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The following table describes the types of deductions that can be made from a person's fortnightly payments and the order in which they are made.
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Type of deduction |
Order of deduction |
Description |
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Compulsory |
First |
Compulsory deductions are called withholdings. They are used to recover debts (1.1.D.60) to the Commonwealth. |
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Requested by recipient |
Second |
A recipient may request deductions for a number of reasons. Examples: - board and lodging to a place where they live, such as a migrant centre, - rent payments to a public housing authority. |
If appropriate, the remainder of a recipient's payment may be redirected to a third party on behalf of the recipient.
Policy reference: FA Guide 4.3.6 Payments to a Third Party
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Last reviewed: 2 January 2009
