11.1.3.30 Income management calculation
Income management calculation
Income management changes the way payments are delivered to people. However, it has no impact on the person's actual rate of payment. It is only after the rate calculation has been made that the income management provisions will apply (i.e. at the payment delivery stage).
The amount to be income managed is determined with reference to the net amount of a person's payment (i.e. after a person's gross entitlement has been calculated, less any compulsory deductions). Compulsory deductions include:
- advance recovery (e.g. rate reduction due to receiving a $500 advance payment)
- Centrelink overpayment recovery (e.g. withholdings)
- financial supplement loan (a loan repayment for people who receive a student financial supplement loan)
- CSA liabilities (CSA website), and
- tax deductions, including voluntary tax deductions.