What is the rental subsidy scheme?

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What is the rental subsidy scheme?

While post adjustment contains a housing component based on average rental cost, individual rents may vary considerably from the average.  ICSC has therefore established a rental subsidy scheme to cover situations where staff members are unable to find acceptable housing at or near the average level of rent taken into account in the post adjustment.  A key element of the rental subsidy scheme is the rental subsidy threshold, which is based on the average rent to income ratio prevailing at the duty station.  Generally speaking, staff members paying actual rents above the personal threshold are eligible for a subsidy. The information for calculating the rental subsidy threshold is obtained from housing survey questionnaires.  However, as the post adjustment is updated through place-to-place surveys, these higher rents are gradually incorporated into the post adjustment and staff members may therefore find that as the post adjustment goes up their rental subsidy may go down.  The principles underlying the rental subsidy scheme are the same for all duty stations.  However, the parameters of the scheme are different for Group I duty stations on the one hand and field duty stations on the other.