The Guides to Social Policy Law is a collection of publications designed to assist decision makers administering social policy law. The information contained in this publication is intended only as a guide to relevant legislation/policy. The information is accurate as at the date listed at the bottom of the page, but may be subject to change. To discuss individual circumstances please contact Services Australia.

1.1.A.125 Allowable income for LIC

Definition

For the purposes of the LIC, allowable income is the maximum amount of income a claimant can have and still qualify for the LIC.

Assessment of allowable income

Allowable income is assessed using the person's average weekly assessable income for the 8-week period immediately before the date of the first and each subsequent claim. This must be less than the 100% income limit applicable to the claimant.

Once a LIC is issued, the allowable income is assessed using the person's average weekly assessable income for any subsequent 8-week period. This must be less than the 125% income limit applicable to the claimant.

Income limits

The income limits for the LIC are set out in 3.9.1.70.

Act reference: SSAct section 1071A Health care card income test

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