Social Security, in Australia, refers to a system of social welfare payments provided by Commonwealth Government of Australia. These payments are administered by a Government body named Centrelink. In Australia, most benefits are subject to an investigative process (means test) undertaken to determine whether or not an individual or family is eligible to qualify for help from the government.

Income support

All Centrelink Income support payments are payable fortnightly, usually by direct deposit into the recipient's bank account. They are also subject to a means test whichcalculates the recipient (and their partner's) fortnightly income and assets and affects the rate of their payment accordingly. As such, people on lower incomes may be entitled to part-payment of their allowance as per their eligibility.

Payments made under the Social Security Act and the Student Assistance Act

ABSTUDY

ABSTUDY (The Aboriginal and Torres Strait Islander Study Assistance Scheme) is a welfare payment for Indigenous Australians undergoing some form of study. All Indigenous students at secondary or tertiary institutions, as well as those studying by correspondence, and primary students who turned 14 prior to January 1 of their current year of study. To qualify as Indigenous, a student must be of Aboriginal or Torres Strait Islander descent by Centrelink standards and be a current Australian citizen. ABSTUDY is tailored according to income tests, and the status of partners, guardians, and dependent children. This payment is administered through Centrelink, the payment is made under ABSTUDY Policy.

Age Pension

Pension is available for people planning for retirement or who are already retired. It becomes eligible to men aged 65 years and over. Women currently become eligible for the Age pension at 63 years and 6 months. Unlike pension payments of many other countries, workers do not contribute to a pension or insurance within Australia, and the payment is available subject to means testing. This ensures that only those that require assistance receive it.

Assistance for Isolated Children

The Assistance for Isolated Children Scheme offers financial support to families in remote locations who have children that are unable to attend school on a daily basis because of geographic isolation.

The Scheme provides allowances based upon the principle that all Australian children should have reasonable access to an appropriate government school and geographically isolated families incur additional costs to educate children.

Austudy Payment

Austudy Payment was originally known as the AUSTUDY Scheme, an all-ages study allowance, but since the introduction of Youth Allowance (see above) it has been reserved for the over 25 years. To qualify, one must be an Australian resident, over 25 years, and studying full time at an approved education institution. However, students who were receiving Youth Allowance prior to turning 25 and are still pursuing the same course of study continue to receive Youth Allowance until they finish (or otherwise terminate) their course.

Unlike Youth Allowance, Austudy customers are considered to be independent and are not subject to the Parental Income Test, Family Assets Test and the Family Actual Means Test. As part of the 2007 Federal Budget Announcement on 8 May 2007 Austudy Payment recipients are eligible for Rent Assistance from the 1 January 2008. Prior to the 1 January 2008, Rent Assistance was not payable with Austudy. Like most Centrelink payments, Austudy Payment is subject to a personal and/or partner income and assets test.

Carer Allowance

Carer Allowance for adults (caring for an adult 16 years or over)

Carer Allowance for children (caring for a child under 16 years).

Carer Allowance is an income supplement available to people who provide daily care and attention at home to a person with disability or a severe medical condition. Carer Allowance is not taxable or income and assets tested. It can be paid in addition to a social security income support payment.

To be eligible for Carer Allowance, a person must be providing daily care and attention to a person with disability or a severe medical condition who is either:

aged 16 years or over and whose disability or severe medical condition is permanent or for an extended period (as assessed under the Adult Disability Assessment Tool), or

a dependent child aged under 16 years:

whose disability appears on the Lists of Recognised Disabilities, or

whose conditions result in automatic qualification, or

who has a substantial functional impairment that has caused the child to function below the standard for his or her age level (as assessed under the Child Disability Assessment Tool).

The person(s) being cared for must be likely to suffer from the disability permanently or for an extended period of at least 12 months (unless their condition is terminal) as assessed by a medical practitioner or other approved person as meeting the medical eligibility criteria.

Carer Payment

Carer Payment is an income support payment for people whose caring responsibilities prevent them from undertaking substantial workforce participation. Carer Payment is subject to income and assets tests and is paid at the same rate as other social security pensions.

To be eligible for Carer Payment a claimant must be providing care in the home of the person(s) being cared for and also provide one of the following levels of care:

• care to an adult who has a disability or medical condition that is long term and severe and has a minimum level of care needs as assessed by the Adult Disability Assessment Tool
• care for a person whose care requirements are less severe but who has a dependent child that needs care, so their combined care needs are equivalent to the care needs of a person with a severe disability or medical condition
• care permanently or for at least six months to a child under 16 with a profound disability
• care of a child who is aged 6 or older but still under 16 years of age and who suffers from severe intellectual, psychiatric or behavioral disabilities
• care permanently or for an extended period to two or more children under 16 with a disability who, together, need a level of care that is at least equivalent to the level of care needed by a child with a profound disability.

Disability Support Pension

Provides income support for people who suffer a long-term disability, which in the opinion of an assessor they will not recover from in the next two years, and which will render themselves unable to work or participate in a training activity enabling them to work. It is more than you get on Newstart, and is income and assets-tested. However, if you are permanently blind, you can receive DSP without income and assets tests, and without needing to prove any inability to work, etc. DSP can take a while to process, so as a temporary measure claimants are placed on another payment (e.g. Newstart with a medical certificate to cover the activity tests) while the payment is being assessed; once granted it is backdated to the claim date at the higher DSP rate.

Double Orphan Pension

A payment for people who are raising children who have lost both parents.

Double Orphan Pension helps you meet the costs of caring for children who are orphans.

You may claim Double Orphan Pension for a child if:

the child's parents or adoptive parents have both died, or

one of the child's parents is dead and the other parent is in long term imprisonment or is on remand for an offence that is punishable by long term imprisonment, lives in a psychiatric institution or nursing home on a long term basis, or their whereabouts is unknown, or

the child is a refugee and has not at any time lived in Australia with either or both parents, and whose parents are outside Australia or their whereabouts are unknown,

you have at least 35 per cent care of the child, if you claim the benefit on or after 1 July 2008; and

the child is under 16 (or is a full time student aged 16 to 21 who does not get Youth Allowance), and

you are eligible for Family Tax Benefit for the child (or would be eligible for payment but your income is above the limit or the child, or you on behalf of the child, are receiving payments under a prescribed educational scheme), and

you are living in Australia (that is, Australia is your permanent home), and

you are either an Australian citizen, a New Zealand citizen, the holder of a permanent visa or the holder of certain temporary visas.

Double Orphan Pension is a tax free payment of $52.70 per fortnight. It is usually in addition to Family Tax Benefit. If you have not claimed Family Tax Benefit for the child, you need to put in a claim.

An additional amount of Double Orphan Pension may be payable. The additional amount will be equal to the difference between the carer's entitlement to Family Tax Benefit for the young person and the family allowance received for the young person immediately before they became a double orphan.

The additional amount is not payable to approved care organisations and is not subject to an income test or assets test.

Newstart Allowance

Newstart Allowance is an unemployment benefit paid in the form of a payment for people between 21 and 64, made when they find themselves unemployed and are seeking work. It is paid on the basis of a mutual agreement between the customer and Centrelink, where Centrelink will continue to pay fortnightly payments to the customer, for so long as the customer attempts to find employment.

Maternity Payment(Baby Bonus)

Baby Bonus is paid to families following the birth (including stillborn babies) or adoption of a baby. It recognises the extra costs incurred at the time of a new birth or adoption of a baby.

Changes to the Baby Bonus came into effect on 1 January 2009. Depending on when your child was born or entered your care, different rules may apply for.

• Baby Bonus for children who are born or enter care before 1 January 2009
• Baby Bonus for children who are born or enter care on or after 1 January 2009

To be eligible for Baby Bonus (before 1 January 2009) you must:

• be the parent of a dependent child; or
• be a carer other than the parent of a newborn child within 13 weeks of the child's birth and be likely to continue to have the care of the child for no less than 13 weeks; or
• have adjusted taxable income (insert link here to ATI definition) of less than or equal to $75,000 for the period of 6 months from the date of birth of the child or 6 months from the date that the child entered into your care; and
• meet Australian residency requirements for family assistance purposes

Parents are required to formally register the birth of their child as a condition of receiving the Baby Bonus. This requirement does not apply to parents whose child is stillborn, adopted or born outside Australia.

Baby Bonus is a one-off payment of $5,000 for each child and is usually paid as a lump sum. For claimants aged 17 years or under, the Baby Bonus is paid in 13 equal fortnightly instalments. Baby Bonus is payable for each child in a multiple birth. If there is a change in care during the 13 weeks eligibility period, the payment may be apportioned between two carers.

To be eligible for Baby Bonus (after 1 January 2009) you must:

• be the parent of a dependent child; or
• be a carer other than the parent of a newborn child within 26 weeks of the child's birth and be likely to continue to have the care of the child for no less than 26 weeks; or
• in the case of adoption the child must have come into your care before the child is sixteen years of age; and
• have adjusted taxable income of less than or equal to $75,000 for the period of 6 months from the date of birth of the child or 6 months from the date that the child entered into your care; and
• meet Australian residency requirements for family assistance purposes

Parents are required to formally register the birth of their child as a condition of receiving the Baby Bonus. This requirement does not apply to parents whose child is stillborn, adopted or born outside Australia.

Baby Bonus is a payment of $5,000 for each child and is paid in 13 equal fortnightly instalments. Baby Bonus is payable for each child in a multiple birth. If there is a change in care during the 26 weeks eligibility period, the payment may be apportioned between two carers.

Parenting Payment

A payment for those who are principal carers of dependent children under the age of 6 for partnered customers and children under the age of 8 for single customers granted payments after 1 July 2006. Those customers granted Parenting Payment prior to 1 July 2006 are eligible to remain on the Parenting Payment until their youngest child turns 16 with compulsory participation requirements from 1 July 2007 or when their youngest child turns 7, whichever occurs later. Parenting Payment Partnered is classified as an allowance and Parenting Payment Single is classified as a pension.

Parenting Payment Partnered uses an individual and a partner income test to determine the rate of payment with benefit withdrawal rates of 60 cents in the dollar (as of 1 July 2007) on income over the legislated limits. A partner's gross earnings are assessed as shared, regardless of individual tax already paid. If, for example, the breadwinner is currently paying 30 per cent personal tax, the effective marginal tax rate (EMTR) after benefit withdrawal is 90 percent of earnings above the legislated limit (the EMTR prior to 1 July 2007 is 100% as the benefit withdrawal rate is 70% of the partner's earnings above the legislated income limit).

Pensioner Education Supplement

The Pensioner Education Supplement is paid in respect of students in receipt of certain social security pensions and is intended to contribute towards educational costs incurred by parents of eligible students.

To be eligible for the PES a student must:

• be studying at primary or equivalent ungraded level
• be in receipt of a Disability Support Pension or a Parenting Payment (single); and
• qualify for either Boarding Allowance, Second Home Allowance or Distance Education Allowance (as applicable), except with regard to receipt of a pension.

Sickness Allowance

Sickness Allowance provides income support to people who are temporarily unfit, due to illness or injury, to perform their usual work or study and have a job to return to, or intend to resume studying when fit to do so.

To be eligible for Sickness Allowance a person must:

• be temporarily incapacitated for work or study because of sickness or an accident; and
• have an incapacity for work or study wholly due to a medical condition arising from the sickness or accident; and
• have been employed or in full-time education immediately before the incapacity occurred; and
• be intending to return to that employment or resume full-time studies when their incapacity ends; and
• be at least 21 (or 25 if receiving Austudy) and less than age pension age (65 for men and 62.5 for women); and
• satisfy residence requirements.

Special Benefit

Payment for people who are in financial hardship, have no way of supporting themselves and are not entitled to another payment (normally due to residency requirements)

To be paid Family Tax Benefit you must be:

• an Australian resident; OR
• a Special Category visa holder residing in Australia; OR
• the holder of a Criminal Justice Stay visa; OR
• a holder of a temporary visa subclass 070, 309, 310, 447, 451, 695, 785, 786, 787, 820 or 826.

Youth Allowance

Youth Allowance is an income support payment to young Australians in full-time study, an Australian Apprenticeship, actively looking for employment or undertaking a combination of activities leading to employment.

'Youth' is defined as 15-24 for full-time students, or 15-20 for job seekers. The payment is only available to dependent children of low-income earners or young people who have met specified independence criteria. Some of the criteria to be considered independent for Youth Allowance purposes include young people who:

• have self supporting themselves through paid work, or
• are, or have been in a marriage like relationship, or
• have, or have had, a dependent child, or
• are an orphan or refugee without parents in Australia, or
• are unable to live with parents due to relationship breakdown or because the
• parent is incarcerated or missing.

Young people can gain independence through other criteria, and each criteria has specific conditions that are required to be met, before the independent status can be gained.

and the young person has not lived independently from them. 15 year olds can only receive Youth Allowance if they are defined as independent and are over the school leaving age in the state of residence. The school leaving age is 17 in New South Wales, ACT and NT, 16 in Victoria and 17 in other states).

Youth Allowance is subject to a number of means tests. Independent Youth Allowance recipients are subject only to the personal (and partner where applicable) income and assets test. Dependent Youth Allowance recipients are subject to the personal income test. A dependent Youth Allowance recipient can never be a member of a couple, although being married or a member of a de facto couple for a period of usually 12 months will make the person independent, so a partner's means will not affect entitlement. They are also subject to the parental income test and family assets test unless a parent is in receipt of a specified income support payment themselves.

They may also be subject to the Family Actual Means Test (FAMT) which applies where the parent is self employed, involved in a trust or company or several other categories. The rationale behind the FAMT is that the taxable income on which Youth Allowance is normally based may not accurately reflect the true financial means of parents in these categories. It asks for details of the family's spending on living expenses during the relevant tax year and extrapolates an equivalent notional taxable income from this. Sole traders involved in primary production and parents receiving drought assistance such as Exceptional Circumstances Relief Payment are exempt.

Youth Allowance has differing payment rates for recipients who live with a parent or guardian and those who live away from home. Recipients on the 'Away from Home' rate receive a significantly higher payment

Youth Allowance was introduced from July 1998 and replaced Youth Training Allowance and Newstart Allowance for job seekers under 21 and AUSTUDY for students under 25.

Rent Assistance

Rent Assistance gives extra help to eligible people receiving more than the base rate of Family Tax Benefit Part A who pay rent in the private rental market. From 1 July 2008, parents who have regular care of their children (that is care levels between 14 to less than 35 per cent) and who are no longer entitled to receive Family Tax Benefit Part A may still be eligible to receive the Rent Assistance component of Family Tax Benefit as long as they pay private rent.

You may also be able to get help if you pay:

• lodging, or board and lodging;
• site fees (eg. caravan, mobile home);
• mooring fees for a boat or vessel that you live in.

Rent Assistance may also be payable during temporary absences from Australia of up to 13 weeks if you are still receiving more than the base rate of Family Tax Benefit Part A.

Rent Assistance is paid at the rate of 75 cents for each dollar of rent paid above the rent threshold, up to specified maximum rates. The rate of Rent Assistance depends on how many children you have, and whether you are partnered or single.

These figures are effective from 20 March 2009 to 19 September 2009.

Rent Assistance can be claimed by submitting a copy of the current written lease or tenancy agreement.

Eligible residents can choose to receive their payment through the Family Assistance Office in the following ways:

• fortnightly, or
• a lump sum, or
• a combination of the two

Pharmaceutical Allowance

Pharmaceutical Allowance to assist pensioners and certain other benefit recipients with the cost of pharmaceutical prescriptions.

A very small payment for those receiving Centrelink payments, to help cover the cost of prescription medicines. This payment forms part of the Pharmaceutical Benefits Scheme (PBS) and effectively gives Health Care Card holders free access to medicines on the PBS.

Pharmaceutical Allowance (PhA) is paid to all pensioners. PhA is also paid to certain benefit recipients who;

• are temporarily incapacitated, or
• are over 60 years of age and in receipt of income support for at least 9 months, or
• are single principal carers of dependent children, or
• have a partial capacity to work.

Telephone Allowance

A payment issued quarterly to eligible customers receiving Pension payments, to help cover the cost of telephone bills. Eligible customers must have a telephone service subscribed in their name to be eligible for Telephone Allowance.