Medicare card holders are paying less for PBS prescriptions, with the patient co-payment for Pharmaceutical Benefits Scheme (PBS) medicines reduced to $25, down from $31.60. This change came into effect earlier this year.
For many households, that means immediate savings at the pharmacy on eligible medicines, particularly for people managing ongoing conditions and filling regular prescriptions.
For Commonwealth concession card holders, the PBS patient co-payment remains at $7.70 per medicine and is frozen until 2030.
Here is how the change works, what it could mean for your budget, and what to know before your next pharmacy visit.
What has changed for Medicare card holders?
The PBS is funded by the Australian Government to subsidise the cost of more than 900 prescription medicines. When you buy a PBS‑listed medicine, the cost is shared between you and the government. The amount you pay at the pharmacy is called the co‑payment.
Recent changes mean the:
- general patient co-payment dropped from $31.60 to $25 for Medicare card holders.
- concessional patient co-payment remains at $7.70 until 2030.
If the full price of a PBS medicine is more than the co-payment (excluding any applicable brand premiums) the government pays the rest.
You may also be able to save more with 60‑day prescriptions. For some PBS medicines, people with stable, ongoing conditions can receive up to two months’ supply on a single prescription. This can reduce how often you need to visit the doctor or pharmacy.
What do the savings look like in real life?
Think about how often you visit the pharmacy. If you have a Medicare card and usually fill:
- two PBS prescriptions a month – you could save around $158.40 a year.
- three PBS prescriptions a month – your saving climbs to around $237.60 a year.
For people managing long-term health conditions like high blood pressure, high cholesterol, asthma or depression, cheaper medicines can also mean less temptation to stretch out doses or skip medicines to save money.
This change helps make sure that no one goes without filling a PBS prescription because of cost.
What about concession card holders?
If you hold a Commonwealth Concession Card, such as a Pensioner Concession Card, Health Care Card, DVA card or similar, you may already pay a lower PBS co-payment.
Your co-payment remains at $7.70 until 2030. You may also be eligible for the PBS Safety Net, which can reduce your prescription costs further once you and your family reach a yearly threshold.
Why do some scripts cost different amounts?
You may see slightly different prices at the pharmacy register. A few behind-the-scenes details explain why.
1. Brand premiums
Many medicines come in several brands that contain the same active ingredient. Some more expensive brands have a brand premium, which is an extra cost charged on top of your PBS co‑payment.
If price is a concern, ask your doctor or pharmacist if there is a lower-priced, generic or alternative brand of the same medicine that is suitable for you.
2. Medicines that cost less than $25
If the full PBS price of a medicine is under $25, the price you pay can vary between pharmacies. This is because medicines that cost less than the co‑payment are subject to normal retail pricing.
It is worth asking what your medicine will cost, especially for prescriptions you refill regularly. Some people choose to compare prices between local pharmacies and online.
3. Non-PBS medicines
Not every prescription medicine is listed on the PBS. If a medicine is not PBS-subsidised, the government does not contribute to the cost, and you pay the full price charged by the pharmacy. Your doctor or pharmacist can tell you which of your medicines are PBS-listed and which are not.
You can also check if your medicine is on the PBS by searching for it on pbs.gov.au
Smart ways to use the savings
Cheaper prescriptions also offer a chance to reset health habits.
1. Book a medication check
Use your next GP visit to go through all current medicines. Ask:
- which scripts are essential
- whether there are generic or lower priced alternatives
- whether your medicine is available on a 60-day prescription.
Pharmacists can also provide medication reviews and help spot double-ups, old scripts or medicines that could be switched to a cheaper brand.
2. Stay on track with treatment
Cost is one of the big reasons people quietly delay refills, split tablets or skip doses. With the co-payment reduction, it may feel easier to:
- fill repeats on time
- follow the prescribed dose rather than stretching medicines out
- talk openly with your GP if costs are still a barrier.
Regular use of prescribed medicines can help keep conditions stable and may prevent hospital stays or complications later on.
3. Look after the bigger health picture
Cheaper medicines are one piece of the wellness puzzle. Pair the savings with these other simple moves:
- keep up to date with GP check-ups and screening tests
- build in regular movement that fits your lifestyle, from walking the dog to dancing in the kitchen
- prioritise sleep and stress management where you can.
Where to get clear answers
If you are not sure how the new rules apply to your medicines:
- ask your doctor when you next discuss prescriptions.
- speak with your pharmacist, who can tell you the exact price of each PBS medicine and explain any brand premiums.
- visit health.gov.au/cheapermedicines for up-to-date government information and examples.
With cost-of-living pressure hitting many households, this is one health saving that can make a practical difference where it counts: at the pharmacy counter.
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