Minimum payment allowance

POAAL has received some queries from Licensees asking how the minimum payment allowance works.

The minimum payment allowance (sometimes called minimum income payment) was introduced some years ago in response to lobbying by POAAL for a guaranteed minimum Australia Post income for very small LPOs.

The minimum payment allowance is currently $13,995. That means that Licensees who receive less than $13,995 in Australia Post discounts, fees and commissions may receive an extra payment from Australia Post to make up the difference.

From 1 July, the minimum payment allowance will be increased to $20,000. This means that Licensees who earn less than $20,000 from Australia Post can receive an extra payment from Australia Post to make up the difference.

Each year, Australia Post will notify all Licensees who are eligible and offer them the option of taking up the minimum payment allowance.