Domestic Purposes Benefit

The Domestic Purposes Benefit (DPB) is a social welfare payment in New Zealand's social security system, primarily given to single parents with dependent children.

History

The Domestic Purposes Benefit, or DPB, was first introduced in New Zealand in 1973^[1] by the country's 3rd Labour government led by Prime Minister Norman Kirk.^[2] The Destitute Persons Act 1910 and the Domestic Proceedings Act 1968 had previously created a statutory means by which a woman could seek a maintenance order against the father of her children. The court could, at its discretion, set the rate that it thought appropriate for the father to pay the mother in respect of the child. This maintenance continued until the child reached the age of sixteen; maintenance would continue to be payable in respect of a child over the age of sixteen if the child was engaged in full-time education. These statutes provided a means by which women could seek maintenance from the putative father, but in the event of any difficulties, women had to resort to the court in order to enforce the maintenance agreement or order. There were also further difficulties; an unmarried mother had to obtain an acknowledgement of paternity from the father or a declaration of paternity from the court in order to be entitled to seek maintenance. The DPB, introduced in statutory form in 1973, mitigated these difficulties. The Act provided State financial support for single mothers, irrespective of whether the father was contributing to maintenance payments.

The introduction of the DPB was blamed for "creating a shortage of babies for adoption". However, the extent to which the DPB contributed to the shortage of babies available for adoption is unclear. The number of births outside of marriage fell between 1971 and 1976. The numbers of ex nuptial children being adopted had started to fall in 1962, before the introduction of State financial support. Else notes that a number of other factors were at work, such as a "softening" of attitudes towards illegitimate children and their mothers, the removal of the stigma of illegitimacy by the Status of Children Act 1969, the increasing availability of contraception and delays in the placement of babies.

The previous is extracted from the report of the Law Commission: Adoption and Its Alternatives: A Different Approach and a New Framework, September 2000, Wellington New Zealand. The full report is available at http://www.lawcom.govt.nz

Details

Domestic Purposes Benefit - Sole Parent

The Domestic Purposes Benefit - Sole Parent is the main DPB benefit. It is a weekly payment to sole parents with one or more dependent children.

It is primarily awarded to a parent who is 19 years old or over, has a dependent child under 18 and who does not have a partner or has lost the support of their partner. A parent whose youngest child is under five years old needs to take practical steps to get ready for work. If their youngest child is aged between five and 13 (five being the earliest age a child can attend school, although it is not compulsory until the child turns six) they are expected to be in, or be actively seeking part-time work of at least 15 hours per week. If their youngest child is aged 14 or older (14 being the minimum legal age which children can be left unattended) they are expected to be in, or be actively seeking full-time work of at least 30 hours per week. If they don’t meet these work obligations and do not have an exemption, their benefit may be reduced or stopped.^[3]

The benefit is a fixed amount for parents who earn $100 or less in other income per week, which as of 1 April 2013 is $335.18 before tax per week.^[4] The benefit amount is reduced by 30c per dollar earned between $100 and $200, and 70c per dollar earned over $200. The gross income cut-out point is $577 per week.^[5]

Domestic Purposes Benefit - Care of Sick or Infirm

Domestic Purposes Benefit - Care of Sick or Infirm is a weekly payment which helps people who are caring for someone at home who needs full-time care.^[6]

Domestic Purposes Benefit - Women Alone

Domestic Purposes Benefit – Women Alone is a weekly payment which helps women over 50 who have lost the support of their partner or finished caring for a child or sick relative.^[7]

Benefit numbers

At the end of December 2012, 109,000 working-age people (aged 18–64 years) were receiving a Domestic Purposes Benefit. This represents around 4% of the working age population of New Zealand.^[8]

References