More than a million Australians will receive a boost to their Centrelink payments from 1 January 2026, following indexation to keep social security payments in line with the cost of living.
Under the Albanese Labor Government, payments including Youth Allowance, Austudy, ABSTUDY, the Youth Disability Support Pension, and Carer Allowance will all increase.
Carers will benefit, with around 680,000 Australians receiving the Carer Allowance now receiving $162.60 per fortnight, up from $159.30. That’s an increase of nearly $700 per year. Carers may also continue to receive the Carer Supplement and other social security payments.
The Youth Disability Support Pension under 21 will rise. Independent recipients now receiving $839.80 per fortnight, and the Youth Disability Supplement increasing slightly to $162.60 per fortnight.
A single Youth Allowance recipient living away from home will now receive $677.20 per fortnight, up from $663.30. While single students living at home will see their payment rise to $418.90 per fortnight. Those studying with children will receive $854.20 per fortnight, an increase of $17.60.
Other payments, including the Mobility Allowance and Pharmaceutical Allowance, are also rising. For example, the standard Mobility Allowance rate will increase from $120.30 to $122.80 per fortnight. Also, the Pharmaceutical Allowance for singles rises from $6.80 to $7.00 per fortnight and partnered from $3.40 to $3.50. Pensioners who are also carers may see additional increases through Carer Allowance, Mobility Allowance, and other supplements.
Older Australians who are grandparent carers may benefit from small increases to Child Supplements. These are set to rise to $162 per fortnight for children under 13, and $225.40 for children aged 13–15.
Minister for Social Services Tanya Plibersek said the increases would ease financial pressures for Australians balancing study or caring responsibilities.
“Thanks to indexation, more than one million Aussies balancing study or caring responsibilities will receive a boost to their payments. We’ll continue to make sure our social security system supports those who need it most, ensuring everyone can make ends meet and no one gets left behind,” she said.
You can find the complete list of payments increasing on 1 January 2026 on the Department of Social Services website.
