Wren
Australians on Centrelink are about to receive another indexed payment rise, with pensioners and carers among the biggest groups set to benefit from the 20 March 2026 update.
The federal government says more than 5 million recipients will get more money, including over 2.5 million Age Pensioners, as rates and eligibility thresholds move higher. The increase also applies to Carer Payment, which uses the pension rate structure.
For single recipients on the full pension rate, the payment will rise by $22.20 per fortnight to $1,200.90. For partnered recipients, the new rate will be $905.20 each per fortnight, up $16.70 each.
These totals include the basic rate, Pension Supplement and Energy Supplement. Because Carer Payment is paid at pension rates, the same updated maximum totals apply to eligible carers on that payment.
What Is Changing From 20 March 2026?
The biggest change is the rise in fortnightly pension-style payments. For a single resident, the total pension rate increases from $1,178.70 to $1,200.90. For a partnered resident, the total rises from $888.50 to $905.20 each.
The basic pension rate itself increases to $1,100.30 for singles and $829.40 each for couples, while the Pension Supplement rises to $86.50 for singles and $65.20 each for couples. The Energy Supplement stays unchanged at $14.10 for singles and $10.60 each for couples.
The government has also confirmed higher payment rates for other key benefits from the same date, including JobSeeker at $817.50 for a single person with no dependent children, Parenting Payment Single at $1,066.30, and Commonwealth Rent Assistance for singles at $219.40 per fortnight.
Who Is Eligible?
Age Pension
To qualify for the Age Pension, a person must be 67 or older and meet the income test, assets test and residence rules. In general, applicants must be Australian residents and usually need at least 10 years of Australian residence.
Carer Payment
Carer Payment is for people who personally provide constant care to someone with a severe disability, medical condition, or who is frail aged.
Carers can still do paid work or be self-employed for up to 100 hours in a 4-week period and may remain eligible. Carer Payment is also subject to income and assets tests and residence rules.
Carer Allowance
Carer Allowance is a separate support payment for people who provide daily care and attention. It is currently $162.60 per fortnight and is adjusted on 1 January each year, not on the March pension indexation date.
There is no assets test for Carer Allowance, but the carer and partner’s combined adjusted taxable income must be below $250,000 a year.
Income and Asset Test Thresholds Are Also Rising
The March 2026 update does not only lift payment rates. It also raises pension eligibility limits, which matters for both Age Pension and Carer Payment recipients because both are pension-tested payments.
For the pension income test, the cut-off for a single resident rises from $2,575.40 to $2,619.80 per fortnight. For a couple combined, the cut-off rises from $3,934.00 to $4,000.80 per fortnight.
For the asset test, the new resident homeowner cut-off becomes $722,000 for singles and $1,085,000 for couples combined. For non-homeowners, the cut-off rises to $980,000 for singles and $1,343,000 for couples combined.
Deeming Rates Are Increasing Too
Another major change from 20 March 2026 is deeming. The lower deeming rate will increase to 1.25% for financial assets under $64,200 for singles and $106,200 for couples combined.
The upper deeming rate will rise to 3.25% for assets above those amounts. These rates are used to estimate income from financial investments when working out payment eligibility.
Key Centrelink Changes From 20 March 2026
| Payment / Threshold | Previous Rate | New Rate |
|---|---|---|
| Pension / Carer Payment Single | $1,178.70 | $1,200.90 |
| Pension / Carer Payment Couple (each) | $888.50 | $905.20 |
| Single pension income cut-off | $2,575.40 | $2,619.80 |
| Couple pension income cut-off | $3,934.00 | $4,000.80 |
| Single homeowner asset limit | $714,500 | $722,000 |
| Couple homeowner asset limit | $1,074,000 | $1,085,000 |
| Single non-homeowner asset limit | $972,500 | $980,000 |
| Couple non-homeowner asset limit | $1,332,000 | $1,343,000 |
| Carer Allowance | $162.60 | unchanged on 20 March |
| Lower deeming rate | 0.75% | 1.25% |
| Upper deeming rate | 2.75% | 3.25% |
Payment Dates
The new indexed rates begin on 20 March 2026. In practice, eligible recipients will generally see the increase in their first regular payment after 20 March, depending on their Centrelink payment cycle.
Age Pension is normally paid fortnightly, although some recipients can choose a weekly payment option. Carer Allowance is also paid fortnightly.
FAQs
When do the new Centrelink pension and carer payment rates start?
The new indexed rates start from 20 March 2026, with recipients usually seeing the increase in the next payment after that date.
How much will single pensioners and Carer Payment recipients get?
Eligible single recipients on the full rate will receive $1,200.90 per fortnight from 20 March 2026.
Does Carer Allowance also rise on 20 March 2026?
No. Carer Allowance is adjusted on 1 January each year, and its current rate is $162.60 per fortnight.