Disbursement of funds when Income Management ends 103-01060000

Amy is on Income Management (IM) and receives JobSeeker Payment (JSP). Amy starts full time work, so the JobSeeker Payment is cancelled, and IM automatically ends.

Amy has a balance of $209.90 in the IM account.

Amy's income managed funds will be paid as a lump sum of $209.90 (as residual amount is less than $210).

Jane is on Parenting Payment Single and advises is now partnered and asks for the Parenting Payment to be cancelled, which results in the Disengaged Youth Income Management ending.

Jane’s IM account balance is $1,659.

Jane’s income managed funds will be paid as 8 instalments of $200 per fortnight, and a final fortnightly instalment of $59.

A customer’s IM balance must be disbursed within 12 months of IM ending, therefore fortnightly instalments will be greater than $200 and will vary depending on when disbursement begins.

Tom's IM ended on 3 January 2016, because they no longer received an eligible income support payment.

Tom does not contact Services Australia to discuss their payments or attend a Disbursement interview, therefore the Auto Disbursement rules are applied.

There are now 306 days, or 21 fortnights, left until 3 January 2017, the one-year anniversary of Tom’s IM ending.

The balance of Tom's IM account ($5,600) is divided by 21 to achieve the instalment amount of $266.66. Tom will receive 20 fortnightly instalments of $266.66, and a final instalment of $266.80.

Warren was being income managed until they passed away on 10 January 2016. There was $340 remaining in their IM account when IM ended due to the cancellation of their income support payment.

The remaining funds were automatically issued to Warren’s last known bank account as a lump sum, but the funds were returned from the bank as the account had been closed.

The funds will remain in Warren’s IM account, and the options available for disbursement will be pursued by the Income Management Payment and Contact Team (IMPACT). However, funds must be disbursed before 10 January 2017.

For more details, see Death of an income managed customer.

Alex was on Child Protection IM, which has ended. They have an IM balance of $635. Alex does not have any immediate or short-term needs and is happy with the auto disbursement of their IM funds. Alex’s IM funds will be disbursed in the following manner:

On 20 July:

• The system holds $400 of their IM funds, of which $200 will be delivered to their bank account the next business day and hold $200 for disbursement for the next fortnight
• The customer will have current IM balance of $635 with an available balance of $235

On 21 July:

• First auto disbursement of $200 is delivered to the bank account
• Leaving a current IM balance of $435 and available IM balance of $235

On 4 August, the system will:

• Auto disburse $200 to the bank account
• Hold $200 for the next fortnight (18 August)
• Current IM balance will be $235 and available IM balance of $350

On 18 August, the system will:

• Auto disburse $200 to the bank account
• Hold $35 for the next fortnight (1 September)
• Current IM balance will be $35 and available IM balance of $0

On 1 September, the system will:

• Auto disburse the last $35 of IM funds to the bank account
• Current and available IM Balance $0