The Commonwealth Prac Payment represents a game-changing initiative by the Australian Government to support students during mandatory placements. Starting July 1, 2025, eligible students can receive $331.65 per week during their unpaid practical experience.
This payment directly addresses “placement poverty” – a widespread issue where students struggle financially during mandatory work placements. The program targets students in nursing, teaching, midwifery, and social work who often complete 16-26 weeks of unpaid placements to graduate.
How Much Money Can You Actually Receive?
The Commonwealth Prac Payment provides exactly $331.65 per week during your placement period. This amount is benchmarked against the single Austudy rate, ensuring students receive meaningful financial support.
Here’s what you could earn based on your course requirements:
- Nursing students: Up to $6,633 (20 weeks maximum)
- Teaching students: Up to $5,306 (16 weeks for Bachelor’s, 12 weeks for Master’s)
- Midwifery students: Up to $8,623 (26 weeks including continuity of care)
- Social work students: Up to $8,623 (26 weeks maximum)
Who Qualifies for This $330 Weekly Payment?
Primary eligibility requirements for the Commonwealth Prac Payment include being enrolled in specific degree programs and meeting financial criteria. You must be studying a Bachelor’s or Master’s degree in nursing, teaching, midwifery, or social work at an approved institution.
Financial eligibility requires either receiving Commonwealth income support payments (Youth Allowance, Austudy, ABSTUDY, or DVA Education Allowance) OR meeting the “need to work” test. The need to work test means you worked more than 15 hours weekly and earned less than $1,500 per week before tax.
Course-Specific Requirements
Nursing and midwifery students must complete placements averaging 30+ hours per week. Midwifery students are also eligible during continuity of care placements that prevent maintaining paid work.
Teaching students need 16 weeks (Bachelor’s) or 12 weeks (Master’s) of mandatory placement. Social work students require the longest commitment at 26 weeks of practical experience.
The Application Process Made Simple
Application timing is crucial for receiving your Commonwealth Prac Payment on time. Students must apply through their educational institution before starting their placement, with applications opening in late June 2025.
Required documentation varies based on your eligibility pathway. Centrelink recipients need payment statements, while working students must provide employment verification and income evidence from the four weeks prior to application.
Step-by-Step Application Guide
Step 1: Contact your university’s placement coordinator for application forms and specific requirements. Each institution handles applications differently, so early communication is essential.
Step 2: Gather supporting documents including Centrelink statements, employment records, or income verification. Ensure all documentation covers the required four-week period before your placement.
Step 3: Submit your complete application with supporting evidence before your placement begins. Late applications cannot be processed, so early submission protects your eligibility.
Recent Updates and Government Investment
The Australian Government has committed $427.4 million over four years (2024-25 to 2027-28) for the Commonwealth Prac Payment program. An additional $1.2 billion is allocated from 2028-29 to 2034-35, demonstrating long-term commitment to student support.
Prime Minister Anthony Albanese recently confirmed that TAFE nursing students can apply immediately, while university students can apply from July 1, 2025. This early access helps address urgent financial needs in the healthcare sector.
Program Impact and Expectations
The Commonwealth Prac Payment will support approximately 68,000 students across Australia annually. This represents a significant portion of students in eligible programs who previously struggled with placement poverty.
Healthcare workforce shortages drive much of this investment, as unpaid placements often discourage students from completing their studies. The payment helps ensure Australia’s future workforce in critical sectors.
What Costs Does This Payment Cover?
Living expenses during placements become manageable with the Commonwealth Prac Payment. Students can cover rent, groceries, and utilities without relying on savings or family support during unpaid placement periods.
Travel and accommodation costs for placements away from home receive significant relief. Many placements occur in regional areas or require students to relocate temporarily, creating additional financial pressure.
Additional Placement Expenses
Uniforms and equipment required for professional placements add unexpected costs to student budgets. The Commonwealth Prac Payment helps cover these essential items that benefit students throughout their careers.
Reduced working hours during intensive placements mean students lose regular income when they need it most. This payment replaces some lost earnings, allowing students to focus on their professional development.
Important Limitations and Restrictions
Maximum payment periods vary by discipline and cannot be exceeded even if your course requires additional placement weeks. Once you receive the maximum weeks for your field, no additional Commonwealth Prac Payment funding is available.
Allied health students remain excluded from this program despite similar placement requirements. Programs like physiotherapy, occupational therapy, and speech pathology students cannot access these payments.
Income and Asset Testing
Means testing ensures payments reach students with genuine financial need. Students earning over $1,500 weekly or those with significant assets may not qualify regardless of other eligibility criteria.
Existing Centrelink recipients generally qualify automatically but must maintain their current payment status. Any changes to Centrelink payments could affect Commonwealth Prac Payment eligibility.
How This Compares to Other Student Support
Youth Allowance and Austudy continue during placements but don’t address placement-specific costs. The Commonwealth Prac Payment supplements existing support rather than replacing it.
Student Start-up Loans of $1,321 per semester provide broader support but require repayment. The Commonwealth Prac Payment doesn’t need to be repaid, making it more attractive for students.
State-Based Support Programs
Several Australian states offer additional placement support that can complement the Commonwealth Prac Payment. These programs vary significantly, so students should research their state’s specific offerings.
University scholarships and bursaries may also support placement costs. Students should explore all available funding sources to maximize their financial support during placements.
Frequently Asked Questions
Q: When can I apply for the Commonwealth Prac Payment?
Applications open in late June 2025 for placements starting July 1, 2025 or later.
Q: Can I receive this payment if I’m already on Youth Allowance?
Yes, the Commonwealth Prac Payment supplements existing Centrelink payments during eligible placements.
Q: What happens if my placement is longer than the maximum funded weeks?
You receive payment only for the maximum weeks allowed for your discipline, regardless of actual placement length.
Q: Can part-time students access this payment?
Yes, both full-time and part-time students can receive the payment if they meet all eligibility criteria.
Q: Is the Commonwealth Prac Payment taxable income?
Yes, payments are considered taxable income and must be included in your tax return.
Q: Can I apply if I’m studying online?
Only if your course includes mandatory in-person placements that meet the eligibility requirements.
Taking Action: Your Next Steps
Contact your institution immediately to understand their specific application process and requirements. Each university and TAFE has different procedures, and early contact ensures you don’t miss critical deadlines.
Gather required documentation now, even if your placement starts later in 2025. Having documents ready speeds up the application process when submissions open.
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