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Guide to Social Security Law

6.3.2 Newstart & Youth Allowance Overpayments


This section contains one short topic on overpayment of NSA resulting from casual employment.

NSA casual earnings overpayment

Income earned by NSA recipients from casual employment or self-employment affects the NSA rate payable. If, as a result of casual earnings, a person received 'NIL' payment for 6 consecutive fortnights, they are NO LONGER considered unemployed from the end of the sixth fortnight and NSA is cancelled.

Casual earnings must be declared in the fortnight they have been earned regardless of whether they have actually received it or not. The amount declared must be the gross amount of earnings.

Recipients can declare their earnings on their fortnightly recipient statement notice. NSA recipients on variable reporting should declare their earnings in the fortnight they earned it instead of waiting until the form is due to be lodged.

When casual earnings cause an overpayment of NSA, the calculation is based on income in each fortnight for which NSA was actually paid.

Act reference: SSAct section 1084 Certain money and financial investments not taken into account, section 1223(1) Debts arising from lack of qualification, overpayment etc.

Policy reference: SS Guide 2.2.3 Verifying Financial Information, 3.2.1 NSA - Qualification & Payability

Employment income (1.1.E.102) overpayments

Overpayments that occur due to recipients not advising, or incorrectly advising of employment income may be reduced if the recipient has working credits to deplete.

Policy reference: SS Guide Working Credit Depletion, Date of Effect of Non-Automatic Adverse Determinations