Roseanne's start date totalling $190. Roseanne also provides evidence for utility bills paid during this period that totals $200.
Rosanne and Greg have demonstrated they are in severe financial hardship and have provided evidence of the expenses they have incurred in line with the reasonable cost of living. Together the couple have less than twice the amount of 2 weeks at the maximum rate of payment Rosanne would be entitled to, so Rosanne is eligible to have the OWP waived.
The waiver code for the OWP would be RUE (unavoidable or reasonable expenditure).
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8 |
Customer reclaims within 13 weeks
OWP outcome - customer IS NOT subject to OWP because they have reclaimed within 13 weeks of basic rate dropping to $0 on 05/08/2022
01/07/2022 - JSP granted at basic rate
05/08/2022 - JSP remains current but basic rate drops to $0. Customer still receives some add-ons.
19/08/2022 - JSP CANcelled with date of effect of 19/08/2022
02/11/2022 - Customer submits JSP new claim
OWP outcome - customer IS subject to OWP as, even though they have reclaimed within 13 weeks of cancellation date of 19/8/2022, customer has not reclaimed within 13 weeks of basic rate dropping to $0 on 05/08/2022
01/07/2022 - JSP granted at basic rate
05/08/2022 - JSP remains current but basic rate drops to $0. Customer still receives some add-ons.
19/08/2022 - JSP CANcelled with date of effect of 19/08/2022
16/11/2022 - Customer submits JSP new claim
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