Income test for Low Income Health Care Card

Your Low Income Health Care Card is assessed on gross income for the 8 week period ending on the day you submit your claim.

Qualifying

To qualify for a Low Income Health Care Card your income must be below the limit that applies to you. The 8 week period ends on the day you submit your claim.

Status Weekly income Income in an 8 week period
Single, no children $537.00 $4,296.00
Couple combined, no children $928.00 $7,424.00
Single, one dependent child $928.00 $7,424.00
For each additional child, add $34.00 $272.00

Renewal

Each time you apply for, or renew your Low Income Health Care Card, you have to requalify. To be entitled to a new or renewed card, your weekly income must not be higher than the maximum gross income allowed to qualify for a Low Income Health Care Card as shown above.

Retaining

To retain the Low Income Health Care Card your weekly income must not exceed the limits during the entitlement period. The entitlement period is from the date of issue to the date the card expires. If you exceed these limits, you lose the entitlement to use the card.

If your income changes, you must tell us. We will work out whether you still qualify for the card and can continue to use it.

Status Weekly income Income in an 8 week period
Single, no children $671.25 $5,370.00
Couple combined, no children $1,160.00 $9,280.00
Single, one dependent child $1,160.00 $9,280.00
For each additional child, add $42.50 $340.00

Income

The income test deductible amount for defined benefit income streams is capped at 10% of gross payments from 1 January 2016. This means the amount of income assessed from your or your partner’s defined benefit income stream may increase when assessing your eligibility for the Low Income Health Care Card.

Income includes:

  • employment income - wages, salary and self employment income
  • employer provided fringe benefits
  • rental income
  • reportable superannuation contributions, salary sacrifice
  • Centrelink pensions or benefits and some supplementary payments
  • Department of Veterans' Affairs payments
  • deemed income from financial investments such as bank accounts, managed investments and shares
  • deemed income from account-based income streams
  • income from income stream products such as superannuation pensions and defined benefit income streams
  • foreign income
  • private trusts and companies
  • compensation
  • New Enterprise Incentive Scheme
  • Paid Parental Leave
  • lump sum payments such as redundancy, leave, or termination payments. A lump sum compensation payment is assessed as income for 12 months from the date you received it

Page last updated: 20 September 2016

This information was printed Tuesday 6 December 2016 from humanservices.gov.au/customer/enablers/income-test-low-income-health-care-card It may not include all of the relevant information on this topic. Please consider any relevant site notices at humanservices.gov.au/siteinformation when using this material.