Student Payments Centrelink: Youth Allowance vs Austudy vs ABSTUDY
Compare Centrelink student payments in 2026. Youth Allowance, Austudy, and ABSTUDY rates, eligibility, income tests, and which payment is right for your study situation.
Which student payment is right for you?
Centrelink offers three main payments for students: Youth Allowance (Student), Austudy, and ABSTUDY. Which one you qualify for depends primarily on your age and whether you are Aboriginal or Torres Strait Islander. Youth Allowance (Student) is for full-time students and Australian Apprentices aged 16 to 24. It is the most common student payment and has the widest range of rates depending on your living situation. If you are under 22, your parents' income may also be assessed (the Parental Income Test), unless you are classified as independent. Austudy is for full-time students and Australian Apprentices aged 25 and over. It pays the same rates as JobSeeker Payment and has the same income test structure as Youth Allowance. There is no parental income test for Austudy — at 25, you are automatically considered independent. ABSTUDY is for Aboriginal and Torres Strait Islander students of any age. It generally provides the same payment rates as Youth Allowance or Austudy (depending on your age) but includes additional allowances and benefits not available to non-Indigenous students, such as School Term Allowance, School Fees Allowance, and Away from Base assistance. All three payments require you to be studying an approved course at an approved institution. Approved courses include university degrees, TAFE certificates and diplomas, VET courses, and some secondary school courses. The course must be full-time (at least 75% of the normal study load) or you must be a concessional study load student approved by Centrelink. Use our Benefits Check tool to see which student payment you are eligible for and estimate your fortnightly amount.
Youth Allowance rates (March 2026)
Youth Allowance rates vary significantly depending on your age, living situation, and whether you have dependent children. Here are the current rates as of March 2026: **Under 18, living at home:** $345.10 per fortnight ($8,972.60/year) **18 and over, living at home:** $415.50 per fortnight ($10,803/year) **Under 18 or over 18, living away from home:** $604.50 per fortnight ($15,717/year) **Single with dependent children:** $694.60 per fortnight ($18,059.60/year) The gap between 'at home' and 'away from home' rates is substantial — up to $259.40 per fortnight more if you live away from the family home. To receive the away-from-home rate, you generally need to be living away from home to study and your family home must be too far from your institution to commute daily. You may also receive the following supplements on top of these rates: - Rent Assistance: up to $188.20/fn (single, no children) if you pay rent above the threshold - Pharmaceutical Allowance: $6.40/fn - Energy Supplement: $7.90/fn - Student Start-up Loan: $1,186 per semester (this is a loan, not a grant — it must be repaid through the tax system like HECS-HELP) The Parental Income Test applies if you are under 22 and not classified as independent. Under this test, your parent(s)' combined income reduces your Youth Allowance if it exceeds $58,108 per year. The reduction is 20 cents for each dollar of parental income above the threshold. This means many students from middle-income families receive a reduced rate or no payment at all. To be classified as independent (and avoid the Parental Income Test), you must meet specific criteria such as: being 22 or older, having worked full-time for at least 18 months in a two-year period, being in a relationship, having a dependent child, or meeting the self-supporting criterion.
Austudy rates and eligibility (25 and over)
If you are 25 or older and studying full-time, Austudy is your payment. The rates are the same as JobSeeker Payment because Austudy is classified as an allowance-type payment for working-age people. As of March 2026: **Single, no children:** $762.70 per fortnight ($19,830/year) **Single, with dependent children:** $816.90 per fortnight ($21,239/year) **Partnered:** $693.10 per fortnight ($18,020.60/year) Austudy pays significantly more than Youth Allowance's at-home rate ($762.70 vs $415.50/fn), which reflects the assumption that older students have greater financial needs and no parental support to fall back on. There is no Parental Income Test for Austudy — your parents' income is irrelevant once you are 25. Only your own income (and your partner's income, if applicable) is assessed. The Austudy income test is the same as for Youth Allowance: free area of $150 per fortnight, 50c taper from $150 to $256, and 60c taper above $256. The Student Income Bank allows you to accumulate up to $11,250 in income credits during periods of low earnings, which can offset higher-earning periods (such as working during semester breaks). Austudy recipients are also eligible for Rent Assistance (up to $188.20/fn), Pharmaceutical Allowance ($6.40/fn), Energy Supplement, and the Student Start-up Loan ($1,186 per semester). To be eligible, you must be enrolled in an approved full-time course at an approved institution and making satisfactory progress. If you drop below full-time study load, you must notify Centrelink — you may be transferred to JobSeeker Payment instead.
Income test and Student Income Bank
The income test for Youth Allowance (Student) and Austudy works the same way. Understanding it is essential because most students work part-time and need to know how their earnings affect their payment. The income free area is $150 per fortnight. You can earn up to $150 each fortnight with no reduction to your payment. Above $150: - From $150 to $256 per fortnight: payment reduces by 50 cents for every dollar earned - Above $256 per fortnight: payment reduces by 60 cents for every dollar earned The Student Income Bank is a powerful feature that allows students to earn more during busy work periods (such as semester breaks) without losing their payment. Here is how it works: During fortnights where you earn less than $150, the unused portion of your income free area accumulates as credits in your Student Income Bank. For example, if you earn $0 in a fortnight, $150 is added to your bank. Credits accumulate up to a maximum of $11,250. When you earn above $150 in a fortnight, your Student Income Bank credits are used to offset the excess income. For example, if you have $3,000 in your Student Income Bank and earn $600 in a fortnight, $450 of credits are used to offset the excess, meaning your assessable income is effectively $150 — no payment reduction. This is extremely valuable for students who work intensively during holidays and minimally during semester. A student who works for 12 weeks over summer earning $1,000/fn would accumulate significant income bank credits during the 26 weeks of semester when they earn little, substantially reducing the payment impact of their holiday earnings. Partner income is also assessed. If your partner earns above the partner income free area, your payment may be reduced regardless of your own income.
ABSTUDY: additional benefits for Indigenous students
ABSTUDY provides income support for Aboriginal and Torres Strait Islander Australians who are studying or undertaking an Australian Apprenticeship. It is available at all age levels, from primary school through to postgraduate study. The base payment rates for ABSTUDY Living Allowance are generally the same as Youth Allowance (for students under 25) or Austudy (for students 25 and over). However, ABSTUDY includes several additional allowances and benefits that are not available under other student payments. Additional ABSTUDY benefits include: School Fees Allowance (covers tuition and boarding fees for secondary students), School Term Allowance ($266.90 per school term for primary and secondary students), Fares Allowance (travel costs between home and study location), Away from Base assistance (costs associated with attending residential schools, field trips, and placements away from home), Incidentals Allowance (for textbooks, equipment, and other study materials), and Pensioner Education Supplement (if you are also receiving a qualifying pension). ABSTUDY has more flexible independence criteria than Youth Allowance. Aboriginal and Torres Strait Islander students may be classified as independent at a younger age and under broader circumstances, reflecting the unique experiences and challenges faced by Indigenous students. To apply for ABSTUDY, you need to provide confirmation of your Aboriginal or Torres Strait Islander heritage. This is usually done through a signed declaration from an Aboriginal or Torres Strait Islander organisation, or from a community elder. You do not need a specific percentage of heritage — self-identification accepted by the community is sufficient. ABSTUDY claims can be more complex than Youth Allowance or Austudy claims, and processing may take longer. Consider contacting an Aboriginal or Torres Strait Islander education provider or the ABSTUDY line (1800 132 317) for assistance with your application.
How to apply and maximise your student payment
To apply for Youth Allowance (Student), Austudy, or ABSTUDY, submit your claim online through myGov linked to Centrelink. Go to Payments and Claims, Make a Claim, and select the 'Students and Trainees' category. You will need your enrolment confirmation, Tax File Number, bank account details, and income information. Timing matters: apply before your course starts if possible. Your payment start date is generally the date you submit your completed claim, or your course start date, whichever is later. If you apply late, you cannot backdate your payment beyond the submission date. To maximise your student payment: 1. Check your independence status. If you can be classified as independent, you avoid the Parental Income Test (for under-22s) and may receive a higher rate. Work history, relationships, and other factors can establish independence. 2. Claim Rent Assistance. If you are living away from home and paying rent, CRA adds up to $188.20/fn to your payment. Many students forget to claim this. 3. Use the Student Income Bank strategically. Try to minimise earnings during semester and concentrate work during breaks when your Income Bank balance is high. 4. Apply for the Student Start-up Loan. While it is a loan (repaid like HECS), the $1,186 per semester provides useful cash flow for textbook and equipment costs. 5. Check if you qualify for other payments too. If you have children, you may be eligible for Family Tax Benefit and Child Care Subsidy on top of your student payment. Use our Benefits Check tool to see everything you qualify for. For information about student employment rights, pay rates for casual and part-time work, and workplace entitlements, visit FairWork Mate at fairworkmate.com.au. For budgeting tools to help manage student finances, visit Savings Mate at savingsmate.com.au.
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Official resources
General information and estimates only — not financial, tax, or legal advice. Always verify with Services Australia.
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