Exempt assets

Some assets are exempt and not taken into account when calculating your Australian Government income support payment.

Assets that are not assessed under the assets test

Assets which are not assessed under the assets test - exempt assets - include:

• your principal family home and any permanent fixtures such as wall-to-wall carpet and wall heaters, and either:
  • up to 2 hectares of privately used surrounding land on the same title document as the home, or
  • all land greater than 2 hectares on the same title document as the home if you are eligible for the new rules for farmers and rural homeowners.

  For more information view the Assets test for rural homeowners factsheet.

  Note: if you leave your principal place of residence, it may be exempt for up to 12 months, depending on why you left.

• life interest (not created by you or your partner)
• granny flat interest (if the amount paid is above the difference between the homeowner and non-homeowner allowable assets levels)
• a Victorian Ministry for Housing movable unit
• the value of any right or interest you have in a sale/lease back home (if the deferred payment amount under the contract is more than the difference between the homeowner and non-homeowner allowable asset levels)
• any reversionary, remainder and contingent interest (not created by you)
• any interest you have in an estate before the estate is able to be finalised
• any medal or decoration for valour you have as long as you do not have it for investment or hobby purposes
• aids for disabled people
• a gift car provided by the Department of Veterans' Affairs
• if you sell your principal home the proceeds of the sale will be exempt for up to 12 months, as long as you are planning to use the proceeds to buy another home. This exemption can be extended for up to an additional 12 months if you are experiencing delays beyond your control in acquiring a new home. However, you will be deemed to be earning interest on the proceeds in the meantime and this will be counted under the income test
• the value of any accommodation bonds for hostels
• the value of your and/or your partner's investment in a First Home Saver Account (within the meaning of the First Home Saver Accounts Act 2008)
• any assets you have in superannuation and rollover funds if you are under age pension age (for more information, view the Financial Information Service publications.)
• for the Exceptional Circumstances Relief Payment, farm assets are exempt
• the value of a cemetery plot for you or your partner, and either:
  • prepaid funeral expenses, or
  • up to 2 funeral investments/bonds that cost no more than $11,000 in total.

  For more information, view the Funeral expenses - preparations you can make factsheet.

• some income streams products.

Note: a discount applies to farm and business assets under the Youth Allowance and ABSTUDY Family Assets Test.