Private Health Insurance Act 2007

CHAPTER 2 - INCENTIVES  

PART 2-2 - PREMIUMS REDUCTION SCHEME  

Division 22 - PHIIB, PHII benefit and related concepts  

Subdivision 22-B - Private health insurance tiers  

SECTION 22-40   PRIVATE HEALTH INSURANCE FAMILY THRESHOLDS  

22-40(1)    
A person ' s family tier 1 threshold for a financial year is an amount equal to double his or her ^[*]

To find definitions of asterisked terms, see the Dictionary in Schedule 1 .

singles tier 1 threshold for the financial year.

22-40(2)    
A person ' s family tier 2 threshold for a financial year is an amount equal to double his or her ^[*]

To find definitions of asterisked terms, see the Dictionary in Schedule 1 .

singles tier 2 threshold for the financial year.

22-40(3)    
A person ' s family tier 3 threshold for a financial year is an amount equal to double his or her ^[*]

To find definitions of asterisked terms, see the Dictionary in Schedule 1 .

singles tier 3 threshold for the financial year.

22-40(4)    
However, if the person has 2 or more dependants (within the meaning of the A New Tax System (Medicare Levy Surcharge - Fringe Benefits) Act 1999 ) who are children, increase his or her family tier 1 threshold , family tier 2 threshold and family tier 3 threshold for the financial year by the result of the following formula:

$1,500 × (Number of those dependants who are children − 1)

Example:

If the person has 3 such dependants who are children, the person ' s family tier 2 threshold for the 2021-22 and 2022-23 financial year is:

$210,000 + ($1,500 × 2) = $213,000

Note:

A person may be a tier 1 earner, tier 2 earner or tier 3 earner if his or her income for surcharge purposes exceeds the applicable threshold for that tier: see section 22-30 .