Pharmaceutical Benefits Scheme (PBS) in Australia
Reviewed by the Commoner Law Editorial Team. Sourced from Commonwealth Acts of Parliament, federal regulations, and official government guidance. State-level information reflects each state's own Acts and court decisions. Written in plain language for general understanding — this is educational content, not legal advice. Our editorial standards
What is this right?
The Pharmaceutical Benefits Scheme (PBS) subsidises the cost of most prescription medicines in Australia. It runs under Part VII of the National Health Act 1953, administered by Services Australia, and is one of the longest-running federal subsidy programs.
You pay a maximum co-payment per prescription:
- General patients: up to $31.60 per script
- Concession card holders: up to $7.70 per script
The PBS Safety Net kicks in once your total PBS spending in a calendar year crosses a threshold:
- General patients: after $1,637.20, the co-payment drops to the concession rate for the rest of the year
- Concession card holders: after 48 prescriptions (or $369.60), PBS medicines become free for the rest of the year
Not every medicine sits on the PBS. A medicine has to be assessed by the Pharmaceutical Benefits Advisory Committee (PBAC) and listed on the PBS Schedule before it gets subsidised — and that listing process is where most of the slow public debates about new and expensive drugs play out.
When does it apply?
- You hold a valid Medicare card.
- Your doctor prescribes a medicine that is listed on the PBS Schedule.
- If you hold a Pensioner Concession Card, Health Care Card, or Commonwealth Seniors Health Card, you pay the lower concession co-payment.
What to Do If Your Prescription Medicine Is Too Expensive Under the PBS in Australia
- Present your Medicare card and any concession card at the pharmacy when filling a PBS prescription.
- Ask your pharmacist if a cheaper brand (generic) of your medicine is available on the PBS — the active ingredient is the same.
- Keep records of every PBS prescription you fill to track your progress toward the Safety Net threshold.
- Register your family as a Safety Net family through Services Australia so all family members' prescriptions count toward the same threshold.
- Request a Safety Net card once you reach the threshold — your pharmacist can help you apply.
What should you NOT do?
- Don't assume every medicine is subsidised — only medicines listed on the PBS Schedule are covered.
- Don't forget your concession card at the pharmacy — without it, you will be charged the general co-payment.
- Don't stockpile medicines — PBS rules generally limit you to one month's supply per prescription.
- Don't throw away receipts — you need them to prove your spending if applying for the Safety Net.
Use the jurisdiction bar at the top of the page to pick your state — you'll see how state law differs from Australian federal law.
6 states available
Common Questions
When does pharmaceutical benefits scheme (pbs) apply?
You hold a valid Medicare card.Your doctor prescribes a medicine that is listed on the PBS Schedule.If you hold a Pensioner Concession Card, Health Care Card, or Commonwealth Seniors Health Card, you pay the lower concession co-payment.
What should I do if my prescription costs more than expected or is not covered by the PBS in Australia?
Present your Medicare card and any concession card at the pharmacy when filling a PBS prescription.Ask your pharmacist if a cheaper brand (generic) of your medicine is available on the PBS — the active ingredient is the same.Keep records of every PBS prescription you fill to track your progress toward the Safety Net threshold.Register your family as a Safety Net family through Services Australia so all family members' prescriptions count toward the same threshold.Request a Safety Net card once you reach the threshold — your pharmacist can help you apply.
What mistakes should I avoid with pharmaceutical benefits scheme (pbs)?
Don't assume every medicine is subsidised — only medicines listed on the PBS Schedule are covered.Don't forget your concession card at the pharmacy — without it, you will be charged the general co-payment.Don't stockpile medicines — PBS rules generally limit you to one month's supply per prescription.Don't throw away receipts — you need them to prove your spending if applying for the Safety Net.
Pharmaceutical Benefits Scheme (PBS) in other states
Same topic, different jurisdiction. Pick the one that applies to you.