In the coming weeks, millions of Australians will see an increase in their Centrelink payments, including pensions and various support payments.
These changes are part of the latest updates from Services Australia, set to take effect in March.
Along with the payment increases, there will be shifts in compliance regulations for job seekers and more flexibility for carers regarding their work hours.
Centrelink Payment Increase
Starting from March 20, more than five million Australians will experience an increase in their income support payments. This change is part of the regular indexation adjustments, which occur twice a year, in March and September.
Affected Payments
Several important payments will be impacted by this increase, including:
- Age Pension
- JobSeeker
- Disability Support Pension
- Carer Payment
- Commonwealth Rent Assistance
- Parenting Payment Single
- ABSTUDY
The new payment amounts will be determined based on the Consumer Price Index (CPI), with the exact figures to be released next month. The increases are intended to keep up with inflation and rising costs of living.
Estimated Increases
- Age Pension: The maximum rate for singles will rise by $4.52 to $1,148.92 per fortnight (including supplements). Couples will see an increase of $6.84, bringing their fortnightly rate to $1,732.02.
- Income and Asset Test Limits: The limits for the Age Pension income and asset tests are also expected to increase on March 20, as they are linked to the value of payment rates.
| Payment Type | Current Rate | New Rate (From March 20) |
|---|---|---|
| Age Pension (Singles) | $1,144.40 | $1,148.92 |
| Age Pension (Couples) | $1,725.18 | $1,732.02 |
JobSeeker Compliance Changes
Job seekers will see changes to compliance regulations from March 2024, aimed at offering more leniency and support.
Key Updates for Job Seekers:
- New Workforce Australia or Disability Employment Services participants will not face compliance penalties if they miss requirements for the first time.
- Job seekers who have worked 30 hours per fortnight for at least two months will also be exempt from payment suspension if they miss an appointment with their employment service provider.
Compliance Investigations:
Instead of automatically suspending payments, Services Australia staff will first investigate the situation. No financial penalties will be applied until the staff has reviewed the compliance issue in the “penalty zone.”
“Our staff will investigate all compliance actions in the ‘penalty zone’ before a financial penalty can be applied,” Services Australia stated.
Carer Payment Work Changes
Starting March 20, carers will benefit from more flexible working hours without affecting their payments.
New Rules for Carers:
- 100 hours in a 4-week period: Carers can work up to 100 hours every four weeks, significantly higher than the current limit of 25 hours per week.
- No Reporting for Non-Work Time: You won’t need to report study, training, volunteering, or travel hours.
- Respite Days: If carers work more than 100 hours, they can use respite days to maintain their payment eligibility.
Reporting:
Carers will still be required to report their work hours every fortnight. However, non-work-related activities, such as study or volunteering, will no longer need to be documented.
March brings several significant changes for Centrelink recipients across Australia. With increases to Age Pension and other payments, updated JobSeeker compliance measures, and more flexible work hours for carers, the changes are designed to better support Australians during challenging times.
Whether you’re a pensioner, job seeker, or carer, it’s important to stay informed about how these adjustments may impact your financial support and compliance responsibilities.
FAQs
When will the payment increases take effect?
The changes to Centrelink payments will begin on March 20.
How much will the Age Pension increase by?
The maximum Age Pension for singles will rise by $4.52 to $1,148.92, while couples will see a $6.84 increase to $1,732.02.
What changes are happening with JobSeeker compliance?
Job seekers who are newly registered with Workforce Australia or Disability Employment Services will not face penalties for the first missed requirement. Additionally, those who work 30 hours per fortnight for two months will be exempt from compliance penalties if they miss an appointment.