THE HON PAUL FLETCHER MP – Minister for Families and Social Services – MEDIA RELEASE –

Changes to welfare measures for the New Year

THE HON PAUL FLETCHER MP

Minister for Families and Social Services
MEDIA RELEASE

31 December 2018

Changes to welfare measures for the New Year

A number of changes introduced by the Liberal-National Government taking effect from tomorrow will make the welfare system more effective, sustainable and stronger.

Minister for Families and Social Services, Paul Fletcher, said measures to help students stay at university and refugees to find work are among important changes.

“Regional students who must relocate for their tertiary studies now have improved access to Youth Allowance and ABSTUDY Living Allowance,” Mr Fletcher said.

“The parental income cut-off for the self-supporting independence criterion will increase from $150,000 to $160,000.

“The new $160,000 cut-off will be further increased by $10,000 for each additional child in the family, recognising the extra costs of raising larger families.”

Regional students will also be provided with additional certainty about whether they will meet this parental income cut-off. This measure gives them the option to make the year in which the parental income is assessed the financial year before the beginning of their self-supporting period.

“This means that students will know before they decide to take a gap year, whether their parental income will be under the cut-off,” Mr Fletcher said.

Aboriginal and Torres Strait Islander students who need to travel away from home to study will benefit from improvements to ABSTUDY, as will and their schools.

These include safer, fairer and more flexible travel arrangements, consistent Living Allowance rates, simplified criteria and guidelines for approval of scholarships and payments to boarding schools.

From tomorrow, all recipients of student payments will automatically be issued a Health Care Card. This simplifies concession card arrangements for students and provides a much more efficient process, as they no longer need to apply for a Low Income Health Care Card.

Newly arrived migrants granted permanent residency will have to wait up to four years before accessing some payments and concession cards.

“These changes ensure Australia’s welfare system is effective, sustainable and better targeted to those in the greatest genuine,” Mr Fletcher said.

“There will be exemptions in cases where a person’s circumstances have suddenly changed.

 “The changes align with community expectations that people who can work should get off welfare and into employment, wherever possible.”

         ENDS

Media contact:

Craig Regan 0408 448 527 | craig.regan@dss.gov.au

DSS 1 January changes – Summary

Indexed rise in Youth Allowance, DSP and Carers Allowance

About one-million youth, students and carers will receive an increase to their payments, linked to the CPI.

Improved access to Youth Allowance and ABSTUDY for tertiary students from regional areas
Regional students relocating for tertiary studies will have better access to Youth Allowance and ABSTUDY Living Allowance, with the parental income cut-off for the regional workforce self-supporting independence criteria increasing from $150,000 to $160,000.

ABSTUDY

More flexible and fairer travel plans and fare allowances apply. Boarding payments being provided to accommodation providers in instalments rather than up-front. Simpler scholarship approval guidelines apply.

Simplifying eligibility for Health Care Cards for students

All students receiving an income support payment will automatically receive a Health Care Card.

Encouraging self-sufficiency for newly arrived migrants

Most migrants granted permanent residence visas will have to wait up to four years before they can access 12 Australian welfare payments including Newstart. Two-year and one-year waiting period apply to five other payments. There is no waiting period for Family Tax Benefit Part B and access to other government-funded payments and services, including health and education services, and childcare subsidies.