ELIGIBILITY RELATING TO THE INCOME OF APPLICANTS

1. Applicants for public rental housing must have an income, which conforms to Homeswest’s current income limits, which are assessed on a gross weekly (before tax) basis.

Dual Income - refers to an income earned by partners in the paid workforce and including Centrelink Benefits (ie. Newstart) but not the Basic Family Tax Benefits A.

Income Eligibility Limits - Current Rental, Bond Assistance Loan (Private Rental Housing Assistance).

To be eligible for for Homeswest assistance the combined weekly gross income of applicant, partner and co-applicant must be below the following limits (Effective from 1 May 2006). Other household members’ incomes are not assessed for eligibility (see s 8 of this policy) however, will be considered when assessing rent.
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Number of
Person in
Household
Metro and Country
North West/Remote
Single Income
Dual Income
Single Income
Dual Income
1 person
$430
-
$610
-
2 persons
$580
$670
$820
$940
3 persons
$695
$790
$980
$1,120
4 persons
$815
$930
$1,150
$1,320
For households with more than 4 people add $115 per person and $145 for households with someone with a disability or similar.
For people with a disability:
Number of
Person in
Household
Metro and Country
North West/Remote
Single Income
Dual Income
Single Income
Dual Income
1 person
$540
-
$760
-
2 persons
$725
$830
$1,025
$1,180
3 persons
$870
$1000
$1,225
$1,400
4 persons
$1,020
$1,160
$1,440
$1,650



POLICY

GUIDELINES & PRACTICES
2. Income Counted When Assessing Eligibility
Definition of income that is counted – Any benefit or allowance that is counted by the Centrelink or Department of Veterans’ Affairs in assessing a benefit.
OR
A wage/salary for applicants in paid employment.
  • Wages/Salary
  • Overtime
  • Centrelink or Department of Veteran’s Affairs Benefits, Austudy/Abstudy payments (DEET)
  • Dividends on shares/investments
  • Interest “deemed” on money in non-interest bearing accounts above $8250 singles and $15,500 couples
  • Child maintenance payments
  • Additional Family Tax Benefit A @ 10% (Basic exempt)
  • Additional Family Tax Benefit B @ 5%
2.1 This will be assessed over a three month period if wage slips are presented as proof of income. Most applicants complete the Employer Income Verification Statement with the Application Form.
2.2 Salary sacrificed amounts (except for Superannuation contributions that are salary sacrificed) will be included in the gross assessable income.
2.3 Where regular, this will need to be calculated over a three – monthly period.
2.4 Where overtime is known or can be confirmed to be a standard part of the employment package, this can be included without waiting the three-month waiting period.
2.5 If an applicant is in receipt of the Austudy Loan Supplement, income will be assessed at the Austudy grant the applicant would receive if he/she were not receiving the supplement.
2.6 Interest will be calculated on the rate received.
2.7 An applicant with money in a non-interest bearing account will be deemed to be receiving a rate of interest identical to that used by Centrelink (July 2006 – 3% on deposits below $38,400 (single) and $63,800 (couples); or 5% on deposits above $38,400 (single) and $63,800 (couples).
2.8 Discretion may be exercised where it can be proved that maintenance payments are not regular.
2.9 Spouse or child maintenance payments will be assessed as per Model 1 & 2 for tenants occupying prior to 21 July 1997. Tenants occupying after 21 July 1997 will be assessed as per Model 3.
Model 1 & 2 @ 18% of maintenance received
Model 3 @ 20% of maintenance received.



POLICY

GUIDELINES & PRACTICES
  • Income derived from a business if applicant is self employed
2.10 Guidelines for Assessing Income of Self Employed Applicants Such applicants will be required to provide Homeswest with their taxation assessment for the previous financial year. The assessment will provide information regarding the applicant’s taxable income on which the taxation assessment is based.

The taxable income will be regarded as the income on which Homeswest will assess eligibility. If the applicant has not retained the assessment, they can write to:

• Australian Taxation Office
46 Francis Street
Northbridge WA 6865

And request a copy of the assessment.

When the taxation assessment is received, any known increases should be included for the period since the assessment was made.

Similarly, any applicant whose circumstances have altered since the last income tax assessment was provided is obliged to substantiate the change of circumstances and supply an estimate of the new annual income. This should be accompanied by a statutory declaration supporting the claim.

The situation should be reviewed within the next 12 months. Applicants who have not traded for a full financial year will be permitted to apply and build up time on the waiting list, on the understanding that they provide their taxation assessment on its receipt, and that their taxable income falls within Homeswest limits.

If the region concerned is unable to clarify the income received from the taxation return provided, or to fully understand the assessment made, the services of a local taxation agent should be employed at the applicant/tenant’s expense. (Taxation is a complex area and it often requires an expert to understand a business taxation return.)


POLICY

GUIDELINES & PRACTICES
  • Compensable Income – Disabled applicants only
3. Income Not Counted When Assessing Eligibility
Definition of income not counted - All benefits and allowances that are granted by Centrelink and Department of Veterans’ Affairs, because they are needed in full to assist with a particular situation or disability;
OR
Any income source which, is not counted by these departments for pension or benefit purposes.
  • Overtime (where not regular)
  • Basic Family Payment (minimum standard payment)
  • Family Tax Payment – Paid through Australian Tax Office
  • Carer Allowance
  • Scholarship Allowance for Children
  • Carer Allowance ( previously Domiciliary Nursing Care Allowance )
  • Basic Family Tax Benefit A
  • Ward Allowances, Fostering Allowances, etc
  • Assistance for Isolated Children’s Scheme (AIC)
  • Austudy Pensioner Education Supplement
  • Child Care Rebate
Contact Disability Co-ordinator on 08 92224 785, Community Housing for further details of assessment.
Applicants, whose income is derived from compensation payments due to a disability compensation payout, are eligible for Homeswest assistance if their assessable income, minus care costs, does not exceed Homeswest income limits.

3.1 Family Payments – Income assessed at 10% of additional payment for Family Tax Benefit A and 5% for Family Tax Benefit Part B. Basis Family Tax Benefit A in non-assessable



POLICY

GUIDELINES & PRACTICES
  • Multiple Birth Allowance
  • Disability Costs
  • Mobility Allowance
  • Double Orphan Pension
  • Carer’s Income
  • Austudy/Abstudy Fares Allowance
  • Abstudy Incentive allowance
  • Maternity Allowance and Maternity Immunisation Allowance
  • Telephone Allowance (Centrelink)
  • Bereavement payment (Centrelink)
  • Remote Area Allowance (Centrelink)
  • Pharmaceutical Allowance (Centrelink)
  • District Allowance
  • Portion of Austudy Loans Supplement (see 2.4).
  • Employment Entry Payments
  • Education Entry Payments
  • Income of other household members
Local government












3.3 District Allowance is assessable for rental assessment purposes but not for eligibility.



3.4 See 8.1 Definition of other household member.
3.5 Elected Members Allowance that is paid to cover expenses is exempt of being treated as income if the amount of allowance actually used is on expenses. Any excess allowance is to be treated as income



POLICY

GUIDELINES & PRACTICES
Department of Veteran’s Affairs Allowances
  • Attendants Allowance
  • Car Maintenance Allowance
  • Clothing allowance
  • Decoration Allowance
  • Recreation Allowance
  • War Disability Pension (UK also)
  • Intermediate War Pension
  • Extreme Disability Adjustment
  • Totally Permanent Invalid (TPI) War Pension

3.6 Any ex-gratia one off lump sum payments made by the Department of Veteran’s Affairs is not taken into account when assessing eligibility or rent. Examples:

   • Ex-gratia F-111 lump sum payment of either $40,000 or $10,000 made to eligible military personal, public servants and civilian contractors
   • One off payment in June 2001 of $25 000 to War Veterans or widows/widowers

Subsequent interest earned will be assessed from the following annual review
Documentary Proof of Income
4. Applicants must supply documentary proof of income to confirm eligibility for Homeswest assistance.
 4.1 Applicants receiving a Centrelink benefit or pension must supply a Statement of Benefit (To Whom It May Concern Letter) from Centrelink that is not more than four weeks old. Homeswest reserve’s the right to request such proof of a lesser period. Evidence of a claim for a benefit is not sufficient.
Or verification by the Income Confirmation Scheme (Refer to Tenancy Management Section 39 to 39.6 for details and conditions).
In country areas where there may be a delay in obtaining a Statement of Benefit, an applicant may make application and accrue waiting time until the documents arrive.
In isolated country areas it is sufficient proof of income to photocopy the applicant’s bank book, provided that the deposits shown are equal to the benefit the applicant should receive and are paid on regular pension payment dates.


POLICY

GUIDELINES & PRACTICES



Cash Assets
5. Applicants must conform to Homeswest’s eligibility criteria relating to cash assets.
  • Applicants in receipt of a wage or salary must have their employer complete the Employer Income Verification Statement or supply their last three months of wage or salary advice slips.
  • Self employed applicants must supply their last financial year Tax Assessment from the Australian Tax Office.
  • Applicants receiving part Centrelink benefit and part wage/ salary must supply evidence of both income sources.
  • Applicants with income sources from outside Australia must supply documentary proof of that income source.
Example: UK pension.
5.1 Current criteria are:
  • $38,400 – single applicant.
  • $63,800 per couple.
  • $80,000 Seniors 60 years plus singles or couples
  • Disabled applicants as defined by the People with Disabilities Policy not subject to the cash assets limit of $100,000 (Refer to Disability Policy).
Definition of a cash asset
These refer to the financial investments of a Homeswest customer, which include.
  • Deposit in a bank, credit union, building society, savings/cheque account, cash, term deposit, shares
  • Friendly Society and insurance bonds managed investments such as loans, debentures, friendly society and insurance bonds, unlisted equity and property trusts.
Cash assets do not include a customer’s car, antique furniture, stamp collection, life insurance policies, superannuation pensions or annuities

POLICY

GUIDELINES & PRACTICES

Superannuation
Superannuation funds for applicants under the age of 55 years - Superannuation funds that cannot be realised (e.g. superannuation roll-over fund) are not assessed as an asset.
Superannuation funds for applicants 55 years of age and plus – where a lump sum superannuation payment is taken, it will be treated as a cash asset and any income derived will be assessed for eligibility and rent assessment purposes.
Where superannuation is placed in a managed or roll-over fund and the client receives an annuity or allocated pension that income will considered for eligibility and rent assessment purposes.
The gross annual income is converted to a weekly amount for assessment.
Source of Income
6. An applicant’s income must derive from a source within Western Australia.
6.1 An applicant must be registered with a Western Australian office of Centrelink, be employed or have a registered business in the state.
7. Applicants with no current source of income may make application for assistance and accrue time on the waiting list, but at the time of allocation they must have an income within Homeswest’s current limits.
7.1 Example: Prisoners serving a jail sentence, asylum seekers, supported migrants, women in the traditional family setting with no independent income.
Income of Other Household Members
8. Income received by other household members who will be living in the household, but will not sign the tenancy agreement does not need to be proved at application, but must be proved at the time of the allocation of a property.
8.1 Other household members are non dependent members of the household (excluding the applicant’s partner), who will not be signing the tenancy agreement. Their income is not included for eligibility purposes, nor do they have to be eligible for Homeswest assistance except in relation to a debt to Homeswest.
Their income is included as part of gross household income for the purpose of calculating rental payments. Other household members have no rights of succession to the tenancy and no rights or responsibilities in relation to the property.
8.2 Definition of a dependent household member.
A dependent is a child of a family, or a child being fostered or cared for by a family, who is wholly or substantially in the care or control of the applicant and is financially dependent on the applicant.
8.3 Partner’s Income
The applicant’s partner’s income is included when assessing eligibility relating to income. This is regardless of whether or not the partner will be a signatory to the tenancy agreement.