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Financial Case Management

From 1 July 2006, with the introduction of the Welfare to Work reforms, a new compliance system was introduced.

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Financial Case Management

Financial case management is a service that assists customers with the payment of essential expenses while they are serving an eight-week non-payment period. It can be paid up to the level of income support they would otherwise have received.

The service is offered through a financial case management provider, who may either be a Non Government Organisation (NGO) or a Centrelink Social Worker. Each fortnight the provider will assess the customer’s financial circumstances and identify the customer’s essential and existing expenses and obtain evidence to substantiate the validity of the payment being requested. Providers will recommend to Centrelink which essential expenses should be paid in line with policy guidelines. Authorisation and payment of recommended essential expenses will occur within Centrelink.

The compliance framework applies to all customers with activity test requirements. This includes customers receiving:

  • Newstart Allowance
  • Youth Allowance, and
  • Special Benefit (Temporary Protection Visa holders)
  • New claimants for Parenting Payment Single whose youngest dependent child is aged between 6 and 8 (who therefore have participation requirements).

From 1 July 2007 this also applies to some Parenting Payment (grandfathered) customers when their youngest dependent child turns 7.

An eight week non-payment period will apply to those who, without a reasonable excuse:

  • fail to comply with their participation requirements three or more times in a 12 month period
  • refuse a job offer, are dismissed from employment due to misconduct or leave a job voluntarily
  • and to very long-term unemployed customers who fail to participate in full-time Work for the Dole.

If the imposition of an eight week non-payment period is likely to cause hardship to children or other vulnerable dependents, or if the customer is considered exceptionally vulnerable, the customer will be offered financial case management. Customers receiving financial case management will have their essential expenses paid up to the limit of the income support they would otherwise have received.

Customers who are not eligible for financial case management services will be offered referrals to other assistance where appropriate.

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Vulnerable Dependants

Vulnerable dependants are:

  1. a dependent child and/or
  2. any other person who:
    • lives with the Customer, and
    • has expenses in addition to living expenses, generally as a result of illness or incapacity, which they would normally rely, at least in part, on the Customer to help meet, and
    • is unable to meet those expenses because of the imposition of the Customer's non-payment period.

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Exceptionally Vulnerable

Although Centrelink will have some discretion, 'exceptionally vulnerable' generally refers to customers serving an eight week non-payment period who meet all of the following conditions:

  • they have a recognised disability, medical condition or physical or mental impairment
  • they require medication to manage that condition or impairment
  • they do not have sufficient funds available to purchase essential medication.

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Essential Expenses

'Essential expenses' are those expenses that a customer incurs that are required to sustain their dependents or meet their particular needs because of their exceptional vulnerability during an eight week non-payment period. These may include:

  • reasonable costs of living, up to a maximum amount equivalent to the allowance that would have been payable. The costs of living include the costs of food, rent, mortgages, medical expenses, rates, gas, electricity, telephone, public transport, and other reasonable costs
  • cost of repairs or replacement of essential whitegoods
  • school expenses
  • funeral expenses
  • essential expenses arising from birth or adoption of a child
  • expenditure to replace essential household goods lost through theft or natural disaster
  • cost of essential repairs to the person's car or home
  • premiums for vehicle or home insurance
  • expenses for vehicle registration.

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Eligibility for financial case management

Eligibility for financial case management will be determined by Centrelink.

Financial case management services will be provided by Non Government Organisations. Centrelink will refer eligible customers to a list of pre-qualified Non Government Organisations within their local area. Only Non Government Organisations that have been pre-qualified by Centrelink, through the procurement process, will be able to provide financial case management services.

Non Government Organisations will assess an eligible customer's financial circumstances and recommend to Centrelink which essential expenses should be paid. Centrelink will then authorise and pay the recommended essential expenses in line with policy guidelines.

For more information on the eligibility for financial case management:

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Financial Case Management Application

To register for Centrelink's Financial Case Management Register, please download the invitation below and send in the completed application form to:

Financial Case Management
PO Box 282
Woden ACT 2606

Please note: to receive this form in a format other than PDF please email: case.management@centrelink.gov.au

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Financial Case Management - Questions and Answers

Centrelink has developed a series of Questions and Answers for Financial Case Management.

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More Information

To further contact the Financial Case Management Project Team:

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