The 2020 valuation report provides insights into how the Australian population at 30 June 2020 is likely to use welfare in the future.
The report reveals that Australia’s future total lifetime cost is around $5.6 trillion as at 30 June 2020.
To compare changes in estimated future lifetime costs from the previous year, the Priority Investment Approach has reproduced the results of the 2019 Valuation Report using an updated modelling process. This change shows a 1.8 per cent overall reduction in the projected lifetime cost of welfare from 2019 to 2020.
The reduction reflects changes in the economic outlook outlined in the 2021-22 Budget, including the predicted indexation rate for social security payments.