{"id":60471,"date":"2025-10-05T03:35:06","date_gmt":"2025-10-05T03:35:06","guid":{"rendered":"https:\/\/www.newsbeep.com\/nz\/60471\/"},"modified":"2025-10-05T03:35:06","modified_gmt":"2025-10-05T03:35:06","slug":"government-brings-in-1000-bonus-to-keep-teens-off-the-dole-speeds-up-benefit-cut-plans","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/nz\/60471\/","title":{"rendered":"Government brings in $1000 bonus to keep teens off the dole, speeds up benefit cut plans"},"content":{"rendered":"<p class=\"brdZfQpMhqMp\" style=\"display:none\">\u201cGoing on welfare when you\u2019re young is a trap, with recent modelling suggesting that people under the age of 25 on Jobseeker Support will spend an average of 18 or more years on a benefit over their lifetimes.<\/p>\n<p class=\"brdZfQpMhqMp\" style=\"display:none\">There are more than 15,000 people aged 18 and 19 who are on the Jobseeker benefit right now, she said.<\/p>\n<p class=\"brdZfQpMhqMp\" style=\"display:none\">\u201cI have far greater hopes and aspirations for those young Kiwis than a life on welfare.\u201d<\/p>\n<p class=\"brdZfQpMhqMp\" style=\"display:none\">Upston outlined further details around the earlier announcement that young people would stop being eligible for the benefit if their parents could support them.<\/p>\n<p class=\"brdZfQpMhqMp\" style=\"display:none\">\u201cToday, I can confirm that we are bringing our Budget initiative forward for implementation to November 2026. From then, all young people aged 18 and 19 without dependent children will have to pass a Parental Assistance Test in order to access Jobseeker Support or the equivalent Emergency Benefit,\u201d she said.<\/p>\n<p class=\"brdZfQpMhqMp\" style=\"display:none\">\u201cThis targets welfare assistance to those who need it the most, as young people will be expected to first be supported by their parents.\u201d<\/p>\n<p class=\"brdZfQpMhqMp\" style=\"display:none\">The new Parental Assistance Test will kick in when young people apply for a benefit and comprises:<\/p>\n<p>A parental income test, demonstrating whether their parents earn income at or below the income limit, and\/or;A parental support gap test, demonstrating they cannot reasonably be expected to rely on their parents for support.The income limit will be set at an income cut-out point for a couple with children receiving the Supported Living Payment and will be adjusted annually.Currently this limit is $65,529 and it is expected to rise to reflect the Annual General Adjustment of benefit payments.This limit will ensure that young people from very low-income families will still be able to access support if required.<\/p>\n<p class=\"brdZfQpMhqMp\" style=\"display:none\">Eligibility for the new $1000 bonus payment will apply to people aged from 18 to 24 on Jobseeker Support:<\/p>\n<p>who have worked with Community Job Coaching after being on the benefit for at least 12 monthswho find workwho stay off the benefit for 12 monthswho are in work at the time of their application<\/p>\n<p class=\"brdZfQpMhqMp\" style=\"display:none\">The payment will be available for eligible young people 12 months later, from October 2026, and is part of National\u2019s Welfare that Works policy.<\/p>\n<p class=\"brdZfQpMhqMp\" style=\"display:none\">\u201cOur Government is focused on reducing benefit dependency in young people, and we have already introduced a number of initiatives such as a new phone-based employment case management service,\u201d Upston said.<\/p>\n<p class=\"brdZfQpMhqMp\" style=\"display:none\">\u201cWe\u2019ve got 4000 places for young people to get community job coaching. We\u2019ve also got more regular work seminars and a traffic light system to help them stay on track with their benefit obligations.<\/p>\n<p class=\"brdZfQpMhqMp\" style=\"display:none\">\u201cI am determined that young New Zealanders see education, work and training as their best options for the future.\u201d<\/p>\n<p class=\"brdZfQpMhqMp\" style=\"display:none\">As of June this year, 15,045 18- and 19-year-olds were on Jobseeker Support, and more than 4000 are expected to become ineligible when the changes kick in.<\/p>\n<p class=\"brdZfQpMhqMp\" style=\"display:none\">The change was originally planned to happen in July 2027.<\/p>\n<p><img  alt=\"The Government announced part of the plan in Budget 2025.\" class=\"article-media__image responsively-lazy\" data-test-ui=\"article-media__image\"\/>The Government announced part of the plan in Budget 2025.<\/p>\n<p class=\"brdZfQpMhqMp\" style=\"display:none\">\u201cWith this announcement, we\u2019re clearly saying that 18- and 19-year-olds who don\u2019t study or work and can\u2019t support themselves financially, should be supported by their parents or guardians, not by the taxpayer,\u201d Upston said at the time.<\/p>\n<p class=\"brdZfQpMhqMp\" style=\"display:none\">Budget documents showed that it was forecast to save the Government $84 million a year from 2027.<\/p>\n<p class=\"brdZfQpMhqMp\" style=\"display:none\">Green Party social development and employment spokesman Ricardo Men\u00e9ndez March said at the time the Government was \u201cpulling the rug\u201d on young people receiving income support.<\/p>\n<p class=\"brdZfQpMhqMp\" style=\"display:none\">\u201cThe Government has just told teenagers doing it tough that they are on their own. A lot of teenagers having to rely on benefits for support do not have family to lean on \u2013 the Government knows this, it just doesn\u2019t care.\u201d<\/p>\n<p class=\"brdZfQpMhqMp\" style=\"display:none\">Treasury expects unemployment to worsen over the next few years.<\/p>\n<p class=\"brdZfQpMhqMp\" style=\"display:none\">The jobless rate was now expected to be 5% over the next year, up from a forecast in December of 4.8%.<\/p>\n<p class=\"brdZfQpMhqMp\" style=\"display:none\">In 2027, unemployment is expected to be 4.8% \u2013 up from earlier forecasts of 4.5%.<\/p>\n","protected":false},"excerpt":{"rendered":"\u201cGoing on welfare when you\u2019re young is a trap, with recent modelling suggesting that people under the age&hellip;\n","protected":false},"author":2,"featured_media":60472,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3],"tags":[20299,7127,534,21972,34076,1038,49722,3588,49719,13574,266,42,78,49721,49720,809,43,6662,384,2171,2552,20489,1355,40865,672,223,165,61,40,38,41,39,49723,810,2443,4741],"class_list":["post-60471","post","type-post","status-publish","format-standard","has-post-thumbnail","category-headlines","tag-20299","tag-age","tag-amid","tag-benefit","tag-bonus","tag-brings","tag-coaching","tag-cut","tag-dole","tag-efforts","tag-government","tag-headlines","tag-in","tag-incentive","tag-introducing","tag-keep","tag-news","tag-off","tag-people","tag-plans","tag-service","tag-speeds","tag-starting","tag-tackle","tag-teens","tag-the","tag-their","tag-to","tag-top-news","tag-top-stories","tag-topnews","tag-topstories","tag-trap","tag-up","tag-welfare","tag-young"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/60471","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=60471"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/60471\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/60472"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=60471"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=60471"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=60471"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}