The Australian Government has announced a new update to its Parental Leave Pay program, which will start from 1 July 2025. Under this scheme, eligible parents will receive $948.10 per week (before tax) when they take time off work to care for their newborn or newly adopted child.
This new payment aims to support families financially during an important stage of their lives when income usually goes down and expenses go up.
What is the $948 Centrelink Payment 2025 Scheme?
The payment will be managed by Services Australia, and it is an updated version of the current Parental Leave Pay program. The amount has been revised to match the National Minimum Wage, ensuring that parents do not face financial stress when they are on parental leave.
This scheme allows parents to focus on their child’s early development without worrying about loss of income.
Key Features of the Payment
The updated parental leave scheme comes with several important features that make it more helpful for families:
- Weekly Payment: $948.10 (before tax)
- Duration: Up to 24 weeks
- Eligibility: Primary caregiver of a newborn or adopted child
- Managing Authority: Services Australia
- Superannuation Contribution: 12%
This payment is directly credited into the bank account of eligible parents after approval.
Why This Update is Important
Raising a child requires both time and money. Many parents struggle to balance work and childcare responsibilities. With this update, the government is ensuring that parents can take proper leave without financial worries.
It also shows Australia’s commitment to supporting families and improving work-life balance. By increasing the payment, more parents may choose to spend quality time with their children during the early stages of growth.
Superannuation Contributions Included
One special feature of this program is the 12% superannuation contribution that will continue during parental leave.
This ensures:
- Parents receive immediate financial support through weekly payments.
- Their long-term retirement savings are not affected during the leave period.
This is a big step, as many employees lose retirement contributions when they are not actively working.
Eligibility Criteria
To receive this payment, parents must meet the following conditions:
- Be the primary caregiver of the child.
- Meet the income test set by Services Australia.
- Fulfil the work test, which checks the number of hours worked in the past.
- Be an Australian resident, and the child must be born or adopted in Australia.
- Apply on time, as late applications may not be accepted.
Only one parent per child can receive this payment. If a parent returns to work, the payment will stop for those days.
How to Apply for the Payment
The application process is simple and can be completed online. Here are the basic steps:
- Create or log in to a myGov account and link it with Services Australia.
- Go to the Parental Leave Pay section and fill in the online form.
- Upload required documents like proof of birth or adoption.
- Submit the application and wait for verification.
- Once approved, the amount will be directly credited to your bank account.
Applying early is advised to avoid delays in payment.
Impact on Other Government Schemes
This $948 weekly payment may affect other government benefits such as Family Tax Benefit or Child Care Subsidy because it is considered part of your income.
To avoid any issues, families must:
- Accurately report their income to Centrelink.
- Avoid overpayments that may lead to future repayments.
Why This Scheme Matters
This initiative is a strong sign of the government’s focus on family welfare and economic security. It provides parents with financial stability and ensures they don’t have to choose between work and caring for their child.
The program also promotes better child development, as parents can spend more time during the early months without financial stress.
Conclusion
The $948 Centrelink Parental Leave Payment starting from 1 July 2025 is a big step towards supporting Australian families. By matching the payment to the national minimum wage and adding superannuation contributions, the government is giving parents both short-term relief and long-term financial security.
This program ensures that no parent has to compromise on time with their child because of money. With clear eligibility rules and an easy application process, this scheme is set to benefit thousands of families across Australia.
FAQs
What is the start date of the $948 Centrelink Payment scheme?
The new payment will begin on 1 July 2025.
Who is eligible to receive this payment?
The primary caregiver of a newborn or adopted child who meets income, residency, and work test requirements.
How much is the weekly payment?
Eligible parents will receive $948.10 per week before tax.
Will superannuation be paid during parental leave?
Yes, a 12% superannuation contribution will continue during the leave period.
How do I apply for this payment?
You can apply online through myGov by linking it to Services Australia and submitting the required documents.
Will this payment affect other government benefits?
Yes, since it counts as income, it may affect payments like the Family Tax Benefit or Child Care Subsidy.