What the September 2025 changes mean for disability support pension recipients
Disability Support Pension rises from 20 September, but higher deeming rates may cut into gains for some recipients.
From 20 September 2025, people receiving the Disability Support Pension (DSP) will see their payments rise. The increase is part of the government’s regular indexation cycle, designed to keep income support in line with inflation and living costs.
For single adults on DSP, the maximum basic rate will lift by $29.70 a fortnight, bringing the new rate to $1,149.00. For couples, each partner will receive an extra $22.40 per fortnight, or $1,732.20 combined.
Deeming rates are also changing
Alongside the payment boost, the government is increasing deeming rates – the assumed rate of income from financial assets used in Centrelink income tests.
- The lower deeming rate will rise from 0.25% to 0.75%.
- The upper deeming rate will rise from 2.25% to 2.75%.
This change matters for DSP recipients who have savings, shares or other investments. Centrelink will assume those assets earn more income, which can reduce the amount of pension paid.
Who will benefit most
For people with few or no assets beyond their home, the changes are simple: you’ll receive the full increase. But for those with significant savings or investments, the higher deeming rates may offset some or all of the gain.
Analysis from advocacy groups suggests tens of thousands of pensioners across all payments could end up with smaller net increases, or in some cases no increase at all, because of the higher deeming assumptions.
Why the government says it’s happening
The Department of Social Services explains that pension rates are indexed twice a year in March and September to reflect the Pensioner and Beneficiary Living Cost Index, the Consumer Price Index, and growth in male total average weekly earnings – whichever is highest.
The increase in deeming rates, however, reflects the government’s view that financial markets now deliver higher returns than in recent years, and that it is reasonable to adjust assumed rates upward.
Concerns from the disability community
Disability advocates have welcomed the increase but argue it falls short of covering the rising costs faced by people with disability. Expenses for accessible housing, medical care, mobility aids and transport have often risen faster than general inflation.
There is also concern that people who have managed to save modest amounts may be penalised under the new deeming rules, seeing their pension reduced despite not actually earning higher returns.
What you should do
- Log in to your Centrelink online account or use the Express Plus Centrelink app to check your new DSP rate from 20 September.
- Update your financial details if your circumstances have changed. This will ensure your payment reflects your real situation.
- If you are unsure how the deeming changes will affect you, consider contacting a financial counsellor or disability advocacy service for advice.