Current Youth Allowance qualifications are a “minefield” that “discourages country students to become more independent and stand on their own two feet”, according to a local councillor advocating for changes.
Mount Gambier City Council elected member Max Bruins discussed his concerns at council’s April monthly meeting.
“It is an absolute minefield and I struggle to comprehend the rationality how it is currently structured,” Cr Bruins said.
“With the current way the qualification works, to be considered independent and not be subject to a parental income test, the first option is to work full-time for 18 months in a two-year period.
“That in itself discourages students going to study immediately after high school.
“The second criteria, specific to regional and remote students, which we are down here, allows you to earn 75% of national training wage in a 14-month period.
“This is about $30,000, which is achievable for a lot of people.
“But that still is subject to a one-off parental income test.
“If your parents earn a combined income of $160,000 or more, even if you earn $30,000 as a student you are still subject to that test.”
Cr Bruins is a financial planner with a local firm which recently presented an information session about Youth Allowance.
“In my professional capacity I presented a seminar for parents who have children attending university next year,” he said.
The session covered eligibility requirements, the workforce participation test for regional and remote students, and criteria for dependent verses independent students.
The parental income test and end of financial year strategies to improve eligibility were also highlighted in the session.
“We are getting more and more university courses down here but there is still a vast majority of students that need to attend in the city if they want to further their education,” Cr Bruins said.
Cr Bruins submitted a motion regarding Youth Allowance Advocacy for Regional and Remote Students.
“The intent of the motion is to bring this to the attention of the Local Government Association and present a united front with other councils from across the Limestone Coast,” he said.
Council will send a letter to the Limestone Coast LGA, Human Services Minister Nat Cook, Education Minister Jason Clare, Senator Anthony Chisholm, Education and Regional Development Assistant Minister Senator Anthony Chisolm and Member for Barker Tony Pasin.
At the meeting Cr Paul Jenner requested the letter also be sent to Primary Industries and Regional Development Minister Clare Scriven.
Cr Josh Lynagh disclosed a general conflict of interest stating that he works for Minister Scriven.
However, he did remain in the chamber while discussion took place and subsequently voted in favour of the motion.
Cr Bruins’ motion received unanimous support from those present at the meeting.
Crs Mark Lovett and Kate Amoroso were apologies from the meeting.
