Host Students, Keep Your Pension—Earn Tax-Free Income.

With family grown and moved away, a quiet home can sometimes feel a little lonely.
By hosting a student, you can enjoy companionship, keep your pension, and earn tax-free income. With housing costs rising, every little bit truly helps.

Take advantage of the Work Bonus: If you're eligible, you can earn extra money from part-time work without it affecting your pension. You can now earn up to $11,800 before it impacts your payment.

Keep your details current: Make sure your income, assets, and living situation are up to date in your myGov account. This helps ensure you don't miss out on any automatic increases to your pension.

Homestay income is tax-free: If you host international students in your home, the payments you receive are not counted as taxable income by Centrelink or the ATO—as long as you host no more than 2 students at a time. This income won't affect your pension.

WHAT ATO COMMUNITY SAY.....

Based on Australian Taxation Office (ATO) interpretations and social security guides, income from hosting up to two homestay students is generally considered non-assessable, tax-free income for pensioners.

Here are the key details regarding this arrangement:

• Tax Status: Payments received under a registered homestay arrangement (usually via educational institutions) are considered a "non-commercial or domestic arrangement" intended to cover expenses, rather than generate a profit.
• ATO Position: According to ATO ID 2001/381, this income is not assessable under section 6-5 of the Income Tax Assessment Act 1997. Therefore, you do not need to pay tax on it.
• Number of Students: This tax-free status typically applies when hosting one or two students. Hosting more than this may change the nature of the activity to a business, which could make it taxable.
• Centrelink/Pension Impact: Generally, if you are a pensioner, income from 1–2 students is not counted under the income test, as it is assumed to be fully consumed by the cost of providing meals and utilities.
• Capital Gains Tax (CGT): Homestay arrangements are not considered a CGT event, meaning it does not usually affect your main residence exemption.
• Exceptions: If you are not using a registered agency or if it is a private rental arrangement, you may be required to declare this income.

SAKURA HAVEN HOMESTAY IS REGISTERED WITH ATO/ASIC AS AN INTERNATIONAL STUDENT'S HOMESTAY AGENCY