The Australian Government has officially confirmed an increase to the Centrelink Carer Allowance 2025, offering more financial support to carers providing daily assistance to people with disabilities, medical conditions, or who are elderly. This boost aims to help ease the burden of living costs and reinforce recognition of the critical role carers play in society. With the increase confirmed, current and prospective recipients need to understand the new payment rates, eligibility criteria, and when changes take effect.
Carer Allowance Increase in 2025
| Item | Details |
|---|---|
| Allowance Type | Centrelink Carer Allowance |
| What Changed | Increase in fortnightly payment rates |
| New Rate | $153.50 per fortnight from January 2025 |
| Previous Rate | $144.80 per fortnight (2024 rate) |
| Who Is Eligible | Carers providing daily care for someone with a disability, medical condition, or frailty due to age |
| Asset/Income Test | None for Carer Allowance (but applies for Carer Payment) |
| Effective Date | January 1, 2025 |
| Governing Body | Services Australia / Centrelink |
| Official Link | Services Australia |
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Primary Keyword: Centrelink Carer Allowance 2025
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Secondary Keyword: increase confirmed
Centrelink Carer Allowance 2025: What the Increase Means
The Centrelink Carer Allowance 2025 increase means eligible carers will now receive $153.50 per fortnight, up from the 2024 rate of $144.80. This adjustment reflects indexation tied to inflation and cost of living pressures and is part of a broader government effort to support vulnerable Australians.
The increase was confirmed by Services Australia and will be automatically applied to eligible recipients’ accounts beginning January 1, 2025. Carers do not need to reapply or submit additional paperwork to receive the adjusted amount, provided their eligibility remains unchanged.
This payment is designed to assist with the day-to-day costs of caring and is not income-tested, making it accessible to many part-time or full-time working carers who are not on the Carer Payment.
Who Can Receive the Carer Allowance
To qualify for the Carer Allowance in 2025, you must:
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Provide daily care and attention to someone with a permanent medical condition, disability, or age-related frailty
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Live in the same home or nearby
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Be caring for someone who meets the criteria under the Adult Disability Assessment Tool (ADAT) or Child Disability Assessment Tool (CDAT)
You do not need to meet income or asset thresholds for the Carer Allowance. However, the person receiving care must be assessed as needing help with daily living activities on an ongoing basis.
Carers may also receive the Carer Supplement annually, in addition to the fortnightly allowance.
Payment Schedule and Indexation
The increase confirmed for 2025 will apply from the first full fortnightly cycle in January. Carers will continue to receive payments every two weeks, directly into their nominated bank account.
This annual adjustment typically happens every January and July, depending on inflation and budget updates. The next review is expected in July 2025, but the current increase is locked in until then.
Payments are automatically indexed, so carers do not need to take any action unless their circumstances change or a review is requested.
How to Apply or Update Information
If you’re not currently receiving the Carer Allowance but believe you qualify:
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Apply through myGov linked to Centrelink
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Provide supporting documents such as medical assessments or care need reports
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Complete an Adult or Child Disability Assessment
If your caring situation changes—such as a change in living arrangements or care hours—you must notify Services Australia within 14 days to maintain compliance and avoid overpayments.
Frequently Asked Questions
Is the Centrelink Carer Allowance 2025 increase automatic?
Yes. If you’re already receiving the allowance and remain eligible, the increase will be applied without the need for reapplication.
Can I get both Carer Allowance and Carer Payment?
Yes, if you meet both sets of eligibility criteria. Carer Allowance is not income-tested, but Carer Payment is.
What if I stop providing daily care?
You must report this change within 14 days. Continued payments after care ends could lead to Centrelink debt recovery.
Does this allowance affect other Centrelink benefits?
Carer Allowance is not counted as taxable income and usually does not affect other benefits like Family Tax Benefit.
What’s the difference between Carer Allowance and Carer Supplement?
Carer Allowance is paid fortnightly. The Carer Supplement is an annual lump sum paid to those who receive the Allowance or Payment during the financial year.
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