Changes to income thresholds
The income thresholds used to calculate the private health insurance rebate will increase from 1 July 2023.
Before this date, the threshold had remained unchanged for eight years and had remained at the 2014–15 levels during this period. This means that some individuals and families who were previously ineligible for the rebate may now be eligible, while others who were eligible may now be ineligible.
Rebate Percentage Rates
Understanding the income threshold and rebate percentage rate for the private health insurance rebate is essential for determining your entitlement.
To determine your rebate entitlement, you can use the Private Health Insurance Rebate Calculator available on the Australian Government’s Private Health Insurance Rebate webpage.
Remember, your family status on the last day of the income year (30 June) determines whether the single or family income thresholds apply to you. If you were single on 30 June but had dependent children, you are considered a family and will be income tested using the family income thresholds.
2023–24 Income thresholds
| Family status | Base tier | Tier 1 | Tier 2 | Tier 3 |
| Single | $93,000 or less | $93,001 – $108,000 | $108,001 – $144,000 | $144,001 or more |
| Family | $186,000 or less | $186,001 – $216,000 | $216,001 – $288,000 | $288,001 or more |
Overall, these income thresholds play a significant role in determining the amount of tax an individual or family will be required to pay each financial year. It is important to stay informed about these thresholds to ensure that you are meeting your tax obligations and avoiding any penalties. If you have any questions or concerns about your tax obligations, it is recommended that you seek advice from a qualified tax professional.