Could the New Centrelink Thresholds Reduce Your Support at Home Contributions?
From 1 July 2026, the Australian Government introduced updated Centrelink income and asset thresholds as part of its annual Age Pension review.
While many people assume these changes only affect their pension payments, they can also influence how much you contribute towards your Support at Home services.
If you receive government-funded home care or expect to transition to the new Support at Home program it’s worth understanding how these updated thresholds could affect your financial assessment.
For some older Australians, these changes may result in:
- Receiving a higher Age Pension
- Becoming eligible for a part pension
- Paying lower Support at Home contributions
- Accessing additional government assistance
Because every person’s financial situation is different, the only way to know whether these updates will benefit you is to review your current Centrelink assessment.
Why Have the Centrelink Thresholds Changed?
Each year, the Australian Government reviews the income and asset limits used to assess Age Pension eligibility.
These annual adjustments are designed to better reflect changes in the economy and cost of living, ensuring pension assessments remain current.
Although the Age Pension payment rates themselves have not increased as part of this update, the revised thresholds mean some Australians may now qualify for more government support than they previously received.
Importantly, these same financial assessments are also used when determining Support at Home contributions, meaning the changes could have a flow-on effect to the amount you pay for your care.
Why Does This Matter for Support at Home?
Many people don’t realise that their Support at Home contributions are linked to the financial information Centrelink holds.
When Centrelink reassesses your income or assets, this can affect the amount you contribute towards government-funded home care services.
If your updated assessment places you in a more favourable position under the new thresholds, you may pay less towards your care.
While not everyone will experience a change, reviewing your circumstances could potentially save money over time.
What Changed on 1 July 2026?
Asset Test Thresholds Increased
The amount of assets you can own before your Age Pension begins reducing has increased.
| Situation | New Asset Threshold |
| Single homeowner | $333,000 |
| Couple homeowner | $499,000 |
| Single non-homeowner | $600,000 |
| Couple non-homeowner | $766,000 |
If your assets sit close to these limits, you may now receive a higher pension or become eligible for a part pension.
Because Support at Home financial assessments often rely on the same information, this could also affect your contribution amount.
Income Test Thresholds Increased
The income-free area has also increased.
This means Australians can earn slightly more before their Age Pension begins reducing.
The updated limits allow:
- Singles to earn an additional $8 per fortnight
- Couples to earn an additional $16 per fortnight
While these increases may seem small, they can make a meaningful difference for people whose income sits close to the previous thresholds.
Deeming Thresholds Increased
Centrelink also updated the deeming thresholds used to assess income from financial investments.
From 1 July 2026:
- Single deeming threshold increased to $66,800
- Couple deeming threshold increased to $110,600
The deeming interest rates themselves have not changed.
Could You Pay Less for Support at Home?
Potentially.
Support at Home contributions are based on your individual financial assessment.
If the updated Centrelink thresholds improve your pension assessment, your contribution towards government-funded home care services may also reduce.
This won’t apply to everyone, but it’s particularly worthwhile checking if you:
- Have savings or investments
- Own assets close to the threshold limits
- Recently experienced changes to your income
- Have not reviewed your Centrelink assessment for some time
Even a small adjustment to your financial assessment could affect both your pension and your home care costs.
What Should You Do Next?
If you’re currently receiving or preparing to receive Support at Home services, now is a good time to review your financial assessment.
We recommend:
- Logging into myGov to check your latest Centrelink assessment.
- Reviewing your current Support at Home contribution amount.
- Contacting your aged care provider if you believe your financial circumstances have changed.
- Speaking with a qualified financial adviser if you need personal financial advice.
Taking a few minutes to review your assessment could ensure you’re receiving all the support you’re entitled to.
How Home Care Assistance Can Help
Understanding government-funded aged care can feel overwhelming, especially when funding rules and financial assessments change.
At Home Care Assistance, our experienced team helps older Australians navigate the Support at Home program with confidence.
While we can’t provide financial advice, we can explain:
- how the Support at Home program works
- what services may be available
- how funding assessments affect your care
- what your next steps may be
Whether you’re already receiving care or just beginning your aged care journey, we’re here to help make the process simpler.
Contact Home Care Assistance today to discuss your Support at Home options and learn how we can support you to remain living independently at home.
Frequently Asked Questions
Will the new Centrelink thresholds automatically reduce my Support at Home contributions?
Not necessarily. Your contribution depends on your individual financial assessment. If the updated thresholds improve your Centrelink assessment, your contribution may decrease.
Do I need to apply for the new thresholds?
No. Centrelink applies the updated income and asset thresholds automatically. However, it’s still worth checking your assessment to ensure your information is up to date.
Does everyone receiving Support at Home pay contributions?
No. Contribution amounts vary depending on your financial circumstances and the services you receive. Some people pay very little, while others contribute more based on their assessed income and assets.
Can Home Care Assistance tell me how much I’ll pay?
Home Care Assistance can explain how the Support at Home program works and help you understand the process, but we can’t provide personal financial advice or calculate Centrelink assessments. If you need financial advice, we recommend speaking with a qualified adviser.