Document ID: chunk:federal_register_of_legislation:C2025C00162:section:5:p4
Version: federal_register_of_legislation:C2025C00162
Segment Type: section
Provision Reference: s 5 (pt 4/13)
Character Range: 1923398–1926174

Use the person's partner income excess to work out the person's partner income reduction using point 1068‑G11.
           Step 7. Work out whether the person's ordinary income exceeds the person's ordinary income free area under point 1068‑G12.
                  Note: A person's ordinary income free area is the maximum amount of ordinary income the person may have without affecting the person's benefit rate.
           Step 8. If the person's ordinary income does not exceed the person's ordinary income free area, the person's ordinary income excess is nil.
           Step 9. If the person's ordinary income exceeds the person's ordinary income free area, the person's ordinary income excess is the person's ordinary income less the person's ordinary income free area.
           Step 10. Use the person's ordinary income excess to work out the person's ordinary income reduction using points 1068‑G14, 1068‑G15, 1068‑G16 and 1068‑G17.
           Step 11. Add the person's partner income reduction and ordinary income reduction: the result is the person's income reduction referred to in Step 5 of point 1068‑A1.
Note 1: For ordinary income see section 8.
Note 2: See point 1068‑A1 (Steps 6 to 9) for the significance of the person's income reduction.
Note 3: The application of the ordinary income test is affected by provisions concerning:
• the general concept of ordinary income and the treatment of certain income amounts (Division 1 of Part 3.10);
• business income (sections 1074 and 1075);
• income from financial assets (including income streams (short term) and certain income streams (long term)) (Division 1B of Part 3.10);
• income from income streams not covered by Division 1B of Part 3.10 (Division 1C of Part 3.10);
• disposal of income (sections 1106 to 1111).

Ordinary income of members of certain couples
 1068‑G2 Subject to point 1068‑G3, if a person is a member of a couple and the person's partner is receiving a social security pension, a service pension, income support supplement or a veteran payment, the person's ordinary income is taken to be one half of the sum of:
 (a) the amount that would be the person's ordinary income if he or she were not a member of a couple; and
 (b) the amount that would be the ordinary income of the person's partner if the partner were not a member of a couple.

Friendly society amounts
 1068‑G4 The ordinary income of a person to whom, or to whose partner, jobseeker payment is payable and who, or whose partner, is not required to satisfy the employment pathway plan requirements because of a determination that is in effect under section 40L of the Administration Act and that has been made because of the circumstance referred to in paragraph 40L(5)(a) of that Act, is not to include any amount received