30% cut on PBS
As announced in the October 2022 Federal Budget, from January 1 this year, Pharmaceutical Benefits Scheme (PBS) medications now cost $30 per prescription, down from $42.50. This is the first time in its 75-year history that the maximum amount consumers will have to pay has decreased. The savings are significant. If you fill one PBS script monthly, over a year, you could save $12.50 a month or $150 annually. Those needing two or more regular scripts will clearly save much higher amounts. However, it is worth noting that the above changes apply to ‘general’ patients, as opposed to ‘concessional’ ones.
What does this mean?
Concessional or general?
The PBS is a national program, supported by the Australian Government. It subsidises certain medicines so that they become more affordable to the majority of the population. They can be accessed by all Australians with a Medicare card who have a script for one of the listed PBS medicines.
You are a concessional patient if you hold a:
- Pensioner Concession Card
- Commonwealth Seniors Health card
- Health Care Card, or a
- Department of Veteran’s Affairs (DVA) card.
The co-payment for the above card holders will remain at $7.30 per script.
If you are a general patient, your co-payment will now change, from $42.50 to $30.
How does this change affect your PBS safety net?
The PBS safety net thresholds were increased in line with the Consumer Price Index on January 1, 2023. The new safety net thresholds are:
- $262.80 for concession card holders (see above) and
- $1563.50 for general patients.
Other savings?
Since January 2016 pharmacists are allowed to discount the PBS co-payment by $1 on each script filled. For concessional patients this changes the price from $7.30 to $6.30, and for general patients the script can now be discounted from $30 to $29.
What do you need to do?
You do not need to do anything as your pharmacist will recognise your status (general or concessional) and apply the required discount. You do however need to apply for the safety net if this becomes available to you. And you can research which pharmacies are offering the extra $1 per script discount if yours does not.
Need to know more?
The Department of Health and Aged Care offers a handy summary of all things to do with the new PBS rules.
We have not received a 2023 PBS card yet. – should we be worried.
(We need to change pharmacist).
Hi Trevor, thanks for reaching out! You will receive new cards 1 month before your current ones expire. If that does not happen you should call Centrelink on 132 300 to request new ones.
The prescriptions for Pensioners went up to help pay for the reduction in the pbs How unfair is this? We can’t afford this. Do they have any idea how hard it is for us as it is. ?
Hi Jenny, you’ve answered my question as my scripts have gone from $5.80 to $6.30, .50c doesn’t seem much but between the 2 of us it’s at least an extra $3 a month.
Could you please tell me the difference between a health care card and a Commonwealth Seniors Health Card? Which card is Better?
Hi my name is David Janeway, I’m a self funded retiree, and receive no benefits, most people I talk to that receive all the benefits they are entitled to , normally say I earned to much when I was employed, my answer to them is no ,I say sorry I get penalised for having payed to much TAX , they have no answer to that , just wondering if I’m wrong
Kindest Regards D, Janeway
I’m confused, have prescriptions gone up or down. I used to pay $5.80 now I pay $6.30.
A lot of general patiens purchase perscription medications which cost less than $42.50, therefore they receive no assistance at all.
Some chemists(Chemist Warehouse and Pharmacy 4 Less) charge $1 less than the std fee ($6.80 now $7.30).
I am a self funded retiree so the reduction in cost is good for people with full cost scripts and chronic diseases such as asthma ,glaucoma, some diabetes medication as these were all$42.50 with the government subsidising the rest. However the safety net has not been adjusted to reflect the change and we need 52 full price scripts to reach concession scripts and those with a card only need 36 scripts before they are free for the rest of the year .I am old enough to remember when general patients paid $5per script and concession patients paid $2.50!
I was charged $6.80 for my last scrip 2 weeks ago.