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Assistance For Isolated Children (AIC) Parental Income Test:

The information shown on this page applies for 2008.

There is no parental income test on Basic Boarding Allowance, Distance Education Allowance, Second Home Allowance or the AIC Pensioner Education Supplement. An income tested additional Boarding Allowance is available and reduces by one dollar for each whole four dollars of parental income over the parental income free area. Additional Boarding Allowance is also affected by the amount of the student's actual boarding costs.

  • Parental income is the applicant’s and his/her partner's combined taxable income for the financial year ending in the year before the student's year of study (as well as maintenance payments made or received, negative gearing and reportable fringe benefits received in that financial year).
  • The Parental Income Test can be based on parental income in the financial year ending in the student's year of study where there has been a substantial decrease or increase in parental income. This may affect the amount of entitlement to Additional Boarding Allowance.
  • The parental income free area is $31,400. The parental income free area is increased where there are other dependent students and younger children in the family.
  • Once parental income exceeds $40,055 (or the amount as increased by adjustments for other dependent students and younger children in the family) only Basic Boarding Allowance is payable.
  • Parental income is not taken into account for the period where the applicant or his/her partner:
    • gets an Australian Government income support payment
    • gets a Community Development Employment Project (CDEP) wage (except as an administrator)
    • holds a current Health Care Card (except where they receive Mobility Allowance or Carer Allowance for a disabled child)
  • During this period, the entitlement to Additional Boarding Allowance is only affected by the amount of the student's actual boarding costs.
  • If the student's actual boarding costs are $6280 or less, only Basic Boarding Allowance is payable.

If you are eligible for more than Basic Boarding Allowance, the rate of boarding allowance payable is the lower of:

  • the entitlement under the parental income test, or
  • the student's actual boarding costs.

How do I find out more?

For information on the Parental Income Test for the Additional Boarding Allowance:

For more information about the different forms of income that are assessed by Centrelink, go to Income information.

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