Social Security Act 2018

Enforcement: sanctions and offences - Sanctions for breach of young person or young parent obligations - Sanctions: young person obligations

270A: Cancellation of youth payment and incentive payments for continuing failure to comply

You could also call this:

"If you don't do what you're supposed to do, your youth payment and extra benefits might stop."

If you get a youth payment and you do not do what you are supposed to do, the Ministry of Social Development (MSD) might stop your payment. This can happen if MSD has already given you a sanction under section 270 and you still do not do what you are supposed to do within 13 weeks. You must also not be covered by section 320 for this to happen. If MSD stops your youth payment, they will also stop some other benefits you might be getting, like accommodation supplement, temporary additional support, and disability allowance. You can apply for these benefits again, and MSD will look at your application to see if you are eligible. To get your youth payment again, you need to apply for it and show that you are eligible. If you get your youth payment again, to get incentive payments, you must meet the criteria for incentive payments, which are set out in regulations made under section 418(1)(c) for the purposes of section 55.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS1444519.


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270: Sanction for first or second failure: suspension of in-hand allowance and incentive payments, or

"Stopping some money for young people who break rules once or twice"


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271: Sanction for third failure: cancellation of youth payment and incentive payments, or

"Losing payments for young people who break rules three times"

Part 5Enforcement: sanctions and offences
Sanctions for breach of young person or young parent obligations: Sanctions: young person obligations

270ACancellation of youth payment and incentive payments for continuing failure to comply

  1. MSD must cancel a young person’s (P’s) youth payment and incentive payments if—

  2. MSD has, under section 270, imposed a sanction described in section 270(2) on P; and
    1. P fails to recomply, within 13 weeks after the sanction takes effect, with each obligation—
      1. for which the sanction was imposed for a failure to comply with; and
        1. that P has not ceased to have; and
        2. section 320 does not apply to P.
          1. On cancellation under this section of P’s youth payment,—

          2. MSD must also cancel the following benefits if P is receiving them:
            1. accommodation supplement:
              1. temporary additional support:
                1. disability allowance (but not child disability allowance); but
                2. that cancellation of those benefits does not, if P reapplies for all or any of them, affect or limit P’s entitlement to all or any of them.
                  1. On cancellation under this section of P’s youth payment, to be again entitled to youth payment under this Act, P must apply for youth payment and establish that P is eligible for youth payment.

                  2. If P is again entitled to youth payment under this Act, to be entitled again to incentive payments, P must satisfy the criteria for incentive payments (as those criteria are prescribed for the purposes of section 55 by regulations made under section 418(1)(c)).

                  Notes
                  • Section 270A: inserted, on , by section 35 of the Social Security Amendment Act 2025 (2025 No 25).