The Child Protection Measure of income management is in operation in metropolitan Perth and the Kimberley region in Western Australia, and across the Northern Territory. From 1 July 2012, the Child Protection measure will also operate in the Local Government Areas of:
- Bankstown, New South Wales;
- Logan, Queensland;
- Rockhampton, Queensland;
- Playford, South Australia; and
- Greater Shepparton, Victoria.
Under this measure, the state or territory child protection authority has the option of requesting that Centrelink manage a person’s income support and family payments in cases where poor use of existing financial resources is wholly or partially contributing to child neglect or other negative outcomes for the child.
The Child Protection Measure of income management ensures that income managed funds are directed toward necessities including food, housing, utilities, clothing and medical care. Income managed funds cannot be spent on excluded goods, including alcohol, home brew kits, home brew concentrates, tobacco products, pornographic material and gambling goods and activities. There is no restriction on use of the proportion of a person’s payments which is not income managed.
Support services are offered to assist income managed people and include financial management services provided through the Department of Families, Housing, Community Services and Indigenous Affairs, and parent support services provided through the relevant child protection authority. The Family Support Program, including Communities for Children, is also available to support families to confidently and responsibly care for their children and encourage children’s early childhood development and school readiness.
The combination of income management and financial management services is designed to help parents deal with their immediate financial difficulties and assist them to build skills to better manage their finances and provide for their children in the immediate and long term.
For more information on this measure, see the Child Protection fact sheet.
Questions and answers
Q. How will the Child Protection Measure work?
Written notice must be given by a child protection worker to Centrelink requiring that the person be subject to income management. The written notice will generally require the person to be income managed for a set period of 3, 6, 9 or 12 months from the date it is first applied. This means that the notice stays in effect until the stated end date or it is revoked by the relevant state or territory child protection authority.
Centrelink will initiate income management once a valid notice has been received from the state or territory child protection authority and the person is identified as being eligible for the Child Protection Measure of income management.
Q. How much of a person’s payments will be income managed?
Regular Payments: Under the Child Protection Measure, 70 per cent of a person’s regular payments is income managed by Centrelink, with the remaining 30 per cent being paid directly to the person to be used at their discretion. . The money managed by Centrelink will be used to pay for priority needs such as food, clothes, rent, medical attention, electricity and basic household goods. Income managed funds cannot be used to purchase excluded goods, including alcohol, home brew kits, home brew concentrates, tobacco products, pornographic material and gambling goods and activities.
Payment advances, lump sum payments and baby bonus payments and ABSTUDY (with PER or living allowance):
These payments are income managed at 100 per cent.
Q. Does income management mean my payments are reduced?
No. Income management does not reduce the total amount of your payments from Centrelink. Income management only changes the way payments are received.
Q. Will I be supported when I am income managed?
Yes. Centrelink will refer an income managed person to financial management services to help them manage a financial crisis or overcome financial hardships. Participation in these services is voluntary. Parent support services are available through the state or territory child protection authority for people referred for income management. The Family Support Program is also available.
Q. Where can I go to find more information about income management?
For more information on the Child Protection Measure, see the Child Protection Measure factsheet. Centrelink will be able to provide you with more information on the Child Protection Measure and how it will work. Visit a Centrelink office or call the Centrelink income management line on 13 2594.