Changes to Youth Allowance payments will be fairer, according to the Abbott Coalition Government which is introducing changes to the means testing arrangements for youth payments from 1 January 2016.
The Coalition Government will remove the Family Asset Test and Family Actual Means Test from the Youth Allowance Parental Income Test, a measure that the Government hopes will ensure a fairer and more generous assessment of young people and their eligibility for welfare assistance.
“Removing the Family Asset Test will allow families with dependent children in Calare to qualify for Youth Allowance for the first time and access average annual payments of more than $7,000 a year,” said Federal Member for Calare, John Cobb. “The changes exempt farming families in Calare from having their farm assets count towards the Family Asset Test for Youth Allowance.”
Other changes to the Youth Allowance income testing involve the inclusion of all Family Tax Benefit children in the family pool instead of only including dependent children over 16, and room for increased family and youth payments.
“I’m pleased that many of our local students, particularly students from farms, will have greater opportunity to qualify for Youth Allowance and access annual payments,” said Mr Cobb.