From September 20, 2025, more than five million Australians currently receiving Centrelink payments are set to experience a significant increase to their payments. These changes also coincide with important changes to pensions meant to help with the current cost of living, as well as the state of the economy. The changes assume that a single recipient of the Age Pensions will now receive a maximum payment of 1,178.70, an increase of 29.70 every fortnight, while couples receiving the Age Pensions will receive an increase of 44.80, bringing their total payment to 1,777 every fortnight. All of these changes include the pension supplements, which will be added as well as the account for the Energy Supplement Guarantee, in which no application is required.
Who is Juno the Cash Boost For?
The Juno Cash Boost can be easily identified with a wide range of recipients, including 2.6 million age pensioners, recipients of Disability Support Pension, Carer Payments, and Job Seeker, as well as Parenting Payments and ABSTUDY. For instance, recipients of Job Seeker payments tend to be over the age of 22 and stand to gain $12.50 more every fortnight. Single recipients of Parenting Payments will gain $16.20 more, while recipients who are partnered will gain $11.40. These payments also aim to reach out to these vulnerable populations with the most financial stress.
Summary Table of Key Changes for Pensioners and Recipients
| Change | Detail | Impact |
|---|---|---|
| Age Pension increase | $29.70/fortnight single, $44.80 couple | Higher fortnightly income |
| JobSeeker increase | $12.50/fortnight for singles | Increased support for job seekers |
| Deeming rates increase | From 0.25% to 0.75% (low), 2.25% to 2.75% (high) | Possible reduction due to higher deemed income |
| Income threshold increase | $2,575 for singles (partial pension) | More eligibility, higher payments |
| Asset threshold increase | $10,000+ for singles & couples | Extended eligibility |
Alterations to Deeming Rates Affect Payments
Although the cash boost is a positive increase, it still occurs at the same time with the changes to deeming rates, which are the government’s financially assumed return rates on financial assets such as a bank account or share which have not been changed since the year 2020. For singles with assets up to 64,200 and couples with assets up to 106,200 combined, the low deeming rate will increase from 0.25% to 0.75%. For assets over these thresholds, the rate increases from 2.25% to 2.75%. Some of the pension recipients may have to face changes in the entitlement of their pension due to the increased deemed income, since deeming rates affect the income test on pensions.
Altered Income and Asset Thresholds
Alongside the payment increases and changes in the deeming rate, the income and asset limits that have to be reached in order to receive a full or partial Age Pension have also increased. For single pensioners, the income threshold for receiving a partial pension has increased by 2,575 to 31,794 per year, while asset thresholds for homeowners have been raised by 10,000 for single and 15,000 for couples. With these variations, more and more Australians will be able to stay eligible for pension support or receive increased payments as their financial situation changes.
What This Means for Pensioners
There are higher payment rates, which give pensioners a net benefit. However, those with higher financial assets may be impacted because of higher deemed income, lowering the pension portion. It is the responsibility of the recipients to check their Centrelink account or contact Services Australia to see how these changes apply to their personal circumstances. There is no effort required from the recipients, because changes will be made automatically to the pension payments on September 20, 2025.
FAQs
Q1. Should I apply for the Centrelink payment increase?
There is no need for an application, as the payments will be automatically increased from September 20, 2025, for those who are eligible.
Q2. What impact do changes to deeming rates have on my pension?
If your pension has income from other sources, higher deemed rates can lower the pension because the imposed rates increase.
Q3. Are there any other recipients who stand to benefit from the changes apart from age pensioners?
All other recipients on the JobSeeker program, the Disability Support Pension, the Carer Payment, the Parenting Payment, and ABSTUDY also get an increase in their payments.
