income and assets

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Income and asset evidence ensures we are paying our young people their full and correct entitlement and starting their main benefit from the correct date.

when evidence is required

Evidence of income and assets is required when a young person:

  • applies for on-going financial assistance (including public housing applications)
  • applies for one-off financial assistance (if not receiving ongoing assistance)
  • declares changes/new income and assets (excluding employment related income for young people receiving on-going assistance)
  • has an annual review of Income Related Rent (only required in some cases).

 

acceptable income evidence

Income evidence must show the:

  • name of the person who has earned the income
  • employer's name
  • hours worked, and
  • gross and net amounts paid to the person.

When a young person ceases work, income evidence must also show the:

  • last day of work
  • gross holiday pay (and/or any redundancy or other severance type pay), and
  • previous 26 and/or 52 weeks gross income.

Acceptable income income for different income types

Salary/wages:

  • a letter from the employer
  • an employment contract
  • payslip(s)
  • an IR online printout
  • full financial statements or letter from accountant for self-employment.

If the income evidence does not show the young person's gross holiday pay this will need to be provided separately.

Child support

  • notice of entitlement from Inland Revenue or online statement from myIR
  • letter from paying parent if they have a private arrangement.

Rental property:

  • Inland Revenue statement
  • accountant's statement or letter
  • documents to support rental income and outgoings
  • full financial statements.

Ex gratia and compensation payments:

  • a letter from the organisation which made the payment including:
    • the payment amount
    • date received
    • organisation that made the payment, or
  • a bank statement, or
  • screenshot from their online banking.

ACC – accident compensation

  • a letter from ACC.

acceptable asset evidence

Asset evidence must show:

  • the name of the person who owns the asset
  • a description of the asset
  • the value of the asset
  • any money owed against the asset.

Examples of acceptable evidence for assets are:

  • term deposit statement
  • bank account statement showing the current balance of all bank accounts
  • share certificate
  • latest valuation and mortgage balance on a rental property’s net equity - see more information below.

net equity

To determine net equity of a house, boat, vehicle or caravan, we will need the:

  • latest rates or GV (Government Valuation) notice for the property to determine its value or the amount that it is insured for (whichever is greater)
  • current balance on all mortgages owed against the property
  • the insured value of the leisure boat or caravan, or a written valuation from a boat or caravan dealer
  • the estimated value of the vehicle.

applying for on-going financial assistance

If the young person ceases employment and does not have or is unable to provide their income evidence, you can contact the employer and ask them to complete the Employment and earnings information for applications form (V06). You can only do this when the young person has given their consent.

If a young person re-applies for a main benefit (Youth Payment or Young Parent Payment) within 26 weeks of the date their benefit was cancelled due to entering temporary employment, we do not require their previous 26 and/or 52 weeks gross income. However, the young person's final pay details are required to confirm the date their employment ended and the dates their benefit payments should restart.

If written evidence of income is not immediately available, you should accept what the young person has indicated on their application, advise them of the possible overpayment if the information is incorrect, and give the young person four weeks to provide evidence.

Ensure that the conversation you had with the young person is recorded on the young person’s ART profile, including the date by which the young person must return the evidence.

ways we can accept income and asset evidence

Young people can provide this evidence online or face-to-face.

Online

  • Email to provider – you must copy the full email, including the sender, receiver, date and time details, onto the young person’s ART profile.

Face to face

  • to a Youth Service provider
  • at local Work and Income office.

legislation

Income (definition) schedule 2 Social Security Act 2018

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