The Age Pension helps support your retirement with regular fortnightly payments from Centrelink. While you might think it's only for people with limited savings, the Age Pension could be an important part of your retirement income.
You can get the Age Pension if you:
Did you know?
Around 2.6 million Australians receive the Government Age Pension.
Source: Australian Institute of Health Welfare, 31 March 2023
You might be eligible for either a full or part Age Pension. Even if you've got some savings or super, it's worth checking what you could receive.
Being eligible for the Age Pension opens doors to other benefits too - you'll receive a Pensioner Concession Card that gives you discounts on medicines and health services.
If you don’t qualify for the Age Pension, you may still be eligible for a Commonwealth Seniors Health Card (CSHC) which offers similar discounts on healthcare and prescriptions.
Your eligibility can change over time as your income and assets change. So even if you're not eligible now, you or your partner could become eligible later.
The amount you'll receive depends on whether you're single or a couple. These rates change twice a year - in March and September. Read our fact sheet to learn more about payments.
Scroll table horizontally on mobile
| Payment rates as of 20 September 2024 | |
|---|---|
| Single | $1,047.10 per fortnight |
| Couple (each) | $789.30 per fortnight |
| Couple (combined) | $1,578.60 |
| Couple (apart due to ill health) | $1,047.10 |
Source: Services Australia
To apply for the Age Pension, you need to be 67 or older and have lived in Australia for at least 10 years. When you apply for the Age Pension, Centrelink will also apply two types of means tests:
Each test has a limit. If you’re over the limits, you may not be eligible or you may only qualify for a part pension.
Whichever test results in the lower pension will be the one you receive. On the plus side, the home you own and live in isn’t counted as part of the test. One of our retirement experts explains how it works.
Watch this video about how to navigate the Age Pension.
The assets test looks at what you own, including money in the bank, investments, and super. Your home contents and personal assets count too, but at their second-hand value, not what you paid for them.
Scroll table horizontally on mobile
| Financial assets include | Non-financial assets include |
|---|---|
|
|
The income test looks at money coming in from different places. There's actual income - like money from work or rent. Then there's income from your financial assets, which is counted differently. For savings accounts, shares and investments, Centrelink uses deeming rates. This means they assume you earn a set amount, regardless of what you actually receive. These can be changed by the government at any time.
Scroll table horizontally on mobile
| Actual income | Deemed income from financial assets |
|---|---|
|
|
The Age Pension is your safety net if you don't have much super or your super runs out later in retirement. You can apply for the Age Pension while drawing an income from your super through a Retirement Income account. Your super balance and income will affect how much Age Pension you receive through the income and assets tests. Remember, if you withdraw your super as a lump sum and put it in the bank or invest the money, it will still be subject to the income and assets test.
1. Get your paperwork ready
2. Apply early if you can
3. Make your application
If Centrelink asks for more information, you'll have 13 weeks to provide everything they need. Make sure you send all the requested documents together. If you miss the deadline or don't provide complete information, you'll need to start a new application.
Did you know?
You can apply for the Age Pension up to 13 weeks before turning 67. Applying early helps avoid missing out on payments, since the Age Pension isn't paid for the time before it’s approved.
Your Age Pension comes with extra benefits to help with living costs. When you receive the Age Pension, you also get a Pensioner Concession Card that provides discounts on medicine, health and other government services. Even if you don't qualify for the Age Pension, you might be eligible for the Commonwealth Seniors Health Card when you turn 67. This card helps reduce costs for prescriptions, healthcare and transport.
Take a look at the government benefits you might be able to get. Remember to check the specific eligibility criteria for each one.
Scroll table horizontally on mobile
| Eligible for Age Pension | Not eligible for Age Pension | |
|---|---|---|
| Pensioner Concession Card | Yes | No |
| Commonwealth Seniors Health Card | N/A | Yes |
| Rent Assistance | Yes | No |
| Home equity access scheme | Yes | Yes |
| Work Bonus | Yes | No |
Each state offers different discounts for pensioners. These could help with:
We've partnered with Retirement Essentials who can help guide you through the application process. You can also visit a Centrelink office or call their Age Pension specialists.
Yes. Having super doesn't stop you getting the Age Pension, but your super balance and income will affect how much pension you receive through the income and assets tests.
You don’t actually need to be retired to apply for the Government Age Pension. However, you do need to meet all the eligibility tests including the age, residency, assets and income tests. As long as your total income is below the Government’s income thresholds, you could still be eligible for at least a part Government Age Pension. Many people choose to supplement their Government Age Pension with part-time work and also enjoy the social benefits of paid work.
You might be eligible for other benefits, like the Commonwealth Seniors Health Card. Your eligibility can also change over time, so it's worth checking again if your circumstances change. Two things are likely to have changed if you last checked a few years ago. Firstly, the thresholds may have increased. Secondly you are likely to have spent some of your retirement savings if you’ve retired. The combination of these two factors means your eligibility may have changed sooner than expected, so it’s good to check regularly.
Just because you have had your application refused does not mean that you are ineligible. You may be eligible but have not successfully proven so. You can request a review of the decision by contacting Centrelink and asking for an internal review by an Authorised Review Officer (ARO); if you still disagree with the outcome, you can then appeal to the Administrative Appeals Tribunal (AAT) to further review the decision.
Before you reach out to Centrelink carefully read the notification explaining why your application was rejected to understand which criteria you didn't meet. If you believe there was an error, gather any additional documents that might strengthen your case.
Crucially, you must usually lodge your review within 13 weeks of receiving the initial decision notice to potentially receive back payments from the original claim date.
If you're Age Pension age or older and don't qualify for the pension due to your income or assets, you might still be eligible for this card. It gives you access to cheaper medicines and some health services.
Use the Retirement Essentials calculator to learn more about your eligibility.
Your partner might receive a lower pension rate as they'll be assessed as part of a couple. Their payment will be based on both your combined income and assets.
If you’re currently receiving the Age Pension, your super is already assessed as a financial asset and subject to deeming rules. Whether your money remains in your super account or is transferred to a bank account, it is assessed the same way for Age Pension eligibility purposes.
Giving away money or assets can affect your pension under Centrelink's gifting rules. These rules look at gifts over $10,000 per year or $30,000 over five years.
An inheritance will count towards your assets and might affect your pension rate. It's important to let Centrelink know within 14 days of receiving an inheritance.
Understanding how the income and assets tests work can help you make informed decisions about your finances. Aware Super members can check-in with a retirement expert at no extra cost.
While you could be eligible for a bigger payment once you have spent the money on the renovation, it’s possible you could still be eligible for some payments beforehand. You should seek personal financial advice that will take account of your circumstances, objectives and needs before making this decision.
If you’re worried that Centrelink may have made an error with your Age Pension entitlements, there are a few steps you can take:
Yes, if you receive government compensation payments, there’s a good chance they’ll affect your pension. Most compensation payments are considered income and can directly reduce the amount of your pension, depending on the type of compensation and how it's paid (periodically or as a lump sum). It’s common to experience a dollar-for-dollar reduction in your pension for each dollar of compensation received, but it’s a good idea to check with Centrelink to get specific details on how compensation payments might affect your particular Age Pension entitlement.
If you’re of Centrelink Age Pension age, then you are eligible to apply regardless of the age of your partner. You’ll be assessed as part of a couple on the basis of your combined income and assets, and depending on those assessments you could receive some or all of the benefit.
When your partner reaches Age Pension age, they can apply and together you will receive your full payment as a couple.
There are some further advantages such as if your partner’s super is still in accumulation, it won’t be assessed until they turn 67.
Join our experts as they break down super and finances into easy-to-understand topics through our live webinar education series.
Retiring in the next 24 months? You don’t have to go it alone. See how the options you have now could play out down the track.
No matter where you’re starting from, we’ve got expert insights and tools to help you set up for retirement.
