Millions of Australians receiving Centrelink benefits are poised to see a boost in their payments starting March 20, 2025. This adjustment, known as indexation, is part of the government’s commitment to align social security payments with the rising cost of living.
The forthcoming changes will impact a range of benefits, including the Age Pension, Disability Support Pension, JobSeeker, and more.
Understanding Indexation and Its Importance
Indexation is the process by which the government adjusts social security payments to reflect changes in the Consumer Price Index (CPI) and other economic indicators.
This ensures that the purchasing power of recipients is maintained despite inflation. In Australia, most social security payments are indexed biannually, in March and September.
The upcoming adjustment on March 20, 2025, aims to provide financial relief to those facing increased living expenses.
Payments Affected by the March 2025 Indexation
The March 2025 indexation will affect several Centrelink payments. Below is a summary of the key benefits and their anticipated adjustments:
| Payment Type | Previous Rate (per fortnight) | Expected Increase | New Rate (per fortnight) |
|---|---|---|---|
| Age Pension (Single) | $1,144.40 | $19.60 | $1,164.00 |
| Age Pension (Couple, combined) | $1,725.20 | $29.40 | $1,754.60 |
| JobSeeker Payment (Single) | $745.20 | $17.50 | $762.70 |
| Disability Support Pension (Single) | $1,144.40 | $19.60 | $1,164.00 |
| Parenting Payment (Single) | $927.40 | $21.80 | $949.20 |
| Commonwealth Rent Assistance (Maximum) | $193.62 | $5.80 | $199.42 |
Note: These figures are indicative and based on previous indexation trends. Official rates will be confirmed by Services Australia in early March 2025.
Key Factors Influencing the Increase
The exact increase in payments is determined by the higher of two measures: the Consumer Price Index (CPI) or the Pensioner and Beneficiary Living Cost Index (PBLCI).
This approach ensures that adjustments accurately reflect the real-world expenses faced by recipients. For instance, if the PBLCI rises more than the CPI, the former will be used to calculate the new payment rates.
How to Prepare for the Upcoming Changes
Recipients do not need to take any action to receive the increased payments; adjustments will be applied automatically. However, to ensure seamless processing, consider the following steps:
- Verify Personal Details: Ensure that your contact information and bank account details are current in your Centrelink online account.
- Stay Informed: Regularly check official communications from Services Australia for updates on payment rates and other relevant information.
- Budget Accordingly: Anticipate the changes in your income and adjust your budgeting plans to accommodate the new payment amounts.
Additional Support Measures
Beyond the scheduled indexation, the government offers various supplementary benefits to assist with specific expenses:
- Pension Supplement: Provides additional financial support to help with utility bills, phone, internet, and other essential services.
- Energy Supplement: A regular payment to assist with household energy costs, available to eligible income support recipients.
- Concession Cards: Offer discounts on medical services, prescription medications, and public transport. Cards include the Pensioner Concession Card and the Health Care Card.
FAQs
When will the new payment rates take effect?
The adjusted payment rates will commence on March 20, 2025, aligning with the biannual indexation schedule.
Do I need to apply for the increased payment?
No, the increase will be applied automatically to all eligible recipients. Ensure your personal details with Centrelink are up to date to avoid any issues.
How are the new payment rates calculated?
Payment adjustments are based on the higher of the Consumer Price Index (CPI) or the Pensioner and Beneficiary Living Cost Index (PBLCI) to accurately reflect cost-of-living changes.
Which Centrelink payments are increasing in March 2025?
Payments like Age Pension, Disability Support Pension (DSP), Carer Payment, and JobSeeker are expected to rise due to cost-of-living adjustments.
How can I check my new payment rate?
You can check the updated payment amounts on the Services Australia website or through your myGov account.
How is 17.50 dollars curb the cost of living crisis a fortnight. This is absolutely disgusting. That’s not even enough to recharge a prepaid phone account for a month…? This is insulting and is another kick in the teeth by the Australian government for those already living well below the poverty line…. Disgusting. Demoralising.
Totally agree, I’m on jobseeker payment and been trying for ages now to try to go on disability payment as I have osteoarthritis, arthritis and osteoporosis in both hands, now it’s going to my toes, it’s taken away my independence, it’s getting harder to do just basic day to day chores, it’s driving me insane, I’m in constant pain every day, and they won’t give me the pension, it’s not the fact that I don’t want to work, it’s the fact of I can’t work properly anymore, because the pain is excruciating, I’ve been a hard worker most of my life, and it was never easy work ALWAYS HARD, since I was 10& a half driving a tractor picking up grapes ,the list goes on, we had a 15 acre block working everyday ,12 months of the year.Then worked on Prawn 🦐 Trawlers from 1993/ 2000….I turn 60 this year, All I want to do is try and get a small piece of land with me favourite animals and just live out the rest of what’s left of my life in peace and quite, with no drama’s,I think I’m owed that bit at least, …
Hi. I’m in the same boat as you. Except l have Lumbar and Cervical Spondylosis. A Degenerative Spinal Disease with no cure, and will progressively worsen as l age. I’ve had this already for about 20 years. I worked as an Aged Care Worker for years, probably not the best job choice considering my spinal issues, but l loved my job. I applied for a Disability Pension early January 2024 but was knocked back. I have asked for my case to be re-examined, that was in July of 2024. Haven’t heard anymore back from them. It’s a struggle to get out of bed some days, and my chronic pain never ends. Spondylosis has led to Chronic Bursitis in both hips with excruciating sharp pain that reduces my capacity to walk. Centrelink and the government have proven they don’t care about the suffering of people. After working and paying taxes for 50 years, you’d think we deserve a little help now that we need it the most. Sorry to read about your predicament, and l hope your claim will be successful.
I have the same conditions and arthritis in my hands…severe rotator cuff injury and I was told to apply for disability (centrelink staff). I applied and gave them everything they asked for and I got knocked back straight away. Now they’re making me look for suitable work. I worked 45 years in aged care and disability support. I can’t even take care of myself properly and they want me to go back to it at almost 61 years old. I haven’t been able to work for 2 years now because of the debilitating pain. They seem to want to squeeze every last bit out of you until you drop on the floor and can’t move.
Hi Vicky,
If you haven’t already done so I would go in and speak to someone. My young adult daughter has Autism and needs me to be at home with her. My initial application was rejected, but I went in and spoke to a woman who was very helpful and my second application was accepted. The questions they ask can be tricky to answer.
Best of luck to you.
Sorry Vicky, I was meant to add that I applied for the carer pension. Sometimes it takes more than one try.
Hi! Vicki,I can see why they knocked you back.I had bulging disks and pinched syatica down both sides of my legs,peripheral nerve damage but also muscular atrophy in my right leg( muscle wastage and weakness.I got knocked back.I tried over 10 years to get it 3 times but once I had another condition that affected me it was approved.Its not easy.
No one is owed anything in life other than what they have earnt. Think about that.
In the meantime $200 billion dollars yearly is given to high income earners. Here are a few of the handouts GHC $23b.
Super concession $51b. Neg. gearing $6b. Whether you like it or not it is all’social welfare with different names attached
So the taxes we pay to the government to do whatever see fit to do with, without our say (the government for the people by the people) huh. Government mp’s look after themselves, rort the system, use tax payer money to do what they want, etc and then pick on the weak and vulnerable to pay the price. Look how many com cars are waiting out side parliament to take single mp’s to the airport to fly 1st class home after a sitting or using com cars to drive kids to school even a 14 hour drive to winery for a day out? WTF! Who pays for all this? Hard working Aussies! They retire with full benefits and more when they want, we have to wait till 67.5 years old even though our bodies are broken down for having worked so hard all our lives. You Marilyn may have been born to these cretins and never worked a day in your life
.
I was with you, until that very last part. You are not owed anything.
You are not the only one on benefits. Be grateful for small mercy’s.
I would love to see the politicians try to live on jobseeker payment. By the time I pay my share of the rent and bills, I don’t have much left for groceries,
No that feeling very fortnight,🤔😔🥺🤯🤮
I am with you l would love to see them suffer like that only your amount they would not last 3 weeks when rent is due,rego,house and contents insurance, putting petrol in the car and all bills end fortnightly food shop by the time they pay for all of it in 1 week they will have $000 money left and there are school fees, uniforms for the kids and shoes for that matter and we talking more than 1 on more kids involved 🇦🇺
Agrree next thing they will give themselves a payrise and we get didly squit.
Jobseeker payment was never designed to be an income replacement. I understand people have different circumstances and why they need to be on it, but if it was enough to live on, no one would want to work.
Politicians make the rules don’t live by them they live in a fantasy world
They should monitor inspections all businesses, they are responsible for inflation prices going up at different level? In the same product LABOR IS USLESS.
Same with ⛽️ fuels all diferent prices up tu 40 cent different, 🙈 when they fix prices 😑 for everyone.
It’s not much but it’s more than we ever got under Coalition government.
Labor have a massive clean up job to do & I’m grateful for 17.50 extra.
They do need a payment for older folks who can’t work and aren’t able to get any other type of payment. Jobseeker doesn’t fit for us
People are suppose to be so excited about a few dollars more? INSULTING. They are making out that they have been applying this ‘indexation’ all the time and that is totally untrue, for years all the indexation was was $1.00 per year! That is why the Jobseeker welfare money is way way under what it should be – Because none of them put up the Newstart Jobseeker Welfare money, they are lying. Or the indexation was $1.00 a year for even 15 years, ANYONE ON JOBSEEKER [NEWSTART] WELFARE MONEY SHOULD BE ABLE TO GET THE AGED PENSION AT 60 YEAR OF AGE, IT IS ABUSE TO EXPECT THE WORST OFF AUSTRALIAN SENIORS TO HAVE TO GET THIS PATHETIC JOBSEEKER. HOW DEMEENING TO BE REFERRED TO AS A JOBSEEKER AT 60 AND OVER! ANYONE 60 AND OVER WHO IS THE WORST OFF OR HAS SERIOUS HEALTH PROBLEMS SHOULD BE ABLE TO GET THE AGED PENSION, THAT IS WHAT IT IS FOR, THE WORST OFF SENIORS.
Yet politicians can access their super after 8 years.
Some people are so ungrateful and what about the people who have nothing the ones who don’t even get any sort of income from the government and single parents who should be getting more
Thank God I’m living in a great country like Australia I pray for the ones who are worse off than myself
🚨QUIT THE ROT…🚨.SACK THE LOTT⚠️ 🧨❌ GREENS
❌LIBERAL
❌LABOUR.