4.3.3.40 Employment income for allowees

Summary

This topic provides information about the following:

  • payments covered by this policy
  • income assessed for employees (1.1.E.87), and
  • exempt income.

Payments covered by this policy

This policy applies to the following benefit payments:

  • jobseeker payment
  • youth allowance
  • austudy payment
  • partner allowance, and
  • special benefit.

Income assessment for employees

The money (or other valuable consideration) paid for remunerative work done by the person as an employee in an employer/employee relationship is assessed as the person's income without any reductions. This income is called employment income (1.1.E.102) and includes, but is not limited to, commissions, salary, wages, employment-related fringe benefits, or a combination of these.

Act reference: SSAct section 8(1)-'employment income'

Seasonal work (1.1.S.60)

Special rules apply to the assessment of income from seasonal work (1.1.S.61).

Income from independent contracting

A contract OF service or labour indicates an employer/employee relationship. A contract FOR services to produce a result indicates self-employment.

Policy reference: SS Guide 4.3.3.20 Income from employment or independent contracting

Exempt income

Some income from employment is exempt from assessment.

Policy reference: SS Guide 4.3.2 Income exempt from assessment

Last reviewed: 1 July 2021