Income and finance
Most working-age (aged 15–64) people with disability have some source of income (90%), as do those without disability (90%). However, for working-age people with disability, this income is more likely (43%) than for those without disability (7.9%) to come primarily from a government payment than from salary or wages. One in 4 (25%) working-age people with disability are permanently unable to work because of their condition(s) (2018).
| Main source of income | With disability(a) | Without disability(a) |
|---|---|---|
|
Income from salary or wages |
24% |
71% |
|
Aged 15–24 |
48% |
83% |
|
Aged 25–64 |
42% |
80% |
|
Aged 65+ |
3.9% |
12.9% |
|
Income from government pension or allowance |
56% |
13% |
|
Aged 15–24 |
44% |
11% |
|
Aged 25–64 |
42% |
7.4% |
|
Aged 65+ |
70% |
49% |
(a) Living in households (2018).
Income support
Around 754,000 people aged 16 and over received DSP (at June 2020). Most (88% or more than 660,000) of these were aged 16–64.
What is income support?
Income support is a payment provided by government to help with living costs. People with disability who need help with living costs may access disability-specific payments (such as the DSP) or other payments (such as the JobSeeker Payment).
What is the Disability Support Pension?
The DSP is the main income support payment available specifically to people with disability. It is a means-tested income support payment for people aged 16 and over but under the Age Pension age (at claim) and who have reduced capacity to work because of their disability.
Who receives the Disability Support Pension?
- 4.0% of the Australian population aged 16–64 receive the DSP.
- About 1 in 5 (21%) income support payment recipients aged 16–64 receive the DSP.
- Over half (54%) of DSP recipients aged 16–64 are aged 50–64.
- Around 1 in 3 (37%) of DSP recipients aged 16–64 have a psychological or psychiatric condition as their primary medical condition (June 2020).
DSP recipients tend to stay on the DSP for a long time, with very few moving onto other payments or exiting the income support system. At June 2020, 81% of recipients aged 16–64 had been on the DSP for at least 5 years, 56% for 10 or more years.
Examining income support payment data for a cohort of DSP recipients aged 16–64 in 2009 over time, shows that by 2018:
- 58% were still receiving the DSP
- 23% had moved onto the Age Pension
- 1.0% had moved to other payments (other than the Age Pension)
- 4.2% were not on income support
- 13% had died.
Level of income
People with disability generally have a lower level of personal income than people without disability. Having a person with disability living in the household is also associated with lower levels of household income.
| Level of weekly personal income | With disability(a) | Without disability(a) |
|---|---|---|
|
Low income ($383 or less per week) |
38% |
27% |
|
Mid income ($384 to $1,150 per week) |
42% |
36% |
|
High income ($1,151 or more per week) |
20% |
37% |
(a) Aged 15–64, living in households (2018).
Measuring income
To compare incomes, weekly equivalised income is used. This is the total income, of that household or family, adjusted by applying an equivalence scale to compare income levels between households or families of differing size and composition.
| Level of weekly household income(a) | Household with a person with disability | Household without a person with disability |
|---|---|---|
|
Low income ($593 or below per week) |
38% |
18% |
|
Mid income ($594 to $1,388 per week) |
43% |
45% |
|
High income ($1,389 or more per week) |
19% |
37% |
(a) Weekly equivalised household income (2018).
Families where a parent has disability are more likely than those that do not to have a low level of family income.
| Level of weekly family income(a) | Families with a parent with disability(b) | Families without a parent with disability(b) |
|---|---|---|
|
Low income ($561 or below per week) |
27% |
17% |
|
Mid income ($562 to $1,343 per week) |
50% |
48% |
|
High income ($1,344 or more per week) |
23% |
35% |
(a) Weekly equivalised family income.
(b) Living in households (2018).
Families with a child with disability are more likely to have a low level of family income than families that do not have a child with disability.
| Level of weekly family income(a) | Families with a child with disability(b) | Families without a child with disability(b) |
|---|---|---|
|
Low income ($561 or below per week) |
27% |
17% |
|
Mid income ($562 to $1,343 per week) |
51% |
48% |
|
High income ($1,344 or more per week) |
23% |
35% |
(a) Weekly equivalised family income.
(b) Living in households (2018).
Financial situation
People with disability tend to be worse off financially than those without disability. This can affect their ability to raise funds in an emergency, pay bills or buy food. Some people with disability have to seek help from friends, family, or welfare and community organisations because of financial problems.
Of people with disability aged 15–64 (2017):
- 2 in 5 (38%) describe their level of prosperity as just getting along, and a further 8.7% describe it as poor or very poor (compared with 24% and 2.2%, respectively, for people without disability)
- 2 in 5 (42%) are not satisfied with their financial situation (24% without disability)
- 55% would not be able to easily raise $3,000 in an emergency (41% without disability)
- 2 in 10 (20%) have experienced financial stress in the current year (8.8% without disability).
For more information, including breakdowns by sex and age, and lists of data sources, see the full web report.