What's the maximum i can earn before my centrelink payment is cutoff?

tydollasigncuz on 10/09/2020 - 20:10
Last edited 10/09/2020 - 20:46

Hi.
I am a civil engineering student who gets youth allowance.

right now, im living away from parents, single with no children,

how much can i earn before my payment is reduced to zero and i dont get the covid 19 supplement.

thanks

i have a new job that starts on the 18th, i am opting to work 3 times a week, however i can reduce it to two times a week and possible keep my centrelink payment and healthcare card.

i got told by a dodgey bloke to not report my income but i think im more than fine reporting it in after reading some comments.

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Comments

  • indium on 10/09/2020 - 20:19
    +7

    It's a criminal offence and I've been told from a friend that Centrelink now prefills your fortnightly income, so if this is the case, it will be hard to plead ignorance when you are altering the prefilled income to $0 each fortnight.

    • tydollasigncuz on 10/09/2020 - 20:51

      im not sure what that means but ive decided to report it in, but now im thinking of working the maximum hours before they cut my payment off so i still get the supplment.

      my main piority is my studies anyway

  • triviums on 10/09/2020 - 20:21
    +4

    I don't think you should be posting this on here. Could be used as evidence. This is fraud and people have landed in jail for centrelink fraud.

    Yes, many people have gotten centrelink when they shouldn't have been and only had to pay it back. I don't think most of them had the intention of actually committing fraud.

    • AustriaBargain on 10/09/2020 - 22:26
      +2

      It's not fraud to just want to know what your budget over the next four months will be. He can't strategically use it to get more money because getting the job will always be worth more, but he should still want to know what his entitlements from Centrelink will be when he makes his budget ahead of time.

      • triviums on 11/09/2020 - 00:53
        +4

        Post has been edited considerably due to it previously sounding like the OP wanting to commit fraud.

  • mbck on 10/09/2020 - 20:25
    +7

    Looking forward to the next topic

    • perhaps on 10/09/2020 - 20:52
      +1

      popcorn at the ready ;)

      • tydollasigncuz on 10/09/2020 - 20:55

        no popcorn required. just gonna continue with the masses

    • [Deactivated] on 10/09/2020 - 21:59
      -1

      🍿🍿🍿

  • Quantumcat on 10/09/2020 - 20:27
    +6

    You'll be fine if you just don't report for the first payslip or two, you'll get a debt raised later. But if you go any longer you're risking them opening a fraud investigation into you and that is not pretty. There could be jail time involved.

    • tydollasigncuz on 10/09/2020 - 20:49

      okay, thanks a lot for that. i dont have any payslips to report yet but when they come in, better just report them in by the looks of it. I think however there is a tactical way of approaching it where i earn just above the cut off so my payment is still 10$ or something and i still get the 10$ plus the supplment.

      just need to find out what the maximum i can earn per fortnight

      • screensaver on 10/09/2020 - 20:50

        You're single, no children. $1,088.50 I think

        • tydollasigncuz on 10/09/2020 - 20:54
          -1

          thats 23 hours a week i can work before the cut off, im happy with that

          • AustriaBargain on 10/09/2020 - 22:29
            +1

            @tydollasigncuz: You only lose a percentage of each dollar. It's like taxes, there's never a good reason to turn down more money just because you will have to pay more taxes. You'll always end up ahead for having more money. Never reject money or raises to avoid taxes, the person offering you the raise will probably agree with you that you don't deserve it if you tell them you don't want it it because you'll face more taxes.

            • ilikeradiohead on 12/09/2020 - 03:06

              @AustriaBargain: It's like taxes, but with an effective marginal rate of like 60%. So for every $1 you earn you keep 40c.

              So if you work for $24/h you only keep $8. Is it worth taking those extra shifts?

              • AustriaBargain on 12/09/2020 - 13:49

                @ilikeradiohead: It is worth it yes. But not if it’s working in COVID central imo. Unless your employer provides proper masks.

  • screensaver on 10/09/2020 - 20:40

    Now is the time to be honest and declare your earnings, as at the moment you can earn much more than usual, either 300 a week or a fortnight, I cant remember which. Your tax file number will be data matched

    • screensaver on 10/09/2020 - 20:42

      This 300 thing starts on the 24th

  • screensaver on 10/09/2020 - 20:55

    The income free area for JobSeeker Payment will increase to $300 per fortnight. This means you can earn more but still get the maximum payment rates. If you earn above $300 per fortnight, your payment reduces by 60 cents for each dollar over this amount.

    • screensaver on 10/09/2020 - 20:57
      +1

      So for every dollar over 300 per fortnight you lose 60 cents

      • KangarooOz on 11/09/2020 - 00:22

        Plus 21% (income tax plus Medicare levy) which gives you 81% of effective tax rate. It could be more depending on your Income tax margin

  • screensaver on 10/09/2020 - 20:59

    At 30 dollars per hour the first 10 hours per fortnight dont count

  • [Deactivated] on 10/09/2020 - 20:59

    Do the job seeker estimator to estimate your amounts (Remember to add $250 if you receive any amount of payment as the supplement is about to change) then justify.
    I have opted to work 1 less day at work which means I can now get youth allowance - student and get an extra $50 a fortnight and 1 day less work
    https://www.centrelink.gov.au/custsite_pfe/pymtfinderest/pay…

  • [Deactivated] on 10/09/2020 - 21:20
    +2

    You won't get cut off immediately but it gradually decreases depending on how much you earn. I also don't think trying to minimise work to maximise centrelink is an ethical idea

    • tydollasigncuz on 14/09/2020 - 19:18

      its more about spending my time for my studies

  • Orico on 11/09/2020 - 01:07
    +1

    Work 3 days a week and keep reporting your centrelink income. Now is not the time to make money. Just get the experience and cop the reduced centrelink amount.

  • RockyRaccoon on 11/09/2020 - 07:16
    +1

    Please make sure your game the system ethics dont extend to the projects you work on.

  • Cooltaj5 on 11/09/2020 - 07:46

    I can't see any answer with a lot of detail yet so I will try to provide some and I know that it can be hard to work out something like how much income can I report from the Services Australia website. Firstly, the basic way to try and get a good estimate is to remember that Youth Allowance student has income free area of $437/fn and then you lose about 60c per dollar of your entitlement thereafter. Another thing to take into account if you have already been on the payment for awhile is income credits, for every dollar you earn below $437 you get an income credit to offset any dollar above 437 in the future (an example is reporting $200 in one fortnight will get you 237 credits which means you could then report $674 the next fortnight and get a full payment the following fortnight). A few other things to take into account are, you can accrue about 10,300 credits providing your payment has had a long run of continuity, the slow implementation of single touch payroll data will mean they will know if you underreport but it also means soon you will be able to confirm or reject pre-filled data each fortnight and lastly you are reporting your gross (before tax income) you EARNED in your reporting period (hours worked over the reporting period times your hourly rate) not what you got PAID (your latest payslip at time of reporting might be for a very different period). This will change in December though, see https://www.servicesaustralia.gov.au/individuals/news/change…

    • Cooltaj5 on 11/09/2020 - 14:42

      (an example is reporting $200 in one fortnight will get you 237 credits which means you could then report $674 the next fortnight and get a full payment the following fortnight) - This should say you 'could then report $674 the next fortnight and receive full payment with no decrease'.

  • ol mate on 14/09/2020 - 19:30
    +1

    With single touch payroll and data matching, i wouldn't be doing any dodgy reporting…

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