More than one million Australians will receive increased Centrelink payments starting January 1, 2026, as the federal government applies its latest round of indexation to help households manage the rising cost of living.
The changes primarily affect students, carers, and younger Australians, with boosts confirmed for Youth Allowance, Austudy, and the Carer Allowance. The adjustment is designed to keep social security payments in line with inflation and everyday expenses.
Under the new rates, a single adult on Youth Allowance living away from home will see their maximum overnight payment rise to $684.20, an increase of $13.90 per night.
For those on Austudy, payments will also be indexed to reflect current economic conditions, ensuring continued support for mature-age students and apprentices. Additionally, the income thresholds for student payments have been raised, meaning recipients can earn more from part-time work before their government benefits are reduced.
