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.

11.1.11.60 Disbursement of residual income managed funds to a third party organisation

Disbursement of residual funds to a third party organisation (TPO)

Payments may also be made from a person's residual income management account balance to a TPO, provided that the person agrees. The item to be purchased does not have to relate to a priority need (11.1.3.50). However, it must not be an excluded item (11.1.3.60) such as pornography, alcohol, home brew kits and concentrates or tobacco.

Example: Steve is no longer subject to income management. He has $575 remaining in his income management account. As this amount is more than $200, the remaining funds can be paid by instalments.

However, Steve has been intending to buy a fridge for $800. Rather than having his remaining income managed funds disbursed by instalment, Steve may opt to have the funds paid directly to the merchant. He can then pay the remaining $225 for the fridge price from his non-income managed money.

Last reviewed: 11 November 2019

The Australian Government acknowledges Aboriginal and Torres Strait Islander peoples throughout Australia and their continuing connection to land, water, culture and community. We pay our respects to the Elders both past and present.