WA Council Rates Payment Plans and Instalment Options

Every WA Council Offers Instalment Options

When your annual rates notice arrives — typically in July or August — you are not required to pay the entire amount in one lump sum. Every local government in Western Australia offers instalment plans under the Local Government Act 1995, and many also run direct debit arrangements that spread the cost across fortnightly or monthly payments with no extra fees.

The standard option is four equal or nearly equal instalments, with the later instalments due at least two months apart. You choose the instalment plan when you receive your rate notice, and the due dates are printed on the notice itself. Paying in full by the first due date sometimes attracts a small discount, depending on your council's policy.

Setting Up a Payment Arrangement

For the standard instalment plan, you usually do not need to apply — you simply pay the first instalment amount by its due date, and the remaining instalments follow the printed schedule. Some councils charge an administration fee and interest on instalment plans. For example, the City of Perth charges a $35 administration fee and 5.5% annual instalment interest on its two- and four-instalment plans.

If the standard four-instalment plan still stretches your budget, ask your council's rates team about a tailored arrangement. Councils like the City of Armadale and City of Swan offer direct payment arrangements at the yearly rate with no additional fees — a practical option that turns a large annual bill into manageable amounts.

To set up a tailored plan, you will typically need to:

1. Call or visit your council's rates office before the first instalment is due
2. Discuss a payment schedule that fits your income cycle
3. Agree to the arrangement in writing (some councils handle this over the phone, others require a signed form)
4. Set up a direct debit or schedule regular manual payments

The key is contacting your council early — before the first due date passes. Councils are far more flexible with ratepayers who ask in advance than with those who simply miss payments.

What Happens if You Fall Behind

Missing a rates instalment without an arrangement in place triggers the council's debt recovery process. Under the Local Government Act 1995, a council may impose penalty interest on overdue rates and service charges if it has resolved to do so, up to a statutory maximum of 11% per year. If the debt remains unpaid, it can be recovered through court proceedings; where rates or service charges have remained unpaid for at least three years, the council may take possession of the land and lease or sell it to recover the debt.

If you are already behind on your rates, contact your council immediately. Most have formal Financial Hardship Policies that allow them to freeze interest charges, halt legal recovery, and set up a catch-up payment plan. You do not need to be in arrears to apply for hardship assistance — you can apply before things get difficult.

Payment Plans and Concessions Work Together

If you hold a Pensioner Concession Card, State Concession Card, or WA Seniors Card, your concession reduces the total amount owed on your rate notice. The instalment plan then applies to the remaining balance after the concession has been deducted.

Pensioners with Tier 1 cards (PCC, SCC, or WA Seniors Card paired with a Commonwealth Seniors Health Card) also have the option to defer their rebated balance — but deferral forfeits the annual rebate and converts the full gross amount into a secured debt on the property title. For most pensioners, paying the rebated amount through instalments is the better option.

For help understanding which concession applies to your situation and how deferral compares to instalment payments, the WA Rates Concessions Guide includes worked calculations for both scenarios.

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