As Australia moves into 2025, new updates to Centrelink’s Parental Leave Pay and Superannuation Boost are set to make a real difference for working parents and families across the country. With living costs continuing to rise, the $948 Centrelink benefit aims to offer better financial stability during one of life’s most important moments — welcoming a new child.
The federal government has introduced significant reforms to support families, including an increase in Parental Leave Pay rates and a superannuation boost to ensure parents don’t miss out on long-term retirement savings while taking time off work.
In this complete guide, we’ll break down everything you need to know about the $948 Centrelink benefit in 2025, how the Super Boost works, who qualifies, and how to claim your payments successfully.
Understanding the $948 Centrelink Benefit 2025
The $948 Centrelink benefit represents the new weekly rate of Parental Leave Pay (PLP) under the Australian Government’s Services Australia program. This amount is based on the National Minimum Wage (NMW) and is adjusted every July to reflect changes in national pay rates and cost-of-living conditions.
In 2025, the NMW increase raised the weekly payment from $882 to $948, providing much-needed relief for working parents during parental leave.
Key Highlights of the 2025 Update
- Weekly rate: $948 before tax
- Duration: Up to 20 weeks of paid parental leave
- Super Boost: Now includes superannuation contributions paid on top of leave payments
- Start date: July 2025
- Administered by: Centrelink (Services Australia)
These updates make the Parental Leave Pay program more inclusive, modern, and beneficial for parents balancing work and family life.
What Is Parental Leave Pay (PLP)?
Parental Leave Pay is a government-funded payment designed to support eligible parents taking time off work after the birth or adoption of a child.
It helps ease the financial burden during unpaid leave periods and ensures new parents can focus on bonding with their child instead of worrying about income loss.
Previously, Parental Leave Pay covered 18 weeks, but from July 2025, parents can access up to 20 weeks, shared flexibly between both partners.
This expansion recognizes the evolving nature of modern families and promotes gender equality in childcare responsibilities.
The Super Boost – What It Means for Parents
The Super Boost initiative is one of the biggest and most exciting changes to the 2025 Parental Leave Pay scheme.
For years, parental leave payments were not accompanied by superannuation contributions, meaning many parents—especially mothers—missed out on significant super savings during time off work.
From July 2025, this will change. The Australian Government will pay superannuation on Parental Leave Pay at the standard rate of 11%, directly into the recipient’s nominated super account.
How the Super Boost Works
- Applies to: All new Parental Leave Pay claims from July 2025
- Contribution rate: 11% of your gross PLP payment
- Payment method: Paid directly by the government into your super fund
- Purpose: To close the gender super gap and promote long-term financial equality
This reform is expected to add thousands of dollars in retirement savings for parents over their careers, especially for women who take extended time off for caregiving.
Eligibility Criteria for the $948 Centrelink Benefit
To qualify for the 2025 Centrelink Parental Leave Pay, parents must meet several key criteria related to work, income, and residency.
1. Work Test
You must have worked for:
- At least 10 of the 13 months before your child’s birth or adoption, and
- At least 330 hours in that period (approximately one day a week).
- This includes full-time, part-time, casual, and self-employed work.
2. Income Test
Your adjusted taxable income must be less than $168,865 in the financial year before your claim, or in the year you give birth or adopt.
3. Residency Requirements
You must:
- Be an Australian resident, and
- Reside in Australia during the claim period.
4. Primary Career Rule
The primary carer (the parent who takes the most care of the child) must apply. However, parents can now share leave between partners more flexibly than ever before.
Payment Duration and Amount
From July 2025, the maximum duration for Parental Leave Pay increases from 18 to 20 weeks.
How It’s Paid
- Payments are made fortnightly, directly into your bank account.
- Each week of Parental Leave Pay is worth $948 before tax, which equals roughly $1,896 per fortnight.
- Your employer may administer the payment, or Centrelink can pay you directly if you are self-employed or your employer opts out.
Example:
If you take the full 20 weeks, your total pre-tax payment will be:
$948 × 20 = $18,960
On top of that, your Super Boost contribution would be:
$18,960 × 11% = $2,085.60 paid into your super fund.
Sharing Parental Leave Pay Between Parents
The 2025 reforms also make it easier for both parents to share Parental Leave Pay.
Under the new rules:
- Parents can split the 20 weeks of leave between them in any arrangement that suits their family.
- Both parents must meet the individual eligibility tests.
- Shared leave encourages both partners to participate in early childcare and helps improve work-life balance.
For example, one parent might take 12 weeks while the other takes 8 weeks, ensuring both bond with the child and share caregiving duties.
How to Apply for the $948 Centrelink Benefit
Applying for Parental Leave Pay is straightforward, but it’s important to start early.
Step 1: Set Up a my Gov Account
If you don’t already have one, link your my Gov account to Centrelink through servicesaustralia.gov.au.
Step 2: Lodge Your Claim
You can submit your claim up to 3 months before your baby’s due date. Provide all required details, including:
- Proof of identity
- Employment details
- Bank account information
- Tax file number
Step 3: Provide Birth or Adoption Details
Once your child is born or adopted, update your claim with the exact date to start your payments.
Step 4: Receive Your Payments
After approval, payments will be automatically transferred fortnightly into your nominated account.
Tax and Payment Considerations
- Parental Leave Pay is taxable income.
- The amount of tax withheld depends on your overall annual income.
- You can ask Centrelink to withhold more tax if you want to avoid a large bill at tax time.
It’s also important to notify Centrelink of any income changes or additional leave you take, as it may affect your entitlement.
Impact of the Super Boost on Families
The Super Boost not only strengthens financial equality but also delivers long-term value for Australian families.
According to Treasury estimates, a parent taking two periods of 20-week leave over their career could add over $10,000 to their retirement balance, assuming steady growth and compounding returns.
This policy especially benefits women, who are statistically more likely to take extended parental leave and face lower lifetime super balances.
Other Related Centrelink Benefits
Parents receiving Parental Leave Pay may also be eligible for other Centrelink family benefits, including:
- Family Tax Benefit (A & B) – for ongoing financial support while raising children.
- Dad and Partner Pay – additional two weeks of paid leave for eligible partners.
- Child Care Subsidy – reduced childcare costs for working families.
- Energy Supplement or Rent Assistance – depending on your household situation.
Combining these payments can significantly ease financial stress during early parenthood.
Key Dates for 2025
| Event | Date |
|---|---|
| Parental Leave Pay Rate Increase | July 2025 |
| Super Boost Implementation | July 2025 |
| Maximum Leave Duration | 20 weeks |
| Weekly Payment Rate | $948 |
| Super Contribution Rate | 11% |
Final Thoughts
The $948 Centrelink Benefit 2025 marks an important milestone in Australia’s social welfare evolution — combining financial assistance, gender equality, and future security through the Super Boost initiative.
By introducing superannuation contributions and expanding paid leave to 20 weeks, the government is addressing long-standing gaps that have affected working parents for decades.
For new and expecting parents, these updates mean more financial stability, better work-life balance, and improved retirement outcomes — a win for both families and the nation’s economy.
If you’re planning to welcome a child in 2025, it’s the perfect time to understand your entitlements, apply early, and make the most of the new Centrelink Parental Leave and Super Boost benefits.
FAQs:-
What is the $948 Centrelink Benefit in 2025?
It’s the updated Parental Leave Pay rate under Centrelink, offering eligible parents $948 per week during their paid leave period.
What is the Super Boost update for 2025?
The Super Boost ensures that paid parental leave now includes superannuation contributions, helping parents grow retirement savings.
Who qualifies for the $948 Centrelink payment?
Eligible working parents, careers, and new mothers who meet the income, work, and residency requirements can receive the benefit.