Carer Payment income test 2026
How much you can earn before Carer Payment reduces, and how fast it tapers above the free area.
| Fortnightly income | Effect on your payment |
|---|---|
| Up to $226 | No reduction (this is the income free area) |
| $226 and above | Reduces by 50c for each dollar over $226 |
Source: Services Australia, A guide to Australian Government payments (CO029), 1 July 2026 edition — Income test for pensions; free areas from DSS Social Security Payment Parameters, 1 July 2026
For couples the 50-cent taper applies to combined income above the combined free area and reduces the combined pension.
| Situation | Payment reduces to nil at |
|---|---|
| Single | $2,627.80 /fortnight |
| Couple (combined) | $4,016.80 /fortnight |
| Couple (combined) — Illness separated | $5,199.60 /fortnight |
| Item | Amount |
|---|---|
| Care receiver income limit (per year) | $143,752 /annum |
| Care receiver lower asset limit | $886,750 /once |
| Care receiver higher asset limit | $1,317,250 /once |
This payment's income test counts deemed income from your financial assets, not just the income you actually receive.
The income test on you has a fortnightly income free area. Above the free area, your payment reduces by 50 cents for every extra dollar of income, and for a couple the combined income is tested. Financial assets are assessed using deeming.
A separate care-receiver income test applies to the person you care for. If they do not receive an income support payment themselves, their yearly income must be under a set limit for you to qualify.
The cut-off for your own income, and the care-receiver income limit, are shown in the income test detail on this page.
More on Carer Payment
- Carer Payment overviewRate, tests and calculator
- Full rate tableEvery variant
- Assets testLimits and free areas
Estimates and general information only — not financial advice. Check Services Australia for your circumstances.
Rates current as of 20 March 2026. Source: DSS / Services Australia. Last checked 17 July 2026.