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.

12.2.7 Operational waiting period

Definition

Individuals who become subject to enhanced income management may only access the qualified portion of their social security payments through a BasicsCard bank account and the associated debit card (the SmartCard).

There is a risk individuals may not have access to funds while the SmartCard is being sent to them and activated if funds are withheld from the point the participant becomes eligible. This could leave a participant without the ability to meet their essential needs or those of their family.

To prevent this occurring, the qualified portion (12.2.5) of eligible social security payments for new participants is set to 0% for a short period. This means participants continue to be able to access their whole social security entitlements while their SmartCard is delivered and activated. This practice is referred to as an operational waiting period. The length of the operational waiting period may vary based on the way in which a participant is referred to enhanced income management and where they live.

For more information on how the length of the operational waiting period is determined refer to the Policy Guide on operational waiting periods and the Declared area table below:

Act reference: SS(Admin)Act Part 3AA Division 3—Portioning of welfare payments

Social Security (Administration) (Enhanced Income Management Regime—Qualified Portion of Payments) Determination 2025

Last reviewed: