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Partner Income Test for ABSTUDY customers 22 years and over 010-08010030

This page contains information on the effect of Partner Income Test on ABSTUDY customers 22 years and over.

Effect of Partner Income Test for ABSTUDY customers 22 years and over

Step	Action
1	The partner of an independent ABSTUDY customer has declared they have income Note: for ABSTUDY customers, the Partner Income Test will only apply if the customer is independent and a member of a couple. Is the ABSTUDY customer under 22 years of age? Yes, see Partner Income Test for ABSTUDY customers under 22 years old, Austudy and Youth Allowance students and Australian Apprentices. Procedure ends here No, determine the partner's fortnightly income before tax. Go to Step 2
2	Partner in receipt of a Services Australia or Department of Veterans' Affairs (DVA) pension Is the partner in receipt of a Services Australia or Department of Veterans' Affairs (DVA) pension? Yes, a different Income Test applies. See Income Test for pension customers with partners on allowance. Procedure ends here No, go to Step 3
3	Determine the Partner Income Free Area There is a set Partner Income Free Area for ABSTUDY customers 22 years of age or over. This is similar to the partner income cut-out point for JobSeeker Payment (JSP) and subject to Consumer Price Index (CPI) changes in March and September each year. The age of the partner is not relevant See Rates and Thresholds for current and historical rates of payment. Adjustments are made for any dependent children, and the partner's Income Bank balance (if applicable). For a partner receiving one of the following income support payments, or not receiving an income support payment, add any adjustments for dependent children to the base Partner Income Free Area: JobSeeker Payment Parenting Payment (Partnered) Special Benefit Youth Allowance (as a jobseeker) For a partner receiving ABSTUDY Living Allowance, Austudy or Youth Allowance (YA) as a student or apprentice, add any adjustments for dependent children plus the partner's Student Income Bank (SIB) balance to the base Partner Income Free Area See the Dependent ABSTUDY rates table and/or ABSTUDY Partner Income Free Area Adjustment Chart in the Resources page for details of dependent adjustment amounts.
4	Partner income excess Partner income excess = Partner's income before tax - Partner Income Free Area. Is there a partner income excess? Yes, go to Step 5 No, the partner's income will not affect the ABSTUDY customer's payment. Apply the Personal Income Test to determine how much the customer's income (if any) will reduce their payment. For information about applying the Personal Income Test, see Personal Income Test and Income Bank for ABSTUDY, Austudy and Youth Allowance (YA) students and Australian Apprentices. Procedure ends here
5	Determine the amount of the partner's income reduction Partner income reduction = partner income excess (from Step 4) X 0.5.
6	Apply the Personal Income Test to determine the customer's income reduction This is the amount of the customer's income, if any, which will affect their payment. For information about applying the Personal Income Test, see Personal Income Test and Income Bank for ABSTUDY, Austudy and Youth Allowance (YA) students and Australian Apprentices.
7	Determine the amount payable per fortnight Amount payable = maximum fortnightly rate - partner's income reduction (from Step 5) - customer's income reduction (from Step 6). For current maximum rates, see Rates and Thresholds.
8	Document outcome Record details of outcome on a DOC.