Centrelink cash boost: Social security payments to increase for more than a million Australians

More than a million Australians will receive a boost to their Centrelink payments in the new year.

Youth Allowance, Austudy, ABSTUDY, Youth Disability Support Pension and Carer Allowance recipients will see more money in their bank account each fortnight as payments increase with a new round of indexation.

On Friday, Minister for Social Services Tanya Plibersek announced the changes to social security payment rates from 1 January 2026.

A single adult living away from home and receiving Youth Allowance with no dependents will see the maximum fortnightly payment rise to $684.20, an increase of $13.90.

Income thresholds for student payments will also increase, as well as the parental income threshold for Youth Allowance and ABSTUDY.

Around 680,000 people receiving the Carer Allowance will see their payments increase to $162.60 per fortnight, an increase of $3.30. This is in addition to Carer Supplement and other social security payments that carers may also be receiving.

“Thanks to indexation, more than one million Aussies balancing study or caring responsibilities will receive a boost to their payments,” Plibersek said.

“Social security recipients may also benefit from Labor’s tax cuts, increased rent assistance, cuts to student debt, free TAFE, cheaper medicines, more bulk billing and a whole range of other cost-of-living measures we’ve delivered since coming into government.

“We’ll continue to make sure our social security system is there to support those who need it most, ensuring that everyone can make ends meet and no one gets left behind.”

The complete list of payment rates being indexed on 1 January 2026 can found on the Department of Social Services website.