AUS NEWSFares Allowance Explained: The Student Benefit Most Australians Miss

Many Australian students don’t know they could be missing out on significant travel support from Centrelink. The Fares Allowance program helps eligible students cover the cost of traveling between their family home and their place of study, potentially saving hundreds of dollars each year.

Lea Šimić, a 20-year-old student at the Western Australian Academy of Performing Arts (WAAPA), discovered this benefit through a friend and successfully claimed $595 for flights between Sydney and Perth. Her experience highlights how this little-known program can make a real difference for students studying far from home.

What Is the Centrelink Fares Allowance?

The Fares Allowance is a government benefit designed to help Australian students manage travel costs when studying away from their permanent home. This program recognizes that many students must move interstate or to remote areas to access quality education, creating significant financial pressure on families.

Students receiving Youth Allowance, Austudy, or the Pensioner Education Supplement may be eligible for this support. The program doesn’t just cover flights – it includes buses, trains, ferries, and other forms of public transport, making it accessible regardless of your travel preferences or budget.

Real Student Success Stories

Students like Lea have found the Fares Allowance to be life-changing. After moving from Sydney to Perth to study directing at WAAPA – a course rarely offered at undergraduate level in Australia – she worried about maintaining connections with family across the country.

“Being able to come back and forth was really vital for me, because I have a very close connection to my family, and they’re part of the reason why I want to create a very specific art,” Lea explained. The program eliminated the financial burden she would have faced over her three-year course, allowing her to focus on her studies while staying connected to her support network.

How Much Can You Claim Through Fares Allowance?

The amount you can claim depends on your actual travel costs and the type of transport you use. Students can receive reimbursement for flights worth hundreds of dollars – like Lea’s $595 claim – or smaller amounts for ground transport.

Annual Flight Allowances

If you’re on eligible Centrelink payments for three months or more per year, you can claim up to four flights annually:

  • One flight to your study location at the start of the year
  • One flight back home at the end of the academic year
  • One mid-year return trip home
  • One additional return trip during study breaks

Students receiving payments for less than three months per year can claim two flights annually, typically covering travel at the beginning and end of their studies.

Additional Travel Coverage

The program covers more than just flights. You can claim costs for:

  • Ground transport to airports like buses or trains to catch your flight
  • Ferry services between mainland and island locations
  • Coaches and buses for long-distance travel
  • Train journeys including sleeper services for overnight trips

If you took a bus to Sydney Airport, then flew to Perth, you could claim both the flight cost and the bus fare, maximizing your reimbursement.

Who Qualifies for Student Flight Assistance?

Understanding eligibility requirements helps ensure your application succeeds. The program targets students who genuinely need support to maintain their education while living away from family.

Payment Requirements

You must be receiving one of these Centrelink payments:

  • Youth Allowance as a full-time student
  • Austudy for students over 25
  • Pensioner Education Supplement for pension recipients studying

These payments indicate you’re already experiencing financial hardship, making travel support even more valuable for maintaining family connections and educational opportunities.

Study and Residence Criteria

To qualify for Fares Allowance, you must be:

  • Enrolled in tertiary education at an approved institution
  • Living away from your permanent home to attend classes
  • Studying full-time or meeting minimum study load requirements
  • An Australian resident or eligible visa holder

Distance education students who need to travel for compulsory components like practical placements or exams can claim one return trip per course per year.

Step-by-Step Application Process

Applying for Fares Allowance involves straightforward steps, but attention to detail ensures faster processing and payment.

Before You Travel

You can choose to have Centrelink pre-book your travel or pay for it yourself and claim reimbursement later. Pre-booking helps if you’re facing financial constraints, while self-booking often provides more flexibility with timing and airline choices.

Contact the Youth and Students line on your Centrelink account to discuss pre-booking options or get advice about claiming procedures.

Making Your Claim

After completing your journey, submit your claim using the “Fares Allowance tertiary students only” form. You’ll need:

  • Proof of travel including boarding passes and itineraries
  • Tax invoices showing the actual cost paid
  • Evidence of your study enrollment confirming your student status
  • Bank account details for direct payment

Services Australia processes most claims within a few weeks, depositing reimbursements into the same account as your regular student payments.

Documentation Tips

Keep all travel documents organized throughout the year. Take photos of boarding passes immediately after travel, as airlines don’t always provide easy access to historical booking information. Save email confirmations and receipts in a dedicated folder to streamline your claims process.

Maximizing Your Travel Benefits

Strategic planning helps you get the most value from your Fares Allowance entitlement while managing study and family commitments effectively.

Booking Smart for Better Value

Flight prices vary significantly based on timing, routes, and advance booking. Students like Lea emphasize booking early to control costs, especially for popular travel periods like university holidays when demand peaks.

Consider these booking strategies:

  • Book flights during off-peak periods when prices are typically lower
  • Compare different airlines and routes to find the best value
  • Use student discounts in combination with Fares Allowance for maximum savings
  • Plan around university calendars to avoid peak travel periods

Some flights between major Australian cities can cost over $1,000 one way during busy periods, making early planning essential for budget-conscious students.

Connecting Transport Benefits

Don’t overlook connecting transport opportunities. If you need to take a bus or train to reach the airport, these costs are also claimable under Fares Allowance. This comprehensive approach can add significant value to your overall travel reimbursement.

Students in regional areas particularly benefit from this provision, as they often need multiple transport modes to reach major airports or study locations.

Alternative Transport Options

While flights get the most attention, Fares Allowance covers various transport methods that might better suit your circumstances or provide better value.

Ground Transport Solutions

Long-distance bus and train services offer comfortable, affordable alternatives to flying. These options work particularly well for students traveling shorter distances or those who prefer ground-level travel.

Coach services between major cities often include amenities like Wi-Fi and comfortable seating, allowing you to study or rest during travel. Sleeper trains provide overnight accommodation while covering significant distances, potentially saving on accommodation costs.

When Private Transport Applies

In certain circumstances, you can claim private vehicle costs through Fares Allowance. This typically applies when public transport isn’t practical, such as transporting large amounts of belongings to start university or traveling to remote study locations without public transport access.

Services Australia requires justification for private transport claims, but approval covers essential travel needs that public options can’t accommodate.

Frequently Asked Questions

Q: How much money can I claim through Fares Allowance each year?

A: There’s no set dollar limit – you can claim the actual cost of your eligible travel. Students typically claim anywhere from $200 for shorter domestic flights to $595 or more for cross-country travel. Your total annual benefit depends on how many trips you take (up to four return flights if you’re on payments for 3+ months) and the actual cost of those flights. The program reimburses reasonable travel costs, so expensive last-minute bookings are covered just like advance purchase fares.

Q: Can I claim Fares Allowance if I’m studying online but need to travel for exams or practical components?

A: Yes, distance education students can claim Fares Allowance for required travel to their study institution. You’re eligible for one return trip per course per year when you need to attend compulsory on-campus components like exams, practical placements, or intensive workshops. Make sure to keep documentation showing these travel requirements are mandated by your course, as Services Australia will need evidence that the journey was necessary for your studies.

Q: What happens if my flight gets cancelled or delayed – can I still claim the original booking cost?

A: Yes, you can claim Fares Allowance based on your actual travel costs, even if disruptions occur. If you had to book alternative flights due to cancellations, keep all documentation including original bookings, cancellation notices, and new flight confirmations. Services Australia understands that travel disruptions happen and will process claims based on the costs you actually incurred to complete your eligible journey between home and your place of study.

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