Leslie Massey
Welfare in Australia includes income support for seniors, aged care services, the disability support pension, NDIS and carer payments, family tax benefits, parenting payments, childcare subsidies, and paid parental leave. In 2019, there were 2.5 million people over the age of 65 receiving the age pension. According to a 2025 article, around 5 million Australians receive some sort of income support. However, this figure does not include those receiving childcare assistance but not family tax benefits. If children are counted as welfare recipients, then around 44% of the total population receives some form of government benefit. Liberal Democrat Senator David Leyonhjelm has stated that half to two-thirds of Australians receive government benefits, but this claim has been disputed.
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What You'll Learn
Recipients by age
Age is a significant factor in determining the need for welfare. In 2021, the Australian Census reported that 1.46 million people (5.8% of the population) had a core activity need for assistance, an increase from 1.2 million people (5.1%) in 2016. The proportion of people needing assistance increases with age, from 1.4% of those under four years old to 49.2% of those aged 85 and above. Tasmania, with its older population, has the highest proportion of people requiring assistance at 6.8%, while the Northern Territory, with its younger demographic, has the lowest rate at 3.6%.
The elderly make up the majority of welfare recipients in Australia. Over 2.5 million people over 65 receive the age pension, and the government spends more on pensions and age payments than any other type of welfare. The age pension age was increased from 65 to 67 in 2017, allowing more people to continue receiving the Disability Support Pension and JobSeeker until they turn 67.
Young people are also significant welfare recipients. In 2013-14, 41% of children in single-parent families were in relative income poverty, compared to 13% in two-parent families. As of June 2016, about 46,500 children were in out-of-home care. The NDIS program, which assists people with disabilities in finding employment, has a large number of child participants. More than 278,000 NDIS participants are 14 or younger, and another 58,000 are aged 15 to 18.
Welfare support is also provided to parents and families. Approximately 2.5 million people receive some form of Family Tax Benefit, and assistance to families, including Family Tax benefits, parenting payments, childcare subsidies, and paid parental leave, totals $37.4 billion.
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Recipients by gender
While an exact figure for the number of welfare recipients in Australia is not readily available, it is estimated that around five million Australians receive some sort of income support. This includes the age pension, with 2.5 million people over the age of 65 receiving this benefit.
When it comes to gender, women are more likely than men to experience physical and/or sexual violence by a current or former cohabiting partner, with one in six women reporting such experiences since the age of 15 compared to one in 18 men. This dynamic is also reflected in homelessness data, where 92% of clients seeking assistance from specialist homelessness services due to family and domestic violence were women and children.
In terms of health and disability, around one in five Australians have a disability, and nearly nine in ten people with a need for assistance have a long-term health condition. The most commonly reported long-term health conditions include arthritis (31.7%) and mental health conditions (29.3%). It is important to note that the impact of disability on a person's life can vary, and disability may limit their engagement in various aspects of life, particularly for those with a high need for assistance.
While specific figures for gender breakdown among welfare recipients are not readily available, it is clear that women and children are overrepresented in certain areas, such as experiencing family and domestic violence and seeking homelessness services. Additionally, the impact of disability and long-term health conditions on welfare recipients cannot be overlooked, with a significant number of people requiring assistance in core activities.
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Spending by category
The Australian government's expenditure on welfare is substantial, with over $180 billion set aside for social security and welfare payments in 2019-2020. This constituted a four percent increase in welfare spending from the previous year and accounted for 36% of total government expenditure.
The government spends the most on pensions and aged payments, with over $70.2 billion allocated to aged welfare payments in 2019-2020, a four percent increase from the previous year. This money primarily funds income support for seniors and aged care services. Approximately 2.5 million people over the age of 65 receive the age pension.
The second-highest expenditure is on the disability support pension, with just over $47 billion allocated in 2019-2020. Around 750,000 Australians receive the disability support pension, with most recipients aged 35 to 54. The share of NDIS participants on the disability support pension decreased from 77% to around 70% between 2018 and 2022.
The Australian government also provides substantial assistance to families, with $37.4 billion allocated in 2019-2020. This covers family tax benefits, parenting payments, childcare subsidies, and paid parental leave. Approximately 2.5 million people receive some form of family tax benefit.
Income support for the unemployed and the sick is another significant category, with $10.8 billion allocated in 2019-2020, reflecting a $358 million increase from the previous year.
In addition to these categories, the government provides support to address specific issues such as family and domestic violence, homelessness, and overcrowding in housing for Indigenous households.
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Recipients by state
Tasmania has the highest proportion of people who reported needing assistance (6.8%), closely followed by South Australia (6.7%). This is due to the older age profile in these states, where around two in ten people are aged 65 or over. In contrast, the Northern Territory has the lowest proportion of people requiring assistance (3.6%) due to its younger population, with less than one in ten people aged 65 or more.
In 2015, Indigenous people living in very remote areas were 1.4 times more likely to receive a government pension or allowance as their main source of income than those living in major cities.
As of 2019, older Australians make up the bulk of welfare recipients, with 2.5 million people over 65 receiving the age pension. More than $70.2 billion is allocated for aged welfare payments, with the majority going towards income support for seniors and aged care services.
Around 750,000 Australians receive the Disability Support Pension, with most recipients aged 35 to 54. The share of NDIS participants on the Disability Support Pension decreased from 77% to 70% between 2018 and 2022.
Approximately 2.5 million people receive some form of Family Tax Benefit, with $37.4 billion allocated for assistance to families. This includes Family Tax Benefits, parenting payments, childcare subsidies, and paid parental leave.
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Recipients by Indigenous status
Indigenous Australians experience disproportionately high rates of welfare dependence compared to non-Indigenous Australians. While Indigenous Australians comprise approximately 3.3% of the total population, they are more than twice as likely to experience deep and persistent disadvantage.
In 2015, Indigenous people living in very remote areas were 1.4 times more likely to be unemployed and 1.5 times more likely to receive a government pension or allowance as their main source of income compared to Indigenous people living in major cities.
Indigenous households are also significantly less likely to own their homes, with a homeownership rate of less than half the national average. They are more than twice as likely to rent, more than seven times as likely to live in social housing, and more than three times as likely to live in overcrowded dwellings.
The proportion of Indigenous people living in overcrowded housing has decreased in recent years. In 2001, 31% of Indigenous people lived in overcrowded housing, compared to 19% in 2021.
While there is limited recent data on the specific number of Indigenous welfare recipients, it is evident that Indigenous Australians face higher rates of welfare dependence and socioeconomic challenges compared to the general population.
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Frequently asked questions
As of 2019, around 2.5 million people over the age of 65 receive the age pension. In total, around five million Australians receive some sort of income support. However, if children are counted as welfare recipients, then the number rises to 10.2 million people, or 44% of the total population.
According to the 2021 Census, 1.46 million people (5.8% of the population) reported needing assistance with at least one of the core activities of self-care, communication, and mobility. This was an increase from 1.2 million people (5.1%) in 2016.
As of 2019, over 750,000 Australians receive the Disability Support Pension.
It is hard to say, as different sources provide different numbers and there are discrepancies in the way data is counted. Some sources state that the number of people on welfare is increasing, while others state that it is decreasing.
