A growing number of young Australians are calling for immediate changes to Centrelink’s independence rules, arguing that outdated policies are leaving students without the financial support they need. Rising rent prices, fewer part-time jobs, and increasing university workloads mean more young people are struggling to survive—yet many still fail to qualify as “independent” under Centrelink’s current guidelines.
Why the Current Youth Allowance Rules Are Under Pressure
Students Falling Through the Cracks
The case of Emily Barber, a 19-year-old Melbourne university student, has sparked debate nationwide. Although she lives independently, receives no financial help from her parents, and studies full-time, Centrelink still classifies her as dependent—simply because she is under 22. As a result, her parents’ income is used to reduce her Youth Allowance, despite not contributing to her expenses.
Rising Costs and Fewer Job Opportunities
Emily shares rent with a friend, pays her own bills, and has applied for more than 50 jobs in the past month without success. With Youth Allowance already modest, the additional cut of around $150 per fortnight leaves her struggling to pay for essentials like rent, food and transport. She fears she may soon be forced to move far away from campus, increasing travel costs and limiting her ability to study effectively.
How Centrelink Decides Student Independence
The Rules Most Students Don’t Meet
For most people under 22, Centrelink automatically assumes they are financially dependent on their parents unless they meet specific criteria, such as:
- Working a set number of hours over an 18-month period
- Having certain family or personal circumstances
- Being in a long-term relationship
- Supporting a child
Without meeting these requirements, parental income is always assessed—even when parents provide no money.
Why Advocates Say the Rules Are Outdated
Student groups and welfare organisations argue that these rules were designed for a different era. With rental costs at record highs and student job markets shrinking, many believe it no longer makes sense to classify 18- to 21-year-olds as dependent by default. The National Union of Students and the Australian University Accord have both recommended lowering the age of independence from 22 to 18.
Youth Allowance Access Is Declining
Despite more students enrolling in university, fewer are receiving Youth Allowance. In mid-2024, more than 275,000 students were supported through the payment. By May 2025, the number had fallen to around 162,000. Advocates say this sharp drop reflects how difficult it has become for young people to qualify.
The Department of Social Services maintains that the current means testing ensures support goes to those who need it most. However, critics argue that the system often fails young Australians who pay their own living costs but cannot meet Centrelink’s strict independence criteria.
What Students Want Changed
Key Changes Being Requested
- Lower the age of independence from 22 to 18
- Update parental income thresholds to reflect modern living costs
- Recognise independent living as a valid pathway to independence
- Reduce paperwork and barriers for students who genuinely receive no parental support
Many believe the current system forces young people into financial hardship during one of the most critical periods of their education.
Frequently Asked Questions
What age does Centrelink consider you independent?
Most people are considered dependent until age 22 unless they meet special independence criteria.
Does moving out automatically make you independent?
No. Centrelink does not class a student as independent just because they live out of home.
Why does Centrelink assess parental income?
The rules assume parents can provide financial help until their child turns 22, unless independence can be proven.
Can the independence age be changed soon?
Student groups are campaigning for change, but no official policy update has been announced.
Can students appeal independence decisions?
Yes, but appeals require proof of meeting independence criteria, which remains difficult for many.
Conclusion
Young Australians are raising their voices, saying Centrelink’s independence rules no longer reflect reality. With high living costs and fewer job opportunities, many students who genuinely support themselves are being penalised by outdated policies. As pressure grows from students, universities and welfare groups, the push for reform is stronger than ever. Whether the government updates the rules remains to be seen, but one thing is clear: Australia’s young people are calling for change—and they’re not backing down.