Document ID: chunk:federal_register_of_legislation:C2004A04771:front:0:p71
Version: federal_register_of_legislation:C2004A04771
Segment Type: other
Provision Reference: 
Character Range: 187671–190605

maintenance income on a yearly basis.
         Note 1: For the treatment of the maintenance income of members of a couple see points 45Y-H2 and 45Y-H3.
         Note 2: 'Special maintenance income' (see subsection 5K(1)) can in some circumstances be disregarded under points 45Y-H4 to 45Y-H7.
Step 2.  Work out the person's maintenance income free area (see point 45Y-H8 below).
         Note: A person's maintenance income free area is the maximum amount of maintenance income the person can have without affecting the rate of the person's income support supplement.
Step 3.  Work out whether the person's maintenance income exceeds the person's maintenance income free area.
Step 4.  If the person's maintenance income does not exceed the person's maintenance income free area, the person's maintenance income excess is nil.

         Method statement—continued
Step 5.  If the person's maintenance income exceeds the person's maintenance income free area, the person's maintenance income excess is the person's maintenance income less the person's maintenance income free area.
Step 6.  Use the person's maintenance income excess to work out the person's reduction for maintenance income using point 45Y-H9 below.

    Note 1: See point 45Y-A1 (Steps 5 to 7) for the significance of the person's reduction for maintenance income.
Note 2: The application of the maintenance income test is affected by provisions concerning:
    • apportionment of capitalised maintenance income (section 51).
    • in-kind housing maintenance—value of substitute for family home (section 51A).

Only maintenance income for dependent child to be taken into account

"45Y-H2. In working out a person's maintenance income for the purposes of this Module, disregard any maintenance income for a child who is not a dependent child of the person.

Maintenance incomes of members of couples

"45Y-H3. If the person is a member of a couple, add the couple's maintenance incomes (on a yearly basis) to work out the amount of the person's maintenance income for the purposes of this Module.

"45Y-H4. Subject to points 45Y-H6 and 45Y-H7, if a person has special maintenance income in excess of the ceiling applicable to the person, the excess is disregarded for the purposes of this Module.

Note: See subsection 5K(1) for 'special maintenance income'.

Amount of ceiling

"45Y-H5. The ceiling applicable to a person is worked out using the formula:

where:

'MIFA' is the person's maintenance income free area;

'Table Amount' is whichever of the amounts in the following Table is applicable to the person:

           TABLE
Not member of couple  Partnered
$8,270.60             2 × $6,897.80

Note: The amounts specified in the Table are indexed in line with CPI increases (see sections 59A to 59E).

'DC add-ons' is the sum of the amounts of dependent child add-on, guardian allowance and rent assistance that would be payable to the person before the