Millions of Australians reliant on government support are set to receive a slight increase in their fortnightly payments, offering a small measure of relief against the rising cost of living.
The Department of Social Services has confirmed that welfare payments will be indexed by 0.7% from 20 September 2025, a rise triggered by the latest Consumer Price Index (CPI) data. This adjustment will affect over 4.7 million people across a range of support payments.
What the new rates mean for your wallet
The increase, while modest, will put a few extra dollars into the pockets of pensioners, job seekers, students, and carers. For a single person on the Age Pension, the maximum fortnightly payment will rise by $6.50, taking it to $1,086.50. For couples, the combined pension will increase by $9.80 to $1,638.40.
Those on the JobSeeker Allowance will see a smaller uplift. A single recipient with no children will receive an additional $3.10 per fortnight, bringing their payment to $639.10. Similarly, Youth Allowance and other student payments will also see proportional increases.
A muted response from advocates
While any increase is welcomed, economic and welfare advocates have been quick to label the 0.7% rise as insufficient. They argue that such a marginal adjustment fails to keep pace with the real-world expenses faced by the most vulnerable Australians, particularly soaring rental costs and energy bills.
The debate continues over whether the biannual indexation process is an adequate mechanism to ensure welfare payments provide a liveable income, or if a more substantial overhaul of the system is required.
