Millions of people will receive assistance through tax cuts and payment increases.

The Household Assistance Package is part of the Australian Government’s plan for a Clean Energy Future. Around 300 of the biggest polluters in Australia will pay for their pollution under the carbon pricing mechanism, which will be used to assist households to help meet price impacts, support jobs in the most affected industries and build a clean energy future.

• What does the Household Assistance Package include?
• Ongoing Assistance
• Tax Cuts
• Initial Payment
• Eligibility
• Extra Assistance
• Additional Resources

What does the Household Assistance Package include?

The package includes:

• ongoing increases to regular government payments for families, seniors and individuals to commence between March 2013 and January 2014, depending on the payment type.
• tripling of the tax free threshold to $18,200, which means tax cuts for all taxpayers earning under $80,000, from 1 July 2012
• an initial payment for families and parents, seniors and individuals receiving government payments, paid from May 2012

What is the ongoing assistance or increases to government payments?

Watch video on the ongoing assistance, part of the Household Assistance Package

 

• Transcript - DOCX [16.4kB]

Between March this year and January 2014 ongoing increases will be made to existing government payments. You don’t have to do anything to receive the additional assistance; it will be paid automatically into your bank account.

When will the ongoing assistance start?

For more information about the Clean Energy Supplement visit the Department of Human Services

For members of the veteran and defence community more information on the Household Assistance Package is available on the Department of Veterans' Affairs website.

What are the tax cuts?

Watch video on tax cuts, part of the Household Assistance Package

 

• Transcript - RTF [650kB]

As part of the Household Assistance Package, the tax free threshold was increased from $6,000 to $18,200 from 1 July 2012

Individuals with a taxable income of less than $80,000 will receive a tax cut. Most will receive a tax cut of around $300 a year.

The table below provides the tax rates that apply from 1 July 2012.

For more detail about these tax cuts and other tax reforms as part of the Household Assistance Package call 132861 or visit the Australian Taxation Office

What was the initial payment?

Watch videos on Clean Energy Advance payments, part of the Household Assistance Package

• Transcript - RTF [650kB]

As part of the Household Assistance Package, an initial payment was paid to eligible families and parents, seniors and individuals during May and June 2012.

• Family Tax Benefit Part A recipients received up to $110 for each child.
• Family Tax Benefit Part B recipients received up to $69 per family.
• Single pensioners and Seniors Supplement recipients received $250.
• Partnered pensioners and Seniors Supplement recipients received $190 per eligible member.
• Other income support recipients received up to $240, depending on the payment type.

The initial payment, known as the Clean Energy Advance, is still available to eligible recipients payments for youth and students  until 31 December 2013.

For a full list of Clean Energy Advance payments and rates please see the Clean Energy Advance payment rates.

For more information about the Clean Energy Advance payments and when they were made, call 132468 or visit the Department of Human Services.

For members of the veteran and defence community more information on the Household Assistance Package is available on the Department of Veterans' Affairs website

Lump sum Family Tax Benefit customers

An initial payment for the 2012-13 financial year was paid in May 2012. If you claim Family Tax Benefit as a lump sum at the end of the financial year, the initial payment will be automatically included when your 2012-13 lump sum claim is processed.

If you want to be assessed for an initial payment earlier, you will need to lodge a claim for fortnightly payments of Family Tax Benefit.

You can lodge your claim for Family Tax Benefit through Centrelink Online Services.

Commonwealth Seniors Health Card Holders

Holders of a Commonwealth Seniors Health Card who receive the Seniors Supplement will have automatically received a Clean Energy Advance on 25 June 2012.

If you are a self-funded retiree of age pension age you can check your eligibility for a Commonwealth Seniors Health Card and claim through Centrelink Online Services

Am I eligible?

All taxpayers with an income of less than $80,000 a year will get a tax cut. You may be eligible for assistance under the Household Assistance Package if you are:

• receiving a pension or other government income support payment
• receiving Family Tax Benefit Part A, Family Tax Benefit Part B, or Parenting Payment
• a Commonwealth Seniors Health Card holder or a DVA Gold and White Card holder who receives the Seniors Supplement
• covered by a Commonwealth concession card and have high energy costs associated with using essential medical equipment at home
• caring for someone who has high energy costs associated with using essential medical equipment at home and either you or the person you are caring for is covered by a Commonwealth concession card, and/or
• from a low income household and miss out on the full benefit of tax cuts and increases to government payments delivered through the Household Assistance Package.

Extra Assistance

As well as payments and tax cuts, the Household Assistance Package provides extra assistance to low and middle income households who do not receive enough assistance to meet the price impact of the carbon price.

Find out more and how to apply for the Essential Medical Equipment Payment, Low Income Supplement, Low Income Family Supplement, Single Income Family Supplement.

Additional Resources

Review of the Clean Energy Future Household Assistance Package

When announcing its Clean Energy Future Plan, the Government committed to reviewing the adequacy of the Package annually in the Budget context over the fixed price period from July 2012 to June 2015. The first annual review of the Household Assistance Package found it is delivering adequate levels of assistance relative to the impact of the carbon price on the costs of living in 2012–13, consistent with the Government’s commitment to households.

• Review of the Clean Energy Future Household Assistance Package

Where can I get information in other languages about the Household Assistance Package?

If you speak a language other than English, you can call access information resources about the Household Assistance Package in a number of languages or you can call and speak to someone in your own language about the payments and tax cuts:

• For information resources including print, radio and some television click here
• For tax cuts call the Translating and Interpreting Service 131 450
• For payments call the Department of Human Services on 131 202

I am still having trouble with my energy costs, is there any additional support?

Electricity and gas costs form a large part of household bills. You may feel you don’t have much control over these costs, but a plan to save energy around your home and manage your money, no matter how little or how much you have, will help you feel more secure.
Are you:

• Having trouble managing your energy needs and bills?
• At risk of having your power disconnected?
• On an energy retailer’s hardship scheme?

You may be eligible for advice and support through the Home Energy Saver Scheme - call 1800 007 001 or visit our website to find more information.