1.1.M.65 Modified entitlement method (FTB)

Definition

Under the MEM, an individual's FTB Part A rate is determined using the estimated maintenance income worked out by applying the higher of the entitlement method and the disbursement method formula.

These changes compliment the introduction of the MIC to take better account of child support arrears when calculating FTB entitlement.

Act reference: FA(Admin)Act section 20 Determination of rate may be based on estimate, indexed estimate or indexed actual income

Policy reference: FA Guide 3.1.7.10 Maintenance Income Test - General Provisions, 3.1.7.21 Maintenance Income - Entitlement Method, 3.1.7.22 Maintenance Income - Disbursement Method, 3.1.7.23 Maintenance Income - Modified Entitlement Method, 3.1.7.30 Application of the Maintenance Income Test

Last reviewed: 11 May 2015