Deeming rates are lowering on 1 May 2020

18 March 2020

When the deeming rate lowers, your payment amount may increase.

We use a 2 tiered deeming rate to work out income from your financial assets. The rate that applies to you depends on the value of your financial assets.

On 1 May 2020 the deeming rates will drop from:

  • 1.0% to 0.25% for the lower tier
  • 3% to 2.25% for the higher tier.

These changes are part of the Australian Government’s response to coronavirus (COVID-19), announced on 22 March 2020.

Read about how we work out your deemed income, based on your circumstances.

Next steps

You don’t need to do anything. If you have deemed income, we’ll apply the new deeming rates. You may then see a change in your regular payment rate.

Read more:

Page last updated: 9 April 2020