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.

# 5.5.2.30 Single person 22 years & over, no dependents, paying no rent

## Summary

This topic shows the basic rate calculation using Benefit Rate Calculator B. The recipient is under age pension age, is not eligible for RA and has income per fortnight of:

• \$140.00, from employment, in the first week
• \$180.00, from employment, in the second week, and
• \$10.00 from investments.

The following table shows the steps involved in the basic rate calculation. The rates and income test parameters used applied at 20 March 2024 and are shown in dollars per fortnight. Current rates can be found in the A guide to Australian Government payments booklet on the Services Australia website.

Step Action \$
1 Determine recipient's ordinary income (1.1.O.30):
• Assessable employment income

RESULT: RECIPIENT'S ORDINARY INCOME

320.00

10.00

330.00

2

Apply the personal income test to this amount:

1. For income between \$150.00 and \$256.00, multiply by 0.5
= (\$256.00 − \$150.00) × 0.5
= \$106.00 × 0.5
= \$53.00
2. For income above \$256.00, multiply by 0.6
= (\$330.00 − \$256.00) × 0.6
= \$74.00 × 0.6
= \$44.40
= \$53.00 + \$44.40
= \$97.40

RESULT: INCOME REDUCTION

53.00

44.40

97.40

3

Determine the maximum payment rate:

• Locate the maximum single rate of JSP
• Add the applicable rate of ES

RESULT: MAXIMUM PAYMENT RATE

762.70
8.80

771.50

4

Subtract the income reduction from the maximum payment rate:

• Maximum payment rate
• Income reduction

RESULT: RATE OF ALLOWANCE

771.50
97.40

674.10

Note: For recipients who are of age pension age, the pension supplement will be added to the maximum payment rate determined at step 3.

Note: Recipients aged 55 years or older that have been in receipt of payment for 9 continuous months may be eligible for a higher rate than the maximum payment rate determined at step 3.

Note: If the recipient is eligible for any other rate add-ons, for example, PhA, APWS, these amounts will be added to the maximum payment rate determined at step 3.

Policy reference: SS Guide 5.1.8.20 Common benefit rates, 3.12.1 Pension supplement - qualification & payability, 5.1.9.10 Pension supplement - current rates, 3.15.2 ES - qualification & payability, 5.1.10.20 ES - current rates

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