Australia’s youngest welfare recipients are getting a Centrelink boost on New Year’s Day that is more generous that the inflation rate – among a raft of changes coming on January 1.
More than a million Australians are getting an increase to their fortnightly benefits whether they are studying or have a disability.
Victorians will also be able to connect to gas on January 1 in an existing home but be liable for a fee after Premier Jacinta Allan softened some of her polarising Labor predecessor Daniel Andrews’s net-zero policies.
Polystyrene cups, plastic spoons and even wrapped straws on a juice popper are also being banned in New South Wales if they contain small, separate parts.
Bosses that deliberately underpay workers also face 10 years’ jail or fines in the millions, while aged care workers are getting a pay rise.
Here’s what you need to know for the New Year.
Centrelink
Australia’s youngest Centrelink beneficiaries are getting a 3.8 per cent boost to their payments on January 1, with the indexation significantly higher than the latest 2.8 per cent consumer price index.
The Youth Allowance for teenagers under 18 living at home is going up by $15 to $410.30 a fortnight – in line with the Abstudy rate for those of the same age.
Australia’s youngest welfare recipients are getting a Centrelink boost on New Year’s Day that is more generous that the inflation rate – among a raft of changes coming on January 1 (pictured are University of New South Wales students)
Those living away from home and who are studying, aged 18 to 24, will see their Youth Allowance or Austudy payment rise by $24.30 to $663.30.
The Youth Allowance covers those aged 16 to 21 and looking for full-time work, those aged 18 to 24 studying full-time and those aged 16 to 24 doing an apprenticeship.
The Disability Support Pension for those under 18 living at home is rising by $20.80 to $569.60.
Those aged 18 to 20 are getting a $23.10 boost, taking it to $631.80.
Australians with a disability living independently will see their payments rise by $30.10 a fortnight to $822.60.
The Carer Allowance is increasing by $5.80 a fortnight to $159.30.
The 3.8 per cent boost is a lot more generous than recent inflation figures – the September quarter’s annual headline inflation rate was 2.8 per cent based on temporary $300 electricity rebates from the federal government, while the underlying inflation rate was higher at 3.5 per cent without one-off factors.
Welfare payments are linked to the June quarter’s annual consumer price index instead of the latest inflation data.
Social Services Minister Amanda Rishworth said the indexation formula was designed to help Centrelink recipients deal with the cost of living.
‘We want to reduce disadvantage and maintain Australia’s strong and sustainable social safety net by providing relief to those most in need,’ she said.
‘Through indexation, payments are adjusted in line with cost of living changes to ensure people have more money in their pockets.’
Plastic straws, spoons
Polystyrene cups, plastic spoons and straws will no longer be able to be supplied in NSW from January 1 if they were produced as part of a ‘machine-automated process’.
That means polystyrene cups containing dry noodles with sachets of flavouring or soup powder will be illegal if they have been machine sealed.
Plastic straws attached to the outside of a juice box, known as a popper, will be banned from January 1
So will plastic spoons within a plastic tub that’s also been sealed on a production line, along with plastic straws attached to the outside of a juice box, commonly known as poppers.
No extension to the ban is being allowed, with the hard deadline part of the Plastic Reduction and Circular Economy Act 2021 (the Act).
This means shops and non-profit groups won’t be allowed to supply these items to their customers, even if they still have unsold stock, with the state’s Environment Protection Authority encouraging alternatives like paper straws and bamboo spoons.
The ban on plastic utensils is coming into effect more than two years after single-use plastic bags were banned on November 1, 2022.
Gas
Victorians will be able to connect gas to an existing home but from January 1, they will have to pay an upfront $2,000 gas connection fee.
Those who need to replace existing cooktops and stoves will be able to do so with a new gas appliance.
Victorians will be able to connect to gas in an existing home but from January 1, they will have to pay an upfront $2,000 gas connection fee
Premier Jacinta Allan in September announced residents would be able to keep using their gas cooktops, even though Labor’s ‘gas substitution roadmap’ aims to reduce the role of gas in the state’s energy network.
‘I’m wanting to be really clear that Victorians can continue to keep cooking with gas on their existing gas stove, and if they need to replace it, they will be able to do so,’ she said.
‘We wanted to provide this clarity and certainty as we go out for further consultation… because we’ve listened to Victorians and they’ve asked for this certainty to be provided.’
But this doesn’t mean Victorians can get gas connected to new homes.
Her predecessor Daniel Andrews had introduced a ban on new natural gas connections from January 1, 2024, only months before leaving office.
This meant new houses, apartments and residential sub-divisions would not be allowed to link up to gas.
The state government is yet to give clarity on gas-powered heating and hot water, which could be phased out and replaced with electric versions from 2026.
Wage under payment
Big and medium employers across Australia, from January 1, will face jail and fines in the millions as the intentional underpayment of wages becomes a criminal office.
Australian hospitality workers are one of the main groups who will benefit from a crackdown on wage underpayment by employers (stock image)
Under changes to the Fair Work Act, individuals face a minimum fine of $1.565milloin and up to 10 years’ in jail while companies face a minimum penalty of $7.825million.
Small businesses, defined as having less than 15 people, are exempt from these laws and therefore criminal prosecution, as a Voluntary Small Business Wage Compliance Code is established.
Aged care pay rise
New Year’s Day will also see a 3 per cent increase to minimum pay in the aged care sector, including those previously covered by the nurses award and those on the social, community, home care and disability services award.
Sheep
Livestock including sheep and goats born on or after January 1 will be required to be tagged with an eID in NSW before leaving the farm.
Sheep and goats will now be required to be tagged and monitored when sold off farms in NSW
Land tax
Land tax thresholds in NSW are increasing in the New Year, with a general threshold of $1.075million rising to $6.517million for a premium threshold.
For foreign buyers, the land tax surcharge increases from 4 per cent to 5 per cent based on the total residential land value.
Historically, the land tax threshold has changed annually. The 2024-2025 State Budget announced a freeze on the general and premium rate thresholds for land tax for years after 2024.
The Treasurer will assess these thresholds by 1 June 2027 to ensure they remain appropriate for property owners and market conditions.
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