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.

4.3.7 Deductions from instalments

Types of deductions

The following table describes the types of deductions that can be made from an individual's fortnightly payments and the order in which they are made.

Type of deduction Order of deduction Description
Compulsory First Compulsory deductions are called withholdings. They are used to recover debts (1.1.D.60) to the Commonwealth.
Requested by an individual Second An individual may request deductions for a number of reasons.


  • board and lodging to a place where they live, such as a migrant centre
  • rent payments to a public housing authority.

If appropriate, the remainder of an individual's payment may be redirected to a third party on behalf of the individual.

Policy reference: FA Guide 4.3.6 Payments to a third party

Last reviewed: