The rising cost of living has left many Australians looking for financial relief in 2025. Although the Cost of Living Payment was officially discontinued on June 30, 2023, the government has taken steps to ensure continued support for vulnerable groups by increasing various Centrelink welfare payments through its indexation policy.
Starting March 20, 2025, key welfare programs—including Age Pension, JobSeeker, Parenting Payment, and Family Tax Benefits—have been adjusted to better match inflation and keep pace with increasing household expenses. These increases are part of the government’s biannual effort to maintain the real value of income support payments.
Why Were Centrelink Payments Revised in 2025?
Centrelink payments are automatically revised in March and September each year based on national economic indicators. This process is known as indexation, and it ensures welfare payments rise in line with inflation, wages, and the cost of living.
Key factors influencing the 2025 increases include:
- Consumer Price Index (CPI): Tracks the price of essential goods and services like food, fuel, and healthcare.
- Pensioner and Beneficiary Living Cost Index (PBLCI): Measures cost-of-living changes specifically for welfare recipients.
- Average Weekly Earnings: Reflects wage trends across Australia.
By factoring in these indicators, the government ensures that income support doesn’t fall behind as the economy shifts.
What’s Changed: New Centrelink Payment Rates (From March 20, 2025)
Here’s a breakdown of the new fortnightly Centrelink payment rates and the recent increases:
| Payment Type | Previous Rate | Increase | New Rate | Who Qualifies |
|---|---|---|---|---|
| Age Pension (Single) | $1,144.40 | $4.60 | $1,149.00 | Australians 67+ who pass residency and income/asset tests |
| Age Pension (Couple, each) | $862.60 | $3.50 | $866.10 | Couples 67+ meeting joint eligibility |
| JobSeeker (Single, no kids) | $786.80 | $3.10 | $789.90 | Unemployed individuals aged 22+ actively seeking work |
| Parenting Payment (Single) | $1,026.30 | $4.00 | $1,030.30 | Single parents or primary carers of young children |
| Family Tax Benefit – Part A | Varies | Up to $7.90 | Varies | Families with dependent children (income & age-based) |
| Family Tax Benefit – Part B | Varies | Up to $5.40 | Varies | Single-income or single-parent households with children |
These updated payments aim to ease the financial burden of millions of Australians as they manage rising costs in rent, groceries, childcare, and daily essentials.
1. Age Pension Adjustments
Older Australians relying on the Age Pension will see a modest increase in their fortnightly payments. For single recipients, the new amount is $1,149.00, while each member of a couple now receives $866.10.
This additional support is crucial for covering increasing medical bills, energy expenses, and basic living needs in retirement.
2. JobSeeker Increase for the Unemployed
The JobSeeker Payment—designed for unemployed individuals actively searching for work—has also been slightly increased. Single recipients with no children now receive $789.90 per fortnight, up from $786.80.
Those with dependent children will also see an increase, with payments adjusted accordingly. The change may seem small, but it reflects the government’s attempt to provide consistent support amid economic strain.
3. Parenting Payment for Single and Partnered Carers
Single parents will now receive $1,030.30 per fortnight under the Parenting Payment, up from $1,026.30. This payment is available to those who are the principal carers of young children, with eligibility extending to some partnered parents as well.
This small rise aims to better support families with children under school age, especially as costs in food, childcare, and housing continue to rise.
4. Family Tax Benefit A and B Increases
Families receiving Family Tax Benefit Part A or B will notice modest increases:
- Part A has increased by up to $7.90 per child per fortnight
- Part B has increased by up to $5.40 per fortnight
These payments help cover essential expenses related to raising children, such as clothing, school supplies, and extracurricular activities.
Eligibility Requirements for Centrelink Payments in 2025
Each payment type has its own set of eligibility rules. However, general criteria include:
- Residency: Must be an Australian citizen, permanent resident, or hold an eligible visa
- Age: Payments such as Age Pension and JobSeeker have minimum age requirements
- Income and Assets: Benefits are reduced if your income or assets exceed the allowed limits
- Parental Responsibility: Parenting and family benefits require the presence of dependent children in your care
To check your personal eligibility, you can use the Centrelink Payment Finder tool available on the Services Australia website.
How to Apply for Centrelink Payments in 2025
If you’re not currently receiving payments but think you may qualify, follow these steps:
-
Create or Log in to MyGov Account
Connect your MyGov profile to Centrelink to manage your applications online. -
Use the Payment Finder Tool
Explore which benefits you may be eligible for based on your income, age, and circumstances. -
Submit Your Application Online
Complete the required forms and provide accurate personal and financial details. -
Provide Supporting Documents
These may include proof of identity, bank statements, medical reports, and employment history. -
Wait for Assessment
Most applications take 2 to 4 weeks to process. Make sure to check your MyGov messages for updates.
Other Financial Assistance Available in 2025
Alongside the Centrelink benefit increases, the government has introduced or extended several support measures:
- Energy Bill Relief: Eligible households may receive up to $500 in rebates to ease utility costs.
- Rent Assistance Boost: Low-income renters can access up to $600 in additional annual rent aid.
- Concession Cards: Pensioner Concession Cards and Health Care Cards offer discounts on medications, utilities, and public transport.
FAQs
Is the Cost of Living Payment still available in 2025?
No. The standalone Cost of Living Payment ended on June 30, 2023. However, other Centrelink payments have been increased to help Australians cope with inflation.
What are the new Age Pension rates in 2025?
As of March 20, 2025, single pensioners receive $1,149.00 per fortnight, and each member of a couple receives $866.10.
How much is the JobSeeker payment now?
For single recipients without children, the JobSeeker payment is $789.90 per fortnight.
Have Family Tax Benefits increased too?
Yes. Part A increased by up to $7.90 per child, and Part B increased by up to $5.40 per fortnight.
How can I apply for Centrelink benefits in 2025?
Apply online via your MyGov account connected to Centrelink. You’ll need to provide personal details and supporting documents.
What other help can I get from the government in 2025?
Aside from Centrelink payments, eligible citizens may receive energy bill rebates, rent assistance boosts, and concession card discounts.
How often are Centrelink payments reviewed?
Centrelink benefits are reviewed and indexed twice a year, in March and September, to reflect cost-of-living changes.
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Aanchal is a passionate writer with a keen interest in storytelling, content creation, and creative expression. She enjoys exploring diverse topics and crafting engaging narratives that captivate readers.
