Families set to receive boost to payments from July 1 as indexation takes effect

Families set to receive boost to payments from July 1 as indexation takes effect
  • PublishedJune 3, 2024

More than 2 million Australians will benefit from the change.

More than 2 million Australians will get a boost to their government payments, as indexation takes effect from July 1.

Families and pensioners are set to the beneficiaries of the boost.

About 1.3 million people on family payments — including the Family Tax Benefit, Newborn Supplement and Multiple Birth Allowance — will see increases in their payments.

Almost one million Australians on the Age Pension, Disability Support Pension and Carer Payment will also benefit from increases to income and asset thresholds.

Deeming thresholds, or the percentage set by the federal government used by Centrelink to predict how much money is earned from super and investments, will also be indexed.

Paid Parental Leave will also increase with indexation, coinciding with the government’s promise to pay superannuation on Paid Parental Leave from 2025 and expand leave to 26 weeks by 2026.

It comes after the cost of living crisis was a major focus of last month’s Budget, which included a $7.8 billion commitment to cost-of-living relief, including a 10 per cent boost to Rent Assistance and paying superannuation on Paid Parental Leave.

The government is committed to helping Australians through the stresses of inflation and cost of living pressures, Minister for Social Services Amanda Rishworth said

“Indexation delivers timely boosts to people receiving family payments and pensions,” Rishworth said.

“These increases will provide a direct boost to fortnightly payments for families.”

Family boost

For families receiving Family Tax Benefit Part A, the maximum rate of payment for children under 13 years old will increase by $8.68 to $222.04 a fortnight. If children are aged 13 years old or over, the increase will be $11.34 to a maximum of $288.82 a fortnight.

For families receiving Family Tax Benefit Part B, the maximum rate of payment for a family with a youngest child aged under five years old will increase by $7.42 to $188.86 a fortnight. Families with a youngest child aged five years old or over will receive an increase of $5.18 to a maximum of $131.74 a fortnight.

The end of year supplements for Family Tax Benefit Part A and Family Tax Benefit Part B will increase by $36.50 to $916.15 and $18.25 to $448.95 respectively.

Those receiving the Multiple Birth Allowance, Newborn Supplement, Stillborn Baby Payment and Essential Medical Equipment Payment will also see their payments increased.

The complete list of payments increasing on 1 July 2024, including income and asset limits, can be found on the Department of Social Services website.

SOURCE: 7NEWS

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