Discover the staggering amount the Australian government spends on welfare each year

Making ends meet is tough enough as it is, but it's an even bigger challenge for Aussies who rely on government welfare to get by.

If you've ever found yourself wondering how much of the taxpayer's money goes into social security and welfare in Australia, you may be surprised to learn that it’s a staggering amount.



In fact, according to reports, the government spends more on welfare than education, health and defence.

Treasurer Jim Chalmers recently unveiled a whopping $15 billion package of welfare increases to help tackle the rising cost of living, and this was part of a long-term plan to allocate even more funds to welfare.


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Statistics reveal how much the government spends on welfare. Credit: Tara Winstead/Pexels

Statistics revealed that over the past five years, welfare has accounted for a third of overall government spending.

Estimates also suggested that over $205 billion will be spent on social security and welfare from 2023 to 2024, a 20 per cent increase since 2018/2019.



According to reports, welfare spending also skyrocketed to approximately $227 billion from 2020 to 2021, with this increase largely attributed to programs such as the Pandemic Leave Disaster Payment.

Although spending has declined since the pandemic, it's still significantly higher than it was before the crisis began.


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It was unveiled that there would be an enormous shake-up to welfare in the new budget. Credit: Dany Kurniawan/Pexels

This comes after Treasurer Jim Chalmers announced a major budget shake-up from Centrelink and Medicare to retirement savings.

Among the many measures introduced to address the cost-of-living crisis, Jobseeker payments will see an increase of $40 per fortnight.



Additionally, more than five million households will be eligible for up to $500 in a cost-of-living rebate.

Government welfare spending, which covers aspects such as JobSeeker payments, child care subsidies, family tax benefits, pension spending and the National Disability Insurance Scheme, consistently outpaces expenditure in other sectors.

It's always tough to make ends meet, so these welfare measures are an incredibly welcome addition to help Aussies in financial difficulty.

This report comes after it was announced that the Coalition is backing the government’s proposition of a $40 fortnightly increase to JobSeeker and Youth Allowance payments.

This would provide some much-needed relief to the hip pockets of over a million Australians on welfare, including seniors. Moreover, the extra $92.10 a fortnight currently received by people over 60 will now also be offered to people over the age of 55.

You can read the rest of the story here.
Key Takeaways
  • The Australian government spends more on social security and welfare than any other area, with figures set to increase under the current Labor administration.
  • Welfare spending, including JobSeeker payments, child care subsidies, family tax benefits, and pension spending, consistently outstrips expenditure in other areas such as education, health, and defence.
  • Over the past five years, welfare has accounted for over a third of all government expenditure, with estimates suggesting over $205 billion will be spent on social security and welfare in 2023/24.
  • Treasurer Jim Chalmers recently announced a $15 billion package of welfare increases, aiming to tackle the cost-of-living crisis by raising Jobseeker payments and offering cost-of-living rebates to over five million households.
If you feel like you might need some additional assistance from the government when it comes to covering the cost of living, don't be afraid to look into it.

There are plenty of government benefits available, such as the Pensioner Concession Card, which will give you access to a range of other discounts, as well as the Commonwealth Seniors Health Card, which provides access to discounts on a range of prescription and over-the-counter medications.

What do you think about this, members? Share your thoughts in the comments!
 
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It would be extremely interesting to see an actual breakdown of these figures. How much is actually paid out to recipients as against how much is paid to public servants (and consultants) involved in administering the system, including both not-for-profit and for-profit Job Network Providers, who seem to duplicate much of what is done directly by the department?
 
I would like to know, or understand why if there are more positions vacant than there are unemployed why are there so many people on the dole? The other question is why are people living assisted housing their entire life, I thought it was meant to be assistance for them only until they got on their feet and were able to move on.
 
I would like to know, or understand why if there are more positions vacant than there are unemployed why are there so many people on the dole? The other question is why are people living assisted housing their entire life, I thought it was meant to be assistance for them only until they got on their feet and were able to move on.
There are multiple issues which contribute to this apparent mismatch.
1. The definition of being unemployed means less than one hour of paid employment in a week. Many people these days work somewhere between that and enough hours to pay for the basic necessities of life, so they receive top-up Jobseeker payments.
2. People with disabilities who are not sufficiently disabled to get DSP account for about 40% of those receiving Jobseeker payments.
3. Mismatch of skills, training, experience and job requirements.
4. Other barriers include those with caring responsibilities, transport issues (particularlyin rural/regional areas where public transport is minimal or non-existent), and lack of accommodation within a reasonable distance from available work.
5. Ageism.
6. Someone who already has a part-time position but wanting more work but unable to juggle existing hours against another job often has to decide whether to continue in that position in order to take up a "better offer" which may not work out, leaving them without any employment.
 
Bloody-mindedness to at least consult those people (often individuals) who approach our government with time tested suggestions, because they do not fit in with government guidelines, is what is behind a lot of our government's ongoing failings.

The STUBBORN REFUSAL by successive governments to accept what could prove to be highly beneficial advice is behind a lot of our ongoing woes. There are Millions of Australians, but they don't dare ask us for answers or accept advice because they seem to feel that they should know all of the answers. Good leaders accept consultation, but our mob don't seem keen to listen at all.

Especially if an idea, no matter how practical it is does not originate from a particular faction of their leadership, let alone the opposition, or God forbid, just an everyday citizen, with evidenced experience in the issue in question. This ongoing bloody mindedness is what is at fault.

And so "just like the old cartoon "the wizards apprentice"(an old Mickey mouse cartoon) Mickey Mouse ideas, waved around continue to cause issues to arise and splash around in Parliament, just like in the Wizards castle" and even if we are awash with money the problems continue to mount.

I truly believe that our nations ongoing problems won't be resolved until a few Wizard ideas are implemented that mickey mouse doesn't have time for, because he's too busy.

And so, short-term solutions that have no basis in commonsense knowledge, continue to be orchestrated, while the quite easy to be resolved issues remain unattended.

Waving the magic wand of more and more money, without any heed to alternative plans for our Nation, is the main fault. But there is no interest at all, in hearing from us.

It is next to impossible to get into an interview situation where ideas from the general public, may be scrutinized and assessed, as everyone really is too busy dealing with the problems to have any time to consider solutions that I know for a fact are constantly being offered.

The think tank is more like a Petrie dish, because only time spent closely associated with an issue, gives it depth.

And as Napoleon Bonaparte is famous for saying "Only in Politics," is stupidity an asset.

ha ha ha
 
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As many have suggested earlier, compulsory military service for a start , would be a good idea, for those who choose to leave school, with no intention of getting a job or seeking any qualifications such as a trade etc.
This would perhaps give them some direction in life, or the incentive to get off their lazy backsides and contribute to society.
There are many countries where you are required to do military service, whether or not you a have a job, so I don't see what is wrong with making those.who are unemployed, by choice, pull their weight
 
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Discipline is most definitely required. I was most definitely heading in the wrong societal direction myself, when I was 16 years old. Family was just a word, and the crowd I hung around with did all sorts of antisocial things that though I never joined into, I was starting to feel why not.

Nobody could discipline me I got slapped and beaten at home for just commenting and was struck at primary school and often during 3 years of high school. I was badly bullied, kicked punched tripped scorned pushed over often and so as time moved on, I developed a very bad temper (A PINK FIT).

Highly aggressive Neighbours lived both sides of me, 6 on one side 4 on the other, all boys my age and older, that were Hoods and Hoons and because I didn't like them, they didn't like me.
I tricked my parents into my doing Martial Arts because I was greatly outnumbered, and something was bound to happen one day. Instantly things started to change for me, because I had to accept discipline, to learn what I needed to learn.

That was back in 1970. I wrote a book (one of many over the years about human action and behavior) called the "True Value of Martial Arts for Self-Development" through Lulu.com.

The reason I wrote it is to help parents to deal with children with discipline and Anger management issues, because I know how my attitude to life changed around and I wanted to help.

Should anyone with people of any gender or age with similar issues in their life, feel to change things, this inexpensive book, which is heavily invested with pictures, hopefully identifies how. It's not just the instruction that changes people it takes more than that.

One cannot rage against others in a room with a highly talented teacher there to help, and a room full of people who have been there and understand...

just saying..
 
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As many have suggested earlier, compulsory military service for a start , would be a good idea, for those who choose to leave school, with no intention of getting a job or seeking any qualifications such as a trade etc.
This would perhaps give them some direction in life, or the incentive to get off their lazy backsides and contribute to society.
There are many countries where you are required to do military service, whether or not you a have a job, so I don't see what is wrong with making those.who are unemployed, by choice, pull their weight
Was just having a further thought on my comments about conscription and realised this will never happen as the young ones would never want it, and neither political party have the balls to bring it in. Wouldn't it be lovely if these people who go into politics really did this because they genuinely wanted to do what is best for the country.
Imagine if both parties could actually agree to stand together and do something good for a change, instead of each party disagreeing with each other, whether it is a good idea or not.
We can always dream!!!
 
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I am sure it includes all the job agencies and domestic violence centers, and other centres who collecting money for no work.
 
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I am sure it includes all the job agencies and domestic violence centers, and other centres who collecting money for no work.
I agree that when I was job searching that NOT ONCE as in ever was a job EVER offered to me that I had not seen myself beforehand and considered if it was a viable option or not.

About 12 years ago, I created a paper titled "to all service Providers" LAMINATED it, and either directly placed it on their front counters, or I posted it out to every one of them.

Basically, it identified that in order for a person to regain worthwhile employment it is best advised that EXISTING skills be considered should the person have prior experience over time and wish to return to what best serves both themselves and their employers if they so choose.

I wrote that to continuously send people out to jobs they have no prior knowledge in and no capacity to do, is to continue the cycle and suggested that he way to shorten the unemployment que may appear to be to get people to stand closer together, however this is an impermanent solution.

Listen to your clients I wrote, because we want jobs more than you want us to get jobs. All we ask is you act on our behalf to assign us work that will instantly benefit both us and our employers... or words to that effect.

The case worker I had at the time laughed and showed me the laminated paper and said, "You wrote this Didn't you?' I agreed that it certainly reflected my views on the subject, however it could have been written by anyone.
 
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I agree that when I was job searching that NOT ONCE as in ever was a job EVER offered to me that I had not seen myself beforehand and considered if it was a viable option or not.

About 12 years ago, I created a paper titled "to all service Providers" LAMINATED it, and either directly placed it on their front counters, or I posted it out to every one of them.

Basically, it identified that in order for a person to regain worthwhile employment it is best advised that EXISTING skills be considered should the person have prior experience over time and wish to return to what best serves both themselves and their employers if they so choose.

I wrote that to continuously send people out to jobs they have no prior knowledge in and no capacity to do, is to continue the cycle and suggested that he way to shorten the unemployment que may appear to be to get people to stand closer together, however this is an impermanent solution.

Listen to your clients I wrote, because we want jobs more than you want us to get jobs. All we ask is you act on our behalf to assign us work that will instantly benefit both us and our employers... or words to that effect.

The case worker I had at the time laughed and showed me the laminated paper and said, "You wrote this Didn't you?' I agreed that it certainly reflected my views on the subject, however it could have been written by anyone.
I'm not sure who your service provider is but here in WA a lot of this work is done by APM.
They also do the plans for the NDIS.
They are useless at that also
When living in the city NDIS required an assessment on my daughter, for over 18 months I chased APM trying to find out who and where I could get this done. Noone ever got back to me
We moved to the country so my daughter's plan needed to be changed, for over 6 months I rang APM, again no one ever returned my calls. I drove to their office, some 90 minutes away, the girl in the area that handles job search told me there was only one person handling NDIS and they were only there one day a month.
When I asked where they were the rest of the time she said Joondalup, another 90 minutes away. In frustration I rang my local member. Wish I'd thought of that earlier.
Voila, next day I had a phone call from the complaints officer from the NDIS .
When he said who he was I must admit I was a bit sarcastic and commented that ,"you must be a very busy man".
Oh, the joys of dealing with government departments!!
 
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