What income is assessed for contributions?

A bankrupt’s income is assessed to determine whether contributions must be paid. Section 139L of the Bankruptcy Act sets out the definition of income to be assessed.

Income Thresholds before Income Contributions become Payable (after tax & s139N deductions):

  • $61,789.00 – No Dependants
  • $72,911.02– 1 Dependant
  • $78,472.03 – 2 Dependants
  • $81,561.48– 3 Dependants
  • $82,797.26 – 4 Dependants
  • $84,033.04 – 5+ Dependants
  • Maximum Dependant Income – $3,975.00

There are a range of “threshold amounts” and dependants criteria that the government department, Australian Financial Security Authority (AFSA) sets twice a year (March & September).

 

Last updated: 20 Mark 2022