Caring for an ageing parent, a partner with a disability or a family member with long term illness can be emotionally and financially demanding. For Brisbane resident Emily Rowe, who left her full time job to care for her father, every change to Centrelink’s carer support system matters. She said the upcoming 2025 increase gives her a small but meaningful lift at a time when daily expenses continue to grow.
The government has confirmed that new Carer Payment rates for 2025 will range from 785 to 855 depending on individual circumstances. The update is part of the annual review that adjusts payments to reflect inflation, living costs and the increasing demand for unpaid caregiving across Australia.
What Is Changing in 2025
The 2025 Carer Payment update includes several important adjustments that will affect carers from January onward.
• New fortnightly rates rising to between 785 and 855
• Revised income and asset thresholds to expand eligibility
• Updated assessment rules for carers providing part time employment support
• Automatic recalculation for current recipients with no need to reapply
• Additional assistance for carers supporting children with high dependency needs
• Faster processing timelines for new applicants using the upgraded digital portal
Real Life Carer Experiences
In Hobart, forty nine year old Daniel Kerr cares for his wife who lives with a degenerative condition. He said the new payment increase helps cover essential items like transport and medications that have become more expensive over the past year. He explained that even small increases can prevent carers from dipping into savings.
In Perth, thirty two year old single parent Leanne Hughes said she looks after her son who requires daily therapy. She said the new higher rate for carers of children with high dependency needs gives her room to maintain therapy appointments without worrying about missed work hours.
Government Explanation
Social Services Minister Helen Morley said the 2025 increase reflects the growing cost of caregiving and the essential role carers play in the health and disability system. She noted that the revised income rules also aim to support carers who need limited part time employment to remain financially stable.
Comparison Table Carer Payment 2024 vs 2025
| Feature | 2024 Rates and Rules | 2025 Rates and Rules |
|---|---|---|
| Fortnightly Rate | Approximately 750 to 820 | 785 to 855 depending on circumstances |
| Eligibility Thresholds | Older income and asset limits | Updated thresholds allow more carers to qualify |
| Child High Dependency Support | Limited additional support | Expanded assistance for high dependency cases |
| Application Processing | Standard timeframe | Quicker processing through digital updates |
| Employment Flexibility | Basic rules for part time work | Revised rules offering clearer pathways |
What Carers Should Know
Carers currently receiving payments will see their updated rate appear automatically from January. No reapplication is required unless personal circumstances have changed. New applicants should ensure medical forms and care requirement assessments are completed accurately, as these determine final eligibility.
Carers who work part time should review the updated income rules to avoid unexpected adjustments. Those caring for children with intensive needs should check updated rate categories because some may now qualify for a higher payment band. The government advises applicants to upload documentation early to avoid delays.
Questions and Answers
1. What will the new Carer Payment rate be in 2025
The new rate will range from 785 to 855 per fortnight depending on individual assessment.
2. Do current recipients need to reapply
No. Payments will be updated automatically.
3. Who qualifies for the new higher rate
Carers of children with high dependency needs and carers with intensive responsibilities may qualify.
4. Will income and asset limits change
Yes. Updated thresholds allow more carers to receive support.
5. Can carers still work part time
Yes. Revised rules outline how part time income affects payments.
6. How do new applicants apply
Applications can be submitted through the updated Centrelink digital portal.
7. Will processing times be faster
Yes. The new system aims to shorten approval times.
8. Does this increase affect other Centrelink payments
No. It does not reduce or replace other eligible benefits.
9. Is medical documentation required
Yes. Medical reports are essential for confirming care requirements.
10. Do carers of adults and children receive different rates
Yes. Rates depend on the level of care required and the person being cared for.
11. Are these payments taxable
No. The Carer Payment is not taxable.
12. Can I receive this payment if I live with the person I care for
Yes. Many carers live with the care recipient.
13. Do I need to report small gifts or allowances
Only income that counts toward thresholds needs to be reported.
14. Will Centrelink notify me when the new rate applies
Yes. Notices will be sent to existing recipients.
15. Can two carers receive the payment for one person
Generally no. Only one primary carer is eligible per care recipient.
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