Farm Household Allowance is changing

24 September 2018

The changes will let more farmers access Farm Household Allowance (FHA) and up to 2 supplement lump sum payments.

If you work with farmers you can let them know:

  • they can get up to 2 taxable lump sum FHA supplements
  • the assets test limit is now $5,000,000 until 30 June 2019
  • they will now get FHA for 4 years

Taxable lump sum FHA supplement

Farming households getting FHA will get up to 2 FHA supplement lump sum payments. This is on top of the FHA payment they get each fortnight. They’ll get the first payment from September 2018 and the second from March 2019.

Single farmers will get up to $7,200 and farming couples will get up to $12,000 in total per household.

If they’re already getting FHA

You can let farmers and their partners know we’ll pay them the supplement. They don’t need to submit a claim for it.

If they’re not already getting FHA

You can let farmers and their partners know the date they claim will determine if they get 1 or 2 lump sums. To get the first lump sum payment they need to claim on or before 1 December 2018.

If they claim between 1 December 2018 and 1 June 2019, they’ll only get the second lump sum payment.

They need to be eligible for FHA to get the payments.

Assets test

The assets test limit for FHA has increased temporarily to $5,000,000. This means more farmers may be eligible for FHA.

The increase will stay in place until 30 June 2019. If a farmer gets FHA under this test, they’ll continue to get it until their payment stops.

Extension to 4 years

If a farmer in your community is getting FHA, they’ll now get it for up to 4 years (1,460 days). They don’t need to do anything.

But, if a farmer has used their full 3 years they’ll need to re-apply for FHA. They may not need to re-submit documents they’ve given us before.

Farmers don’t need to use the 4 years all at once. They can save it for when it’s needed.

Next steps

Encourage farmers in your community to:

The Rural Financial Counselling Service (RFCS) can help farmers and their partners claim FHA. Farmers can call them on 1800 686 175. Read more about the RFCS on the Department of Agriculture and Water Resources website.

Read more community news.

Page last updated: 24 September 2018