Centrelink Parental Leave 2025 – Full Breakdown of Payments & Qualifications

Starting July 2025, the Centrelink Parental Leave Pay (PLP) scheme will introduce significant updates, enhancing benefits and offering greater flexibility for Australian families. With 24 weeks of paid leave, new partner leave provisions, and 12% superannuation contributions, these changes aim to support working parents and promote shared caregiving.

This guide outlines the updated benefits, eligibility criteria, and how to apply for Parental Leave Pay through Centrelink in 2025.

Overview of Centrelink Parental Leave Pay 2025

TopicDetails
Total Leave Duration24 weeks (120 days) for children born or adopted from 1 July 2025
Reserved Partner Days15 days reserved for partners
Payment RateBased on the National Minimum Wage (~$183.16/day)
Superannuation12% superannuation paid on PLP
Eligibility CriteriaMust meet work, income, and residency tests
Application ProcessApply up to 3 months before birth/adoption via myGov
Concurrent LeaveBoth parents can take up to 10 days of PLP together
Official SourceServices Australia

The 2025 Centrelink Parental Leave Pay changes offer increased financial support and greater flexibility for working families. Eligible parents should apply early via myGov to ensure timely payments.

What is Centrelink Parental Leave Pay (PLP)?

The Centrelink Parental Leave Pay scheme is a government-funded program designed to support working parents during the early months of caring for a newborn or recently adopted child. It provides financial relief and encourages shared caregiving.

How Much is Parental Leave Pay in 2025?

From 1 July 2025, PLP will increase to 24 weeks (120 days), paid at the National Minimum Wage, currently estimated at $183.16 per day.

Payment BreakdownAmount
Weekly Payment~$915.80
Total for 24 Weeks~$21,979 (before tax)

Payment Frequency: Weekly or fortnightly, based on preference.

Key Updates to Parental Leave Pay (PLP) in 2025

  1. Increased Leave Duration
    • From 18 weeks to 24 weeks for parents of children born or adopted on or after 1 July 2025.
  2. Reserved Partner Days
    • 15 days of the total leave will be reserved for partners, encouraging shared caregiving.
  3. Superannuation Contributions
    • 12% superannuation will be paid on all PLP payments, enhancing retirement savings.
  4. Concurrent Leave
    • Both parents can take 10 days of PLP together for joint caregiving.

Eligibility for Centrelink Parental Leave Pay in 2025

To qualify for Parental Leave Pay, you must meet the following criteria:

Eligibility CriteriaDetails
Work TestAt least 10 of the 13 months before birth/adoption with 330 hours worked (~1 day/week).
Income TestAdjusted taxable income must be $156,647 or less.
Residency TestMust be an Australian citizen, permanent resident, or hold an eligible visa. Must be physically present in Australia.
Primary CarerYou must be the child’s main caregiver.

For complete eligibility details, visit Services Australia.

How to Apply for Centrelink Parental Leave Pay

Eligible parents can apply for PLP up to 3 months before their child’s birth or adoption.

Step-by-Step Application Process

  1. Create a myGov Account
    • Link your Centrelink account via myGov.
  2. Submit Your Claim
    • Apply online via myGov.
    • Provide supporting documents (proof of income, work history, and identification).
  3. Notify Your Employer
    • Inform your employer at least 10 weeks before starting PLP.
  4. Await Approval
    • Processing may take up to 35 business days.

Flexible Parental Leave Options

The 2025 changes allow more flexibility in how you take PLP:

Leave OptionDetails
Consecutive or SplitTake the entire leave at once or split over 2 years.
Concurrent LeaveBoth parents can share 10 days together.
Transferable LeaveParents can transfer days between each other.

FAQs

Can both parents receive Parental Leave Pay at the same time?

Yes, both parents can share 10 days of concurrent leave together.

When should I apply for Centrelink Parental Leave Pay?

You can apply up to 3 months before your child’s birth or adoption.

Is superannuation included in Parental Leave Pay?

Yes, from 1 July 2025, 12% superannuation will be paid on all PLP payments

What happens if I don’t meet the work test?

If you don’t meet the work test, you may not be eligible for PLP. Some exceptions apply (e.g., pregnancy-related illness).

How is Parental Leave Pay taxed?

PLP is taxable income and is taxed at your marginal rate.

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