{"id":107969,"date":"2025-12-12T08:30:00","date_gmt":"2025-12-11T21:30:00","guid":{"rendered":"https:\/\/en.econostrum.info\/au\/?p=107969"},"modified":"2025-12-11T20:55:19","modified_gmt":"2025-12-11T09:55:19","slug":"centrelinks-deeming-rate-increase","status":"publish","type":"post","link":"https:\/\/en.econostrum.info\/au\/centrelinks-deeming-rate-increase\/","title":{"rendered":"Centrelink\u2019s Deeming Rate Increase: What It Means for Your Money"},"content":{"rendered":"\n<p>Centrelink recipients are in for a change, and it\u2019s one that could impact their payments. As of March, deeming rates will rise once again\u2014marking another shift in the way the Australian government calculates benefits like the Age Pension, JobSeeker, and Disability Support Pension. But what exactly does this mean for the 771,000 Aussies who rely on Centrelink?<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What Are Deeming Rates and Why Do They Matter?<\/h2>\n\n\n\n<p>If you\u2019ve ever received Centrelink payments, you know that the government takes into account the income you\u2019re assumed to earn from your financial assets. This includes savings in the bank, shares, and even superannuation. Deeming rates determine how much income Centrelink assumes you\u2019re making from these assets. These rates have been unusually low since 2020 as part of the COVID-19 response, but with the economy improving, the government is adjusting them again.<\/p>\n\n\n\n<p>For many, these rates are crucial. They directly affect how much money they get from Centrelink. The higher the deeming rate, the higher the presumed income\u2014and the lower the payment. If you&#8217;re a pensioner or on JobSeeker, that means your Centrelink benefits could take a hit. But if you&#8217;re earning a return on your assets, the government\u2019s assumption of your income might increase, reports <a href=\"https:\/\/au.finance.yahoo.com\/news\/major-centrelink-change-for-771000-aussies-as-deeming-rates-set-to-increase-again-211311470.html\" target=\"_blank\" rel=\"noopener\">Yahoo Finance<\/a>.<\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\"><div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\"><p lang=\"en\" dir=\"ltr\">Major Centrelink change for 771,000 Aussies as deeming rates set to increase again <a href=\"https:\/\/t.co\/gN20oM4pjv\">https:\/\/t.co\/gN20oM4pjv<\/a><\/p>&mdash; Yahoo Finance Australia (@YahooFinanceAU) <a href=\"https:\/\/twitter.com\/YahooFinanceAU\/status\/1998865528325095432?ref_src=twsrc%5Etfw\" target=\"_blank\" rel=\"noopener\">December 10, 2025<\/a><\/blockquote><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\">What\u2019s Changing?<\/h2>\n\n\n\n<p>The government had already raised deeming rates back in September, but now they\u2019re preparing for another round in March. The deeming rate for assets under $64,200 for singles (and $106,200 for couples) will rise to 0.75%, and any assets over that threshold will be deemed at 2.75%. While this may seem like a small jump, it can add up for those with larger savings or investments. It\u2019s still much lower than the pre-COVID rates, but it\u2019s a sign that the government is trying to align these assumptions with the current rate of return available to pensioners.<\/p>\n\n\n\n<p>The government has committed to changing the deeming rates alongside the regular indexation of benefits, which will bring some predictability to the process. Social Services Minister Tanya Plibersek explained that this approach will \u201cr<em>educe the impacts for people affected by deeming<\/em>\u201d and provide more stability.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What Does This Mean for Centrelink Recipients?<\/h2>\n\n\n\n<p>For many Aussies, this change will mean an increase in their deemed income, which could lower the amount they receive from <a href=\"https:\/\/en.econostrum.info\/au\/centrelink-payment-boost\/\" target=\"_blank\" rel=\"noopener\">Centrelink<\/a>. For others, particularly those with larger savings or investments, it might have less of an impact. While it\u2019s a move that some may welcome, particularly if they\u2019ve seen low returns on their assets, others are concerned about the financial strain.<\/p>\n\n\n\n<p>The reality is that these changes are part of the government\u2019s broader effort to ensure fairness as the economy evolves. The government is trying to make sure that the system remains sustainable while also ensuring that Australians who rely on Centrelink aren\u2019t left behind.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What\u2019s Next for Centrelink?<\/h2>\n\n\n\n<p>As these changes unfold, it\u2019s clear that there will be ongoing conversations about the fairness of the system and whether the deeming rates truly reflect the economic reality for all Australians. While the rise in rates is a necessary adjustment, it may leave some recipients questioning whether the system is truly supporting them in the way it should.<\/p>\n\n\n\n<p>The government has pledged to continue monitoring the situation, with the Australian Government Actuary advising on future adjustments. As we move into 2026, we can expect more changes as the economy continues to recover and evolve.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Centrelink is increasing deeming rates, affecting pension and JobSeeker payments. The changes will impact those relying on savings and financial assets.<\/p>\n","protected":false},"author":14,"featured_media":107970,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[44],"tags":[],"class_list":["post-107969","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","generate-columns","tablet-grid-50","mobile-grid-100","grid-parent","grid-33","no-featured-image-padding"],"_links":{"self":[{"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/posts\/107969","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/users\/14"}],"replies":[{"embeddable":true,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/comments?post=107969"}],"version-history":[{"count":1,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/posts\/107969\/revisions"}],"predecessor-version":[{"id":107971,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/posts\/107969\/revisions\/107971"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/media\/107970"}],"wp:attachment":[{"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/media?parent=107969"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/categories?post=107969"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/tags?post=107969"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}