Media Release by The Hon Jenny Macklin MP

Indexation increases payments to over 1.1 million Australians

Joint Media Release with:

  • The Hon Julia Gillard MP, Deputy Prime Minister - Minister for Education - Minister for Employment and Workplace Relations - Minister for Social Inclusion

From 1 January 2010, over 1.1 million Australians who receive Carer Allowance, Youth Allowance and Disability Support Pension (under 21 without children) will receive increases in their payments as a result of indexation. Some income and assets limits will also change.

The increases are linked to the Consumer Price index (CPI) rise of 1.5 per cent for the 12 months to June 2009.

The following rates and limits have been indexed:

  • Carer Allowance recipients will receive an extra $1.60 per fortnight to bring their rate to $106.70 per fortnight
  • Students and young unemployed people receiving Youth Allowance will get increases between $3.00 and $7.30 per fortnight
  • Students receiving Austudy will get an increase of between $5.60 and $7.30 per fortnight
  • Young long-term unemployed people commencing full time study and receiving Youth Allowance will get increases of up to $6.80 per fortnight
  • Single under 21 year olds receiving Disability Support Pensions will get increases of between $4.60 to $7.20 per fortnight, while members of a couple will receive an increase of $4.10 per fortnight
  • Personal income cut-offs for Youth Allowance and Austudy will increase in line with the CPI
  • Other payments such as Mobility Allowance and Double Orphan Pension will also increase in line with the CPI. Additional Child Amounts (Paid under some Overseas Agreements) and Permissible Child Earnings Limits are also adjusted from 1 January 2010.

The rate of Pharmaceutical Allowance will remain at $6.00 per fortnight for eligible single recipients, and $3.00 per fortnight for each eligible member of a couple, as the CPI increase was not high enough to increase the Pharmaceutical Allowance.

From 20 September 2009, recipients of most adult pensions had the value of their Pharmaceutical Allowance payment included in the new Pension Supplement, as part of the Secure and Sustainable Pensions reforms introduced at that date.

For full detail of payments and limits please visit Index Tables – Summary of Changes 1 January 2010