Australia’s Paid Parental Leave Just Took a Giant Leap Forward

Australia’s Paid Parental Leave Just Took a Giant Leap Forward.

Bringing a new baby into the world is a huge milestone, and it comes with plenty of challenges, but financial support does not have to be one of them. If you’re preparing for parental leave, here’s everything you need to know about Australia’s expanded government-funded Paid Parental Leave (PPL) program, a fantastic benefit designed to support growing families.

Important Changes From 1 July 2025

Kicking off on 1 July 2025, Parental Leave Pay in Australia increased to 120 days (24 weeks) for children born or adopted on or after that date. This update also includes:

  • An increase in the number of days partners can take off at the same time, allowing more shared leave and promoting stronger family bonds.
  • An increase in the number of days reserved specifically for partners, ensuring they have dedicated time to care for their child and support the primary caregiver.

These changes deliver greater flexibility for families, encouraging shared caregiving responsibilities that benefit both parents and children.

What Is to Come?

From 1 July 2026, eligible parents can access up to 26 weeks of government-funded PPL , that’s 6 months based on a standard 5-day week. Payments are made at the national minimum wage, which in 2025–26 will be $189.62/day or $948.10/week. This amount is set to increase in 2026. Having such an extended leave period is a game changer for Australian families seeking work-life balance and quality time with their newborn.

Pay Breakdown

  • 2024–25: $183.16/day
  • 2025–26: $189.62/day

Shared Care Options

The PPL scheme encourages both parents to take leave. From 1 July 2025, at least 3 weeks of the total 24 weeks must be used by the second parent. From 1 July 2026, this increases to 4 weeks. These weeks are reserved for the second parent and cannot be transferred to the primary caregiver, reinforcing the importance of shared parenting and support networks within families.

Superannuation Included — A Major Change Starting 1 July 2025

Starting 1 July 2025, a huge and groundbreaking change takes effect: superannuation contributions will now be paid on Parental Leave Pay. This means that while you’re taking time off to care for your new child, you’re also building your retirement savings.

This is a significant step toward closing the retirement savings gap between men and women and ensures that time spent on parental leave counts toward your long-term financial security. It’s a win-win for families and future finances alike.

When and How Payments Are Made

You can submit your claim up to 3 months before your baby is due or placed in your care. Payments can be made:

  • By your employer (if registered with Services Australia), or
  • Directly to you every two weeks by Services Australia.

Why It Matters — Pinnacle People Proudly Supports Families

Taking time off to care for your new child is incredibly important, and with a solid financial safety net in place, families can focus on what really matters.

With extended leave, shared care options, and superannuation included, Australia’s PPL program offers meaningful, family-friendly support. Pinnacle People warmly welcomes these changes and is dedicated to supporting families, helping working parents balance career and family life, and making it easier to thrive both at home and at work.