Parental Leave 2026: 26 Weeks at $969/wk

The big change landing on 1 July 2026 is the expansion of the government's Paid Parental Leave (PPL) scheme to 26 weeks — up from 22 weeks at the start of 2026. That's a full six months of government-funded leave at the national minimum wage rate of $969.30 per week (before tax).

This is the final step in a phased rollout that started back in 2024. The government has been adding two weeks every year since July 2024, when the old 18-week scheme jumped to 20. If your baby is born or adopted on or after 1 July 2026, you get the full 26 weeks.

The other big shift? There's no longer any distinction between "primary" and "secondary" carers. Both parents can access the leave in whatever combination works for your family. You can take it in blocks, overlap it, or use it one parent at a time. The old Dad and Partner Pay has been fully rolled into the single PPL scheme.

The income test still applies. To qualify, the claiming parent must earn under $168,865 per year (individual income test), or the family must earn under $350,000 combined. You only need to pass one of these tests, not both — which is a relief for families where one parent earns well but the other doesn't.

PPL is paid at the national minimum wage, regardless of what you actually earn. For 2026, that's $969.30 per week before tax, or $1,938.60 per fortnight. Over the full 26 weeks, that works out to roughly $25,202 before tax.

Tax is withheld at your normal marginal rate, so the actual amount hitting your bank account depends on your other income for the year. If you're on unpaid leave for most of the financial year, you may get a decent chunk back at tax time because you'll have been over-withheld.

Here's something people miss: you can also receive Rent Assistance, Family Tax Benefit, and other payments on top of PPL. It doesn't count as income for the purposes of Family Tax Benefit Part A, so your FTB shouldn't be affected while you're on PPL.

Starting from 1 July 2025, employers are required to pay superannuation on government-funded PPL. That's an extra 12% on top — worth about $3,024 over the full 26 weeks — paid directly into your super fund. This was a major win for parents (mostly mothers) who were losing out on super during parental leave. Use our Paid Parental Leave calculator to see your exact entitlement.

The 26 weeks can be shared between both parents in almost any combination. There's only one rule: each parent must take at least 2 weeks if they want to access the scheme. The remaining 24 weeks can be divided however you like.

You can take the leave at the same time (both parents home together), or one after the other. You can also take it in flexible blocks — meaning you don't have to use it all in one stretch. A parent could take 10 weeks, go back to work for a month, then take another 6 weeks. The leave just needs to be used within 24 months of the birth or adoption.

There's also a "keeping in touch" provision — each parent can work up to 10 days during their PPL period without losing their entitlement. This is handy if your employer needs you for something specific, or if you want to ease back in gradually.

Worth noting: if only one parent claims the full 26 weeks, they'll get all of it. But the government is actively encouraging shared care by reserving 2 weeks on a "use it or lose it" basis for each parent. If the second parent doesn't take their 2 weeks, those weeks are forfeited — they can't be transferred. This is designed to encourage both parents to take at least some leave.

Here's where it gets interesting for people with decent employer leave policies. Government PPL stacks on top of whatever your employer offers. If your workplace gives you 12 weeks of paid parental leave at full salary, you can take that first, then switch to government PPL for another 26 weeks. That's 38 weeks of paid leave between the two.

Some employers let you take half-pay leave, effectively doubling the duration. So 12 weeks at full pay becomes 24 weeks at half pay. You could combine that with PPL running concurrently — receiving both your employer's half-pay and the government's $969.30/week at the same time.

The government PPL is paid by Services Australia directly into your bank account every fortnight. It's completely separate from your employer's payroll. Your employer doesn't need to do anything except confirm your employment dates if Centrelink asks.

One thing to watch: some enterprise agreements or workplace policies require you to take government PPL first, or they offset their leave against the government payment. Read your employment contract carefully. If your employer is reducing their leave by the amount of government PPL, that's legal in some circumstances but not all. The Fair Work Ombudsman has guidance on this at fairwork.gov.au.

You can claim PPL through your myGov account linked to Centrelink. The earliest you can submit your claim is 3 months before your expected due date, and you should aim to get it in before the birth if possible — it speeds up processing considerably.

You'll need your Tax File Number, proof of the birth or adoption (a birth certificate, hospital discharge summary, or Medicare notification), your employer's details for the work test, and your bank account information. If you're claiming as a couple, both parents need to submit separate claims linked to each other.

The work test requires that the birth parent worked at least 10 of the 13 months before the birth, with a minimum of 330 hours in that 10-month period (roughly one day a week). This includes any combination of employment, self-employment, or casual work. Paid leave counts as work.

Processing typically takes 2 to 4 weeks after you submit a completed claim with all supporting documents. Payments are made fortnightly, directly to your bank account. If there are delays, call the Families line on 136 150.

Use our Paid Parental Leave calculator to estimate your total entitlement, including super, before you apply. You can also check your eligibility for Family Tax Benefit and Child Care Subsidy at the same time.