Social Security (Jobseeker Support and Accommodation Supplement) Amendment Bill

Social Security (Jobseeker Support and Accommodation Supplement) Amendment Bill EXPLANATORY NOTE GENERAL POLICY STATEMENT The Social Security (Jobseeker Support and Accommodation Supplement) Amendment Bill (the Bill ) amends the Social Security Act 2018. The amendments support fiscal sustainability in the welfare system by better targeting financial assistance to those most in need of support. The Bill implements 2 initiatives announced in Budget 2025 aimed at targeting welfare assistance by— tightening the eligibility criteria for jobseeker support and the equivalent emergency benefit for young people aged 18 and 19, and in particular circumstances those aged 16 and 17 If a 16- or 17-year-old is in a recognised relationship with a person aged 18 or older and is included as a partner in that person’s jobseeker support or the equivalent emergency benefit, or if a 16- or 17-year-old has a partner who is aged 18 or older and that partner is or would be included in the 16- or 17-year-old’s jobseeker support student hardship or the equivalent emergency benefit (if they meet the parental assistance test when required). (collectively referred to as a ‘young person’ or ‘young people’); and targeting accommodation supplement more tightly to some homeowners who have higher weekly qualifying accommodation costs relative to their income and assets. There has been an increase in benefit dependency among young people. As of 2017, 18- and 19-year-olds on jobseeker support were projected to spend an average of 12 future years on a main benefit. Modelling indicates that, by 2024, this estimate had increased to an average of 21 future years supported by a main benefit. Based on the 2024/25 Social Outcomes Model results. These results are not official statistics. They have been created for research purposes from the Integrated Data Infrastructure (IDI) which is carefully managed by Stats NZ. For more information about the IDI, please visit: https://www.stats.govt.nz/integrated-data/. Evidence shows that longer periods on benefit can lead to negative outcomes for young people. The Government intends to reduce welfare dependency among this cohort, while also reducing the cost to government of benefit receipt. The settings for how much a client must contribute towards their weekly qualifying accommodation costs before they can receive accommodation supplement (the entry threshold ) were last set in 1993. The entry threshold is based on 25 percent of the relevant base rate The base rate is an indicator of a client’s (and their partner’s, if applicable) income which is based on main benefit rates (and the family tax credit, if applicable). for renters and boarders. For homeowners, the entry threshold is relatively higher (30 percent of the base rate) to reflect that they are being supported to accumulate a personal asset. As the proportion of income commonly spent on accommodation costs has since increased, there is a need to align the homeowner entry threshold with the higher accommodation costs in the current housing environment. That alignment is intended to ensure that accommodation supplement remains targeted to supporting homeowners with high weekly qualifying accommodation costs relative to their income and assets. The objectives of the Bill are to— support fiscal sustainability in the welfare system by targeting welfare assistance to those most in need of support; and reduce benefit dependency among young people by strengthening the incentives to enter employment, education, or training; and reduce reliance on accommodation supplement for some homeowners while continuing to support vulnerable homeowners. To help achieve those objectives, the Bill does the following things. The Bill introduces a parental assistance test for tightening the eligibility criteria for jobseeker support Jobseeker support on all grounds, including work ready; health condition, injury, or disability; student hardship; and hardship. and the equivalent emergency benefit for young people without dependent children. Through the parental assistance test, the Ministry of Social Development ( MSD ) will determine if it is satisfied of either or both of the following: that a young person cannot reasonably be expected to rely on their parent(s) for financial support: that the young person’s parental income is at or below the income limit. That change will reinforce the expectation that young people who are not in employment, education, or training should be financially supported by their parents, instead of relying on the welfare system. It is intended to support a reduction in benefit dependency, and target access to welfare assistance to young people who have no other resources to rely on. That change will not impact young people applying for any other benefits (for example, supported living payment, or young parent payment), and will also not impact supplementary or hardship assistance that young people can get from MSD if they are otherwise eligible for those supports. The Bill also targets accommodation supplement more tightly by increasing the entry threshold for some homeowners from 30 to 40 percent of the relevant base rate: The change will also flow through to recipients of accommodation benefit for single students with a supported child, as this is calculated in accordance with section 65 of the Social Security Act 2018. That change will not impact clients receiving New Zealand superannuation, veteran’s pension, supported living payment, or emergency benefit (that is the equivalent to supported living payment), or their partners, as those cohorts are considered likely to require welfare assistance over the longer term. DEPARTMENTAL DISCLOSURE STATEMENT The Ministry of Social Development is required to prepare a disclosure statement to assist with the scrutiny of this Bill. The disclosure statement provides access to information about the policy development of the Bill and identifies any significant or unusual legislative features of the Bill. A copy of the statement can be found at http://legislation.govt.nz/disclosure.aspx?type=bill&subtype=government&year=2026&no=306 REGULATORY IMPACT STATEMENT AND SUPPLEMENTARY ANALYSIS REPORT The Ministry of Social Development produced a regulatory impact statement on 10 September 2025 to help inform the main policy decisions taken by the Government relating to tightening eligibility for young people. The Ministry of Social Development produced a supplementary analysis report on 24 March 2026 to inform further possible decisions related to the design or operational details of the accommodation supplement initiative. Copies can be found at— https://www.msd.govt.nz/documents/about-msd-and-our-work/publications-resources/information-releases/cabinet-papers/2025/tightening-access-to-jobseeker-support-and-emergency-benefit-for-18-and-19-year-olds/regulatory-impact-statement-tightening-eligibility-for-18-and-19-year-olds.pdf https://www.msd.govt.nz/documents/about-msd-and-our-work/publications-resources/regulatory-impact-statements/sar-increasing-the-as-entry-threshold-for-homeowners.pdf https://www.regulation.govt.nz/our-work/regulatory-impact-statements/ CLAUSE BY CLAUSE ANALYSIS Clause 1 is the Title clause. Clause 2 relates to commencement. This Bill comes into force on 2 November 2026. However, Part 2 comes into force on 1 April 2027. Clause 3 provides that the Bill amends Social Security Act 2018 (the principal Act ). JOBSEEKER SUPPORT AND EQUIVALENT EMERGENCY BENEFIT: TIGHTENING ELIGIBILITY Clause 4 amends section 20 (jobseeker support: requirements). New section 20(ca) ensures that a person is not entitled to jobseeker support unless the person meets the parental income requirement ( see new sections 23A to 23I ). Clause 5 inserts new sections 23A to 23I (parental income requirement). New section 23A relates to when a specified young person is subject to the parental income requirement. New section 23A(1) sets out the general rule. New section 23A(2) sets out exceptions to new section 23A(1) . New section 23B(1) provides for the general rule: namely, that a specified young person ( A ) who is subject to the parental income requirement ( see new section 23A ) meets that requirement only if— A has 1 applicable parent whose parental income for the calculation year is not more than the parental income limit; or A has 2 applicable parents whose combined parental income for the calculation year is not more than the parental income limit. New section 23B(2) provides, however, for 3 exceptional situations in which a specified young person ( A ) who is subject to the parental income requirement ( see new section 23A ) must be taken to meet that requirement. New section 23C sets out what happens if a specified young person ( A )— is subject to the parental income requirement; and does not meet that requirement. New section 23D defines, for the purposes of the parental income requirement provisions, the following terms: applicable parent, calculation year, foster care allowance, parent, parental income, parental income limit, parental income requirement, parental income requirement provisions, relevant benefit, and specified young person. New section 23E defines a specified young person’s applicable parent. New section 23F states a priority for applicable parent determinations: natural parents or adoptive parents must be considered before step-parents: a step-parent who a specified young person ( A ) is living with must be considered before another step-parent: if A is not living with any step-parent, a step-parent who is in a relationship with a parent with whom A does not have a parental support gap must be considered before a step-parent who is in a relationship with a parent with whom A has a parental support gap. New section 23G sets out, for the purposes of new section 23E , when a specified young person ( A ) has a parental support gap with a parent ( P ). New section 23H states a priority for parental support gap determinations: natural parents or adoptive parents must be considered before step-parents: a step-parent who a specified young person ( A ) is living with must be considered before another step-parent: if A is not living with any step-parent, a step-parent who is in a relationship with a parent with whom A does not have a parental support gap must be considered before a step-parent who is in a relationship with a parent with whom A has a parental support gap. New section 23I enables MSD to make determinations, for the purposes of new sections 23E to 23H , whether a parent is single or in a de facto relationship. Clause 6 amends section 63 (emergency benefit: discretionary grant on ground of hardship). New section 63(2A) ensures that, if a person ( P ) is a specified young person, and the equivalent benefit under section 63(4) is jobseeker support, MSD may grant P an emergency benefit only if P meets the parental income requirement. New section 63(2B) provides that, for the purposes of new section 63(2A) , parental income requirement provisions that do not mention the equivalent emergency benefit apply to it as if it were jobseeker support. Clause 7 amends section 113. Section 113(1) provides that a beneficiary must without delay notify MSD of a change in the beneficiary’s circumstances if— the change affects the beneficiary’s entitlement to receive a benefit; or the change affects the rate of a benefit the beneficiary receives. New section 113(1A) provides that a beneficiary must without delay notify MSD of a change in the circumstances of a parent of the beneficiary if— the change affects whether the beneficiary is subject to, or meets, the parental income requirement; and for that reason, the change affects— the beneficiary’s entitlement to receive a benefit; or the rate of a benefit the beneficiary receives. New section 113(3A) provides examples of a change in the beneficiary’s circumstances— for the purposes of the parental income requirement; and in relation to a relevant benefit. New section 113(3B) provides examples of a change in the circumstances of a parent of the beneficiary— that affects whether the beneficiary is subject to or meets the parental income requirement; and in relation to a relevant benefit. Clause 8 inserts new subparts 3B to 3D of Part 6 , which are about reviews related to the parental income requirement. New subpart 3B of Part 6 contains new sections 310W to 310ZG . New subpart 3B of Part 6 requires MSD to review entitlement to, and the rate of benefit of, a relevant benefit granted or regranted to, or in respect of, a specified young person ( A ) if a child leaves the care of A, or of A and A’s spouse or partner,— because of a change of circumstances that is sudden and beyond the control of A, or of A and A’s spouse or partner; and with the effect that new section 23A(2)(b) or (c) ceases to apply to A (and A is subject to the parental income requirement under new section 23A(1) ) because— the relevant benefit ceases to be payable at an appropriate rate of benefit that is determined including (as well as A, and A’s spouse or partner (if any)) 1 or more dependent children; or A, or A’s spouse or partner, ceases to be receiving, in respect of a child, an orphan’s benefit, an unsupported child’s benefit, or a foster care allowance. New subpart 3C of Part 6 contains new sections 310ZH to 310ZQ . New subpart 3C of Part 6 requires MSD to review entitlement to, and the rate of benefit of, a relevant benefit granted or regranted to, or in respect of, a specified young person ( A ) if a child leaves the care of A, or of A and A’s spouse or partner,— for any reason other than a change of circumstances that is sudden and beyond the control of A, or of A and A’s spouse or partner; and with the effect that new section 23A(2)(b) or (c) ceases to apply (and A is subject to the parental income requirement under new section 23A(1) ) because— the relevant benefit ceases to be payable at an appropriate rate of benefit that is determined including (as well as A, and A’s spouse or partner (if any)) 1 or more dependent children; or A, or A’s spouse or partner, ceases to be receiving, in respect of a child, an orphan’s benefit, an unsupported child’s benefit, or a foster care allowance. New subpart 3D of Part 6 contains new sections 310ZR to 310ZY . New subpart 3D of Part 6 requires MSD to review entitlement to, and the rate of benefit of, a relevant benefit that— is, or is an emergency benefit equivalent to, jobseeker support granted under section 25(4); and is granted to, or in respect of, a person ( A ) who— was not a specified young person when that benefit was granted; and becomes a specified young person (and subject to the parental income requirement under new section 23A(1) ) after that benefit was granted and when A, or A’s spouse or partner, turns 18. Clause 9 inserts new section 422A . It authorises the making of regulations that do either of both of the following for the purposes of the definition of parental income in new section 23D : declare amounts to be parental income: declare amounts not to be parental income. Clause 10 amends Schedule 1 (transitional, savings, and related provisions). New Part 16 of Schedule 1 (set out in Schedule 1 of the Bill) contains provisions relating to the amendments made by Part 1 of the Bill. Clause 11 amends Schedule 2. The amendments insert or replace definitions of the following terms: applicable parent, calculation year, child exclusion date, foster care allowance, MSD income tax deduction or payment, parent, parental income, parental income limit, parental income requirement, parental income requirement provisions, relevant benefit, required information, and specified young person. Clause 12 amends Schedule 3. The main amendment inserts, into Schedule 3, new clauses 14A to 14E . Those new clauses relate to how parental income is calculated for the purposes of the parental income requirement. New clause 14A of Schedule 3 sets out how parental income is calculated, for the purposes of the parental income requirement, if a relevant benefit is applied for or reapplied for. In particular, new clause 14A sets out that, and how,— MSD must determine the calculation year for which an applicable parent’s parental income must be calculated for the purposes of the parental income requirement; and MSD must calculate the parent’s parental income for that year. New clause 14B of Schedule 3 sets out how parental income is calculated, for the purposes of the parental income requirement, if MSD is considering whether a beneficiary was, or would be, entitled to a relevant benefit— in, or as a result of, a discretionary review under section 304; and after MSD becomes aware of a change in the beneficiary’s circumstances (for example, because the change in the beneficiary’s circumstances is notified under new section 113(3A) ); and in the period during which the beneficiary’s benefit that is the subject of the review (whether a relevant benefit or any other benefit) is payable and must continue to be paid. In particular, new clause 14B sets out that, and how,— MSD must determine the calculation year for which an applicable parent’s parental income must be calculated for the purposes of the parental income requirement; and MSD must calculate the parent’s parental income for that year. New clause 14C of Schedule 3 sets out how parental income is calculated, for the purposes of the parental income requirement, if MSD is considering whether a beneficiary was, or would be, entitled to a relevant benefit in, or as a result of, a review required by— new subpart 3B of Part 6 (child leaves care because of sudden uncontrollable change of circumstances); or new subpart 3C of Part 6 (child leaves care for other reason); or new subpart 3D of Part 6 (beneficiary or spouse or partner turns 18). In particular, new clause 14C sets out that, and how,— MSD must determine the calculation year for which an applicable parent’s parental income must be calculated for the purposes of the parental income requirement; and MSD must calculate the parent’s parental income for that year. New clause 14D contains further provisions on calculation of parental income. New clause 14E provides for how parental income is annualised. New clause 16A of Schedule 3 , and amendments to clause 17 of Schedule 3, relate to the effect of deprivation of parental income of an applicable parent. ACCOMMODATION SUPPLEMENT: ENTRY THRESHOLD PERCENTAGE FOR HOMEOWNERS Clause 13 amends Schedule 1 (transitional, savings, and related provisions). New Part 17 of Schedule 1 (set out in Schedule 2 of the Bill) contains provisions relating to the amendments made by Part 2 of the Bill. Clause 14 makes a consequential amendment to a definition in Schedule 2. Clause 15 amends Part 7 (accommodation supplement) of Schedule 4 (rates of benefits). The amendments, which replace clauses 4 to 6A with new clauses 4 to 6B , adjust the accommodation supplement entry threshold percentage for some homeowners. The Parliament of New Zealand enacts as follows: 1 Title This Act is the Social Security (Jobseeker Support and Accommodation Supplement) Amendment Act 2026 . 2 Commencement This Act comes into force on 2 November 2026. However, Part 2 comes into force on 1 April 2027. 3 Principal Act This Act amends the Social Security Act 2018. 4 Section 20 amended (Jobseeker support: requirements) After section 20(c), insert: ca meets the parental income requirement ( see sections 23A to 23I ); and 5 New sections 23A to 23I inserted After section 23, insert: 23A Jobseeker support: parental income requirement: when specified young person is subject to it General rule: when specified young person is subject to requirement 1 A specified young person ( A ) is subject to the parental income requirement if— a A applied or reapplied for, and has not yet been granted or regranted, jobseeker support; or b A applied or reapplied for, and was granted or regranted, jobseeker support; or c A’s spouse or partner applied or reapplied for, and has not yet been granted or regranted, jobseeker support, and A is a spouse or partner in respect of whom jobseeker support would be granted or regranted; or d A’s spouse or partner applied or reapplied for, and was granted or regranted, jobseeker support, and A is a spouse or partner in respect of whom jobseeker support was granted or regranted. Exceptions: when specified young person is not subject to requirement 2 However, a specified young person ( A ) is not subject to the parental income requirement under subsection (1) if— a A is a dependent child in respect of jobseeker support applied or reapplied for by, or granted or regranted to, a person other than A; or b the jobseeker support mentioned in subsection (1) would be, or is,— i granted or regranted to A or A’s spouse or partner; and ii payable at an appropriate rate of benefit that is determined including (as well as A, and A’s spouse or partner (if any)) 1 or more dependent children; or c A, or A’s spouse or partner, is receiving, in respect of a child, an orphan’s benefit, an unsupported child’s benefit, or a foster care allowance. 23B Jobseeker support: parental income requirement: how it is met General rule: how requirement is met 1 A specified young person ( A ) who is subject to the parental income requirement ( see section 23A ) meets that requirement only if— a A has 1 applicable parent whose parental income for the calculation year is not more than the parental income limit; or b A has 2 applicable parents whose combined parental income for the calculation year is not more than the parental income limit. Exceptions: when specified young person must be taken to meet requirement 2 However, a specified young person ( A ) who is subject to the parental income requirement ( see section 23A ) must be taken to meet that requirement if— a A has no applicable parents; or b A met that requirement for a relevant benefit in the last 26 weeks, had or is in a discretionary review under section 304, and in or because of that review is moving directly from that relevant benefit to another— i that is the same, or a different, type of relevant benefit; and ii for which A is, for any reason, subject to that requirement; or c that requirement would otherwise apply to A on a reapplication for jobseeker support, and A has in the reapplication advised MSD that there has been no increase in the following since MSD last calculated it: i the parental income of A’s 1 applicable parent; or ii the combined parental income of A’s 2 applicable parents. 23C Jobseeker support: parental income requirement: if it is not met Before benefit granted or regranted to specified young person ( A ) 1 If A is subject to the parental income requirement under section 23A(1)(a) and A does not meet that requirement, then, with effect from when A does not meet that requirement, A is not entitled to jobseeker support (regardless of whether A has a spouse or partner who is subject to, and meets, the parental income requirement). After benefit granted or regranted to A 2 If A is subject to the parental income requirement under section 23A(1)(b) and A does not meet that requirement, then, with effect from when A does not meet that requirement (regardless of whether A has a spouse or partner who is subject to, and meets, the parental income requirement),— a A is not entitled to jobseeker support; and b jobseeker support granted or regranted to A is cancelled. Before benefit granted or regranted to A’s spouse or partner 3 If A is subject to the parental income requirement under section 23A(1)(c) and A does not meet that requirement, then, with effect from when A does not meet that requirement, any jobseeker support to which A’s spouse or partner is entitled and granted or regranted is payable at only half the rate of benefit in clause 1(j)(i) of Part 1 of Schedule 4. After benefit granted or regranted to A’s spouse or partner 4 If A is subject to the parental income requirement under section 23A(1)(d) and A does not meet that requirement, then, with effect from when A does not meet that requirement, any jobseeker support to which A’s spouse or partner is entitled and granted or regranted is payable at only half the rate of benefit in clause 1(j)(i) of Part 1 of Schedule 4. Relationship with discretionary reviews and mandatory reviews 5 Subsections (2) and (4) do not limit— a discretionary reviews under subpart 3 of Part 6 (for example, MSD’s discretion under section 306 to suspend, cancel, or vary the rate of the benefit from a date MSD reasonably determines under section 306(2), even if that determined date differs from when A does not meet the parental income requirement); or b mandatory reviews under subpart 3A of Part 6 (for example, any requirement or discretion in that subpart to suspend, cancel, or vary the rate of the benefit from a specified time, even if that specified time differs from when A does not meet the parental income requirement). 23D Jobseeker support: parental income requirement: definitions Definitions 1 In the parental income requirement provisions, unless the context otherwise requires,— applicable parent has the meaning given in section 23E(2) calculation year means the year for which an applicable parent’s parental income must be calculated under clause 14A, 14B, or 14C of Schedule 3 foster care allowance means a payment under section 363 of the Oranga Tamariki Act 1989 MSD income tax deduction or payment , in relation to a payment of an amount of a benefit, means— a a tax deduction made by MSD from the source deduction payment (as defined in section 349) that is the payment of the amount of the benefit; or b an amount for income tax that is paid by MSD under section 350 on the payment of the amount of the benefit parent , of a specified young person ( A ), means— a a natural parent of A; or b an adoptive parent of A; or c a step-parent of A parental income , of an applicable parent ( AP ), means AP’s income within the meaning given to that term by Part 2 of Schedule 3, but with that meaning modified by— a including an amount received by AP, of any of the following benefits, along with the MSD income tax deduction or payment: i a main benefit under this Act: ii New Zealand superannuation: iii veteran’s pension; and b including an amount declared by regulations made under section 422A(1)(a) to be parental income; and c excluding an amount of any accommodation benefit received by AP under regulations made, or that must be treated as if they were made, under section 645 (regulations relating to student allowances) of the Education and Training Act 2020; and d excluding an amount declared by regulations made under section 422A(1)(b) not to be parental income; and e excluding, for the purposes of clause 16A and 17 of Schedule 3 , a sum or payment specified in clause 16A(5) of Schedule 3 parental income limit , for an applicable parent’s parental income for a calculation year, means the amount of income before payment of income tax that (because the rate of benefit is subject to Income Test 1) would reduce to zero a supported living payment that must be paid for a year at the rate of benefit specified in clause 1(g)(ii) of Part 3 of Schedule 4 (as in force at the time that the applicable parent’s parental income must be calculated) parental income requirement means the requirement in section 23B as that requirement applies to— a jobseeker support ( see sections 20(ca), 23A, and 23C ); and b equivalent emergency benefit ( see section 63(2A) ) parental income requirement provisions means— a sections 23A to 23I : b section 63(2A) and (2B) : c section 113(1A), (3A), and (3B) : d subparts 3B to 3D of Part 6 : e section 422A : f clauses 14A to 14E and 16A of Schedule 3 : g any rules made under clause 17 of Schedule 3 for the purposes of clause 16A of Schedule 3 : h Part 16 of Schedule 1 relevant benefit means— a jobseeker support ( see sections 23A to 23I ); or b an equivalent emergency benefit ( see section 63(2A) ) specified young person means a person ( A ) who— 18 or 19 years, single, granted or regranted benefit a is aged 18 or 19 years and— i is single; and ii would be, or was, granted or regranted jobseeker support that is payable in respect of A; or 18 or 19 years, in relationship, granted or regranted benefit b is aged 18 or 19 years and— i has a spouse or partner who may, but need not, be a person to whom paragraph (c) or (e) applies; and ii would be, or was, granted or regranted jobseeker support that is payable in respect of— A A and A’s spouse or partner (with, or without, 1 or more dependent children); or B A (with, or without, 1 or more dependent children), but not also A’s spouse or partner; or 18 or 19 years, in relationship, included in spouse’s or partner’s benefit c is aged 18 or 19 years, and is a spouse or partner of another person who— i may, but need not, be a person to whom paragraph (b) or (d) applies; and ii would be, or was, granted or regranted jobseeker support that is payable in respect of A and A’s spouse or partner (with, or without, 1 or more dependent children); or 16 or 17 years, in relationship, spouse or partner at least 18 years old, granted or regranted benefit d is aged 16 or 17 years and— i has a spouse or partner who— A is at least 18 years old; and B may be a person to whom paragraph (c) applies, or may instead be a person who is at least 20 years old; and ii would be, or was, granted or regranted jobseeker support that is payable in respect of A and A’s spouse or partner (with, or without, 1 or more dependent children); or 16 or 17 years, in relationship, spouse or partner at least 18 years old, included in spouse’s or partner’s benefit e is aged 16 or 17 years and is a spouse or partner of another person who— i is at least 18 years old; and ii may be a person to whom paragraph (b) applies, or may instead be a person who is at least 20 years old; and iii would be, or was, granted or regranted jobseeker support that is payable in respect of A and A’s spouse or partner (with, or without, 1 or more dependent children). References to meeting parental income requirement 2 A reference in the parental income requirement provisions (except sections 310ZB(3), 310ZL(3), and 310ZT(3), and clauses 14A(2), 14B(2), and 14C(2) of Schedule 3 ) to a person who meets the parental income requirement includes, without limitation, a reference to a person who under section 23B(2) must be taken to meet that requirement. Birthday of person born on 29 February in leap year 3 If a person ( A ) was born on 29 February in a leap year, A’s birthday in a non-leap year is, for the purposes of the parental income requirement provisions, taken to occur on 1 March of that non-leap year. 23E Jobseeker support: parental income requirement: applicable parent No applicable parents, 1 applicable parent, or 2 applicable parents 1 For the purposes of the parental income requirement provisions, only 1 of the following paragraphs applies to a specified young person ( A ): a A has no applicable parents ( see section 23B(2)(a) ); or b A has 1 applicable parent ( see section 23B(1)(a) ); or c A has 2 applicable parents ( see section 23B(1)(b) ). Definition: applicable parent only if MSD makes determination 2 In the parental income requirement provisions, unless the context otherwise requires, a parent ( P1 ) of a specified young person ( A ) is an applicable parent of A only if MSD has determined under this subsection that P1 is an applicable parent of A because MSD is satisfied of both of the following: a A does not have a parental support gap with P1 ( see   section 23G ); and b P1 is not in a relationship with another parent of A ( P2 ) with whom MSD has determined A has a parental support gap ( see   section 23G ) for reasons that are, or include, that, if A were to rely on P2 for financial support, then P2 would pose a risk to A’s safety. Guide A has no applicable parents if MSD has made no applicable parent determinations under this section. A has 1 or 2 applicable parents only if MSD makes 1 or more applicable parent determinations under this section whose effect is that— 1 parent of A is an applicable parent of A; or 2 parents of A are each applicable parents of A. Determination must be based on relevant evidence available to MSD, etc 3 MSD must make an applicable parent determination under subsection (2) — a based on relevant evidence available to MSD (for example, any evidence supplied to MSD by or on behalf of A); and b having regard to any applicable directions given under section 7. 23F Jobseeker support: parental income requirement: priority for applicable parent determinations Natural parents or adoptive parents must be considered before step-parents 1 MSD may determine whether a step-parent of A is an applicable parent of A only after MSD has determined that all or any of the following is or are not an applicable parent of A: a 1 or more natural parents of A; or b 1 or more adoptive parents of A. Example Natural parents must be considered before step-parents A has 2 natural parents ( P1 and P2 ). But P1 and P2 are no longer in a relationship. P1 is in a relationship with a step-parent ( SP1 ). P2 is in a relationship with a step-parent ( SP2 ). MSD may determine whether SP1 or SP2 is an applicable parent of A only after MSD has determined that either or both of the 1 or more natural parents of A is or are not an applicable parent of A. Step-parent who A is living with must be considered before other step-parent 2 MSD may determine whether a step-parent who A is not living with is an applicable parent of A only after MSD has determined that another step-parent who A is living with is not an applicable parent of A. Example Step-parent who A is living with must be considered before other step-parent A has 2 natural parents ( P1 and P2 ). But P1 and P2 are no longer in a relationship. P1 is in a relationship with a step-parent ( SP1 ). P2 is in a relationship with a step-parent ( SP2 ). A is living with P1 and SP1. A is not living with P2 and SP2. MSD may determine whether SP2 is an applicable parent of A only after MSD has determined that SP1 is not an applicable parent of A. If A is not living with step-parent, step-parent in relationship with parent with whom A does not have support gap must be considered before step-parent in relationship with parent with whom A has parental support gap 3 Subsection (4) applies if— a A is not living with any step-parent; and b A has a step-parent ( SP1 ) who is in a relationship with a parent ( P1 ) with whom A does not have a parental support gap; and c A has a step-parent ( SP2 ) who is in a relationship with a parent ( P2 ) with whom A has a parental support gap for reasons that are not, or do not include, that, if A were to rely on P2 for financial support, then P2 would pose a risk to A’s safety. 4 MSD may determine whether SP2 is an applicable parent of A only after MSD has determined that SP1 is not an applicable parent of A. 23G Jobseeker support: parental income requirement: parental support gap Parental support gap only if MSD makes determination 1 For the purposes of section 23E , a specified young person ( A ) has a parental support gap with a parent ( P ) only if MSD has determined that MSD is satisfied that it is not reasonable in the circumstances for A to rely on P for financial support. Situations in which it is not reasonable for A to rely on P for financial support 2 MSD must be satisfied under subsection (1) that it is not reasonable in the circumstances for A to rely on P for financial support if— a A has or had a caregiver who is or was receiving an orphan’s benefit or an unsupported child’s benefit for A until A turns 18 or under subpart 18 of Part 2 (extended payment of benefits for children aged 18 years or over who continue education); or b A is or was in the care or custody of Oranga Tamariki and is or was entitled under sections 386A and 386B of the Oranga Tamariki Act 1989 to support by way of advice or assistance at any time from when they leave care or custody up to the age of 25 years. 3 Subsection (2) does not limit MSD being satisfied under subsection (1) for reasons not specified in subsection (2) that it is not reasonable in the circumstances for A to rely on P for financial support. Determination must be based on relevant evidence available to MSD, etc 4 MSD must make a parental support gap determination under subsection (1) — a based on relevant evidence available to MSD (for example, any evidence supplied to MSD by or on behalf of A); and b having regard to any applicable directions given under section 7. Determination of specified kind must make clear if based on risk to A’s safety 5 A determination under subsection (1) that A has a parental support gap with P must make clear, for the purposes of section 23E(2)(b) , whether A’s parental support gap with P exists for reasons that are, or include, that, if A were to rely on P for financial support, then P would pose a risk to A’s safety. 23H Jobseeker support: parental income requirement: priority for parental support gap determinations Natural parents or adoptive parents must be considered before step-parents 1 MSD may determine whether A has a parental support gap with a step-parent only after MSD has determined that A has a parental support gap with— a 1 or more natural parents of A; or b 1 or more adoptive parents of A. Example Natural parents must be considered before step-parents A has 2 natural parents ( P1 and P2 ). But P1 and P2 are no longer in a relationship. P1 is in a relationship with a step-parent ( SP1 ). P2 is in a relationship with a step-parent ( SP2 ). MSD may determine whether A has a parental support gap with SP1 or SP2 only after MSD has determined that A has a parental support gap with P1, P2, or both. Step-parent who A is living with must be considered before other step-parent 2 MSD may determine whether A has a parental support gap with a step-parent who A is not living with only after MSD has determined that A has a parental support gap with another step-parent who A is living with. Example Step-parent who A is living with must be considered before other step-parent A has 2 natural parents ( P1 and P2 ). But P1 and P2 are no longer in a relationship. P1 is in a relationship with a step-parent ( SP1 ). P2 is in a relationship with a step-parent ( SP2 ). A is living with P1 and SP1. A is not living with P2 and SP2. MSD may determine whether A has a parental support gap with SP2 only after MSD has determined that A has a parental support gap with SP1. A not living with either step-parent and has support gap with 1 parent 3 Subsection (4) applies if— a A is not living with any step-parent; and b A has a step-parent ( SP1 ) who is in a relationship with a parent ( P1 ) with whom A does not have a parental support gap; and c A has a step-parent ( SP2 ) who is in a relationship with a parent ( P2 ) with whom A has a parental support gap for reasons that are not, or do not include, that, if A were to rely on P2 for financial support, then P2 would pose a risk to A’s safety. 4 MSD may determine whether A has a parental support gap with SP2 only after MSD has determined that A has a parental support gap with SP1. 23I Jobseeker support: parental income requirement: relationship determinations Determination parent is single 1 MSD may make a determination to regard as single, for the purposes of sections 23E to 23H , a parent who is married or in a civil union with that parent’s spouse or partner, but— a is living apart from that parent’s spouse or partner; and b is not in a de facto relationship. 2 A determination under subsection (1) may include a date, determined by MSD, on which the spouses or partners must be taken for the purposes of sections 23E to 23H to have commenced to live apart. Determination parent is in relationship 3 MSD may make a determination to regard as a party to a de facto relationship, for the purposes of sections 23E to 23H , any 2 people who, not being legally married or in a civil union, have entered into a de facto relationship. 4 A determination under subsection (3) , for the purposes of sections 23E to 23H , may include either or both of the following dates: a a date, determined by MSD, on which the 2 people must be taken as having entered into the de facto relationship: b a date, determined by MSD, on which the de facto relationship of the 2 people must be taken to have ended. Relationship with other provisions 5 Every determination under this section also applies for the purposes of every debt-recovery or offence provision in or under this Act. 6 Section 63 amended (Emergency benefit: discretionary grant on ground of hardship) After section 63(2), insert: 2A However, if P is a specified young person, and the equivalent benefit under subsection (4) is jobseeker support, MSD may grant P an emergency benefit only if P meets the parental income requirement. 2B For the purposes of subsection (2A) , parental income requirement provisions that do not mention the equivalent emergency benefit apply to it as if it were jobseeker support. 7 Section 113 amended (Beneficiary must notify change of circumstances) After section 113(1), insert: 1A A beneficiary must without delay notify MSD of a change in the circumstances of a parent of the beneficiary if— a the change affects whether the beneficiary is subject to, or meets, the parental income requirement; and b for that reason, the change affects— i the beneficiary’s entitlement to receive a benefit; or ii the rate of a benefit the beneficiary receives. In the heading above section 113(2), after Examples of change of circumstances , insert : general . After section 113(3), insert: Examples of change of circumstances: parental income requirement 3A Examples of a change in the beneficiary’s circumstances, in relation to a relevant benefit, include— a the beneficiary becoming, or ceasing to be, a specified young person for a relevant benefit ( see section 23A(1) ): b a change that does, or may, affect whether a parent of the beneficiary is an applicable parent ( see sections 23B and 23E ): c the beneficiary ceasing to be a dependent child in respect of whom a relevant benefit would be or was granted or regranted to, and payable to, any other person ( see section 23A(2)(a) ): d the beneficiary, or the beneficiary’s spouse or partner, ceasing to have the care of the last or only dependent child in respect of whom a relevant benefit granted or regranted to the beneficiary, or the beneficiary’s spouse or partner, would be, or was, payable ( see section 23A(2)(b) ): e the beneficiary, or the beneficiary’s spouse or partner, ceasing to have the care of the last or only child in respect of whom the beneficiary, or the beneficiary’s spouse or partner, was receiving an orphan’s benefit, an unsupported child’s benefit, or a foster care allowance ( see section 23A(2)(c) ). 3B Examples of a change in the circumstances of a parent of the beneficiary that affects whether the beneficiary is subject to, or meets, the parental income requirement, in relation to a relevant benefit, include— a a change in whether the parent is single or is in a relationship, and that does, or may, affect the applicable parents of a specified young person in respect of whom the relevant benefit would be or was payable: b an increase in the parental income of 1 applicable parent, or in the combined parental income of 2 applicable parents, of a specified young person in respect of whom the relevant benefit would be or was payable. 8 New subparts 3B to 3D of Part 6 inserted Before section 311, insert: 3B Reviews related to parental income requirement: child leaves care because of sudden uncontrollable change of circumstances 310W Relevant benefit to which this subpart applies Relevant benefit to which this subpart applies 1 This subpart applies to a relevant benefit granted or regranted to, or in respect of, a specified young person ( A ) if MSD becomes aware in any way of information that does, or may, satisfy MSD that— a a child leaves the care of A, or of A and A’s spouse or partner; and b the child leaves that care in a way that meets the conditions set out in subsections (2) and (3) . Child leaves care because of sudden uncontrollable change of circumstances 2 The condition in this subsection is that the child leaves the care of A, or of A and A’s spouse or partner, because of a change of circumstances that is sudden and beyond the control of A, or of A and A’s spouse or partner. A is subject to parental income requirement 3 The condition in this subsection is that the child leaves the care of A, or of A and A’s spouse or partner, with the effect that section 23A(2)(b) or (c) ceases to apply to A (and A is subject to the parental income requirement under section 23A(1) ) because— a the relevant benefit ceases to be payable at an appropriate rate of benefit that is determined including (as well as A, and A’s spouse or partner (if any)) 1 or more dependent children; or b A, or A’s spouse or partner, ceases to be receiving, in respect of a child, an orphan’s benefit, an unsupported child’s benefit, or a foster care allowance. 310X Review under section 304 to ascertain child exclusion date MSD must carry out a review under section 304 to ascertain the child exclusion date (if any), which, in this subpart, means the date on which,— a if section 310W(3)(a) applies, the relevant benefit ceases to be payable in respect of A, or A and A’s spouse or partner, and 1 or more dependent children; or b if section 310W(3)(b) applies, A, or A’s spouse or partner, ceases to be receiving, in respect of a child, an orphan’s benefit, an unsupported child’s benefit, or a foster care allowance. 310Y Other requirements apply only if MSD notified that child left care Sections 310Z to 310ZG apply only if MSD ascertains the child exclusion date under section 310X , and notice that the child left the care of A, or of A and A’s spouse or partner, is given to MSD— a by or on behalf of A, or of A and A’s spouse or partner; and b at a time before the 21st working day after the child exclusion date. 310Z Conditional payment at rate without dependent children 1 MSD must pay the relevant benefit in respect of A, or of A and A’s spouse or partner,— a at the appropriate rate for a beneficiary, or for a beneficiary and their spouse or partner, without 1 or more dependent children; and b as a conditional payment that, to the extent that A, or A’s spouse or partner, does not meet the parental income requirement for all or any of the days for which the conditional payment is made, is a debt due to the Crown from A, or from A and A’s spouse or partner, for the purpose of regulations made under section 444. 2 The conditional payment is paid until the earlier of the following: a the end of 20 working days after the child exclusion date: b the end of the date on which a review under section 310ZA determines whether A or A’s spouse or partner is, or remains, entitled to receive the relevant benefit, and the rate of benefit of the relevant benefit, that is being paid to, or in respect of, A or A’s spouse or partner. 310ZA Review of entitlement to, and rate of benefit of, relevant benefit 1 MSD must, after MSD has received the required information ( see section 310ZB(2) ), review whether A or A’s spouse or partner is, or remains, entitled to receive the relevant benefit, and the rate of benefit of the relevant benefit, that is being paid to, or in respect of, A or A’s spouse or partner. 2 See also clause 14C of Schedule 3 (parental income requirement: how parental income is calculated: reviews under subparts 3B to 3D of Part 6 ). 310ZB Notice of review and seeking required information Notice of review 1 MSD must, as soon as practicable (and, if possible, at least 20 working days) before the 21st working day after the child exclusion date, give A a notice explaining that— a the relevant benefit is, for up to 20 working days after the child exclusion date, paid as a conditional payment— i at the appropriate rate for a beneficiary, or for a beneficiary and their spouse or partner, without 1 or more dependent children; and ii that, to the extent that A, or A’s spouse or partner, does not meet the parental income requirement for all or any of those working days, is a debt due to the Crown from A, or from A and A’s spouse or partner; and b if the review under section 310ZA determines that A does not meet the parental income requirement, the relevant benefit will be cancelled, or will be payable at only half the rate of benefit in clause 1(j)(i) of Part 1 of Schedule 4, with effect starting on the child exclusion date; and c if the relevant benefit is so cancelled, or is so payable at only half the rate of benefit in clause 1(j)(i) of Part 1 of Schedule 4, MSD must consider eligibility for, and granting of, any other benefit that, if granted, would be payable to, or in respect of, A. Required information 2 That notice must ask A to ensure that MSD receives, from or on behalf of A, as soon as is reasonably practicable before the 21st working day after the child exclusion date, and because it is required by MSD under this section, information (in this subpart, called the required information ) that— a is reasonably required for the purposes of the review; and b shows whether A meets the parental income requirement. Notice if couple both subject to parental income requirement 3 A notice required by subsections (1) and (2) must be given to A, and applies to both A and A’s spouse or partner, if— a A is the person to whom the relevant benefit is granted or regranted, is subject to the parental income requirement under section 23A(1) , and is not required to be taken to meet it under section 23B(2) ; and b A’s spouse or partner is the person in respect of whom the relevant benefit is granted or regranted, is subject to the parental income requirement under section 23A(1) , and is not required to be taken to meet it under section 23B(2) . 310ZC If benefit suspended, or not payable, for another reason Effect on requirement to give notice 1 Subsection (2) applies if, at the time MSD would (but for that subsection) be required to give notice under section 310ZB , A’s relevant benefit is, for reasons unrelated to A not meeting the parental income requirement,— a suspended; or b not for the time being payable under this Act. 2 MSD is not required to give the notice at that time, but may do so before the 21st working day after the child exclusion date if— a A’s relevant benefit has ceased, or will cease, for reasons of that kind, to be suspended, or to be not for the time being payable; and b it is reasonably practicable for A to provide the required information before the 21st working day after the child exclusion date. Effect on requirement to conduct review 3 Subsection (4) applies if, at the time MSD would (but for that subsection) be required to conduct a review under section 310ZA , A’s relevant benefit is, for reasons unrelated to A not meeting the parental income requirement,— a suspended; or b not for the time being payable under this Act. 4 MSD is not required to conduct the review at that time, but may do so after MSD has received the required information. 310ZD Suspension or reduction if required information not provided 1 If A is the person to whom the relevant benefit is granted or regranted, and MSD has not received from A the required information before the 21st working day after the child exclusion date, MSD must suspend the relevant benefit with effect starting on the child exclusion date and until the earlier of the following events: a MSD receives the required information and completes a review under section 310ZA : b MSD cancels the benefit under section 310ZF . 2 If A is a spouse or partner in respect of whom the relevant benefit is granted or regranted, and MSD has not received from A the required information before the 21st working day after the child exclusion date, the relevant benefit is payable at only half the rate of benefit in clause 1(j)(i) of Part 1 of Schedule 4 with effect starting on the child exclusion date and until the earlier of the following events: a MSD receives the required information and completes a review under section 310ZA : b MSD cancels the benefit under section 310ZF . 310ZE What MSD must do as result of review 1 As a result of the review under section 310ZA , MSD must, if A does not meet the parental income requirement,— a cancel the relevant benefit, or pay the relevant benefit at only half the rate of benefit in clause 1(j)(i) of Part 1 of Schedule 4, with effect starting on the child exclusion date (as required by section 23C ); and b consider eligibility for, and granting of, another benefit that, if granted, would be payable to, or in respect of, A. 2 As a result of the review under section 310ZA , MSD must, if A meets the parental income requirement,— a and the relevant benefit has not been suspended, continue the relevant benefit at the appropriate rate; or b and the relevant benefit has been suspended, resume the relevant benefit at the appropriate rate and with effect starting on the child exclusion date. 310ZF Cancellation if required information not provided If MSD has not received the required information 8 weeks after the child exclusion date, MSD must cancel the relevant benefit with effect starting on the child exclusion date. 310ZG Part 7 gives rights to seek review or appeal against decision 1 Rights to seek a review of, or to appeal against, a decision on a review under section 310ZA are given by the following subparts of Part 7: a subpart 2 (reviews by benefits review committee): b subpart 3 (appeals to appeal authority): c subpart 4 (appeals to courts). 2 Subsection (1) is by way of explanation only. 3C Reviews related to parental income requirement: child leaves care for other reason 310ZH Child leaves care for other reason Relevant benefit to which this subpart applies 1 This subpart applies to a relevant benefit granted or regranted to, or in respect of, a specified young person ( A ) if MSD becomes aware in any way of information that does, or may, satisfy MSD that— a a child leaves the care of A, or of A and A’s spouse or partner; and b the child leaves that care in a way that meets the conditions set out in subsections (2) and (3) . Child leaves care for other reason 2 The condition in this subsection is that the child leaves the care of A, or of A and A’s spouse or partner, for any reason other than a change of circumstances that is sudden and beyond the control of A, or of A and A’s spouse or partner. A is subject to parental income requirement 3 The condition in this subsection is that the child leaves the care of A, or of A and A’s spouse or partner, with the effect that section 23A(2)(b) or (c) ceases to apply to A (and A is subject to the parental income requirement under section 23A(1) ) because— a the relevant benefit ceases to be payable in respect of 1 or more dependent children (as well as in respect of A, and A’s spouse or partner (if any)); or b A, or A’s spouse or partner, ceases to be receiving, in respect of a child, an orphan’s benefit, an unsupported child’s benefit, or a foster care allowance. 310ZI Review under section 304 to ascertain child exclusion date MSD must carry out a review under section 304 to ascertain the child exclusion date (if any), which, in this subpart, means the date on which,— a if section 310ZH(3)(a) applies, the relevant benefit ceases to be payable at an appropriate rate of benefit that is determined including (as well as A, and A’s spouse or partner (if any)) 1 or more dependent children; or b if section 310ZH(3)(b) applies, A, or A’s spouse or partner, ceases to be receiving, in respect of a child, an orphan’s benefit, an unsupported child’s benefit, or a foster care allowance. 310ZJ Other requirements apply only if MSD notified that child left care Sections 310ZK to 310ZQ apply only if MSD ascertains the child exclusion date under section 310ZI , and notice that the child left the care of A, or of A and A’s spouse or partner, is given to MSD— a by or on behalf of A, or of A and A’s spouse or partner; and b at a time before the child exclusion date. 310ZK Review of entitlement to, and rate of benefit of, relevant benefit 1 MSD must, on or after the child exclusion date and after MSD has received the required information ( see section 310ZL(2) ), review whether A or A’s spouse or partner is, or remains, entitled to receive the relevant benefit, and the rate of benefit of the relevant benefit, that is being paid to, or in respect of, A. 2 See also clause 14C of Schedule 3 (parental income requirement: how parental income is calculated: reviews under subparts 3B to 3D of Part 6 ). 310ZL Notice of review and seeking required information Notice of review 1 MSD must, as soon as practicable (and, if possible, at least 20 working days) before the child exclusion date, give A a notice explaining that,— a if the review under section 310ZK determines that A does not meet the parental income requirement, the relevant benefit will be cancelled, or will be payable at only half the rate of benefit in clause 1(j)(i) of Part 1 of Schedule 4, with effect starting on the child exclusion date; and b if the relevant benefit is so cancelled, or is so payable at only half the rate of benefit in clause 1(j)(i) of Part 1 of Schedule 4, MSD must consider eligibility for, and granting of, any other benefit that, if granted, would be payable to, or in respect of, A. Required information 2 That notice must ask A to ensure that MSD receives, from or on behalf of A, as soon as is reasonably practicable before the child exclusion date, and because it is required by MSD under this section, information (in this subpart, called the required information ) that— a is reasonably required for the purposes of the review; and b shows whether A meets the parental income requirement. Notice if couple both subject to parental income requirement 3 A notice required by subsections (1) and (2) must be given to A, and applies to both A and A’s spouse or partner, if— a A is the person to whom the relevant benefit is granted or regranted, is subject to the parental income requirement under section 23A(1) , and is not required to be taken to meet it under section 23B(2) ; and b A’s spouse or partner is the person in respect of whom the relevant benefit is granted or regranted, is subject to the parental income requirement under section 23A(1) , and is not required to be taken to meet it under section 23B(2) . 310ZM If benefit suspended, or not payable, for another reason Effect on requirement to give notice 1 Subsection (2) applies if, at the time MSD would (but for that subsection) be required to give notice under section 310ZL , A’s relevant benefit is, for reasons unrelated to A not meeting the parental income requirement,— a suspended; or b not for the time being payable under this Act. 2 MSD is not required to give the notice at that time, but may do so before the 21st working day after the child exclusion date if— a A’s relevant benefit has ceased, or will cease, for reasons of that kind, to be suspended, or to be not for the time being payable; and b it is reasonably practicable for A to provide the required information before the 21st working day after the child exclusion date. Effect on requirement to conduct review 3 Subsection (4) applies if, at the time MSD would (but for that subsection) be required to conduct a review under section 310ZK , A’s relevant benefit is, for reasons unrelated to A not meeting the parental income requirement,— a suspended; or b not for the time being payable under this Act. 4 MSD is not required to conduct the review at that time, but may do so after MSD has received the required information. 310ZN Suspension or reduction if required information not provided 1 If A is the person to whom the relevant benefit is granted or regranted, and MSD has not received the required information before the child exclusion date, MSD must suspend the relevant benefit with effect starting on the child exclusion date and until the earlier of the following events: a MSD receives the required information and completes a review under section 310ZK : b MSD cancels the benefit under section 310ZP . 2 If A is a spouse or partner in respect of whom the relevant benefit is granted or regranted, and MSD has not received from A the required information before the child exclusion date, the relevant benefit is payable at only half the rate of benefit in clause 1(j)(i) of Part 1 of Schedule 4 with effect starting on the child exclusion date and until the earlier of the following events: a MSD receives the required information and completes a review under section 310ZK : b MSD cancels the benefit under section 310ZP . 310ZO What MSD must do as result of review 1 As a result of the review under section 310ZK , MSD must, if A does not meet the parental income requirement,— a cancel the relevant benefit, or pay the relevant benefit at only half the rate of benefit in clause 1(j)(i) of Part 1 of Schedule 4, with effect starting on the child exclusion date (as required by section 23C ); and b consider eligibility for, and granting of, another benefit that, if granted, would be payable to, or in respect of, A. 2 As a result of the review under section 310ZK , MSD must, if A meets the parental income requirement, continue or resume the relevant benefit at the appropriate rate and with effect starting on the child exclusion date. 310ZP Cancellation if required information not provided If MSD has not received the required information 8 weeks after the child exclusion date, MSD must cancel the relevant benefit with effect starting on the child exclusion date. 310ZQ Part 7 gives rights to seek review or appeal against decision 1 Rights to seek a review of, or to appeal against, a decision on a review under section 310ZK are given by the following subparts of Part 7: a subpart 2 (reviews by benefits review committee): b subpart 3 (appeals to appeal authority): c subpart 4 (appeals to courts). 2 Subsection (1) is by way of explanation only. 3D Reviews related to parental income requirement: beneficiary or spouse or partner turns 18 310ZR Relevant benefit to which this subpart applies This subpart applies to a relevant benefit that— a is, or is an emergency benefit equivalent to, jobseeker support granted under section 25(4); and b is granted to, or in respect of, a person ( A ) who— i was not a specified young person when that benefit was granted; and ii becomes a specified young person (and subject to the parental income requirement under section 23A(1) ) after that benefit was granted and on A’s, or A’s spouse’s or partner’s, 18th birthday. 310ZS Review of entitlement to, and rate of benefit of, relevant benefit 1 MSD must, on or after that 18th birthday and after MSD has received the required information ( see section 310ZT(2) ), review whether A or A’s spouse or partner is, or remains, entitled to receive the relevant benefit, and the rate of benefit of the relevant benefit, that is being paid to, or in respect of, A. 2 See also clause 14C of Schedule 3 (parental income requirement: how parental income is calculated: reviews under subparts 3B to 3D of Part 6 ). 310ZT Notice of review and seeking required information Notice of review 1 MSD must, as soon as practicable (and, if possible, at least 20 working days) before that 18th birthday, give A a notice explaining that,— a if the review under section 310ZS determines that A does not meet the parental income requirement, the relevant benefit will be cancelled, or will be payable at only half the rate of benefit in clause 1(j)(i) of Part 1 of Schedule 4, with effect starting on that 18th birthday; and b if the relevant benefit is so cancelled, or is so payable at only half the rate of benefit in clause 1(j)(i) of Part 1 of Schedule 4, MSD must consider eligibility for, and granting of, any other benefit that, if granted, would be payable to, or in respect of, A. Required information 2 That notice must ask A to ensure that MSD receives, from or on behalf of A, as soon as is reasonably practicable before that 18th birthday, and because it is required by MSD under this section, information (in this subpart, called the required information ) that— a is reasonably required for the purposes of the review; and b shows whether A meets the parental income requirement. Notice if couple both subject to parental income requirement 3 A notice required by subsections (1) and (2) must be given to A, and applies to both A and A’s spouse or partner, if— a A is the person to whom the relevant benefit is granted or regranted, is subject to the parental income requirement under section 23A(1) , and is not required to be taken to meet it under section 23B(2) ; and b A’s spouse or partner is the person in respect of whom the relevant benefit is granted or regranted, is subject to the parental income requirement under section 23A(1) , and is not required to be taken to meet it under section 23B(2) . 310ZU If benefit suspended, or not payable, for another reason Effect on requirement to give notice 1 Subsection (2) applies if, at the time MSD would (but for that subsection) be required to give notice under section 310ZT , A’s relevant benefit is, for reasons unrelated to A not meeting the parental income requirement,— a suspended; or b not for the time being payable under this Act. 2 MSD is not required to give the notice at that time, but may do so before that 18th birthday if— a A’s relevant benefit has ceased, or will cease, for reasons of that kind, to be suspended, or to be not for the time being payable; and b it is reasonably practicable for A to provide the required information before that 18th birthday. Effect on requirement to conduct review 3 Subsection (4) applies if, at the time MSD would (but for that subsection) be required to conduct a review under section 310ZS , A’s relevant benefit is, for reasons unrelated to A not meeting the parental income requirement,— a suspended; or b not for the time being payable under this Act. 4 MSD is not required to conduct the review at that time, but may do so after MSD has received the required information. 310ZV Suspension or reduction if required information not provided 1 If A is the person to whom the relevant benefit is granted or regranted, and MSD has not received the required information before that 18th birthday, MSD must suspend the relevant benefit with effect starting on that 18th birthday and until the earlier of the following events: a MSD receives the required information and completes a review under section 310ZS : b MSD cancels the benefit under section 310ZX . 2 If A is a spouse or partner in respect of whom the relevant benefit is granted or regranted, and MSD has not received from A the required information before that 18th birthday, the relevant benefit is payable at only half the rate of benefit in clause 1(j)(i) of Part 1 of Schedule 4 with effect starting on that 18th birthday and until the earlier of the following events: a MSD receives the required information and completes a review under section 310ZS : b MSD cancels the benefit under section 310ZX . 310ZW What MSD must do as result of review 1 As a result of the review under section 310ZS , MSD must, if A does not meet the parental income requirement,— a cancel the relevant benefit, or pay the relevant benefit at only half the rate of benefit in clause 1(j)(i) of Part 1 of Schedule 4, with effect starting on that 18th birthday (as required by section 23C ); and b consider eligibility for, and granting of, another benefit that, if granted, would be payable to, or in respect of, A. 2 As a result of the review under section 310ZS , MSD must, if A meets the parental income requirement, continue or resume the relevant benefit at the appropriate rate and with effect starting on that 18th birthday. 310ZX Cancellation if required information not provided If MSD has not received the required information 8 weeks after that 18th birthday, MSD must cancel the relevant benefit with effect starting on that 18th birthday. 310ZY Part 7 gives rights to seek review or appeal against decision 1 Rights to seek a review of, or to appeal against, a decision on a review under section 310ZS are given by the following subparts of Part 7: a subpart 2 (reviews by benefits review committee): b subpart 3 (appeals to appeal authority): c subpart 4 (appeals to courts). 2 Subsection (1) is by way of explanation only. 9 New section 422A inserted (Regulations: jobseeker support: parental income requirement: parental income inclusions and exclusions) After section 422, insert: 422A Regulations: jobseeker support: parental income requirement: parental income inclusions and exclusions 1 The Governor-General may, by Order in Council, make regulations for the purposes of either or both of the following paragraphs of the definition of parental income in section 23D : a paragraph (b) (amount declared to be parental income): b paragraph (d) (amount declared not to be parental income). 2 Regulations made under subsection (1)(b) have effect in respect of any income specified in the regulations on and after a date— a specified in the regulations; and b earlier than, the same as, or later than the date on which the regulations are made. 3 Regulations under this section are secondary legislation ( see Part 3 of the Legislation Act 2019 for publication requirements). 10 Schedule 1 amended In Schedule 1,— a insert the Part set out in Schedule 1 of this Act as the last Part; and b make all necessary consequential amendments. 11 Schedule 2 amended In Schedule 2, insert in their appropriate alphabetical order: applicable parent is defined in section 23E for the purposes of the parental income requirement provisions calculation year is defined in section 23D for the purposes of the parental income requirement provisions child exclusion date — a is defined in section 310X for the purposes of subpart 3B of Part 6 ; and b is defined in section 310ZI for the purposes of subpart 3C of Part 6 foster care allowance is defined in section 23D for the purposes of the parental income requirement provisions MSD income tax deduction or payment is defined in section 23D for the purposes of the parental income requirement provisions parental income — a is defined in section 23D for the purposes of the parental income requirement provisions; but b for the purposes of clauses 16A and 17 of Schedule 3, has the meaning in section 23D as modified by clause 16A(5) of Schedule 3 parental income limit is defined in section 23D for the purposes of the parental income requirement provisions parental income requirement is defined in section 23D for the purposes of the parental income requirement provisions parental income requirement provisions is defined in section 23D for the purposes of those provisions relevant benefit is defined in section 23D for the purposes of the parental income requirement provisions required information — a is defined in section 310ZB for the purposes of subpart 3B of Part 6 ; and b is defined in section 310ZL for the purposes of subpart 3C of Part 6 ; and c is defined in section 310ZT for the purposes of subpart 3D of Part 6 specified young person is defined in section 23D for the purposes of the parental income requirement provisions In Schedule 2, replace the definition of parent with: parent ,— a in relation to a specified young person, is defined in section 23D for the purposes of the parental income requirement provisions; and b in relation to a child, is defined in section 43(3) for the purposes of— i subpart 5 of Part 2 (orphan’s benefit); and ii section 31(b)(i) (sole parent support: when dependent child may be regarded as applicant’s child); and c in relation to a child, is defined in section 46(3) for the purposes of— i subpart 6 of Part 2 (unsupported child’s benefit); and ii section 31(b)(ii) (sole parent support: when dependent child may be regarded as applicant’s child) 12 Schedule 3 amended In the Schedule 3 heading, after Income and liabilities , insert , and parental income . In the Schedule 3 heading,— a replace 65, with 23D , 65AAA, ; and b after 101, , insert 113, 304, 304A, 310W to 310ZY, 363A, . In Schedule 3, clause 1(c), after income , insert and parental income . In Schedule 3, Part 3 heading, after General provisions on calculation of income , insert and parental income . In Schedule 3, after clause 14, insert: 14A Parental income requirement: how parental income is calculated: applications and reapplications Application 1 This clause applies if a relevant benefit is applied for, or if a relevant benefit is reapplied for— a before, on, or after its expiry date (as defined in section 331); and b under section 336 and regulations made under section 441(1). Duty to check if specified young person meets parental income requirement 2 MSD must check whether a specified young person ( A ) meets the parental income requirement if A is— a subject to it under section 23A(1) ; and b not required to be taken to meet it under section 23B(2) . How parental income calculated for calculation year 3 In checking whether A meets the parental income requirement, MSD must calculate an applicable parent’s parental income for the calculation year by completing the following: a determining the representative weeks; and b calculating that parent’s parental income for the representative weeks that MSD determines ( see also clause 14D ); and c if the number of the representative weeks that MSD determines is not 52, annualising that parent’s parental income for those weeks ( see clause 14E ). Representative weeks that MSD determines 4 The representative weeks that MSD determines must be— a the 1 week, or the 2, 3, 4, 26, or 52 weeks, before the application or reapplication; and b those that MSD is satisfied best represent the parent’s ability to financially support the young person in the period during which the relevant benefit is payable and must continue to be paid. 14B Parental income requirement: how parental income is calculated: discretionary reviews under section 304 Application 1 This clause applies if MSD is considering whether a beneficiary was, or would be, entitled to a relevant benefit— a in, or as a result of, a discretionary review under section 304; and b after MSD becomes aware of a change in the beneficiary’s circumstances or of a change in the circumstances of a parent of the beneficiary (for example, because that change is notified under section 113(1) or (1A) ); and c in the period during which the beneficiary’s benefit that is the subject of the review (whether a relevant benefit or any other benefit) is payable and must continue to be paid. Duty to check if specified young person meets parental income requirement 2 MSD must check whether a specified young person ( A ) meets the parental income requirement if A is— a subject to it under section 23A(1) ; and b not required to be taken to meet it under section 23B(2) . How parental income calculated for calculation year 3 In checking whether A meets the parental income requirement, MSD must calculate an applicable parent’s parental income for the calculation year by completing the following: a determining the representative weeks; and b calculating that parent’s parental income for the representative weeks that MSD determines ( see also clause 14D ); and c if the number of the representative weeks that MSD determines is not 52, annualising that parent’s parental income for those weeks ( see clause 14E ). Representative weeks that MSD determines 4 The representative weeks that MSD determines must be either— a the 1 week, or the 2, 3, 4, 26, or 52 weeks, before the change of circumstances (if the applicable parent’s parental income has not earlier been assessed under this clause during the duration of the benefit grant); or b the 1 week starting on the day after the change of circumstances (in any other case). 14C Parental income requirement: how parental income is calculated: reviews under subparts 3B to 3D of Part 6 Application 1 This clause applies if MSD is considering whether a beneficiary was, or would be, entitled to a relevant benefit in, or as a result of, a review required by— a subpart 3B of Part 6 (child leaves care because of sudden uncontrollable change of circumstances); or b subpart 3C of Part 6 (child leaves care for other reason); or c subpart 3D of Part 6 (beneficiary or spouse or partner turns 18). Duty to check if specified young person meets parental income requirement 2 MSD must check whether a specified young person ( A ) meets the parental income requirement if A is— a subject to it under section 23A(1) ; and b not required to be taken to meet it under section 23B(2) . How parental income calculated for calculation year 3 In checking whether A meets the parental income requirement, MSD must calculate an applicable parent’s parental income for the calculation year by completing the following: a determining the representative weeks; and b calculating that parent’s parental income for the representative weeks that MSD determines ( see also clause 14D ); and c if the number of the representative weeks that MSD determines is not 52, annualising that parent’s parental income for those weeks ( see clause 14E ). Representative weeks that MSD determines 4 The representative weeks that MSD determines must be— a the 1 week, or the 2, 3, 4, 26, or 52 weeks, before (as applicable)— i the child exclusion date (if subpart 3B or 3C of Part 6 applies); or ii the 18th birthday referred to in subpart 3D of Part 6 ; and b those that MSD is satisfied best represent the parent’s ability to financially support the specified young person in the period during which the relevant benefit is or would be payable and must continue to be paid. 14D Further provisions about calculation of parental income General 1 MSD must calculate the applicable parent’s parental income for the representative weeks that MSD determines under clause 14A, 14B, or 14C , based only on the extent to which it was received, acquired, paid, provided, or supplied in those weeks. Discretion to disregard certain parental income 2 Subclause (3) applies in calculating the applicable parent’s parental income for the representative weeks that MSD determines under clause 14B if— a those weeks are the 1 week starting on the day after the change of circumstances ( see clause 14B(4)(b) ); and b but for subclause (3) , whichever of the following applies would be more than the parental income limit: i A’s 1 applicable parent’s parental income for the calculation year; or ii A’s 2 applicable parents’ combined parental income for the calculation year. 3 MSD may disregard income that is not likely to continue for the duration of the benefit grant. 14E How parental income annualised Application 1 This clause applies if the number of the representative weeks that MSD determines under clause 14A, 14B, or 14C is not 52. How income annualised 2 MSD annualises an applicable parent’s parental income for those weeks by multiplying that income by— a 2, if the number of those weeks is 26; or b 13, if the number of those weeks is 4; or c 17.33333, if the number of those weeks is 3; or d 26, if the number of those weeks is 2; or e 52, if the number of those weeks is 1. In Schedule 3, Part 4 heading, after Deprivation of income or property , insert or of parental income . In Schedule 3, after clause 16, insert: 16A Effect of deprivation of parental income of applicable parent 1 This clause applies if MSD is satisfied that— a a specified young person’s applicable parent has, directly or indirectly, deprived the applicable parent of parental income: b the deprivation results in either of the following: i the specified young person’s qualifying for a relevant benefit; or ii the specified young person’s spouse or partner qualifying for a relevant benefit at a rate of benefit that is payable other than as specified in section 23C(3) or (4) . 2 For the purposes of this clause and of rules under clause 17, deprivation of parental income, by a specified young person’s applicable parent, excludes that parent doing all or any of the things specified in clause 16(1A)(a) to (e). 3 Subclause (2) does not apply to, and does not limit the application of section 9 (UCB beneficiaries must apply for formula assessment) of the Child Support Act 1991 to,— a an applicant for an unsupported child’s benefit; or b the spouse or partner of that applicant; or c a UCB beneficiary; or d the spouse or partner of that UCB beneficiary. 4 MSD may refuse to grant a benefit, or cancel or reduce a benefit already granted. 5 In this clause and clause 17, parental income excludes, for 12 months after the date of the applicable parent’s receipt of the amount, an amount that— a MSD considers is, or might have been, derived by an applicable parent from— i an impairment lump sum under Schedule 1 of the Accident Compensation Act 2001; or ii a lump sum payment of an independence allowance under Part 13 or Part 4 of Schedule 1 of the Accident Insurance Act 1998; and b is paid to, and received by, the applicable parent, on or after 2 November 2026. 6 This clause— a overrides any provisions to the contrary in this Act (under clause 2(3)), Part 6 of the Veterans’ Support Act 2014, or the New Zealand Superannuation and Retirement Income Act 2001; but b is subject to any rules prescribed by rules under clause 17. In Schedule 3, heading to clause 17, after deprivation of income or property , insert or of parental income . In Schedule 3, clause 17(1), after clause 16 , insert or 16A . In Schedule 3, replace clause 17(1)(a) with: a relating to either or both of the following: i the deprivation of income, property, or both: ii the deprivation of parental income; and In Schedule 3, replace clause 17(1A) with: 1A Rules under this clause relating to the deprivation of income, property, or both are subject to clause 16(1A) (under which deprivation of income, property, or both, excludes specified conduct by a person who is an applicant for a benefit, or the spouse or partner of that applicant). 1B Rules under this clause relating to the deprivation of parental income are subject to clause 16A(2) (under which deprivation of parental income excludes specified conduct by an applicable parent). 13 Schedule 1 amended In Schedule 1,— a insert the Part set out in Schedule 2 of this Act as the last Part; and b make all necessary consequential amendments. 14 Schedule 2 amended In Schedule 2, definition of community spouse or partner , paragraph (b), replace item 6A of Part 7 of Schedule 4 with clause 6A of Part 7 of Schedule 4 . 15 Schedule 4 amended In Schedule 4, Part 7, replace clauses 4 to 6A with: The following table is small in size and has 3 columns. The columns have no headings. 4 To a person (other than a specified person) who has 1 or more dependent children and who is in a relationship, or a sole parent with 2 or more dependent children, whose accommodation costs are the sum of payments required under any mortgage security, and other payments that the chief executive is satisfied are reasonably required to be made in respect of the person's home 70% of the amount by which an applicant’s weekly qualifying accommodation costs exceeds 40% of the base rate, but not more than— a $305 a week, if the applicant resides in Area 1: b $220 a week, if the applicant resides in Area 2: c $160 a week, if the applicant resides in Area 3: d $120 a week, if the applicant resides in Area 4 4A To a specified person who has 1 or more dependent children and who is in a relationship, or a sole parent with 2 or more dependent children, whose accommodation costs are the sum of payments required under any mortgage security, and other payments that the chief executive is satisfied are reasonably required to be made in respect of the specified person's home 70% of the amount by which an applicant’s weekly qualifying accommodation costs exceeds 30% of the base rate, but not more than— a $305 a week, if the applicant resides in Area 1: b $220 a week, if the applicant resides in Area 2: c $160 a week, if the applicant resides in Area 3: d $120 a week, if the applicant resides in Area 4 5 To a person (other than a specified person) who has no dependent children and who is in a relationship, or a sole parent with 1 dependent child, whose accommodation costs are the sum of payments required under any mortgage security, and other payments that the chief executive is satisfied are reasonably required to be made in respect of the person's home 70% of the amount by which an applicant’s weekly qualifying accommodation costs exceeds 40% of the base rate, but not more than— a $235 a week, if the applicant resides in Area 1: b $155 a week, if the applicant resides in Area 2: c $105 a week, if the applicant resides in Area 3: d $80 a week, if the applicant resides in Area 4 5A To a specified person who has no dependent children and who is in a relationship, or a sole parent with 1 dependent child, whose accommodation costs are the sum of payments required under any mortgage security, and other payments that the chief executive is satisfied are reasonably required to be made in respect of the specified person’s home 70% of the amount by which an applicant’s weekly qualifying accommodation costs exceeds 30% of the base rate, but not more than— a $235 a week, if the applicant resides in Area 1: b $155 a week, if the applicant resides in Area 2: c $105 a week, if the applicant resides in Area 3: d $80 a week, if the applicant resides in Area 4 6 To any other person (other than a specified person) whose accommodation costs are the sum of payments required under any mortgage security, and other payments that the chief executive is satisfied are reasonably required to be made in respect of the person’s home 70% of the amount by which an applicant’s weekly qualifying accommodation costs exceeds 40% of the base rate, but not more than— a $165 a week, if the applicant resides in Area 1: b $105 a week, if the applicant resides in Area 2: c $80 a week, if the applicant resides in Area 3: d $70 a week, if the applicant resides in Area 4 6AA To any other specified person whose accommodation costs are the sum of payments required under any mortgage security, and other payments that the chief executive is satisfied are reasonably required to be made in respect of the specified person’s home 70% of the amount by which an applicant’s weekly qualifying accommodation costs exceeds 30% of the base rate, but not more than— a $165 a week, if the applicant resides in Area 1: b $105 a week, if the applicant resides in Area 2: c $80 a week, if the applicant resides in Area 3: d $70 a week, if the applicant resides in Area 4 6A The rate of accommodation supplement payable to a community spouse or partner (as defined in Schedule 2) is the rate in clauses 1 to 6AA that would apply to them if they were single (and their other circumstances were unchanged). 6B In clauses 4 to 6AA , specified person means a person, or the spouse or partner of a person, who is receiving— a supported living payment on the ground of restricted work capacity or total blindness; or b supported living payment on the ground of caring for another person; or c emergency benefit, but only if the equivalent benefit under section 63(4) is— i supported living payment on the ground of restricted work capacity or total blindness; or ii supported living payment on the ground of caring for another person; or d New Zealand superannuation; or e veteran’s pension. 1 New Part 16 inserted into Schedule 1 16 Provisions relating to Part 1 (Jobseeker support and equivalent emergency benefit: tightening eligibility) of Social Security (Jobseeker Support and Accommodation Supplement) Amendment Act 2026 122 Definitions for this Part In this Part, unless the context otherwise requires,— amendment Act means the Social Security (Jobseeker Support and Accommodation Supplement) Amendment Act 2026 amendments means the amendments made by Part 1 of the amendment Act pre-commencement notice or advice of expiry , in respect of a relevant benefit, means the notice or advice that a beneficiary ( A ) receives if, before 2 November 2026,— a MSD gives A a notice in respect of that benefit stating the matters set out in section 335(1)(a) to (c), as required by section 335(1); or b MSD takes reasonable steps to advise A of those matters, in respect of that relevant benefit, as required by section 335(2) and (3) relevant benefit and specified young person have the meanings given to them in section 23D . 123 Amendments apply only to specified relevant benefits The amendments apply, on and after 2 November 2026, only to a relevant benefit— a applied or reapplied for on or after 2 November 2026; and b not reapplied for after MSD gave any pre-commencement notice or advice of expiry in respect of that relevant benefit; and c granted or regranted as a relevant benefit commencing on or after 2 November 2026. 124 Application of amendments not affected by otherwise relevant change of circumstances of specified young person Clause 123 applies even if the specified young person concerned ( A ) has, before, on, or after 2 November 2026, a change in A’s circumstances in relation to a relevant benefit that, but for this clause, would, or may, mean that A is subject to the parental income requirement while that benefit is payable and must continue to be paid. 125 Application of amendments not affected by otherwise relevant change of circumstances of parent of specified young person Clause 123 applies even if a parent of the specified young person concerned ( A ) has, before, on, or after 2 November 2026, a change in circumstances in relation to a relevant benefit that, but for this clause, would, or may, mean that A is subject the parental income requirement while that benefit is payable and must continue to be paid. 2 New Part 17 inserted into Schedule 1 17 Provisions relating to Part 2 (Accommodation supplement: entry threshold percentage for homeowners) of Social Security (Jobseeker Support and Accommodation Supplement) Amendment Act 2026 126 Definitions for this Part In this Part, unless the context otherwise requires,— amendment Act means the Social Security (Jobseeker Support and Accommodation Supplement) Amendment Act 2026 amendments means clauses 4 to 6B of Part 7 of Schedule 4 (as inserted by Part 2 of the amendment Act). 127 Amendments apply only to specified existing or new recipients or applicants The amendments apply, on or after 1 April 2027, only to the following: Recipient of accommodation supplement immediately pre-commencement a a person who, immediately before 1 April 2027, had applied for, was entitled to receive, and was receiving, an accommodation supplement: Application made, and not finally determined, pre-commencement b an applicant for an accommodation supplement whose application was made, and was not withdrawn or determined, before 1 April 2027: Application made on or after date of commencement c an applicant for an accommodation supplement whose application is made on or after 1 April 2027.