Tools For Your Trade payment
What is the new Tools For Your Trade payment?
The Tools For Your Trade payment was announced in the 2009-10 Budget. It combines three initiatives previously available to Australian Apprentices, the Tools For Your Trade voucher, Apprenticeship Wage Top-Up and the Commonwealth Trade Learning Scholarship.
The new payment totals $3,800 and will be paid directly to the Australian Apprentice over the life of their Australian Apprenticeship training.
At what point will each of the five new payments be made?
The new payment will be paid as five tax exempt cash payments totalling $3,800 over the life of the Australian Apprenticeship. Payments will be made as follows:
 | $800 payable after three months. |
| | $800 payable after 12 months. |
| | $800 payable after 24 months. |
| | $700 payable after 36 months. |
| | $700 payable upon successful completion. |
Part time Australian Apprentices or Australian School-based Apprentices, will also receive the first payment once they have completed three months of training. Subsequent payments will be paid after 24, 48, 72 months and upon successful completion.
If an Australian Apprentice successfully completes their Australian Apprenticeship earlier than the proposed completion date specified on the training contract, the Australian Apprentice may be eligible to receive any remaining payments that they were assessed as eligible for.
What is an eligible qualification for the Tools For Your Trade payment?
The new Tools For Your Trade payment will be available to Australian Apprentices undertaking:
- A Certificate III or IV qualification leading to a trade occupation listed on the National Skills Needs List; or
- A Certificate II, III or IV agricultural qualification, and if in rural and regional Australia, horticulture qualification.
How will these changes affect existing Australian Apprentices with Tools For Your Trade voucher initiative eligibility?
There was a shortening of the time limit, all vouchers needed to be exchanged for tool kits on or before 31 October 2009.
For more information call the Australian Apprenticeships referral line on 13 38 73.
I did not reach the nine month point of my Australian Apprenticeship before the Tools For Your Trade voucher initiative ceased on 31 December 2009. Am I still entitled to keep my tool kit if I reach this point of my Australian Apprenticeship or does my employer retain ownership?
The tool kit ownership arrangements under the Initiative remain unchanged. The employer will ‘own’ the tool kit until the Australian Apprentice reaches the nine month point of the Australian Apprenticeship. At this point, the employer will hand over ownership of the tool kit to the Australian Apprentice who is entitled to take the tool kit with them. Tools For Your Trade will not issue an Ownership Verification Form for completion by the employer and Australian Apprentice, as transfer of ownership at the nine month point will be assumed.
What about Australian Apprentices commencing between 13 May 2009 and 31 December 2009?
Australian Apprentices who commenced between 13 May 2009 and 31 December 2009 may be eligible for the new Tools For Your Trade payment. Eligibility for each of the Tools For Your Trade payments will be assessed by an Australian Apprenticeships Centre.
For more information contact your local Australian Apprenticeships Centre or visit
australianapprenticeships.gov.au.
If an Australian Apprentice commenced an Australian Apprenticeship on 1 April 2009 but delays in the processing of the training contract set their official commencement date to 10 June 2009, are they still eligible to receive a tool kit under the Tools For Your Trade voucher initiative?
No, they will not be eligible to receive a tool kit voucher under the Tools For Your Trade voucher initiative as the last eligible commencement date was 12 May 2009. They may, however, be eligible to receive assistance under the Tools For Your Trade payment initiative.
For more information on the Tools For Your Trade payment contact your local Australian Apprenticeships Centre or visit
australianapprenticeships.gov.au.
As an example, if I am still in my first or second year of my Australian Apprenticeship and have received Apprenticeship Wage Top-Up (AWTU) and/or the Commonwealth Trade Learning Scholarship (CTLS), will I continue to receive the remaining AWTU/CTLS payments after 1 January 2010?
No. Australian Apprentices who were assessed as eligible for AWTU and/or CTLS and are still in the first two years of their Australian Apprenticeship (or four years for part-time) will transition to the new Tools For Your Trade payments for milestones reached on or after 1 January 2010.
For more information on the Tools For Your Trade payment contact your local Australian Apprenticeships Centre or visit
australianapprenticeships.gov.au.
Previously the Commonwealth Trade Learning Scholarship was only payable where the number of employees was less than 500. Will this restriction apply to this Initiative?
No. This new Initiative will be payable to any eligible Australian Apprentice irrespective of business size, subject to all other eligibility criteria being met.
Apprenticeship Wage Top-Up was restricted to Australian Apprentices less than 30 years of age at the time of commencement. Does this restriction still apply?
No. This new Initiative will be payable to any eligible Australian Apprentice irrespective of the age of the Australian Apprentice at commencement, subject to all other eligibility criteria being met.
What will happen to the initiatives that will be combined into the Tools For Your Trade payment?
The Initiatives which are being combined into the new Tools For Your Trade payment will be phased out. Claiming periods for each of the ‘outgoing’ initiatives is as follows:
Tools For Your Trade voucher
This initiative ceased for new commencements on 12 May 2009. New commencements on or after 13 May 2009, may be eligible for the new Tools For Your Trade payment. Payments will commence in January 2010.
All purchases under the Initiative must have been finalised on or before 31 October 2009.
Apprenticeship Wage Top-Up
The Apprenticeship Wage Top-Up initiative ceased on 31 December 2009. Australian Apprentices who were assessed as eligible for Apprenticeships Wage Top-Up and are still in the first two years of their Australian Apprenticeship (or four years for part-time) will transition to the new Tools For Your Trade payments for milestones reached on or after 1 January 2010.
For more information on the transition to Tools For Your Trade payment, contact your local Australian Apprenticeships Centre or visit
australianapprenticeships.gov.au
Commonwealth Trade Learning Scholarship
The Commonwealth Trade Learning Scholarship initiative ceased on 31 December 2009. Australian Apprentices who were assessed as eligible for Commonwealth Trade Learning Scholarship and are still in the first two years of their Australian Apprenticeship (or four years for part-time) will transition to the new Tools For Your Trade payments for milestones reached on or after 1 January 2010.
For more information on the transition to Tools For Your Trade payment, contact your local Australian Apprenticeships Centre or visit
australianapprenticeships.gov.au
