Paid Parental Leave 26 Weeks: Your Complete Guide from 1 July 2026

From 1 July 2026, the Australian Government's Paid Parental Leave (PPL) scheme extends to 26 weeks (130 pay days) — up from 22 weeks that applied from 1 July 2025, and a significant expansion from the original 18 weeks when the scheme was introduced in 2011. This is the final step in the staged expansion legislated under the Paid Parental Leave Amendment (More Support for Working Families) Act 2023. The 26 weeks is paid at the national minimum wage rate, which from 1 July 2025 is $24.10 per hour or $915.80 per week before tax.

The total value of the full 26-week entitlement is approximately $23,811 before tax. This is the government-funded component only — many employers offer additional paid parental leave on top of this under enterprise agreements or company policies.

The 26 weeks can be taken by one parent or shared between both eligible parents, with significant flexibility in how the leave is structured.

To receive PPL, you must meet the work test, the income test, and the residency test. The work test requires that you have worked for at least 10 of the 13 months before the birth or adoption date, and for at least 330 hours in that 10-month period (roughly one day per week). This can include work for multiple employers, self-employment, and casual work.

Real talk: If you do not meet the standard work test, there's a flexible work test for parents who experienced pregnancy complications, premature birth, or workplace hazards that prevented them from working. The income test has an individual income threshold of $175,088 per year (2025-26 financial year). No exceptions.

If your individual adjusted taxable income is above this threshold, you are not eligible for PPL — but your partner may still be eligible in their own right if they meet the tests. There is also a family income test of approximately $367,076 as an alternative for families where one partner exceeds the individual threshold but the combined family income is under this higher cap. The residency test requires that you are an Australian resident, hold a special category visa (New Zealand citizens), or hold a certain temporary visa and are in Australia on the day of birth or adoption. You must also be the primary carer of the child during the PPL period.

The 26-week scheme is designed to encourage both parents to take leave. Of the 26 weeks, 4 weeks are reserved on a 'use it or lose it' basis — 2 weeks reserved for each parent. If one parent doesn't take their reserved 2 weeks, those days are forfeited entirely and cannot be transferred to the other parent.

Here's where it gets interesting. this is a deliberate policy to encourage fathers and non-birth parents to take time off work to bond with their child and share caring responsibilities. The remaining 22 weeks can be shared between eligible parents in whatever proportion they agree on.

Parents can take leave at the same time (concurrent leave) for a portion of the entitlement. Under the current rules, both parents can take up to 4 weeks of concurrent leave, allowing both to be at home together during the initial period after birth. The leave does not have to be taken in a single continuous block. You can take PPL in blocks as short as one day, interspersed with periods of work, as long as the leave is completed within 24 months of the birth or adoption date (this is the bit most people miss).

This flexibility allows parents to, for example, take an initial block of leave, return to work part-time, and then take additional PPL days later. Keep records.

Keeping in touch (KIT) days allow you to perform a limited amount of work during your PPL period without losing your entitlement to PPL payments. You can work up to 10 keeping in touch days during your PPL period. These days are designed for activities such as attending team meetings, participating in training, planning your return to work, or staying connected with workplace developments.

KIT days are voluntary — your employer cannot require you to work a KIT day, and you can't be penalised for declining. You must agree to each KIT day in writing before it occurs.

The short answer? Work performed on a KIT day must be paid by your employer at your normal pay rate — it doesn't replace your PPL payment for that day, so you effectively receive both your PPL payment and your normal wages. You cannot work a KIT day in the first 14 days after the birth or adoption of your child.

If you work more than 10 KIT days, you risk losing your PPL eligibility for the remaining period, so track your days carefully.

KIT days are separate from any return-to-work arrangement — once your PPL period ends and you return to work, normal employment arrangements resume.

Employers have several obligations under the PPL scheme, though the financial cost of PPL is borne by the government, not the employer. When an employee notifies you of their intention to take parental leave, you must provide information about their entitlements under both the PPL scheme and the National Employment Standards (NES). Under the NES (Fair Work Act 2009, sections 70-85), permanent employees with at least 12 months of service are entitled to 12 months of unpaid parental leave (with the right to request an additional 12 months).

Quick version: This is separate from and in addition to PPL. For most employees, PPL payments are made by Services Australia directly to the employer, who then passes them on through normal payroll.

This is called employer-facilitated payment and applies to employers with at least one employee. The employer is responsible for making the correct tax withholding on PPL payments and reporting them through Single Touch Payroll (STP). You must start passing through PPL payments within the first pay period after receiving the funds from Services Australia. Importantly, an employee on parental leave continues to accrue leave entitlements (annual leave, personal leave) for the period they receive PPL, even though they are not performing work.

Their position (or an equivalent position) must be held open for their return under the NES (we get asked about this a lot).

You can claim PPL through Services Australia (formerly Centrelink) via your myGov account. The earliest you can submit a claim is 3 months before the expected date of birth or adoption. For birth parents, you'll need your expected due date (from your doctor or midwife), your and your partner's income details for the relevant financial year, your employment history for the 13 months before the expected birth date, and your bank account and Tax File Number.

Here's the thing. You should submit your claim as early as possible — ideally at least 4 weeks before your expected start date — to ensure processing is completed in time. After the birth, you'll need to confirm the actual date of birth and provide proof of birth.

Processing times vary, but Services Australia recommends allowing 4 to 6 weeks for claims to be assessed. If your claim is rejected, you've the right to request a review within 13 weeks of the decision. For adoptive parents, the process is similar but requires documentation from the adoption agency confirming the placement date. If you're self-employed, you apply directly to Services Australia and payments are made to you rather than through an employer. Worth checking (this is the bit most people miss).

From 1 July 2025, the government pays superannuation on government-funded PPL payments. This was a significant reform — previously, the 18 or 20 weeks of PPL did not attract any super contributions, meaning parents (overwhelmingly women) lost retirement savings during their time caring for a newborn. The super contribution is paid at the prevailing SG rate (currently 12%) on top of the PPL payment.

For the full 26 weeks of PPL at the minimum wage rate of $915.80 per week, the super contribution is approximately $2,857 over the full period. This amount is paid directly into your nominated super fund by Services Australia.

The short answer? While $2,857 may seem modest, over a career with multiple children, the compounding effect is significant — particularly for women, who on average retire with 23% less super than men, largely due to career breaks for caring responsibilities. If your employer offers additional paid parental leave above the government scheme, check whether your enterprise agreement or contract includes super on those employer-funded payments — many do, but it is not guaranteed unless specified.