Social Security (Administration) Amendment (Repeal of Cashless Debit Card and Other Measures) 2022

# Social Security (Administration) Amendment (Repeal of Cashless Debit Card and Other Measures) Bill 2022 ## What it does This bill ends the Cashless Debit Card scheme, which restricted how welfare recipients could spend their money by quarantining a portion of their payments onto a card that couldn't be used for cash withdrawals or certain purchases. The changes happen in two stages: first, the government stops enrolling new people and closes existing accounts (Stage 1), then removes the legal framework entirely (Stage 2). ## Why it matters Welfare recipients will regain full control over how they spend their payments, without restrictions on cash withdrawals or merchant categories. The scheme, which was piloted in several Australian regions, has been controversial — supporters saw it as encouraging responsible spending, while critics argued it was paternalistic and didn't address root causes of disadvantage. ## Key details - **Two-stage rollout**: Stage 1 kicks in the day after the bill becomes law (or September 19, 2022, whichever is later), stopping new enrollments and closing accounts. Stage 2 (the full legal repeal) will happen on a date set by the government later, with a maximum 6-month window. - **Who's affected**: People already on the Cashless Debit Card will have their accounts closed; they'll transition to receiving standard welfare payments with no spending restrictions. - **Transition period**: The bill gives the government flexibility on timing for the complete repeal, likely to allow proper administrative transition.

🔒 Voting closed — this bill has been decided by parliament