Factors that affect the rate of rent assistance payable include the amount of rent paid or payable, and the person’s family situation, including whether the person has a partner who is receiving a rent-increased pension.
Calculating the rate of rent assistance
The amount of rent assistance payable is determined using the rent assistance module of the pension rate calculator appropriate to the person’s family situation. This means that for every dollar of rent paid in excess of the relevant rent threshold, 75 cents of rent assistance is paid up to the applicable maximum rate. The rent thresholds and maximum rates of rent assistance are adjusted twice yearly in March and September in line with movement in the cost of living.
Example of rent assistance calculation for a single assessment
A single pensioner is paying $188.40 per fortnight in rent. The rent threshold is $140.40. For every $1.00 of rent paid that is over the threshold, the single pensioner will receive $0.75.
This equals:
$188.40 (rent) – $140.40 (threshold) = $48.00
$48.00 x $0.75 = $36.00.
This means the single pensioner would receive $36.00 per fortnight in rent assistance.
*Note: – Pensioners who pay rent and have dependent children will have their rent assistance paid by the Family Assistance Office as part of their Family Tax Benefit.
Example of rent assistance calculation for a partnered assessment
A couple is paying a total of $800.00 per fortnight in rent. The combined rent threshold for a partnered assessment $206.40 and the maximum combined rate payable $134.60 (or $67.30 each). For every $1.00 of rent paid over the threshold of $206.40, the couple will receive 75 cents of rent assistance between them (or 37.5 cents each) up to the maximum rate. For each member of the couple, this equals:
($800.00 (total rent) – $206.40 (combined threshold)) x 0.375 = $222.60
As the rate calculated is more than the maximum rate of $67.30 each, each member of the couple will receive $67.30 each per fortnight in rent assistance.
For the most up-to-date information, I recommend visiting the official Australian Government websites or contacting Services Australia directly. They will be able to provide you with personalized guidance and instructions based on your situation.