Rural and Remote Education Inquiry Briefing Paper
Rural
and Remote Education Inquiry Briefing Paper
ABSTUDY
- Introduction
- General
conditions of eligibility
- What
kind of student?
- Income
tests
- Allowances
- Submissions
and evidence received
- Your
experiences?
Introduction
ABSTUDY provides
income support and supplementary educational assistance to Aboriginal
and Torres Strait Islander students. It covers 18 different types of allowances
each subject to their own conditions of eligibility. Many of them are
income tested. From 1 January 2000, the income, assets and actual means
tests applying to the Youth Allowance will apply to ABSTUDY applicants
for income-tested benefits. The most important type of allowance is the
ABSTUDY Living Allowance. The ABSTUDY 1999 Information Book, at
pages 36-40, contains 7 tables that can help a student calculate the ABSTUDY
Living Allowance for 1999.
The following information
is a summary of the Centrelink ABSTUDY 1999 Information Book. For
more details refer to the Information Book.
General
conditions of eligibility
To get ABSTUDY there
are three main conditions a student must meet.
Aboriginality
An Aboriginal or
Torres Strait Islander is someone who is of Aboriginal or Torres Strait
Islander descent, identifies as an Australian Aboriginal or Torres Strait
Islander and is accepted as such by the community in which he/she lives
or has lived.
Studying an
approved course
The student must
be enrolled in and studying an approved course at an approved institution.
Most courses in schools, colleges, TAFEs and universities are approved
for ABSTUDY. Private (non-government) education providers are often approved
where the course leads to a recognised qualification and the institution
is an accredited education provider.
Not receiving
any other government assistance to study
The student cannot
receive any other government assistance to study while he/she receives
ABSTUDY unless he/she is a pensioner. There are exceptions for some scholarships.
What
kind of student?
- Primary
and secondary students at home
- Secondary
boarding students
- Students
in State care
- TAFE
and university students
- Dependent
or independent
and secondary students at home
A primary school
student must be 14 years or over at 1 January 1999 and live at home to
receive ABSTUDY. There are no age limits on secondary students.
Some primary and
secondary students living at home may be eligible for one or more of the
following allowances.
- School Term Allowance
if the student is under 16.
- School Fees Allowance
at home rate if the student is under 16.
- Living Allowance
at the standard rate if the student is 16 or older.
- Incidentals Allowance
if the student is 18 or older at 1 January.
- Fares and residential
costs to attend a residential school if the student is a correspondence/distance
education student.
boarding students
Secondary Boarding
Students may be eligible for one or more of the following allowances.
- Living Allowance
at the away from home rate.
- School Fees Allowance
at the boarding rate.
- Incidentals Allowance
if the student is 18 or older at 1 January 1999.
- Fares Allowance.
- Rent Assistance
if the student is in State care or homeless.
An under 16 boarding
supplement is payable to institutions with a minimum of 10% Indigenous
students eligible for the away rate of living allowance at the ABSTUDY
census dates.
in State care
The rate of Living
Allowance paid if the student is in State care and have reached the minimum
school leaving age is
- the standard rate
if the foster parent receives a Foster Care Allowance,
- the away rate
if the foster parent does not receive a Foster Care Allowance,
- the independent
rate if the student is living in a government funded refuge or residential
care facility and the State/Territory welfare authority is not responsible
for the student.
If no Foster Care
Allowance is paid and the student is living in private rental accommodation
he/she may be eligible for Rent Assistance.
and university students
The ABSTUDY entitlements
and the rules applied to a TAFE or university student will vary depending
on whether the student is studying a course which is classified as secondary
or tertiary. A TAFE or university student may be eligible for one or more
of the following allowances.
- Living Allowance
- Pensioner Education
Supplement
- Dependent Spouse
Allowance
- Rent Assistance
- Incidentals Allowance
- Additional Incidentals
Allowance if tertiary
- Fares Allowance
- Away from Base
Assistance
- Supplement Loan
if tertiary
- Lawful Custody
Allowance.
ABSTUDY is available
to eligible students undertaking undergraduate study or higher degrees.
or independent?
In many cases it
is important to determine whether the student is to be considered independent
or dependent. A student is considered independent and may receive the
independent rate of Living Allowance if he/she
- is 25 years or
older
- is or has been
married
- has or has had
a dependent child
- has been employed
or looking for work for 3 out of the past 4 years
- has previously
been in lawful custody
- is an orphan
- has adult status
in a traditional community in NT, QLD, SA or WA (the student must be
15 years or older and have adult status in a community which follows
a lifestyle based on coming-of-age ceremonies).
In addition to these
criteria a student may be considered independent on a reviewable basis
is he/she
- is homeless
- is or has been
in State care and is living in an institution
- has parents who
cannot exercise care
- has returned to
live in an Aboriginal community
- is in a defacto
relationship for six months or more, or has, or defacto partner has,
a dependent child
- has the care of
another person's child.
If the provisions
for independent status do not apply a student is considered dependent.
A dependent student may be eligible for the away rate of Living Allowance
if the student
- is a secondary
or tertiary student and is in State care,
- has reached the
minimum school leaving age and the student's carer is not receiving
a Foster Care Allowance for the student, or
- is living away
for one of a number of specific reasons (travel time/access make daily
travel difficult, home conditions make study difficult, the student
is studying an approved special course).
Otherwise a dependent
student may receive the standard rate.
Income
tests
The ABSTUDY Living
Allowance is subject to a number of income tests.
Student income
test
The student income
test applies to all students unless they are
- under 16 years
- living in State
care.
A student can earn
up to $6,000 a year before ABSTUDY is affected. ABSTUDY will be reduced
by $1 for every whole $2 the student earns over $6,000. If the student
receives ABSTUDY for less than a full year, the amount he/she can earn
will be proportionately less.
Parental income
test
How much ABSTUDY
a dependent student can receive also depends on the parents'/guardians'
income. If the adjusted family income is over $23,550 a year the annual
amount of Living Allowance is reduced by $1 for every whole $4 by which
the adjusted family income is over $23,550.
Partner income
test
If the student has
a married or de facto partner, the amount he/she can get also depends
on the partner's income. If the partner's adjusted income is more than
$14,850, the annual amount the student can get is reduced by $1 for every
whole $2 that the partner's adjusted income is over $14,850.
Allowances
- Living
Allowance
- Dependent
Spouse Allowance
- Pensioner
Education Supplement
- School
Term Allowance
- School
Fees Allowance - at home rate
- School
Fees Allowance - for boarders
- Rent
Assistance
- Fares
Allowance
- Away
from Base Testing and Assessment Programs
- Away
from Base Assistance for Your Course
- Incidentals
Allowance
- Additional
Incidentals Allowance
- Lawful
Custody Allowance
- Relocation
Allowance
- Thesis
Allowance
- Payment
of Course Fees or HECS
- Supplement
Loan
The following allowances
are available under ABSTUDY.
Allowance
For full-time students
over 16 years. Income tested. The amount depends on the students age,
whether he/she is considered independent and if he/she is living at home
or away.
Spouse Allowance
May be paid if the
student has a partner and a child who are financially dependent on the
student.
Education Supplement
To encourage some
categories of pensioners to take up full-time study.
Term Allowance
To help certain students
with expenses such as books, uniforms and other school costs. It may be
available for secondary students under 16 living at home (or not eligible
for the away or independent rates) and primary school students aged 14
on 1 January 1999. To be eligible the student must be enrolled and go
to school and
- a parent/guardian/carer
on whom the student is dependent qualifies for a Commonwealth pension
or benefit, or receives a Community Development Employment Program (CDEP)
wage (not as an administrator),
- a parent/guardian/carer
has a current Health Care Card,
- the student is
an orphan, homeless or has parents who are unable to care for him/her,
or
- the student is
in State care and living with foster parents, and has not reached the
minimum school leaving age.
The rate is $520
a year for a student under 16 for the full academic year.
Fees Allowance - at home rate
Is paid for students
younger than 16 to help meet the costs of school fees. To be eligible
the student must enrolled and study in the term and
- a parent/guardian/carer
on whom the student is dependent qualifies for a Commonwealth pension
or benefit, or receives a Community Development Employment Program (CDEP)
wage (not as an administrator),
- a parent/guardian/carer
has a current Health Care Card,
- the student is
an orphan, homeless or has parents who are unable to care for him/her,
or
- the student is
in State care and living with foster parents.
The rate is $150
a year if the student is under 16 at 1 July 1999 and $75 if the student
turns 16 between 1 January and 30 June 1999.
Fees Allowance - for boarders
To help meet the
costs of tuition fees. It is available for secondary students who are
- eligible for the
away rate or
- homeless, orphaned
or have parents who are unable to care for them.
The actual cost of
school fees up to a maximum of $4,377 a year is payable.
Assistance
Allowance
May be paid to help
a student approved to live away from home to travel between the permanent
home and the place of study. It cannot be paid for daily travel.
from Base Testing and Assessment Programs
Assistance to attend
testing and assessment programs by tertiary education institutions to
interview, test or assess the suitability of applicants for a course of
study. Limits apply.
from Base Assistance for Your Course
Covers students'
fares and residential costs and enables students to participate in compulsory
residential schools, field trips, and/or placements which are necessary
to complete their course. Limits apply.
Allowance
To help the student
pay for general course expenses. For all tertiary students, secondary
students who are 18 or older and full-time Masters and Doctorate students.
The maximum amount a student can receive in a year is $355.
Incidentals Allowance
For full-time students
to assist them in meeting those course costs which are essential for all
students in the course, such as textbooks or equipment, that exceed the
prescribed amount. Limits and other conditions apply.
Custody Allowance
Essential course
costs (but not living allowances) for Indigenous students in lawful custody.
Allowance
For full-time students
eligible for the Masters and Doctorate living allowance who need to move
to another town or city to take up Masters or Doctorate studies.
Allowance
Thesis allowance
of up to $400 for a Masters student and $800 for Doctorate students who
are in receipt of a Masters and Doctorate Award living allowance.
of Course Fees or HECS
For students in receipt
of a Masters and Doctorate Award living allowance, course fees or HECS
is payable, whichever is the lesser.
Loan
A voluntary loan
scheme for tertiary students. By trading in $1 of Living Allowance the
student receives $2 as an interest free Supplement Loan, which the student
must repay later. The Supplement Loan debt increases annually by the Consumer
Price Index.
Submissions
and evidence received
School meeting, Billiluna
WA, 14 May 1999
"The students
are 16 years old when they go to the boarding schools because if they
are not 16 the parents have to subsidise the rent at the hostels to the
tune of a couple of thousand dollars a term. It would cost them more than
they would earn in a whole year. Abstudy will only pay once the children
have turned 16."
Community meeting,
Bourke NSW, 1 March 1999
Concern
was expressed at the amount of time that it took for DETYA offices to
process applications for Abstudy "There are a number of kids whose money
has not come through and that means that we have had to provide books,
pens, pencils, uniforms and shoes for kids."
"We enrolled four
kids today who came back because their money had not come through and
they could not afford to stay in a hostel. This lead time with this
money coming through is having a huge affect."
Concern was expressed
at the difficulties experienced by Indigenous children enrolled in hostels.
Late Abstudy payments and an enrolment system which requires reapplication
each year were reported to be having a negative impact on Indigenous
students.
There was also
concern at the administration of Abstudy: "You never seem to get support
from Abstudy. I know families who have sent three applications away
in the one envelope and then two of them are lost and the other one
comes back."
Concern was expressed
at the impact of Abstudy and Austudy being means-tested. "My view is
while means testing is okay there should be still some sort of locality
provision so that it is at least recognised that you are not bypassing
a local institution; you have no choice but to send them away. If I
were living in Sydney the cost of tertiary education for my children
would have been absolutely minimal compared to what it is."
"It is frustrating,
frustrating for the parents, frustrating for the kids. I have a son
who is in university in Adelaide and Abstudy doesn't really cover all
the education. If it wasn't for me and my wife he wouldn't be able to
go through it because it's just not enough. He is living on the campus
where he pays $75 a week for renting a place. At the end of terms he
has got to wait three or four weeks before he can get Abstudy again.
We pay his way but I am just thinking about the parents around here
that haven't got that flow of money coming through all the time."
Beverley Angeles,
Indigenous Education Council, Public Hearing, Darwin NT 10 May 1999
"With the
changes to Abstudy too, with most of our Indigenous students, you'll find
that they're independent from, usually, a younger age than maybe non-Indigenous
students. I'm speaking from Alice Springs, I can't comment for here; usually
by the time they're 13 they've usually left home, staying elsewhere. So
Abstudy needs to address that issue."
Maria Stephens, Indigenous
Education Council, Public Hearing, Darwin NT, 10 May 1999
"We've had
a lot of parents actually come to us and say that they were concerned
about the effects of Abstudy on their own family resources as well. When
you have someone like - there was a gentleman, I think, who had seven
children actually in the education system and each individual child was
assessed individually against his income, rather than a bulk assessment
against his single income."
"I think one of
the major issues that has come to light recently is a letter that's
been circulating throughout the Northern Territory from Centrelink,
actually advising Aboriginal students that they only have to attend
school one day per term, which is four days a year, and they're still
entitled to their Abstudy. I think these are more the underlying problems
than the Abstudy itself."
Ron Watt, Batchelor
College, Public Hearing, Darwin NT, 1 May 1999
"Already
we're having cases of students not being accepted onto Abstudy because
they've taken too long to complete their course. For obvious reasons,
our students take much longer to complete a three-year program than three
years and we're already having Abstudy saying, 'You've been on Abstudy
too long, you can't have it any longer' to a number of students; and there
are already students not being allowed to go and do practicum because
of the number of days away from base that would involve."
Meeting with Aboriginal
Education Assistants and others, Moree NSW, 5 March 1999
Some parents
cannot access Abstudy because of the means test, even though they are
just above the poverty line. Participants feared the effects on adult
education which, to date, has produced Aboriginal Education Assistants
and teachers. Keeping Indigenous students in the education system is an
ongoing challenge. Scholarships and bursaries were suggested.
Elaine Rabbitt, Broome
campus, Edith Cowan University, Public Hearing, Perth WA, 24 May 1999
"Another
issue is that the changes in Abstudy will grossly affect, I believe, Indigenous
students, their retention rate also in secondary school, which has further
ramifications of those that will reach university. Now, we all know that
the retention rate of Indigenous students in secondary school is very
low compared to the non-Indigenous students and institutions like Edith
Cowan University have initiated teacher-training programs in rural areas.
Now, in the Broome regional campus we have got Indigenous students in,
for want of a better word, the mainstream bachelor of education program
and we've got Indigenous students in the AIEW teacher-training program.
The point I'd like to make now about the changes in Abstudy which affect
those students doing their teacher training is one that to complete a
bachelor of education the students have to go on a 10-week teaching practice.
Now, we're encouraging Indigenous students to do their teaching practice
in remote communities, in their own communities where they may come from,
or their family or to just go out to a community even if they have no
family affiliations there. It's brought to my attention this year that
through the changes to Abstudy those students that elect to go out into
the communities to do their prac teaching are only eligible for 40 days
away from home allowance. So this leaves a shortfall. If we're talking
really remote where the students can't come in on the weekends, it leaves
a shortfall of up to 30 or 40 days where there is no allowance covered
for their teaching practice. In the current situation now, some students
are experiencing severe hardship and poverty because of this, because
they want to be out in the community doing their prac teaching but the
allowance doesn't cover them."
Professor John Lester,
NSW Aboriginal Education Consultative Group, Sydney hearing, 22 October
1999:
"... because
of the diversity and distances that rural communities obviously suffer,
any change to Abstudy will have disastrous effects. You'd only have to
change the margins, and all of a sudden you disenfranchise whole groups
and whole communities from educational opportunity. That is starting to
be witnessed at tertiary institutions, which are starting to look reasonable.
Those numbers could fall and deplete very quickly in the next round of
major Abstudy changes, which are due in the year 2000, and we could actually
in fact see a whole lot of disincentives for Aboriginal people, in particular
mature-age adults attending university. Hence, that will have a disastrous
effect on local communities."
Sister Maryanne,
St Joseph's Primary School, Kununurra hearing, 17 May 1999:
"The ABSTUDY
forms are too hard to fill in for many of the parents. They are always
being sent back and we spend a lot of time on the phone trying to sort
out problems. We have to go through Darwin before we can talk to Perth.
All of this takes time and postpones the starting date for boarding school.
ABSTUDY can work as a disincentive for schooling. ABSTUDY A is paid for
children who stay here for school and ABSTUDY B is for children who go
away for boarding. ABSTUDY needs to be linked to attendance. Rather than
being paid twice a year, if they were paid on a bi-monthly basis then
it could be more closely linked to attendance. Centrelink really needs
to educate the communities that when they are not attending they do not
receive the ABSTUDY funding and the money is actually deducted from the
family allowance. So then the students can realise that they are actually
penalising their families. That sort of information is not readily available
until the parent receives a big bill, they get terribly upset, and then
they want to withdraw the children from school and not send any of the
others away or on to secondary school.
"For those children
who feel they must go out of town to get a secondary education, ABSTUDY
must offer more efficient and effective support. This must involve a
simpler application process and quicker response time so that students
can be there for the beginning of the school year. There needs to be
some continuity of personnel and of process."
Click here
to see ATSIC's 1998 review of changes to Abstudy.
In response to ATSIC's
critique the Minister for Education, training and Youth Affairs, Dr David
Kemp, said, "Over 80% of Abstudy students will gain, or experience no
change or minimal change as a result of new Abstudy arrangements to be
instituted from January 1 next year [ie 2000]" (media release dated 23
September 1999).
Tony Greer, DETYA,
Canberra Hearing, 26 October 1999:
"[T]here
were changes to the away-from-base dimension of Abstudy in the 1997 budget
context. As a consequence of that some transitional assistance was provided
through 1998 to ensure that, notwithstanding that policy change, the numbers
- whether there's six visits or what have you - were in fact maintained.
Then as a consequence of the Abstudy review and the decision that government
took on Abstudy in December 98, it was agreed that there would be a fundamental
change in the way we approach the away-from-base or mixed-mode provision
under Abstudy, in the sense that much greater flexibility and far less
prescription would attach to that.
"So that in implementing
the decisions of the 1998 Abstudy review decision, providers have now
been assessed more or less in a dollar value of what their budgets will
be for away-from-base assistance; that taken on their 1998 level of
funding which included top-ups to keep them at least I think at their
1997 level which was pre-budget. That provision is currently going through
the parliament with the Indigenous education bill, which will from January
next year provide much greater flexibility to Batchelor College, to
other colleges, to determine how many return visits etcetera the particular
students will need.
"We will be providing
not an ungenerous budget to providers, walking away from a lot of the
prescriptive business that characterised the previous guidelines, and
giving much more capacity for those colleges to manage that."
Peter Buckskin, DETYA,
Canberra Hearing, 26 October 1999:
"Abstudy
has got to be seen - the away-from-base activity where you can either
have the students come in to the college itself or those lecturers to
go out to the site where the students actually live and are enrolled from,
is really a mode of delivery, and it should be seen - as well as being
supported by the other program that the Commonwealth runs which is ATAS
[Aboriginal Tutorial Assistance Scheme], and Batchelor College gets a
bulk allocation literally in its millions to provide support for some
of these students that are enrolled - any student that's enrolled in a
course that's having difficulty, and it's up to the college administration
when they enrol people to identify those who will be needing additional
support to complete that certificate, associate diploma, diploma or degree.
"Batchelor College
has had over two years to revamp their program, to come up to the six
trips, 40 days, and clearly they are not satisfied with the level of
funding that they've got out of Abstudy but it is based on their 98
income. It's based on the student enrolment that they had. Now, if their
student enrolment goes up, they get more money . [Mr Buckskin confirmed
that Batchelor is now at liberty to organise its courses as it sees
fit - for each course a notional allocation for 6 trips per year will
be provided by DETYA, but these can in fact be allocated as needed]
"Also we've been
entering into dialogue with a number of providers, and some providers
find this very useful because it is very flexible. You choose the company
to which - you don't have to choose Qantas like the Commonwealth. You
can go to the cheapest bidder in terms of a charter service in your
particular area, rather than go through a specific airline. How you
structure your course is up to you. It's much less rigid than it was
before, and there are some places like Deakin University, that has lots
of people from the Northern Territory, that are finding it really useful
and really welcome the changes that we brought in in 1997 because it
does provide flexibility."
Information supplied
in DETYA's submission, pages 105-108
(Attachment 4):
Abstudy - Non-metropolitan
beneficiaries and expenditures 1996-1999
Abstudy | December 1996 | December 1997 | ||||||
Beneficiaries | % | Expenditure ($) | % | Beneficiaries | % | Expenditure ($) | % | |
Metropolitan | 12,895 | 26.4 | 35,047,233 | 28.8 | 13,296 | 26.2 | 39,393,529 | 28.8 |
Reg'l Centre | 11,479 | 23.5 | 29,971,961 | 24.6 | 10,661 | 21.0 | 29,477,621 | 21.5 |
Country Town | 19,505 | 40.0 | 45,148,459 | 37.1 | 21,100 | 41.6 | 52,637,994 | 38.4 |
Other | 4,891 | 10.0 | 11,463,812 | 9.4 | 5,706 | 11.2 | 15,498,862 | 11.3 |
Total | 48,769 | 100 | 121,631,466 | 100 | 50,763 | 100 | 137,008,005 | 100 |
December 1998 | June 1999 | ||||||
Beneficiaries | % | Expenditure ($) | % | Beneficiaries | % | Expenditure ($) | % |
13,098 | 25.9 | 32,945,384 | 28.0 | 13,371 | 29.4 | 20,404,123 | 28.5 |
10,547 | 20.9 | 25,336,202 | 21.5 | 8,804 | 19.3 | 16,345,459 | 22.8 |
21,087 | 41.8 | 45,680,823 | 38.8 | 17,369 | 38.2 | 27,434,609 | 38.3 |
5,763 | 11.4 | 13,779,533 | 11.7 | 5,983 | 13.1 | 7,484,124 | 10.4 |
50,495 | 100 | 117,741,942 | 100 | 45,528 | 100 | 71,668,314 | 100 |
Your
experiences?
What is your experience
with ABSTUDY?
- If you have ever
applied for ABSTUDY, please tell us about your experiences.
- Were you successful?
- If not, what was
the reason?
- Do you think the
ABSTUDY rules are appropriate and fair?
- Do you think the
rates of allowances are adequate?
- Do you think the
ABSTUDY rules are easy to understand?
Please e-mail: bushtalks@humanrights.gov.au
Or post your comments
to:
Rural and Remote
Education Inquiry
GPO Box 5218
SYDNEY NSW 1042
Last
updated 2 December 2001.