How to Set Up Centrepay Deductions in 2024: A Complete Guide for Managing Goods and Services

Centrepay is an invaluable service for Centrelink recipients, offering a simple, no-cost way to manage bill payments directly from welfare payments. Whether it’s rent, utilities, or other essential services, Centrepay ensures that payments are made automatically, so recipients don’t have to worry about falling behind. This guide will walk you through setting up and managing Centrepay deductions in 2024, providing you with tips on how to make the most of this useful tool.

What is Centrepay?

Centrepay is a free, voluntary service available to Centrelink recipients, allowing them to automatically deduct payments for essential services from their welfare payments. This includes payments for rent, utility bills, and other regular expenses. The aim is to make managing household finances easier by ensuring bills are paid automatically before recipients receive their Centrelink payments.

Centrepay covers many essential services, including:

• Rent payments
• Utility bills (electricity, water, gas)
• Healthcare expenses
• School fees and childcare costs
• Insurance premiums

The service is entirely free for Centrelink customers, with no fees or hidden charges. Businesses cannot pass transaction costs onto customers, making Centrepay a budget-friendly option for managing your payments.

How to Set Up Centrepay Deductions

Setting up Centrepay deductions is simple. There are three main ways to do so:

1. Through myGov:
   If you have a myGov account linked to Centrelink, you can set up deductions easily. Simply log in to myGov, select the business you want to pay, specify the deduction amount, and confirm your payment schedule.
2. Using the Centrelink App:
   The Centrelink Express Plus app lets you manage, set up, and cancel deductions directly from your phone.
3. In-Person or by Phone:
   Visit a Services Australia Centre or call the Centrelink helpline to set up deductions with the help of a representative.

When setting up your Centrepay deduction, you’ll need to provide:

• Your Centrelink Customer Reference Number (CRN)
• Business details (account or bill number, business name, and contact details)
• The amount you wish to deduct (minimum $10)
• The Centrelink payment from which the deduction will be made
• An end date or target amount, if applicable

Managing Your Centrepay Deductions

Centrepay gives you flexibility, allowing you to adjust your deductions as needed. You can:

• Change the deduction amount
• Pause payments for up to 13 weeks (ideal if you’re temporarily out of work or facing financial hardship)
• Cancel deductions at any time

If you pause your deductions, they will automatically resume after the suspension period ends. It’s important to ensure you have an alternative payment plan in place if you decide to cancel deductions, to avoid missing payments.

What Can You Pay With Centrepay?

Centrepay can be used to pay for a range of services that have been registered with Services Australia, including:

• Rent and housing: Direct payments to landlords or property managers
• Utility bills: Gas, water, electricity, and other utilities
• Healthcare: Medical services, health insurance premiums, and dental expenses
• Education: School fees, uniforms, and related educational costs
• Insurance: Home, car, and contents insurance premiums

If a business isn’t registered with Centrepay, you can request them to sign up, provided they meet the eligibility requirements.