Ministry of Social Development head of fraud Mike Smith said after the hearing the sentence on Dale should act as a deterrence against benefit fraud.
"Her actions were dishonest and deceitful - but we caught her, charged her and put her before the courts where she was today sentenced to home detention and community service,'' he said.
"It's important that taxpayers continue to have trust and confidence in the ministry, which is why we work hard to catch fraudsters like Dale.
"Benefit fraudsters do not get away with their offending and Dale is already paying back what she stole.''
The ministry administers more than $16 billion worth of income assistance to more than a million New Zealanders each year.
Fraud represents one-tenth of 1 per cent of this spend.