What is the Age Pension
The Government Age Pension is a regular fortnightly income from the Australian Government that helps eligible older Australians pay for basic living expenses.
It’s called the “retirement safety net” for a reason. Around 58%1 of Australians over the age of 65 receive either a part or full Government Age Pension.
READ MORE: HOW SUPER WORKS WITH THE AGE PENSION
Age Pension eligibility
You’ll need to meet eligibility requirements set out by the Australian Government before you can receive your first pension payment. These include:
- your qualifying or eligibility age for the Age Pension (also known as the ‘pension age’)
- your residential status
- your assets and/or income.
For detailed information on the Government Age Pension eligibility, please see below.
Have you reached qualifying age
To be eligible for the Government Age Pension, you must be at least 67 years or older.
Are you an Australian Resident
I’m an Australian Resident
You must be an Australian resident and in Australia on the day you apply for the Age Pension. You also need to have been an Australian resident for at least 10 years.
I’m not an Australian Resident
There are a few circumstances where you may still be eligible. Visit the Centrelink website to find out more.
Centrelink use the Asset test and the Income test to work out the pension payments you may receive. The tests are compared, and the one that results in the smaller pension payment is applied.
What assets do you own
Services Australia will use your assets to determine your Age Pension eligibility and payments.
The thresholds in the table below are valid as at 20 March 2025 and are indexed on a regular basis
| If you're | Full Age Pension if your assets are below | No Age Pension if your assets exceed | ||
|---|---|---|---|---|
| Home owner | Non-home owner | Home owner | Non-home owner | |
| Single | $314,000 | $566,000 | $697,000 | $949,000 |
| Couple (combined)2 | $470,000 | $722,000 | $1,047,500 | $1,299,500 |
Which type of assets may be taken into account
The value of these assets may be taken into account once you’ve reached the qualifying age for Age Pension
Real estate you own
apart from your principal residence (generally up to the first 2 hectares of land it's on).
Financial investments
including cash, shares, term deposits and bonds.
Life interests
the right to receive an income or use an asset for the rest of your life.
Granny flat deposit
money or asset you transfer to live in a granny flat for the rest of your life.
Super accounts
owned by you or your partner if/at over pension age
Retirement village deposit
money you pay to live in a retirement village.
Other assets
including motor vehicles and licences; life insurance policies; hobby collections; cryptocurrencies; household and personal items, e.g. computers and jewellery.
Gifts
assets or money given away to your family or friends that exceed either $10,000 in a single financial year or a total of $30,000 over 5 financial years.
Retirement income account
like a Choice Income account.
Business assets
if you’re in a business partnership or you’re a sole trader.
How much income do you earn
You may earn up to a certain level of income before your Age Pension payments start decreasing. The Income test includes all sources of income, including but not limited to employment income, investment income, superannuation funds if you've reached Age Pension age, reportable super contributions and some Centrelink payments. Deeming rules are used to work out income from your financial assets. The income is added to your other income before the income test is applied.
| Family situation | To receive the maximum Age Pension, your income must be below: | You won’t receive the Age Pension if your income exceeds: |
|---|---|---|
| Single | $212 a fortnight | $2,510.00 a fortnight |
| Couple (combined)2 | $372 a fortnight | $3,836.40 a fortnight |
Please consider your own circumstances and refer to the Services Australia website for income that may be assessed.
Social Security deeming rates
A simple rate is applied to ‘deem’ the amount of interest you have earned from your financial assets. The calculation is used to determine how much to include as income under the income test.
If you’re single, the first $62,600 of your financial assets has the deemed rate of 0.25% applied. Anything over $62,600 is deemed to earn 2.25%. If you’re part of a couple and at least one of you get a pension, the first $103,800 of your combined financial assets has the deemed rate of 0.25% applied. Anything over $103,800 is deemed to earn 2.25%.
For details visit the Services Australia website.
What is the Work Bonus
The Work Bonus is a Government incentive to keep older Australians in the workforce. It lets you earn up to $300 a fortnight and save any unused amount up to a maximum of $11,8003 each year before your Age Pension payments are reduced. This amount is not counted under the Income test. So, if you keep working part-time, you could supplement the Age Pension and use less of your super.
- Australian Institute of Health and Welfare, 31 March 2023.
- Different limits apply for couples separated due to illness
- Services Australia, 1 January 2024.