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Changes to ACC client payments from 1 July 2016

Released 16/06/16

Each year, ACC adjusts a number of client payments in line with changes to the cost of living

We base any changes on two indexes. For weekly compensation payments we use the Labour Cost Index and for other grants and allowances we use the Consumer Price Index.

What this means for clients receiving weekly compensation

Based on movements in the March 2016 Labour Cost Index, clients who have been receiving weekly compensation for more than 26 weeks will have their payments increased by 1.63% from 1 July 2016.*

The new gross maximum rate of weekly compensation payable will be $1,908.50 per week.

The new gross minimum rate of weekly compensation payable to a full-time earner will be $488.00 (equal to 80% of the adult minimum wage of $610.00 for a forty hour week).

* Note: this increase doesn’t apply to clients who began receiving weekly compensation for loss of potential earnings before 1 July 2010.

Clients receiving other grants and allowances

As the rate of change in the March 2016 Consumer Price Index was less than the threshold for increasing entitlements, there will be no change to independence allowance or lump sum payments from 1 July 2016.

Funeral grants, survivor grants and weekly childcare payments will remain unchanged, as follows:

  • Funeral grants: $6,021.11
  • Survivor’s grants: $6,455.40 for a partner and $3,227.72 for each child under 18 and each dependent
  • Weekly childcare payments: $137.27 for one child, $82.35 each for two children and $192.18 in total for three or more children.

After the March 2017 Consumer Price Index is released, payment rates will be reviewed again, to determine whether any changes to payments will apply from 1 July 2017.

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