Carer Payment vs Carer Allowance
Carer Payment and Carer Allowance sound alike, but they are two different things. Carer Payment is a full income support payment for people who cannot work because of caring. Carer Allowance is a smaller supplement for the extra daily costs of caring.
The names cause a lot of confusion, and some people miss out because they do not realise they may be able to get both. This page sets out how they differ and how they can work together.
| Payment | Per fortnight | ≈ per year | Effective |
|---|---|---|---|
| Carer Payment | $1,200.90 | $31,223.40 | 20 March 2026 |
| Carer Allowance | $162.60 | $4,227.60 | 1 January 2026 |
The key differences
Type: Carer Payment is income support that replaces a wage; Carer Allowance is a supplement on top of other income.
Rate: Carer Payment is paid at pension rates; Carer Allowance is a smaller flat rate.
Means test: Carer Payment uses a pension income test and assets test and pays the lower result; Carer Allowance uses a pass-or-fail income limit, not a taper.
Care receiver: Carer Payment needs constant care and a care receiver assessment; Carer Allowance is paid per care receiver and can be paid for more than one person.
Index dates: Carer Payment changes on 20 March and 20 September; Carer Allowance changes once a year on 1 January, so their current figures have different effective dates.
Tax: Carer Payment is generally taxable when both people are under Age Pension age; Carer Allowance is not taxable.
Who gets more
Carer Payment is much larger, because it is a full pension-rate income support payment meant to replace earnings you cannot get while caring. Carer Allowance is a modest flat supplement for the extra costs of caring. The rate table on this page shows the current amount of each.
The two are not either-or. If you qualify for both, Carer Payment provides the main income and Carer Allowance is paid on top. Many carers who get Carer Payment also receive Carer Allowance for the same person they care for.
See each payment in full
Common questions
- Can I get both Carer Payment and Carer Allowance?
- Yes. Carer Payment is income support and Carer Allowance is a supplement, so you can be paid both at the same time if you qualify for each. Carer Payment provides the main income and Carer Allowance is paid on top.
- Which is bigger, Carer Payment or Carer Allowance?
- Carer Payment is much bigger, because it is paid at pension rates as a full income support payment. Carer Allowance is a small flat supplement. The rate table on this page shows the current amount of each.
- Is Carer Allowance income tested like Carer Payment?
- Not in the same way. Carer Payment uses a pension income and assets test that reduces the payment gradually. Carer Allowance uses a pass-or-fail income limit: under the limit you get the full amount, over it you get nothing.
Rates current as of 17 July 2026. Source: DSS / Services Australia. Last checked 17 July 2026.