Thousands of Australian carers are set to benefit from a significant overhaul of the Carer Payment rules, with a game-changing increase in allowable work and study hours set to take effect from March 20, 2024.
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Currently, Carer Payment recipients are restricted to 25 hours of work or study every four weeks, but under the new changes, this cap will be quadrupled to 100 hours. The update, backed by an $18.6 million federal budget allocation, is set to be implemented over five years, bringing greater flexibility and financial stability to those providing care for loved ones.
How Will This Change Help Carers?
The Australian Government has recognized that the 25-hour limit severely restricted carers, preventing many from working or studying to secure better employment opportunities in the future. A 2023 study found that:
- 47% of carers on the Centrelink payment were working fewer hours than they desired.
- 67% reported dissatisfaction with the current rules, citing financial strain and lack of career progression.
By increasing the allowable hours to 100 per month, carers will have more flexibility to balance their caregiving responsibilities with work and education, without immediately losing their payment eligibility.
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What Carers Need to Know About the New Rule
- You must still report your hours every fortnight, but you no longer need to declare time spent studying, training, volunteering, or commuting.
- If you exceed 100 hours in a four-week period, you may still qualify by using respite days to maintain your payments.
- Exceeding the 100-hour cap without using respite days could result in a suspension of payments for up to six months.
- Services Australia estimates that 31,000 Carer Payment recipients currently work and are expected to benefit from this update.
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Who Is Eligible for the Carer Payment?
To qualify for the Carer Payment, applicants must meet income and asset thresholds, which are recalculated on January 1 each year. As of 2024, the eligibility criteria include:
- Income limit: Must earn less than $140,795 per year (before tax).
- Asset limit: Assets must be worth less than $868,500.
How Much Can You Receive?
The maximum Carer Payment rates as of 2024 are:
- $1,047.10 per fortnight for a single recipient.
- $789.30 per person for couples ($1,578.60 combined).
Payments are available to Australian residents who provide constant care for at least six months or care for someone at the end of their life.
What Type of Care Qualifies?
Eligible caregiving activities include:
- Physical assistance (e.g., lifting, dressing, mobility support).
- Guidance and supervision (e.g., medication management, shopping, transportation).
- Ensuring safety and independence for individuals who require full-time care.
Final Thoughts: A Step Toward Better Support for Carers
This long-overdue change will provide much-needed financial relief and greater employment opportunities for carers across Australia. By allowing for increased work and study hours, the government is empowering carers to secure better financial futures while continuing to provide essential support to those in need.
With the changes set to roll out on March 20, 2024, carers should prepare by understanding their new rights, work hour limits, and reporting responsibilities to maximize their benefits under the updated Centrelink policy.
Stay informed and ensure you’re ready to take advantage of these changes!
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