To lessen the financial worry weighing on people from rising inflation, the Australian Government plans to increase the rates of the Centrelink Payments-this coming into effect on 20 March 2025. It is thus a significant step towards providing much-needed financial assistance for millions of Australians.
Let us know which payment categories have increased in this change, who will get how much benefit, and how the impact of this new policy will be felt.
Details of the increase in Centrelink payment
This change has been made under the semi–annual indexation process, in which social security payments are revised every six months to keep them balanced with inflation. This ensures that the purchasing power of these payments remains.
The table below details the increases in the different payment categories:
Payment Type | Previous Rate | Increase | New Rate |
---|---|---|---|
Age Pension – Single | $1,144.40 | $4.60 | $1,149.00 |
Age Pension – Couple (per person) | $862.60 | $3.50 | $866.10 |
JobSeeker Payment – Single | $786.80 | $3.10 | $789.90 |
Parenting Payment – Single | $1,026.30 | $4.00 | $1,030.30 |
Youth Allowance – Living at home | $459.80 | $17.30 | $477.10 |
Youth Allowance – Living away from home | $646.00 | $24.30 | $670.30 |
Austudy – Single, no children | $845.80 | $0.00 | $845.80 |
Carer Allowance | $153.50 | $5.80 | $159.30 |
(Note: All amounts are in Australian dollars and reflect fortnightly (every two weeks) payments.)

Key Highlights
- Age Pension:
- Single pensioners will receive an extra $4.60 per fortnight, taking their new total to $1,149.00.
- Couples will receive an overall increase of $7.00, taking their combined total to $1,732.20 per fortnight.
- JobSeeker Payment:
- Single recipients without children will receive an increase of $3.10 per fortnight, taking their new total to $789.90.
- Parenting Payment:
- Single parents will receive $4.00 more per fortnight, taking their new total to $1,030.30.
- Youth Allowance:
- Young people over 18 who live at home will get an increase of $17.30.
- Those living outside the home will get $24.30 more, taking their new amount to $670.30.
- Carer Allowance:
- This payment has increased by $5.80, taking the new payment to $159.30 per fortnight.
Additional Benefits
Aside from this increment, the Government has also come up with some more support measures.
- Commonwealth Rent Assistance:
- Households eligible will also receive extra assistance with rent costs of $44.13 to $87.92 each fortnight depending on the situation.
- Supplement for Schooling Costs:
- Families receiving Family Tax Benefit Part A will receive a supplement of $300 for each primary school student and $400 for each secondary school student. April 2025 will be the first time this payment will be made.
Income and Asset Test Adjustments
The government has also made changes to the Income and Asset Tests to help beneficiaries:
- Income Test
- The income-free area has been increased, allowing recipients to earn more income before their pension is cut. For example, single jobseekers without children can now earn up to $192 per fortnight.
- Asset Test
- The income and asset limits have been increased, allowing more people to qualify for these benefits. For example, a single homeowner pensioner can now receive a partial pension even if they own assets worth $697,000.
Digital Service Enhancements
To improve the user experience, the Government has simplified the integration between myGov and Centrelink online accounts. Switching between these services is now more convenient.
Conclusion
This new Centrelink payment increase is aimed at reducing the financial pressure caused by inflation. Although the amount of the increase may seem minor to some, it will help provide financial relief to millions of Australians.
FAQs
Q1: When will the new Centrelink payments come into effect?
A: These new payment rates will come into effect from 20 March 2025.
Q2: Do I need to apply for a payment increase?
A: No, this increase will automatically apply to all eligible recipients.
Q3: How can I see my new payment rate?
A: You can view your payment details by logging into your Centrelink online account through myGov.
Q4: Are these increases permanent?
A: This increase is part of the regular indexation process. It may be revised in the future according to inflation and economic conditions.
Q5: What should I do if I have not received the increased payment?
A: If you are eligible and still not receiving the increased amount, you should contact Centrelink to confirm your eligibility and details.