Statement of financial performance

In 2016-17 the department administered approximately $174.3 billion in payments or around 40 per cent of government outlays. The department reported a small operating surplus of $80.7 million after adjustment for unfunded depreciation and amortisation expenses and the revaluation of assets. This represents a 1.8 per cent variance to the budgeted net cost of services of $4.4 billion.

Table: Departmental income and expenses
  2014-15
$ million
2015-16
$ million
2016-17
$ million
Income 4,270.7 4,417.1 4,446.4
Expenses 4,432.6 4,669.8 4,608.6

Income

In 2016-17 the department received total income of $4,446.4 million, comprising $4,201.6 million in government appropriation and $244.8 million in own source revenue and gains.

The department is primarily funded through direct appropriation in the annual budget cycle. The department also receives service-related revenue from other Australian Government agencies and non-government entities under service arrangements (see the table below).

Table: Departmental own source revenue (a)
Government agencies and other entities $ million
Australian Digital Health Agency 16.3
Australian Electoral Commission 2.1
Department of Employment 1.2
Australian Taxation Office 11.0
Department of Foreign Affairs and Trade 7.5
Department of Health 38.6
Department of Immigration and Border Protection 1.5
Department of the Prime Minister and Cabinet 2.4
Department of Social Services 2.2
Department of Veterans’ Affairs 30.5
National Disability Insurance Agency 84.2
Other agencies (amounts of less than $1 million from other government agencies) 4.0
Other entities 38.3
Total 239.8
  1. Financial and other data in this annual report is rounded to the nearest decimal point. This may lead to minor differences between numbers.

Expenses

The department’s expenses in 2016-17 totalled $4,608.6 million, primarily for employee and supplier expenses.

Reporting of significant non-compliance issues

No matters were reported under section 19(1)(e) of the Public Governance, Performance and Accountability Act 2013 in relation to non-compliance with the finance law during the reporting period.

Statement of financial position

Table: Departmental equity, assets and liabilities
  2014-15
$ million
2015-16
$ million
2016-17
$ million
Equity 671.4 698.0 847.3
Assets 2,048.4 2,061.1 2,227.0
Liabilities 1,377.0 1,363.1 1,379.7

Equity

The total equity of the department at 30 June 2017 was $847.3 million.

Assets

The department’s total assets increased by 8.1 per cent to $2,227.0 million at 30 June 2017. Assets primarily comprise retained appropriations and non-financial assets.

Liabilities

The department’s total liabilities increased by 1.2 per cent to $1,379.7 million at 30 June 2017. Liabilities primarily relate to accrued payments and employee provisions.

Administered items

In 2016-17 the department collected and transferred $1.5 billion in child support payments between separated parents for the support of their children. The department also recognised $30.6 million dividends and competitive neutrality payments on behalf of the Australian Government from Australian Hearing.

Financial Statements

Financial Statements - for the period ended 30 June 2017

Page last updated: 14 November 2017