Media Release by The Hon Jenny Macklin MP

Indexation increases payments

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

More than 829,500 Australians receiving Youth Allowance (Other and Student), Austudy, ABSTUDY, Assistance for Isolated Children, Carer Allowance, and Youth Disability Support Pension will get an increase in their payments from 1 January 2009, as a result of indexation.

The increases are linked to the Consumer Price Index (CPI) of 4.5 per cent for the 12 months to June 2008. In addition, some asset and income limits will change.

The following rates and limits have been indexed:

  • Carer Allowance recipients will receive an extra $4.50 each fortnight to bring their rate of payment to $105.10 a fortnight
  • Students and young unemployed receiving Youth Allowance will receive increases of between $8.80 and $21.00 a fortnight
  • Students receiving Austudy payment will receive an increase of between $16.00 and $21.00 each fortnight
  • Young long term unemployed receiving Youth Allowance will receive increases of between $12.90 and $19.40 a fortnight
  • Single under 21 year olds receiving Disability Support Pension will receive an increase of $13.30 to $20.50 a fortnight
  • Personal income cut-offs for Youth Allowance and Austudy, will also 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 adjusted from 1 January 2009.

The amount of Pharmaceutical Allowance is indexed based on an increase to the CPI of 5.0 per cent for the 12 months to September 2008. Pharmaceutical Allowance will rise to $6.00 a fortnight for singles or each member of an illness separated couple, and $3.00 a fortnight each for a member of a couple.

Index Tables

Payment Rate, Threshold and Limits changes effective 1 January 2009

Summary of Changes – Pensions
Pension Disqualifying Income Limits – fortnightly amounts
Family Situation Previous Amount 1 Jan 2009 increase
Single $ 1,557.75 $ 1,558.25 $ 0.50 pf
Single + 1 child $ 1,582.35 $ 1,582.85 $ 0.50 pf
Couple (combined) $ 2,602.00 $ 2,602.50 $ 0.50 pf
Illness Separated couple (combined) $ 3,079.50 $ 3,080.50 $ 1.00 pf
*Disqualifying Income Limits include consideration for Pharmaceutical Allowance
Youth Disability Support Pension Basic Rates – Fortnightly Amounts
Single, under 18 at home $ 295.10 $ 308.40 $ 13.30 pf
independent $ 456.00 $ 476.50 $ 20.50 pf
Single, 18 – 20 at home $ 334.50 $ 349.50 $ 15.00 pf
independent $ 456.00 $ 476.50 $ 20.50 pf
Member of a Couple under 18 $ 456.00 $ 469.50 $ 13.50 pf
18 – 20 years $ 456.00 $ 469.50 $ 13.50 pf
Youth Disability Supplement $ 100.60 $ 105.10 $ 4.50 pf
Disability Support Pension Under 21 Disqualifying Income Limits
Single, under 18, at home, no child limits $ 890.25 $ 924.00 $ 33.75 pf
Single, under 18, independent, no child limits $ 1,292.50 $ 1,344.25 $ 51.75 pf
Single, 18 – 20, at home, no child limits $ 988.75 $ 1,026.75 $ 38.00 pf
Single, 18 – 20, independent, no child limits $ 1,292.50 $ 1,344.25 $ 51.75 pf
Couple, under 18 (combined) $ 2,534.50 $ 2,602.50 $ 68.00 pf
Couple, 18 – 20 (combined) $ 2,534.50 $ 2,602.50 $ 68.00 pf
Disability Support Pension Under 21 – Disqualifying Asset Limits
Homeowners
Single under 18, at home $ 372,500 $ 381,500 $ 9,000
Single under 18, independent $ 479,750 $ 493,500 $ 13,750
Single 18-20, at home $ 398,750 $ 408,750 $ 10,000
Single 18-20, independent $ 479,750 $ 493,500 $ 13,750
Couple under 18 (combined) $ 855,500 $ 873,500 $ 18,000
Couple 18-20 (combined) $ 855,500 $ 873,500 $ 18,000
Non-Homeowners
Single under 18, at home $ 497,000 $ 506,000 $ 9,000
Single under 18, independent $ 604,250 $ 618,000 $ 13,750
Single 18-20, at home $ 523,250 $ 533,250 $ 10,000
Single 18-20, independent $ 604,250 $ 618,000 $ 13,750
Couple under 18 (combined) $ 980,000 $ 998,000 $ 18,000
Couple 18-20 (combined) $ 980,000 $ 998,000 $ 18,000
Carer Payment – Special (Non Customer) Care Receivers Income and Asset Limits
Income Limit $ 88,663 $ 92,653 $ 3,990
Lower Asset Limit $ 547,000 $ 571,500 $ 24,500
Higher Asset Limit $ 812,750 $ 849,250 $ 36,500
Additional Child Amounts (Paid under some Overseas Agreements)
Child Aged Under 13 $ 100.10 $ 104.60 $ 4.50 pf
Child Aged 13 – 15 $ 139.50 $ 145.80 $ 6.30 pf
Payment to Unpartnered Parent $ 47.70 $ 49.80 $ 2.10 pf
(formerly Guardians Allowance)
Permissible Child Earnings Limits
Dependent Child Under 16 (pw) $ 165.60 $ 173.05 $ 7.45 pw
Dependent Child 16 – 21 (pa) $ 9,076.35 $ 9,484.80 $ 408.45 pa
Summary of Changes – Allowances
Allowance Rates (NSA, WA, PA, SA)
Single, 60 or over, after 9 months (PhA incl.) $ 491.80 $ 492.00 $ 0.20 pf
Income Test Cutoffs for NSA, WA, PA, SA
Family Situation
Single, 60 or over, after 9 months (PhA incl.) $ 913.00 $ 913.34 $ 0.34 pf
Youth Allowance Rates
Single, no children
– Under 18, at home $ 194.50 $ 203.30 $ 8.80 pf
– Under 18, away from home $ 355.40 $ 371.40 $ 16.00 pf
– 18 and over, away from home $ 355.40 $ 371.40 $ 16.00 pf
– 18 and over, at home $ 233.90 $ 244.40 $ 10.50 pf
Single, with children $ 465.60 $ 486.60 $ 21.00 pf
Partnered, no children $ 355.40 $ 371.40 $ 16.00 pf
Partnered, with children $ 390.20 $ 407.80 $ 17.60 pf
Special rate for long-term unemployed or migrant English students 21 years or over commencing full-time study:
– Single, living at home $ 287.20 $ 300.10 $ 12.90 pf
– Single, living away from home $ 431.70 $ 451.10 $ 19.40 pf
– Partnered, no children $ 390.20 $ 407.80 $ 17.60 pf
Austudy Payment Rates
Single $ 355.40 $ 371.40 $ 16.00 pf
Single, with children $ 465.60 $ 486.60 $ 21.00 pf
Partnered, with children $ 390.20 $ 407.80 $ 17.60 pf
Partnered, no children $ 355.40 $ 371.40 $ 16.00 pf
Special rate for long-term unemployed commencing full-time study:
– Single, living away from home $ 431.70 $ 451.10 $ 19.40 pf
– Partnered, no children $ 390.20 $ 407.80 $ 17.60 pf
Income Test for Austudy Payment
Family Situation
Single $ 841.67 $ 868.34 $ 26.67 pf
Single, with children $ 1,025.34 $ 1,060.34 $ 35.00 pf
Partnered, with children $ 899.67 $ 929.00 $ 29.33 pf
Partnered, no children $ 841.67 $ 868.34 $ 26.67 pf
Special rate for long-term unemployed commencing full-time study:
– Single, living away from home $ 968.84 $1,001.17 $ 32.33 pf
– Partnered, no children $ 899.67 $ 929.00 $ 29.33 pf
Personal Income Test for Youth Allowance
Family Situation
Single, under 18, at home
– students $ 573.50 $ 588.17 $ 14.67 pf
– unemployed $ 417.50 $ 432.17 $ 14.67 pf
Single, 18 and over, at home
– students $ 639.17 $ 656.67 $ 17.50 pf
– unemployed $ 483.17 $ 500.67 $ 17.50 pf
Single or Partnered, away from home
– students $ 841.67 $ 868.34 $ 26.67 pf
– unemployed $ 685.67 $ 712.34 $ 26.67 pf
Partnered, with dependents
– students $ 899.67 $ 929.00 $ 29.33 pf
– unemployed $ 743.67 $ 773.00 $ 29.33 pf
Single, with dependents
– students $ 1,025.34 $ 1,060.34 $ 35.00 pf
– unemployed $ 869.34 $ 904.34 $ 35.00 pf
Long-term unemployed 21 years or over commencing full-time study:
– Single, living at home $ 728.00 $ 749.50 $ 21.50 pf
– Single, living away from home $ 968.84 $1,001.17 $ 32.33 pf
– Partnered, no children $ 899.67 $ 929.00 $ 29.33 pf
Parental Income Test for Youth Allowance
Reduced payment if income exceeds $ 31,400.00 $ 32,800.00 $1,400.00 pa
Higher amounts exist if there are additional dependent children
Family Asset Test for Youth Allowance (Dependent)
No payment will be made if family’s assets exceed $ 547,000.00 $ 571,500.00 $ 24,500.00
Summary of Changes – Families
Double Orphan Pension Basic Rate
$ 50.40 $ 52.70 $ 2.30 pf
Summary of Changes – Misc
Mobility Allowance
Standard Rate – Single or couple $ 75.90 $ 79.30 $ 3.40 pf
Increased Rate – Single or couple $ 106.20 $ 111.00 $ 4.80 pf
Carer Allowance Basic Rate
Carer Allowance $ 100.60 $ 105.10 $ 4.50 pf
Pharmaceutical Allowance
Single $ 5.80 $ 6.00 $ 0.20 pf
Couple $ 2.90 $ 3.00 $ 0.10 pf
Illness Separated $ 5.80 $ 6.00 $ 0.20 pf

pa = Per annum
pq = Per quarter
pf = Per fortnight
pw = Per week