Starting 30 September 2025, millions of Australians receiving Centrelink payments will see a welcome increase in their fortnightly income. The government has confirmed a new round of indexation that adjusts key welfare payments to match the rising cost of living.
Whether you’re receiving the Age Pension, JobSeeker, Youth Allowance, or other benefits, this boost is meant to help you stay afloat as inflation continues to squeeze household budgets. Here’s everything you need to know.
Overview
Centrelink, operated by Services Australia, provides regular financial support to those who qualify based on age, income, assets, or personal circumstances. These payments are reviewed and adjusted twice a year—in March and September—to ensure recipients can keep up with the cost of living.
From 30 September 2025, new increases will officially kick in. This includes boosts to the Age Pension, JobSeeker, Parenting Payment, Youth Allowance, ABSTUDY Living Allowance, and Rent Assistance. These changes are part of a broader commitment to reduce financial pressure on low-income individuals and families.
Purpose
Let’s face it—prices aren’t what they used to be. Whether it’s groceries, electricity, rent, or healthcare, the cost of basic living continues to climb. That’s where Centrelink indexation comes into play. It’s designed to automatically increase welfare payments based on inflation data, so those who rely on these payments aren’t left behind.
Think of it like adjusting your thermostat—when things heat up (like living expenses), Centrelink makes sure the financial temperature stays manageable.
Payments
Here’s a detailed breakdown of the confirmed payment increases starting 30 September 2025:
| Benefit Type | Increase (Fortnight) | New Total Payment |
|---|---|---|
| Age Pension (Single) | $29.70 | $1178.70 |
| Age Pension (Partnered – each) | $22.40 | $888.50 |
| Transitional Rate (Single) | $14.90 | Varies |
| Transitional Rate (Partnered) | $12.00 | Varies |
| JobSeeker (Single, 22+) | $12.50 | $793.60 |
| Youth Allowance | $16.20 | $1026.70 |
| Parenting Payment (Single) | $16.20 | Varies |
| Parenting Payment (Partnered) | $11.40 | Varies |
| ABSTUDY Living Allowance | $11.40–$13.40 | Based on family situation |
| Rent Assistance | $2.27–$4.48 | Max rate depends on claim |
Even though the changes may look small per payment, they add up over the year. These boosts aim to cover basic living expenses while protecting recipients from falling further behind due to inflation.
Age Pension
The Age Pension remains one of the most crucial supports for retirees. From 30 September 2025, single pensioners will receive $1178.70 per fortnight—a $29.70 increase. For couples, each partner will receive $888.50, up by $22.40 per fortnight.
If you’re already receiving Age Pension and meet the income and asset tests, this boost will be automatically added to your payment. No new application is needed.
Job Seeker
Australians receiving JobSeeker will also see a decent rise. If you’re 22 or older and single with no dependents, you’ll get an extra $12.50, bringing your total to $793.60 per fortnight. This varies depending on your living situation and number of dependents.
This is particularly important as unemployment support remains a lifeline for thousands navigating job loss or unstable work conditions.
Youth
The Youth Allowance is getting one of the bigger increases. Recipients will get a $16.20 boost, lifting their payments to $1026.70 per fortnight. Whether you’re studying full-time or in between jobs, this helps cover education, housing, and daily costs.
The ABSTUDY Living Allowance, available to Aboriginal and Torres Strait Islander students, will increase by $11.40 to $13.40 depending on your family and living situation.
Families
Parenting Payment recipients aren’t left out either. Single parents will receive an extra $16.20 per fortnight, while partnered parents will get a $11.40 boost. Older single parents—those past the age pension age—will receive an even higher increase of $17.
These increases help ease the burden for families juggling rising costs while raising children, often on tight budgets.
Rent
Let’s not forget rent. The maximum Rent Assistance will go up by $2.27 to $4.48 per fortnight. The exact amount depends on whether you’re single, partnered, or have dependent children. While it’s not massive, it’s still a necessary adjustment in today’s rising rental market.
With the confirmed Centrelink payment hikes taking effect from 30 September 2025, eligible Australians will see more money land in their bank accounts every fortnight. These boosts are part of the government’s ongoing commitment to fair indexation and economic support. Whether you’re a pensioner, a jobseeker, a student, or a parent, this increase means better financial resilience when it’s needed most.
FAQs
When will Centrelink payments increase?
The payments increase from 30 September 2025.
How much is the new Age Pension for singles?
$1178.70 per fortnight after the $29.70 boost.
Will I need to reapply for higher payments?
No, current recipients will receive the increase automatically.
Is JobSeeker getting a boost too?
Yes, up to $12.50 increase depending on your situation.
What’s the new rate for partnered pensioners?
Each partner will receive $888.50 per fortnight.
