Yahoo Finance Centrelink cash boost coming for millions of Aussies in weeks
Payments, income thresholds and asset limits will change on July 1.
Centrelink recipients will see a small lift in their payments in a few weeks. The payments will go through their quarterly indexation to make sure they're keeping up with inflation and this will affect around 2.4 million Aussies.
But many have told Yahoo Finance they are constantly stuck in a loop where their bills or essentials rise in price not long after their Centrelink payments go up. Paul said it's a never-ending cycle where they don't actually end up better off.
"I'm currently receiving the disability pension and it's true, every time we get an increase in the pension, before we even receive it, housing sends you a letter stating rent will be increased by $15 per fortnight but it gets better too then they state your water usage is also increasing by $7," he explained to Yahoo Finance.
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The quarterly indexation changes are tied to the Consumer Price Index (CPI), which recently went up higher than expected.
The most recent figures showed inflation had risen by 3.6 per cent in the 12 months to the March 2024 quarter, with the biggest increases in tertiary and secondary education (6.5 per cent and 6.1 per cent respectively), medical and hospital services (2.3 per cent), and rents (2.1 per cent).
Which Centrelink payments are going up and how much am I getting?
Some Centrelink payments will be indexed on July 1 and the following payments have been earmarked to be boosted to keep pace with inflation:
Family Tax Benefit (both Parts A and B)
The Multiple Birth Allowance
Newborn Supplement
Stillborn Baby Payment
Essential Medical Equipment Payment
For parents on the Family Tax Benefit Part A, their maximum fortnightly payments will go up by $8.68 to $222.04 if their children are under 13.
If they're over 13, then the maximum payment will rise by $11.34 to $288.82.
For families receiving Family Tax Benefit Part B, the maximum rate of payment for a family with the youngest child under five will increase by $7.42 to $188.86 a fortnight. For families with the youngest child aged five or over, the increase will be $5.18 to a maximum of $131.74 a fortnight.
The end of year supplements for Family Tax Benefit Part A and Family Tax Benefit Part B will increase by $36.50 to $916.15 and $18.25 to $448.95 respectively.
The full list of payment changes can be found here.
Asset limits and income thresholds will also change
Those who aren't on the payments mentioned above will still get some relief when indexation kicks in next month.
Income eligibility requirements will be expanded for people on the Parenting Payment Single, the Age Pension, Disability Support Pension, and Carer Payment.
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Income thresholds will also be updated for people on the Parental Leave Pay system.
Assets limits for those on the Jobseeker Payment, Special Benefit, ABSTUDY, Austudy, Youth Allowance, Parenting Payment will also be increased.
'Just about keeping it together'
Social Services Minister Amanda Rishworth said the indexation changes would deliver “timely boosts” for people receiving the payments and pensions.
“These increases will provide a direct boost to fortnightly payments for families,” she said.
But people on Centrelink payments have revealed that the increases in the past haven't been enough.
"Both my partner and I are on Centrelink whilst still trying to get a job and provide for our kids," one recipient explained to Yahoo Finance. "Living is so hard, to pay for everything we are living with my partner's parents just so that we can survive."
Another added: "I have no idea how decision-makers can sleep at night when the petty increases they make so much noise over are basically not enabling any improvement in quality of life."
"The cost of living is ridiculous and all we eat is noodles," a third explained. "The government needs to raise payments for the carers, single parents and Jobseekers. We are struggling and just about keeping it together."
- with NCA Newswire
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