Government Support for Individuals during COVID-19
Expanded access, reduced means testing and waiting times
Updated 17 April 2020
From 25 March 2020, eligibility for the Jobseeker Payment, Parenting Payment and the Youth Allowance Jobseeker will be extended temporarily to include:
- Permanent employees who have been stood down or lost their jobs (and are not receiving payments from an employer or through insurance),
- Sole traders, the self-employed, casuals or contractors whose income has reduced to below $1,075 a fortnight, and
- People who cannot work as they are caring for someone affected by coronavirus.
In addition to this, the normal asset test won’t apply temporarily when determining entitlements to the Jobseeker Payment, Parenting Payment and Youth Allowance Jobseeker.
However, income testing still applies. That means, if your income has reduced to zero or very little, but your partner is still working then this could still impact on whether you are entitled to these payments as well as the amount of the payment you receive.
On 30 March, the Government announced a temporary relaxation of the partner income test for the JobSeeker Payment. Providing your partner earns “less than $3,068 per fortnight, around $79,762 per annum” you should be able to access the JobSeeker payment, and subsequent Coronavirus supplement.
Waiting periods for access to social services support have been reduced or waived:
- The one-week ordinary waiting period is waived.
- The liquid asset test waiting period (applies to those with assets such as cash savings worth over $5,500 for singles or $11,000 for singles with children and partnered people) is waived for those who are eligible for the Coronavirus supplement.
- The newly arrived resident’s waiting period for new migrants (currently four years for these payments) is temporarily waived. Claimants will still need to meet residency requirements, that is they will need to hold a permanent visa. Affected claimants will need to serve the remainder of this waiting period at the end of the period the Coronavirus Supplement is paid for.
- The Seasonal Work Preclusion Period is waived for those who are eligible for the Coronavirus supplement — this applies to those who finished seasonal, contract or intermittent work in the six months prior to claiming income support.
The income maintenance period, affecting those receiving certain lump sums from their previous employer after losing their job, and those who have been stood down but are still receiving leave payments, can be waived in situations of financial hardship but is on a case by case basis.
The Minister for Families and Social Services has been given the power to amend legislation via a legislative instrument to enable changes to be made quickly.
How to access social services payments
Depending on your household income, you might be eligible for some of the stimulus measures even if the social services payment you are applying for is almost nothing as the initiatives are not calculated on the amount you receive just whether you are eligible to receive it.
CRN number
If you have not personally received social services support previously, you will need a Customer Reference Number (CRN) number (apply through myGov). This is an identifying number that lets you create an online account and apply for payments.
To do this:
- Establish a myGov account (which will give you access to most Federal Government services) if you don’t already have one and login
- Click “Register intention to claim”
Centrelink will contact you by phone or email.
The first date your claim starts is the date you click ‘register intention to claim’.
You will need to verify your identity and in order to access social service payments you need to make a declaration that you have been made redundant, stood down etc, as well as showing your current income. For sole traders and contractors, you will need to make a similar declaration stating that the business has been suspended or income has reduced significantly, and prove the reduction in income.
$550 Coronavirus supplement
Eligibility
For six months from 27 April, a $550 per fortnight supplement will be paid to those on the following allowances:
- Jobseeker payment
- Youth Allowance (job seekers and students)
- Austudy for students and ABSTUDY (Living Allowance)
- Parenting Payment
- Partner Allowance
- Widow Allowance
- Special Benefits, and
- Farm Household Allowance.
For those eligible for the coronavirus supplement, the waiting periods for the liquid asset test, newly arrived residents, and seasonal work preclusion period have also been waived.
How is the support calculated?
The $550 payment does not depend on how any social services payment you receive is calculated or the value of any benefits you receive (you might be eligible for just $1 or in some cases $0). The payment is not subject to income or asset testing. It is a payment in addition to any benefits you are currently receiving now.
The payment is taxed.
How is the support provided?
If you are eligible, the coronavirus supplement is automatic. From 27 April, all existing and new eligible individuals will receive the $550 fortnightly payment while they are receiving benefits.
Tax-free $750 payments to social welfare recipients
Two $750 per person income support payments will be made to many social welfare recipients. Eligibility for the second payment is different to the first and does not apply to those who receive the Coronavirus supplement.
Eligibility
The first income support payment, made in March/April, applies to those living in Australia and receiving the following social security payments between 12 March 2020 and 13 April 2020.
- Age Pension
- Disability Support Pension
- Carer Payment
- Parenting Payment
- Wife Pension
- Widow B Pension
- ABSTUDY (Living Allowance)
- Austudy
- Bereavement Allowance
- Newstart Allowance
- JobSeeker Payment
- Youth Allowance
- Partner Allowance
- Sickness Allowance
- Special Benefit
- Widow Allowance
- Family Tax Benefit, including Double Orphan Pension
- Carer Allowance
- Pensioner Concession Card (PCC) holders
- Commonwealth Seniors Health Card holders
- Veteran Service Pension; Veteran Income Support Supplement; Veteran Compensation payments, including lump sum payments; War Widow(er) Pension; and Veteran Payment.
- DVA PCC holders; DVA Education Scheme recipients; Disability Pensioners at the temporary special rate; DVA Income support pensioners at $0 rate.
- Veteran Gold Card holders
- Farm Household Allowance
The second income support payment, made in July, has the same eligibility criteria as the first payment, but excludes those who receive the coronavirus supplement. These are people on the following:
- Jobseeker
- Youth Allowance (job seekers and students)
- Austudy for students and ABSTUDY (Living Allowance)
- Parenting Payment
- Special Benefits, and
- Farm Household Allowance.
How is the support calculated?
No calculations. The $750 payment does not depend on how any benefit you receive is calculated.
The payment will be tax-free and will not count as income for Social Security, Farm Household Allowance and Veteran payments.
How is the support provided?
Those eligible for the payment will receive it automatically. The first payment will be made automatically from 31 March 2020. The second payment will be paid automatically from 13 July 2020.
