Severe financial hardship provisions

Special provisions are available for the Liquid Assets Waiting Period, Income Maintenance Period and Seasonal Work Preclusion Period in cases of severe financial hardship.

Severe financial hardship occurs if:

Unavoidable or reasonable expenses

We consider the following examples to be unavoidable or reasonable expenses:

  • repairs to, or replacement of, essential white goods in your home
  • replacements for essential household goods stolen or lost through natural disaster when the cost is not covered by an insurance policy
  • essential repairs to your car or home
  • essential medical expenses
  • school expenses
  • motor vehicle registration
  • essential expenses associated with you giving birth or adopting a child, and  
  • premiums for vehicle or home insurance

There may be other costs that we determine to be unavoidable or reasonable expenses.

We do not consider the following examples to be unavoidable or reasonable expenses:

  • a family holiday
  • purchasing non-essential furniture, such as an outdoor setting
  • entertainment costs
  • purchase or installation of a recreational swimming pool, or
  • paving a driveway

Reasonable costs of living for Liquid Assets Waiting Period and Income Maintenance Period

We consider the following examples to be reasonable costs of living:

  • food
  • rent or mortgage payments
  • regular medical costs
  • rates, water and sewage costs
  • gas, electricity and telephone costs
  • petrol for your vehicle
  • public transport costs, and
  • any other cost we determine as a reasonable cost of living

Reasonable costs of living are not regarded as an exemption for the Seasonal Work Preclusion Period.

Page last updated: 19 May 2016