MORE than 5.5 million Australians will receive an increase to their income support payments and pensions when indexation takes effect on 20 September.

From that date the Age Pension, Veteran Payment, Disability Support Pension and Carer Payment will receive an increase.

Member for Paterson Meryl Swanson told News Of The Area that tens of thousands of people in the Paterson electorate would see the benefits.

“For the over 39,000 people in our electorate who are receiving Commonwealth Government Assistance in the form of a Pension or a working-age payment such as Jobseeker and will receive an indexation increase on 20 September, I am so pleased that our government is continuing to support people when and where they need it most.”

The maximum rate of the single Age Pension will rise by $32.70 per fortnight, taking it from $1064 to $1096.70.

For couples the rate will rise by $49.40 per fortnight, taking their combined payment from $1604 to $1653.40.

National Seniors Australia Chief Advocate Ian Henschke said while people who rely on the Age Pension will welcome the increase, under the current system pensioners are still behind, especially when inflation is unusually high.

Several other government payments will also be increased on 20 September in line with announcements made in the May Budget.

Single JobSeeker Payment recipients will receive a base payment of $749.20 per fortnight, a $56.10 increase.

For JobSeeker recipients aged 55-59 unemployed for more than nine months, the payment increase will be $96.10 per fortnight.

National Seniors Australia have welcomed a 15 percent increase to Commonwealth Rent Assistance, but again believe more needs to be done.

The maximum rate for a single renter will rise by $27.60 to $184.80 per fortnight, for a couple by $26 to $174.

“It’s a good start but more needs to be done to help renters,” Mr Henschke said.

“We recently heard from a couple paying $920 a fortnight in rent.

“As pensioners, this leaves them with only $907.40 a fortnight to pay for food, fuel, utilities, and other expenses.”

Income limits for eligibility for the Commonwealth Seniors Health Card are increasing by $5,400 to $95,400 per annum for singles and by $8,640 to $152,640 for couples combined.

“With deeming rates frozen for two years, more self-funded retirees could now be eligible for concessions.

“More can be done to support older people doing it tough.

“As recent National Seniors research showed, a greater proportion of people with low incomes and those who are renting are suffering from cost-of-living pressures,” Mr Henschke said.

“For example, 39 percent of older renters told us they were experiencing severe cost-of-living impacts compared to only eleven percent of older homeowners.

“What we need is additional targeted support for people with limited means and to stop punishing those who need to work.

“In our Employment White Paper Submission we have called on the government to simplify the tax and transfer system to boost workforce participation, and with it income and savings.

“We want a change to income test rules for pensioners who want to work and work more.

“This could be achieved by reducing the taper rate from 50c to 32.5c in the dollar to align with the tax system.

“It’s simple, fair, will help solve critical workforce shortage, and boost the budget bottom line.”

Minister for Social Services Amanda Rishworth said the Government recognises Australians are continuing to grapple with cost of living pressures.

“Indexation is a vital mechanism to safeguard the purchasing power of social security payments, ensuring they keep pace with the cost of living,” Minister Rishworth said.

“Higher inflation is being felt most within the homes of those on low fixed incomes and these payments are a lifeline for many Australians who are doing it tough or may need some extra support.”

More details regarding September 2023 indexation is available at http://www.dss.gov.au/about-the-department/benefits-payments/previous-indexation-rates.

By Marian SAMPSON