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Remove the Partner Income Test for People on the Disability Support Pension
- Anonymous Writer
- May 13
- 5 min read
Updated: May 16
Author: FORE Australia Policy Intern | Publish date: 13/05/2025
Problem Identification:
In Australia, people on the Disability Support Pension (DSP) must undergo a partner income test to determine the financial aid they receive.
Volume 3, Part 3.2, of the Social Security Act 1991 (Cth) outlines that the rate of payment a recipient receives may be reduced and that ‘where 2 people are members of a couple, they will be treated as pooling their resources (income and assets) and sharing them on a 50/50 basis.’
This means that DSP recipients who are in a relationship may be financially penalised through reduced DSP payments. People with Disability Australia (PWDA) stated that this has created an infantilising ‘power imbalance’ and a ‘dynamic of dependency.’
Context:
The DSP is a fortnightly Centrelink payment for people who cannot work or whose ability to work is limited due to physical, intellectual or mental disability. As of 31 March 2023, approximately 769,300 people receive the DSP in Australia.
For couples, every dollar they earn above $372 as a combined fortnightly income reduces their DSP payment by 50 cents. Payments are cut off entirely once the combined income reaches $3,297.60 per fortnight (around a combined income of $85,000 a year for 2 people).
PWDA has argued that partner income tests are ‘paternalistic’ and discriminatory, harming recipients by creating ‘an unfair and unnecessary strain on household dynamics’.
A 2021 submission by PWDA states there are ‘disproportionate rates of poverty among many people with disability’ due to the often high living costs of managing a disability. This means individuals already managing additional expenses may face further disadvantage under the partner income test when in a relationship.
PWDA have argued that the partner income test undermines independence by making coupled DSP recipients more dependent. Recipients who are in a relationship receive less of their own income and may have to depend on the income of their partner to cover living expenses.
Discrimination law expert Robin Banks stated that partner income testing is ‘at odds’ with the emphasis on promoting the independence of people with disability and their right to equal opportunities. PWDA has said this reliance can leave people on the DSP ‘trapped in unsafe homes or relationships’. One recipient quoted in the submission stated, ‘I'm terrified of becoming stuck in a relationship (abusive or not) solely because my DSP has been taken away or reduced, leaving me with no options’. Another said, ‘if I wanted to leave my partner, I couldn't because I have no money… If they were abusive, I'd be stuck in that situation, and it would be easy for them to control me’.
Some DSP recipients and advocates report avoiding relationships or marriage in order to retain financial independence and remain eligible for a higher rate of support. Advocates have argued that this reflects how partner income tests can restrict personal choice and limit the ability to build a family.
PWDA, the Australian Federation of Disability Organisations and Anglicare Australia, among others, have called for the removal of the partner income test for people on the DSP. PWDA said this could ‘restore financial independence for people on the DSP and remove pressures based on relationship status’. A parliamentary petition calling for an end to partner income testing across all welfare payments was signed by almost 20,000 Australians and submitted to parliament in February 2025.
Chief executive of Economic Justice Australia, Leanne Ho, pointed out that there is no precedent for partner income testing in the tax system. ‘We assess them individually. So why should social security be any different?’ Ms Ho also highlighted that people on DSP are assessed individually in other domestic arrangements, such as sharehouses.
Solution Identification:
Amend section 1064-E1 of the Social Security Act 1991 (Cth) to remove the partner income test for people on the Disability Support Pension.
This could help restore DSP recipients’ financial independence and agency, which could help reduce the potential for domestic abuse. It could also help to increase well-being and reduce stress associated with financial hardship.
Advice:
The Minister for Social Services should amend the Social Security Act 1991 (Cth) to remove the partner income test for people on the Disability Support Pension at the next opportunity
Public Support:
Petition EN7076 - End Partner Income Tests in Welfare Payments
Change.org petition - End Financial Abuse: Reform Australia’s Welfare System and the DSP Partner Income Test
Change.org petition - STOP the partner income assessment for those living off the Disability Support Pension!
Where to go to learn more:
People with Disability Australia - Submission to the Senate Community Affairs References Committee Inquiry into the purpose, intent and adequacy of the Disability Support Pension, which includes case studies. Read In Our Own Words here.
Myths About the Disability Support Pension - Includes examples that DSP and NDIS are the same or that DSP is guaranteed. Read the article here.
Women call for end to disability support pension partner income tests - Read the article here.
Disability Discrimination Act 1992 (Cth) - The federal legal framework protecting people with disability from discrimination. Read the full act here.
Australian Government Guides to Social Policy Law - A guide to understanding the pensions income test. Read it here.
Services Australia - Federal Government’s explainer on the Income Test for Disability Support Pension. Read the page here.
Social Security Act 1991 (Cth) - Details the partner income test requirement currently legislated. Read the full act here.
Human Perspective:
Trigger Warning: Mentions of domestic violence and abuse
Sue is on the Disability Support Pension and her payments are substantially reduced because her partner has a full-time job. While his position is secure, they receive a below-average wage that leaves them struggling due to high rents and the skyrocketing cost of living. It’s hard for them to make ends meet and this stress seems to be bringing out the worst in each of them. The power imbalance of having to ask her partner for money every time she needs something negatively affects Sue’s self-esteem and relationship. Her partner has also become resentful about having to support Sue financially. She has begun to feel like a burden and on occasion, her partner has been verbally abusive. Sue is thinking about whether she needs to leave the relationship, but with no savings and an inadequate income, she feels trapped. She dearly wants to start a family, but even if the relationship was thriving, she doesn’t think having a child would be an option due to her financial constraints. She’s worried that with the biological clock ticking, she might miss out on ever being a mother. Sue’s mood has been very low and friends are concerned she may be depressed.
To protect the anonymity of those involved, this is a fictionalised account drawn from an amalgamation of real-life stories, experiences, and testimonials gathered during the research process for this brief. Any resemblance to actual individuals is purely coincidental.
Conflict of interest/acknowledgment statement:
N/a.
Support
If your organisation would like to add your support to this paper or suggest amendments, please email Info@foreaustralia.com.
Reference list:
AMP Employment Services. (n.d.). How much can my partner earn if I’m on the Disability
Support Pension?
Baxter, E. (2023, June 9). How Centrelink’s partner income assessment affects Australia’s most
vulnerable. YourLifeChoices.
Disability Support Guide (n.d.). What medical conditions qualify for Disability Support Pension in
Australia?
https://www.aph.gov.au/e-petitions/petition/EN7076
Feliks, N. (2023, February 16). The consequences of love: Centrelink’s relationship-testing and
eugenics. Overland.
https://overland.org.au/2023/02/consequences-love-centrelinks-relationship-testing-and-eugenics/
Parliament of Australia. (2025, February 19). Petition EN7076 - End Partner Income Tests in Welfare Payments.
https://www.aph.gov.au/e-petitions/petition/EN7076
Saaga, B. (2025, March 27). Australia Disability Support Pension In March 2025-Check
Eligibility & Payment Dates. TMBU News Portal.
https://www.tmbu.org/australia-disability-support-pension-in-march-2025/
SBS. (2020, March 30). Centrelink income test threshold lifted to give more Australians support
during coronavirus pandemic.
Wallen, S. (2023, February 24). Partner income tests are preventing some Australians with disabilities from getting married. ABC News. https://www.abc.net.au/news/2023-02-24/qld-disability-pension-partner-income-tests/102013448
Young, E. & Hermant, N. (2022, May 11). Centrelink's partner income test is leaving some lower-income couples feeling they'd be better off apart. ABC News. https://www.abc.net.au/news/2022-05-11/centrelink-partner-test-better-off-apart/101049134
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