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FORE Australia Reporter: Sue Hwang
Publish Date: 15/8/2024
Problem Identification:
The age of independence is set at 22 for students seeking Youth Allowance (YA).
A survey by the National Union of Students (NUS) found that a lack of financial support prevented young people from entering university, embarking on a full course load, and even resulted in young people withdrawing altogether.
Students under the age of 22, who are ineligible for full rates of YA, may be at risk of experiencing student poverty, which can have adverse effects on their mental and physical well-being.
Context:
Solution Identification:
Advice:
Download the 1-page policy brief PDF here:
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Endorsed by:
"Endorsed by" indicates that this brief has been reviewed and directly supported by the stakeholder.
Public Support:
Where to go to learn more:
National Union of Students Locked Out of Youth Allowance Report - https://changetheage.asn.au/wp-content/uploads/2022/10/Locked-out-of-youth-allowance-student-poverty-and-centrelink-in-Australia-1.pdf
ABC’s report on students locked out of Centrelink, forced into gap year to qualify for Youth Allowance - https://www.abc.net.au/news/2022-11-05/calls-to-lower-age-of-independence-for-country-kids/101595216
Lived Experience:
Jack, a 20-year-old university student, had to move out of home and relocate to Hobart to pursue his studies. He reports having to juggle multiple jobs to support himself and put food on the table while studying, as he is financially independent from his parents, and unable to access YA payments due to his parents earning above Centrelink’s income thresholds.
‘Ty’, 23 years old, recalls their experience prior to receiving YA. ‘Living in metro Melbourne for university, I was constantly struggling to afford basic living expenses. Due to violence in the home, I was no longer in contact with my parents, and Centrelink’s independence requirements made it unsafe and very difficult for me to prove my independence. I had to resort to dumpster diving for food, and had to sell a lot of my things to afford to pay rent while studying. It was incredibly stressful and detrimental to my mental and physical health, and my grades definitely suffered.’
‘Mel’ grew up in a rural town in New South Wales, and recalls her disappointment in being ineligible to receive YA at the age of 18 after finishing high school. ‘I worked really hard to be accepted into my dream degree at university. However, as there is no university in my town, I had no choice but to relocate to Sydney to pursue my studies. My parents are farmworkers and cannot afford to financially support me, so I must provide for myself in Sydney. The cost of living is expensive in Sydney with rent on campus exceeding $500 per week. Despite working part-time, I could not afford this and was therefore unable to go to university. Instead I had to take a gap year and work a couple of jobs to be eligible for YA under the independent criteria. If the Age of Independence was lowered I could be supported in my studies and would’ve graduated with a Bachelor's degree by now.’
Reference list:
National Union of Students & Foundation for Young Australians. (2022). Locked out of Youth Allowance: Student Poverty and Centrelink in Australia [Review of Locked out of Youth Allowance: Student Poverty and Centrelink in Australia]. https://changetheage.asn.au/wp-content/uploads/2022/10/Locked-out-of-youth-allowance-student-poverty-and-centrelink-in-Australia-1.pdf
Youth Allowance for students and Australian Apprentices - Services Australia. (n.d.). https://www.servicesaustralia.gov.au/youth-allowance-for-students-and-australian-apprentices
Dependent or independent - Services Australia. (n.d.). https://www.servicesaustralia.gov.au/dependent-or-independent-for-youth-allowance-student-or-australian-apprentice?context=43916#:~:text=When%20you're%20independent%2C%20your,they%20don't%20support%20you.&text=If%20you're%2022%20or%20older%20we'll,treat%20you%20as%20permanently%20independent.
Social Security Act 1991. (2024). https://www.legislation.gov.au/C2004A04121/latest/text
Department of Education & Department of Education, Employment and Workplace Relations. (2008). Review of Australian Higher Education Final Report (pp. 1–304) [Review of Review of Australian Higher Education Final Report]. Australian Government. https://www.voced.edu.au/content/ngv%3A32134
Miolin, L. (2024, April 2). Centrelink’s age of independence causing “real inequity” between city and regional students. ABC News. https://www.abc.net.au/news/2024-04-03/centrelink-independence-rules-for-uni-students-call-for-rethink/103604156
Daniels, D. (2013). Student income support: a chronology. Parliamentary Library Research Paper Series 2017-18. https://www.aph.gov.au/About_Parliament/Parliamentary_Departments/Parliamentary_Library/pubs/rp/rp1718/Chronology/StudentIncomeSupport
Conflict of interest / acknowledgment statement:
N/a
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