Aussie mum’s warning after $15,000 Centrelink mistake

By MAX ALDRED FOR DAILY MAIL AUSTRALIA

Published: 14:39 BST, 4 June 2025 | Updated: 14:39 BST, 4 June 2025

An Aussie mum has urged parents to apply for paid parental benefits early after she almost missed out on a $15,000 payment from Centrelink. 

Newcastle mother-of-two Lexi recalled how her claim was denied when she initially applied for the scheme following the birth of her first child three years ago. 

The 26-year-old and her husband had been relying on the money and was devastated to learn she was ineligible. 

It wasn’t until weeks later that she realised that she made a common mistake on her application. 

She erroneously ticked a box applying for both paid parental leave and the family tax benefit – which she was not eligible for.

The mix up meant that Lexi’s application was denied and was advised in writing that her husband earned too much money.

‘We were counting on that money, we knew it was coming, and honestly to be denied it, we were just in a spiral,’ she explained on TikTok. 

‘Basically, this one wrong box gets ticked all the time.

‘I can’t imagine the number of people that are going around out there thinking that they’re not eligible for this money when they actually were.’ 

The second time she applied, she was approved. 

‘By the time that all happened and by the time I got approved, my son was about five months at that point,’ she told Yahoo.

‘I did get back pay from a certain date of my application. So I still ended up with 18 weeks.’

The value of the claim was $15,000 – an amount Lexi may have never received had she given up on her rejected claim. 

The money made a ‘big difference’ in her household, despite having budgeted to live off her husband’s income. 

Lexi was reminded of the 2022 blunder when she applied for paid parental leave following the birth of second child last year. 

Her video posted last week has since attracted more than 100,000 views. 

A NSW mum said she ticked one box in her Centrelink parental leave application that nearly cost her thousands

The mum almost missed out on a $15,000 payment from Centrelink (stock image)

The mother-of-two urged eligible parents to apply early to allow time to correct any errors and avoid financial hardship.

The mother-of-two urged eligible parents to apply early to allow time to correct any errors and avoid financial hardship.

‘If you are denied the first time, make an appointment at your local Centrelink,’ Lexi said.

‘I made the appointment to make sure that I did everything correctly with my application, and while it did take a little bit more of my time, it meant that everything was correct.’

Services Australia allows parents to submit claims pre-birth. 

Applications can be made up to three months before the baby is due. 

The process can be completed online and requires a Centrelink account linked to myGov. 

Eligible parents can claim the Parental Leave Pay government benefit to take time off to care for their newborn or recently adopted child. 

The mother-of-two urged eligible parents to apply early to allow time to correct any errors and avoid financial hardship (stock image)

The payments are based on the minimum wage, equating to $916 per week for 22 weeks. 

From July 1 of this year, the duration will increase to 24 weeks and includes superannuation. 

On that same date in 2026, the payments will last 26 weeks. 

Applicants must meet income tests, work tests and residence rules to be eligible. However, Centrelink advised parents-to-be make an application and allow professionals to determine their eligibility.

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Aussie mum’s warning after $15,000 Centrelink mistake

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