Legislation announced today offers a ray of hope for more than a million Centrelink recipients, with older Australians also set to benefit from the payment boost.
From 20 September, the JobSeeker rate will rise by $56 fortnightly. The boost comprises the $40-per-fortnight increase declared in the Federal Budget along with an extra $16 per fortnight in line with indexation.
JobSeeker recipients aged 55 and over will also receive a substantial bump, with the government reducing the qualifying age for higher rates from 60 to 55 years for those who have received the payment for nine consecutive months.
The rate for JobSeeker payments will reach $749.20 per fortnight. For Aussies aged 55 and over, it will be $802.50.
Youth Allowance, Partnered Parenting Payment, Austudy, ABSTUDY Living Allowance, Youth Disability Support Pension and Special Benefit payments will also rise $40 per fortnight.
Around 1.1 million households will benefit from a 15 per cent bump in Commonwealth Rent Assistance, with average increases estimated at $24 per fortnight.
The Greens wanted the income support rate lifted to the poverty line, with an increase to $88 a day ($1232 per fortnight). The party’s calls were rejected by the government and the Opposition.
Greens Senator Janet Rice said that with the cost of living biting so many households right now, the rejection was equivalent to parliament condemning vulnerable people to poverty.
“The increase works out to be around $4 a day, which is less than a cup of coffee and won’t help anyone pay their rent,” says Senator Rice.
“Labor ignored an opportunity to make a meaningful difference in lifting Australians out of poverty and building a strong social safety net for everyone who needs it.
“Which is absolutely bad for their wellbeing, their health and their ability to get a job – if you’ve got people living in poverty, you’re not in a position to be able to get a job.
“It is absolutely shameful.”
Social services minister Amanda Rishworth, however, says that these payment increases will deliver aid to nearly two million Australians.
“JobSeeker and other income support payments are about helping those in our community who need it for a period of time,” says Ms Rishworth.
”More broadly, it is important to remember these income support changes work alongside other cost-of-living relief in the budget, including help with power bills, record investment in Medicare bulk-billing and cheaper medicines.”
Age pensioners will need to wait for the new indexed Age Pension rate. Early indications based on the CPI increase are a rise of $23 per fortnight for a single pensioner ($1087 per fortnight) and, for couples, a $35 increase, or around $1639 per fortnight.
Are you happy with the announced boost? Should the government bring payments to the poverty line, or do you think this will deter people from finding employment?
Also read: Could the Opposition’s JobSeeker plan be better for older Aussies?
The growing disparity between single rates and rates for couples needs addressing. Members of a couple are individuals with their own lives to live and it’s unfair and discriminatory to base payments on the false notion that two can live as cheaply as one.
In response to David Ryder – Nothing makes me more angry than the couples who cry because they both don’t get the singles pension rate. All I can say is hope and pray like hell that your partner does not die – or decide to divorce you. Going on the single pension – THEN you will realise how bloody lucky you were being on the couples pension. I have seen this in 2 incidents. My sister married a total loser when she was in her early 60’s, a decision she soon realised was a disaster. They split up when she was 67, and both went their separate ways (she owned the house, her husband owned nothing). Within 18 months, they had returned to being a couple, solely because neither could survive on the single pension. Now I see a miserable sister, only staying as a couple because she couldn’t survive financially.
My elderly aunt practically raised me, and 7 years ago her husband died. I might add this was a few years before I myself went on the single pension. A few months afterwards, she rang me in tears saying she could not cope financially. I did a summary (I’m from an accounting background) – and was stunned to see that her expenses had dropped 18% – BUT her income (pension) had dropped 33.7%. Rates, insurances, petrol, car rego, power, home maintenance – ALL stay the same cost. They did not spend extravagently on food, or clothing. Both had minimal medications. As much as she wanted to stay in her home, within 18 months she had moved to an Aged Care Residence.
Two CAN live far cheaper than a single – if you can’t, then pray like hell you stay as a couple, because you will soon realise how lucky you were if your status changes.
$4/day for dollies and @2/day for pensioners
THEincrease for pensioners hardly covers the electricity increase alone so what about every thing that has increased
GAS ,COUNCIL RATES {MOST DOLLIES do not PAY THte council rates]food petrol alchohol cigarettes REGO INSURANCE AND MORTGAGES which are a lot more than %2.2 so where does ANNE RUSHTON GET HER NUMBERS FROM
THE cost of living has gone up at least %15 in the last 6 months
just out of curiosity how much do 2 single people on the dole get if they live together
On top of that they get rent relief
how much extra is that
They do not pay council rates so how much extra is that they save
THE DOLLIES HAVE BEEN GIVEN 4 EXTRA INCREASES ON TOP OF THIER 6 MONTHLY PAYNENTS WHILE AGED PENSIONERS NOTHING EXTRA
SO IF YOU WOU DO THE MATHS THEN 2 DOLLIES LIVING TOGETHER ARE AT LEAST 4 400 A FORTNIGHT BETTER OFF THAN PENSIONERS LETS FACE IT MOST SINGLES SHARE NOW SO WHY ARE THEY TREATED BETTER TNAN THE BABY BOOMERS WHOWORKED AND PAYED TAXES
I’m a single Pensioner and the last increase in the pension was enough to buy a cup of coffee jf you waited three days with a few cents left over. My heating is Gas and before all the latest gas price increases I had a virus and had the gas on all day and night for three days plus the usual winter usage, my gas bill was $800.00 for the Quarter. I’ve just paid the latest gas bill for normal winter use $700.00 and I’m being very careful in my use. A few days ago i was notified by my company that my Electricity and my Gas will go up by almost a $1000.00 a year that’s on top of my current costs . Give me a break! We have some of the largest Gas Reserves in the world, yet we are paying these exorbitant prices. Indonesia is paying far less than us and using our gas. Pensioners are the last ones to get a look in. I think we better start a Union, The Pensioners Union and affiliate with the Victorian Trades Hall Council. We need to get a bit of Muscle and there’s a lot of us. The Cup of Coffee increase was a Sham and Insulting to all of us. This latest won’t do much to make life just that little bit easier.
I agree with Robert Henry, Utility prices have risen so much. I will propose that the unions dis-associate from the Labor party. They should start a new party that helps the medium and low earners so that they can live. Apparently they would have saved 30 billion over 3 years if they had not put through the tax easing for the higher paid.
This government is just full of talk and no genuine action. They say they care about the vulnerable out there, but they really don’t give two hoots about us. They had a reasonable increase 5 months ago on the aged pension but now they are saying that was 4.4% of the 6.6% that cost of living increased and now they are giving us the other 2.2% increase.
This is just garbage and they are using slight of hand to deceive us all and make themselves look good.
So for 6 months we have been going further and further behind the cost of living this time by 2.2% but this happens all the time, so the end effect is we are living well below the poverty line.
What I see is that when buying my groceries that to buy the same items each week my cost has gone from around $80 to $102 and is now at $118 so how does $11.50 a week help this. Keeping in mind that groceries is not the only cost increase.
I just shake my head and think what has this country become when they do not care about their aged pensioners it is very sad.
As someone who believes the normal jobseeker rate should be adequate (ie higher) but more closely monitored when employers cannot find enough staff, I have a number of issues:
Why do jobseekers over 55 receive more than those under 55? Their expenses don’t automatically increase on that birthday – isn’t it age discrimination? If anything, I would think that the younger jobseekers who may have additional transport costs when jobseeking would need more.
Why is the first comment/complaint is that it isn’t enough when there was no obligation to grant anything at all?
Why is a $4 a day increase too little to matter? I’m sure it would be a huge amount if it were a decrease
Do the Greens realise how the “poverty line” is calculated? As it is based on a certain percentage of median income, increasing the income of 2 million people will lift this notional figure, putting more of those not on a benefit below it