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ABSTUDY customer in State Care 010-02040060

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If a child is in immediate danger or risk of harm you must act, and a delegate must call Triple Zero (000). If you have concerns about a child’s safety, conduct the risk and referral process.

This document outlines the assessment of a customer's status when in State Care.

On this page:

ABSTUDY customer in State Care

Coding independence details

Assessing customer entitlement to ABSTUDY

ABSTUDY customer in State Care

Table 1

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Step

Action

1

Customer in State Care turning 18 years of age

Has the customer contacted as they are turning 18 years of age or a Manual Follow Up (MFU) with keywords U18AFH and I033YB been allocated?

2

State Care

Is the student or Australian Apprentice currently, or have they ever been in State Care?

See the Resources page for scenarios where a student may not be assessed as being in State Care.

3

Foster care allowance

A foster care allowance or similar allowance is a payment made by a state/territory department to a nominated carer which is intended directly for the upkeep or personal use of the person under care.

The carer of an ABSTUDY customer must receive the foster care allowance or similar allowance on a 'regular basis'. Where a carer does not receive an allowance on a regular basis (for example respite carer receives an allowance for the upkeep of a student whilst in their care during school holidays), the respite carer is not considered to be receiving a regular foster care allowance for ABSTUDY purposes.

The Resources page contains examples of funding elements available under the various state and territory government programs and how they are treated for ABSTUDY purposes.

Note: verbal advice of the foster care allowance being paid is sufficient evidence to pay the at home rate of ABSTUDY.

Where a customer has provided evidence of being in State Care, and the documentation does not include details of whether a foster care or similar allowance is being paid, the at home rate of ABSTUDY is payable until further evidence is submitted.

Has the student or Australian Apprentice in State Care already been granted ABSTUDY at the at home rate, and has now provided evidence to confirm that a foster care or similar allowance is not being paid to the carer?

4

Documentation required

Customers currently living in State Care must provide a written statement which includes both of the following from the relevant government agency:

  • confirmation that a direction or authorisation by a minister, court or department is currently in effect in relation to their care, and
  • advice of the care arrangements, including the name and address of the person(s), Government agency or other organisation authorised to care for them

To qualify for the ABSTUDY Away from Home rate, the written statement must also include details that confirm the person or organisation authorised to care for the student is not receiving any continuous payment to assist directly with their upkeep.

Note: if the documentation does not include details of whether a foster care or similar allowance is being paid, the at home rate of ABSTUDY is payable until further evidence is submitted.

Where a state/territory department contracts out to a private provider to coordinate placement of a customer in care, the letter authorising the placement must be signed by an officer of the appropriate state/territory authority.

Tell the student or Australian Apprentice of the above. If required, send a request for the documentation, see Requesting information (CLK).

Has suitable documentation been provided?

  • Yes, for:
    • Phone contact: Typically done by Smart Centre staff. Staff may complete this step if they are trained.Telephony staff, send a Fast Note to the ABSTUDY Smart Centre Processing team for action
      Select Auto text use Students, ABSTUDY and Apprentices > Update > ABSTUDY action required. Procedure ends here
    • Processing Team: Typically done by specialised processing teams in a service centre or Smart Centre. Unless otherwise stated, staff may complete this step if they are trained.Processing staff, go to Step 5
  • No:
    • Tell the customer what documents are required
    • Record details on a DOC of decision or discussion
    • Procedure ends here

5

Student current circumstances

For ABSTUDY purposes, the student or Australian Apprentice may meet the qualification for State Care.

If the student or Australian Apprentice is currently:

  • living in a government funded or subsidised refuge or residential care facility, and the state/territory department has not accepted ongoing responsibility for the customer, see Table 2
  • in care of a person or organisation, see Table 3
  • not in State Care due to age, see Table 3 > Step 2

6

State Care MFU or Review for State Care students turning 18yrs old

A Manual Follow-up Activity (MFU) with the keywords U18AFH and I033YB is automatically created when the student reaches 17 years and 11 months of age.

Confirm if a foster care or similar allowance will continue to be paid from the state or territory government. This will determine the rate of ABSTUDY Living Allowance payable from the student's 18th birthday.

Some state and territory governments continue to support people in State Care, including through payment of an allowance, after their 18th birthday. See the Resources page for examples of the funding elements available through these programs and how they are treated for ABSTUDY purposes.

For:

7

Initial MFU allocation

Make genuine attempts to contact the customer to determine whether the state or territory government will continue to pay a foster care or similar allowance on the customer's behalf.

Was contact successful?

8

Successful customer contact

Explain the effects to the customer's rate of payment if:

  • the foster care allowance has or will cease
  • other funding elements have or will be paid under state and territory government programs

To determine how funding elements considered to be assessable income may impact the customer’s payment, see Assessment of income for Centrelink payments.

If the customer is unable to confirm if the state or territory government will continue to pay a foster care or similar allowance or other funding elements, obtain permission to contact the carer and/or state or territory department.

Provide the customer with information about additional support such as Transition to Independent Living Allowance. If the customer has requested or may benefit from a referral to an external support service, see Referral to external support services.

If appropriate, consider a referral to a social worker.

Was the required information provided?

9

MFU allocation after Q999 letter has been sent

Confirm and review that all the documentation requested has been provided.

Has confirmation the student is out of State Care due to age been provided?

  • Yes, see Table 3 > Step 2
  • No, student will remain on current rate until documentation is provided. DOC record and cancel the MFU. On the AL screen
    • Select the MFU
    • Select radio button (C)
    • Select Continue
    • Select radio button Y–s - Cancel the Activity
    • Select Continue
    • Procedure ends here

10

Send Q999
  • Send an ABSTUDY student in State Care turning 18 Q999 letter
  • Record details on a DOC of action taken
  • Place the allocated MFU on hold for an additional 21 days to allow requested documents to be provided. On the AL screen:
    • Select the MFU
    • Select radio button (O)
    • Select Continue
    • Update Resubmit Date field: 21 days after today
    • Update To Regional Office field: ABS
    • Select Continue

Procedure ends here.

11

Update Independent/Homeless/Away from Home Details (NIH) screen

If evidence was provided to confirm the carer does not receive a foster care or similar allowance, the student is eligible for the Away from Home rate of ABSTUDY. Staff must update the NIH screen.

Has the carer received a foster care or similar allowance at any point after the current ABSTUDY grant date?

  • Yes, see Table 3 > Step 9
  • No:
    • Go to the Independent/Homeless/Away From Home Summary (NIHS) screen
    • Select the current NIH line
    • Update the following fields:
      - Reason: key 'AFN' - ABSTUDY Away from Home rate payable to customer
      - Action: key 'C'
    • Select Continue
    • See Table 3 > Step 11

Coding independence details

Table 2

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Step

Action

1

Claiming Independence

If the student or Australian Apprentice:

  • is applying with their ABSTUDY Claim (SY019), ensure questions on the student Circumstances or Australian Apprentice circumstances are completed
  • has lodged their claim form (SY019) and not completed the above, issue an ABSTUDY Additional Information Form (SY023) and tell them to complete the relevant questions regarding their circumstances
  • is applying for independent status after the grant of ABSTUDY, either:
    • verbally obtain the required information from the customer, or
    • issue an ABSTUDY Change of Circumstances/Enquiry Sheet (SY053), indicating they are claiming independent status because they have been in State Care

2

Student or Australian Apprentice further criteria

Check if the student or Australian Apprentice meets all of the following:

  • was previously in State Care
  • has left the carer's home
  • is living in a government funded or subsidised refuge or residential care facility
  • the state/territory department has not accepted ongoing responsibility for the customer

Does the student or Australian Apprentice meet all of the above criteria?

3

Updating independence

Processing Team: Typically done by specialised processing teams in a service centre or Smart Centre. Unless otherwise stated, staff may complete this step if they are trained.

Update the customer's ABSTUDY independence details.

On the Independent/Homeless/Away from Home Details (NIH) screen in the ISS system, update:

  • Action: field, key 'HOM'
  • Start Date: field, code the date of grant of independence status
  • Start/Reject Reason: field, key 'HOE'
  • Consent to Contact: field, key 'CNG'

Do not complete the End Reason and End Date fields.

Is the student undertaking an approved scholarship course?

4

Independence for under 18 years old

Processing Team: Typically done by specialised processing teams in a service centre or Smart Centre. Unless otherwise stated, staff may complete this step if they are trained.

For under 18 year olds who are granted the independent status due to homelessness (UTLAH), ensure:

  • the student or Australian Apprentice has provided their own bank account details and
  • that these details are recorded on the system

This will avoid difficulties that are likely to arise if the ABSTUDY payments are incorrectly directed to the parent(s).

Record details on a DOC of decision or discussion.

Procedure ends here.

5

Not eligible for ABSTUDY criteria on being, or having been in State Care

The student or Australian Apprentice is not eligible for grant of Away from Home/independent status for ABSTUDY based on being or having been in State Care.

Complete the following tasks:

  • tell the customer of the decision (including reasons for the decision). Explain review and appeal rights to the customer
  • consider whether the customer is independent on other grounds. See Independence for ABSTUDY customers
  • consider whether the customer is eligible for the Away from Home rate. See Away from Home rate for ABSTUDY
  • if appropriate, refer the customer for other assistance, such as social worker, Indigenous Service Officer

Record details on a DOC of decision or discussion.

Phone contact: Typically done by Smart Centre staff. Staff may complete this step if they are trained.Note: while general advice based on information provided by the customer can be given over the phone, encourage the customer to test their eligibility, particularly in cases of discretionary decisions.

Procedure ends here.


Assessing customer entitlement to ABSTUDY

Table 3

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Step

Action

1

Age of customer

The student or Australian Apprentice must meet one of the following:

  • has turned 15 years age or older, and is:
    • undertaking either full-time primary or secondary studies (including non-schooling studies) and
    • eligible for the Schooling B Award
  • has reached the minimum school leaving age and is:
    • undertaking a post-secondary course at either full-time or concessional study load, and
    • eligible for either the Tertiary or Masters and Doctorate Award

Does the student or Australian Apprentice meet either of the above criteria?

2

Coding when a student ceases to be qualified for State Care only because of their age

Processing Team: Typically done by specialised processing teams in a service centre or Smart Centre. Unless otherwise stated, staff may complete this step if they are trained.

For ABSTUDY purposes, a student or Australian Apprentice meeting the qualification for State Care but has ceased care only because of their age, can qualify for entitlements available to students or Australian Apprentices who are still formally in State Care.

If the customer:

  • remains living with the carer they were placed with, they will remain PIT linked to that person
  • ceases to live with a carer, they will need to be PIT linked to the state/territory department previously responsible for the customer

Customers who cease being qualified for State Care due to age are entitled to receive ABSTUDY Living Allowance at the Away from Home rate.

Is the customer living with the carer they were placed with?

3

Criteria for Away from Home rate

Students who do not meet any criteria in Step 1 will need to meet an Away from Home criteria to be eligible for ABSTUDY.

When assessing eligibility for the Away from Home rate for ABSTUDY customers in State Care, the Permanent Home is defined as follows:

  • For ABSTUDY customers in State Care who have a foster carer, the permanent home is the place where the foster carer normally resides
  • For ABSTUDY customers in State Care who do not have a foster carer, the permanent home is the place where they normally reside

A student may be placed into the care of a boarding school. These students would be eligible for the Away from Home rate under 'Home Conditions' as they do not have a place where they 'normally reside'.

Do not assess the Away from Home rate from the place that the customer was removed from before being placed into State Care.

Does the customer meet an Away from Home criteria?

  • Yes, and the student/apprentice is in care of:
  • No:
    • The customer is not eligible for ABSTUDY under State Care
    • Check eligibility for other ABSTUDY entitlements
    • Record details on a DOC of decision or discussion
    • Procedure ends here

4

Customer in care of a person

Customers in State Care are not considered to be independent, however they are exempt from the parental income test.

The following carer information is required when a student is in State Care and placed into the care of a person, if the student is:

  • 16 years of age or over - as the student is the applicant, carer information can be obtained through:
    • the ABSTUDY claim, or
    • a Parent or Guardian details - for the BASE tax year and CURRENT tax year for dependent Youth Allowance or ABSTUDY customers (MOD JY) form (signed or unsigned by the carer), or
    • State Care documents provided, or
    • verbally over the phone
  • under 16 years of age - as the carer is the applicant, carer information can be obtained through:
    • an ABSTUDY claim lodged via the ABSTUDY Claiming Tool, with the verbal declaration completed by the applicant, or
    • an ABSTUDY claim form, signed by the applicant, or
    • a MOD JY form, signed by the applicant

Tell the student or Australian Apprentice of the above. If required, send a request for the documentation, see Requesting information (CLK).

Note: when a child is placed with a foster carer by Territory Families (Northern Territory Government), they are considered to be placed into the care of an organisation. If the student is located in the Northern Territory, go to Step 5.

Has suitable documentation/information been provided on who is the students carer?

  • Yes, go to Step 7
  • No:
    • Tell the customer what documentation is required
    • Record details on a DOC of discussion
    • Procedure ends here

5

Student placed into the care of an organisation

Customers who are linked to a state/territory department, a MOD JY is not required.

Where staff of the organisation have not signed the application form as 'the applicant', any formal correspondence returned from the organisation regarding the child's care may be accepted. This is sufficient evidence that the information in the claim about the customer is correct.

The Resources page has examples.

The State Care customer needs to be PIT linked to a person record. To create the PIT link, go to Step 6.

6

Applying PIT links when in care of an organisation

Processing Team: Typically done by specialised processing teams in a service centre or Smart Centre. Unless otherwise stated, staff may complete this step if they are trained.

Due to system limitations, Service Officers must follow this process where the ABSTUDY student or Australian Apprentice who is in State Care does not have a carer (person) to PIT link to.

Identify which state/territory department is responsible for the customer, to ensure the organisation has not already been added as a person in all environments. Undertake a national search on the Name Search (IN) screen in the ISS (for ABSTUDY) system. Use PER as the search type.

If there is no record or a new person, create a new one in the same environment as the ABSTUDY customer:

  • Enter the organisation details on the IN screen:
    • Surname of Person: field, state/territory department name
    • First Name or Initial: field, Department of
    • Gender: field, select from female, male, or non-binary
    • Date of Birth: 29/02/1920
    • ServRsn: field, PAR
    • Activity: field, ADD
    • select Search
  • If the search has identified that 'no record has been found', key 'AP' in the Nxt: field
  • Update the Add Person (AP) screen:
    • Surname First Name, Gender, and Date of Birth should default from IN screen
    • Address: the address of the state/territory department. Note: a contact phone number is not compulsory
    • Interpreter Language: field, ENG - English
    • Indigenous Indicator: field, D
    • Note: use field help ('?') if unsure of what to code in a particular field
    • Accept (Y/N): field, code 'Y' for Yes, if an 'N' for No is coded, return to the IN screen to conduct another search and repeat the above
    • select Continue
  • When the organisation's details are recorded on the AP screen, the system will create a record for the parent, generating a CRN
  • Code the Tax File Number exemption reason 'CAT'. See Tax File Number (TFN) for ABSTUDY
  • Finalise the PAR/ADD activity. Select this activity on the Activity List (AL) screen of the record, key 'FIN' in the Nxt: field and press [Enter]

When the record has been added, or if a record is already created, make a note of the CRN, as it will need to be used to for PIT linking.

Go to Step 7.

7

Coding Household Income and Assessments (NHI) screen

Link customers in State Care to the carer, guardian or organisation with whom they have been placed into care. Use the SVC Reason Code: FSP - Foster Parent. For more information, see Creating, updating and ending Parental Income Test (PIT) links for dependent student, Australian Apprentice and job seeker customers.

The Foster Parent PIT Exemption Reason should display on the NHI screen.

Record a Display on Access (DOA) DOC on the customer's record advising the student is in State Care. Include the carer, guardian or organisations name and contact details.

Go to Step 8.

8

Coding required to pay the correct rate to customers in State Care

Processing Team: Typically done by specialised processing teams in a service centre or Smart Centre. Unless otherwise stated, staff may complete this step if they are trained.

Where the student or Australian Apprentice is considered to be in State Care and is entitled to Living Allowance, it is paid at the following rates:

  • if the carer receives a regular foster care or similar allowance, the standard rate of Living Allowance is payable; or
  • if the carer does not receive a regular foster care or similar allowance or the customer is no longer in State Care due to age, the Away from Home rate of Living Allowance is payable

Update the Independent/Homeless/Away from Home Details (NIH) screen based on the student's circumstances.

Is there is a current entry on the Independent/Homeless/Away from Home Summary (NIHS) screen?

9

Updating the NIH screen

If the ABSTUDY customer has had a change in circumstances and the carer has commenced/ceased receiving a foster care or similar allowance:

  • select the current NIH line
  • update the following fields:
    • End Date: key the day before the change in circumstances
    • Action: key 'C'
  • select Continue

Go to Step 10.

10

Code new NIH entry

Add a new entry with the following:

  • Action: key 'AFH'
  • Reason:
    • 'AFN' - ABSTUDY Away from Home rate payable to customer, or
    • 'AFY' - ABSTUDY at home rate payable to customer
  • Start Date: key the later of the:
    • ABSTUDY start date
    • date the student or Australian Apprentice commenced being in state care, or
    • date foster care allowance or similar allowance commenced/ceased being paid

Note: where the student meets the State Care criteria and an Away from Home criteria, code NIH with the State Care reason of AFY or AFN. Place a DOA DOC on the record with the Away from Home criteria met.

Go to Step 11.

11

Recording decisions

If the student is studying an approved scholarship course, see Relocation Scholarship (RS) payment and coding for coding the Regional Location Details (RLD) screen.

Record details on a DOC of decision or discussion.

If an assessment on eligibility for Away from Home Entitlements is required, see Assessing eligibility for Away from Home Entitlements for ABSTUDY customers.

If funding element/s that are considered assessable income are being paid and are not being used for crisis relief, see Assessment of income for Centrelink payments to complete any required updates.