Centrelink payments for more than five million people will be indexed on September 20.(Source: Getty)
Centrelink payments for millions of Australians are just one week away from getting a small boost. These payments undergo changes twice a year, where they are indexed against inflation to ensure recipients can keep up with the cost of living.
On September 20, those receiving JobSeeker, ABSTUDY, Parenting Payment, Commonwealth Rent Assistance, the Disability Support Pension, Carer Payment, and the Age Pension will have more money in their accounts each fortnight. Social Services Minister Tanya Plibersek said this change would allow people to cover everyday costs like groceries and healthcare.
“The social security system must be grounded in fairness, which is why we adjust supports as the economy changes,” she said.
“We’ll continue to make sure the system is there to support those who need it most, ensuring that everyone can make ends meet and no one gets left behind.”
RELATED
Do you have a story? Contact stew.perrie@yahooinc.com
Age Pension
Recipients will see their maximum fortnightly payment go up to $1,178.70, an increase of $29.70. This takes into account the Pension Supplement and Energy Supplement.
Partnered pensions will see their maximum fortnightly payment increase to $888.50 each, an increase of $22.40.
JobSeeker
Rates will increase to $793.60 per fortnight, up $12.50, for singles aged 22 or over with no children.
The partnered JobSeeker rate will increase to $726.50 each per fortnight, up $11.40.
ABSTUDY
Rates will also increase to $793.60 per fortnight, up $12.50, for those aged 22 or over living at home or away from home.
Parenting Payment
The maximum fortnightly rates will increase to $1,039.70, up $16.20, including the supplement and energy supplement.
Partnered parents will see their rate increase to $734.30 a fortnight, up $11.40.
Youth Allowance
Rates will rise by more than $16, taking the payment for single people from $1,011.50 to $1,027.70 per fortnight
The income limit for this payment has also gone up by $27 to $1,910.84
Commonwealth Rent Assistance
You can see the full list of increases here.
Council on the Ageing (COTA) Australia CEO Patricia Sparrow welcomed the age pension increase and said it was one of the biggest lifts to the rate over recent years.
Story Continues
“The idea that all older Australians are wealthy is a myth. In reality, over one in four live in poverty. For those struggling with skyrocketing costs, an extra $29.70 a fortnight will bring real relief,” she said.
While the pension rate is going up, deeming rates will also be unfrozen for the first time this decade.
They have been stuck at 0.25 per cent and 2.25 per cent, respectively, since 2020 due to high inflation and the cost of living.
But they will be boosted to 0.75 and 2.75 per cent, respectively, on September 20.
You can read about how this might impact you here.
Age Pensioners will also see changes to their income and asset thresholds.
The cut-off income threshold to receive a part pension will increase to $2,575.40 for singles, up $59.40 per fortnight. The threshold for couples will increase to $3,934, up $89.60 per fortnight.
The cut-off asset threshold to receive a part pension will increase to $714,500 for single homeowners and $972,500 for single non-homeowners, both up $10,000.
For couples, the cut-off will increase to $1,074,000 for homeowners and $1,332,000 for non-homeowners, both up $15,000.
Singles with taxable incomes below $101,105 and couples with incomes below $161,768 may also be eligible for a Commonwealth Seniors Health Card from September 20.
Get the latest Yahoo Finance news – follow us on Facebook, LinkedIn and Instagram.