More than five million Australians on social security payments are expected to see a boost as a result of the most recent indexation.
From Thursday, a range of rates, thresholds and limits across the system will see an increase due to the change.
Pensioners will see maximum rates increasing by $36.80 to $1,237.70 a fortnight for single Australians and $55.60 to $1,866 for a couple combined.
The rates are now 25 per cent higher than they were when Labor came to government, according to Minister for Social Services Tanya Plibersek.
The maximum rate of JobSeeker Payment for a single recipient without children will rise by $16.20 to $833.70 per fortnight, with recipients now receiving more than $4,700 extra per year compared to 2022.
Parenting Payment recipients will also benefit, with maximum rates increasing by $20.90 to $1,087.20 per fortnight for singles and $14.80 to $763 each per fortnight for partnered recipients.
Nearly one million renters will also benefit from higher rates of Commonwealth Rent Assistance and maximum rates have increased by around 53 per cent since 2022.
‘From September 20, an extra $4billion of cost-of-living relief will begin to flow to over 5.3 million Australians’, Plibersek said.
More than 5.3 million Australians on social security payments are expected to see a boost as a result of the most recent indexation (file image)
From September 20, an extra $4billion of cost-of-living relief will begin to flow to over 5.3 million Australians, according to Minister for Social Services Tanya Plibersek
‘Whether it’s paying the rent, putting food on the table or covering everyday bills, this extra support will help Australians on income support make ends meet.
‘We’ll continue to make sure the system is there to support those who need it most, ensuring that everyone can make ends meet and no one gets left behind.’
Alongside the indexation increases, the Albanese government has accepted the Australian Government Actuary (AGA) recommendation to lift social security deeming rates.
Effective from 20 September, the deeming rate will be updated to 1.75 per cent for financial assets up to $66,800 for singles.
The couple combined rate will be changed to $110,600, with a rate of 3.75 per cent for any financial assets above the threshold.
A full list of payment rates and thresholds can be found on the Department of Social Services website.
