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Home Business and Finance

Centrelink Parental Leave Changes 2025 – What Aussie Parents Need to Know About More Pay & Super

by News Desk
June 27, 2025
in Business and Finance, Top Stories
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If you’re expecting a baby or planning to adopt, the recent Centrelink Parental Leave Changes bring good news. In July 2025, important updates are coming, there will be more Parental Leave Pay. In addition, superannuation will be paid on Parental Leave Pay by the ATO.

This means extra support for new parents, because let’s be honest, raising a child is expensive!

More Paid Parental Leave – Get 10 Extra Days!

Starting 1 July 2025, new parents will get 120 days (24 weeks) of paid leave, up from the current 110 days. That’s an extra two weeks to bond with your little one.

What’s New for Centrelink Parental Leave Changes?

  • More time – Now there will be more reserved days, so the recipients can share the early parenting journey together.
  • More flexibility adjusted – In the new change, both parents can take leave together.
  • Pre-birth claims still apply – If applied before July 2025, the recipients will get 110 days of leave. However, if a baby is born after 1 July 2025. 10 days will be added to the balance.
Centrelink Parental Leave Changes
Centrelink Parental Leave Changes: Aussie families will benefit from increased parental leave payments in 2025. (Photo by Scott Barbour/Getty Images)

So, if your baby arrives in July 2025 or later, congratulations! You’ll get a little more paid time off—no extra paperwork needed.

Super Contributions – Finally

The super contributions will be based on the SG rate plus an interest component.

To be eligible, you must receive Parental Leave Pay for a child born or adopted on or after 1 July 2025. Claims for Parental Leave Pay will continue to be made through Services Australia. They will let the ATO know how much Parental Leave Pay you’ve been paid.

The ATO will then pay the super contribution after the end of the financial year in which you get the Parental Leave Pay, starting from July 2026. In most circumstances, the ATO will pay the contribution to your current superannuation fund.

You should check your personal details are up to date with Services Australia, the ATO and your super fund. 

How Does it Work?

If your baby is born or adopted after 1 July 2025, Centrelink will automatically send 12% of your Parental Leave Pay to your super.

Payments start in July 2026 (since they pay after the financial year ends).

Sharing leave? No worries—each parent gets super contributions on their share of the leave.

It’ll go straight into your current super fund, so you don’t need to do anything.

What Do You Need to Do?

Honestly? Not much. Centrelink handles it all—just apply for Parental Leave Pay like normal. If you want to update your super fund details, check the ATO website.

Key Takeaways for Centrelink Paid Parental Leave Changes

These Centrelink parental leave scheme changes are a win for parents! More paid leave, super contributions, and better flexibility—it’s about time.

If you’re expecting a baby, now’s the perfect time to check your Centrelink benefits and make sure you get everything you’re entitled to.

For more details, visit MyGov or the Services Australia website.

Tags: Centrelink Parental Leave Changes
News Desk

News Desk

The Australian Business Journal News Desk covers stories both nationally and internationally, highlighting the work of entrepreneurs, thought leaders, business owners and creatives.

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