Indexation is set to increase by 6.1 per cent from January 1 next year for people receiving Youth Allowance, Austudy and carer payments.
The rate of Youth Allowance is set to increase between $19.10 and $41.40 a fortnight, and Austudy recipients will see an increase to their rate of between $32.40 and $41.40 a fortnight, depending on living arrangements and dependent children.
It’s the largest increase to the Youth Allowance payment since 1998.
Those under 21 without children receiving a disability support pension will receive payment increases of between $27.40 and $40.70 a fortnight, including the youth disability supplement.
Social Services Minister Amanda Rishworth said the indexation increase would help to lessen the strain of increasing living costs facing young Australians in particular.
“This will have a significant impact on the hip pockets of young people who are either studying, looking for work or receiving the disability support pension if they are under 21 and don’t have children,” Rishworth said.
“Income free areas for student income support recipients will also benefit from indexation, meaning they are able to earn more before their payment is impacted.”
Rates of ABSTUDY and assistance for isolated children will increase, as will mobility allowance, double orphan pension, carer allowance and pharmaceutical allowance.
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Other payments and thresholds, such as adult pensions, JobSeeker Payment and Parenting Payment are indexed at other times of the year, the government said in a release.
