The new Age Pension rates, taking effect from 20 September 2011 are set out in the tables below. Note that ‘pf’ stands for ‘per fortnight’. The Age Pension rates are adjusted twice-yearly – in March and September.
Age Pension rates
| Single (pf) | |||
| 20 March 2011 | 20 Sept 2011 | Increase | |
| Base | $670.90 | $689.00 | $18.10 |
| Supplement | $58.40 | $59.80 | $1.40 |
| Total | $729.30 | $748.80 | $19.50 |
| Couple (each pf) | |||
| 20 March 2011 | 20 Sept 2011 | Increase | |
| Base | $505.70 | $519.40 | $13.70 |
| Supplement | $44.00 | $45.10 | $1.10 |
| Total | $549.70 | $564.50 | $14.80 |
Source: Centrelink and FaHCSIA website (www.fahcsia.gov.au)
Age Pension basic rates – transitional rules
Due to a tightening of the
The new transitional rate is indexed to the Consumer Price Index (CPI) increases in March and September. According to Centrelink and FaHCSIA (Department of Families, Housing, Community Services and Indigenous Affairs), the notional maximum pension for transitional rate pensioners from 20 September 2011 is $667.20 per fortnight for a single pensioner and $1,077.60 per fortnight combined for pensioner couples. This rate excludes Rent Assistance.
Note: If you’re on the transitional Age Pension rate, you will be assessed under the old and new rules, until
| Age Pension transitional rates | |||
| Resident in Australia | |||
| 20 March 2011 | 20 September 2011 | Increase | |
| Single (pf) | $650.90 | $667.20 | $16.30 |
| Couple (each, pf) | $525.70 | $538.80 | $13.10 |
| Not resident in Australia or absent for period of greater than 13 weeks | |||
| 20 March 2011 | 20 September 2011 | Increase | |
| Single (pf) | $597.00 | $611.90 | $14.90 |
| Couple (each, pf) | $498.70 | $511.20 | $12.50 |
Source: The information contained in this table was sourced from this link.
Many of the rates and thresholds that are linked to the Age Pension were also adjusted from 20 September 2011. Click on this link to find the latest indexed rates (effective from 20 September 2011) for the following rates and thresholds:
- Age Pension income test (also see SuperGuide article Age Pension: Income test thresholds increases up to 3 times a year)
- Age Pension assets test (also see SuperGuide article Age Pension: Assets test thresholds increases up to 3 times a year)
- Pension Bonus Scheme
- Allowances
- Rent assistance
See also
- Age Pension: September 2009 rates and thresholds now available
- Age Pension: Assets test thresholds increase up to 3 times a year
- Age Pension: I have moved states. Do I get the same amount of pension regardless of where I live?
- Age Pension: Income test thresholds increase up to 3 times a year
- Super rates and thresholds for the 2011/2012 year
I am after information on a small amount of super and what benefits I and my wife are entitled to from centrelink as I am about to lose my job. We are both in our early sixties
Hi Jim
Thanks for your email. I’m sorry to hear that you’re about to lose your job.
Centrelink (www.centrelink.gov.au) has some excellent fact sheets to get you started, including fact sheets on how super benefits affect your entitlements. On our website, the best place to start is to type in ‘Age Pension’ into our search function at the top right-hand corner of our site.
I have selected a few articles (see below) to get you started). I would also consider making an a appointment with the Financial Information Service, a free information service funded via Centrelink that can assist you with some of these issues. You can arrange for an information officer to meet you face-to-face. You can contact them on: 13 23 00
Note that the Age Pension for men is only available from the age of 65.
Some articles to get you started:
http://www.superguide.com.au/superannuation-basics/age-pension-income-test-does-my-superannuation-lump-sum-count
http://www.superguide.com.au/superannuation-basics/repay-debts-with-super-then-claim-age-pension
http://www.superguide.com.au/superannuation-basics/age-pension-march-2010-rates-now-available
http://www.superguide.com.au/retirement-planning/age-pension-deemed-income-may-rise-with-interest-rates
I wish you all the best
Regards
Trish
I am 63 yrs and 3 months, my husband is applying for the Aged pension in August, I would like to know how my super income stream pension and my super fund will affect his pension. I thought my super and pension was not counted in his assets or income test because I am under pension age. Is this true? I will be 64 next February. Bev
Why doesn’t Australia have a part or reduced payment plan for age 60.. like many European and Asian countries that we would consider “3rd world” ??
I would like to know why married pensioners are discriminated against to the amount of $l76.30 per week. It is impossible to survive in your own home on the amount we get. Would you advise me to
divorce my husband of 44 years, so that we are not living so far beyond the poverty line.
Hi Judith
Thanks for your comment.
In September 2009, the Government adjusted the Age Pension for single people so it is now 2/3 of the couple’s rate: before this date, the gap was smaller between what couples received (per person) and what singles received. The increase in the single pension was in recognition that many fixed costs are the same for a single person or couple.
Whether the couple’s rate is sufficient or not, is something you can take up with your local member of Parliament.
You may find the following article of some interest (note that the rates mentioned have been updated since this article was published – you can find the latest rates in other SuperGuide articles)
http://www.superguide.com.au/superannuation-basics/age-pension-government-retirees
I hope you do pursue this matter because I receive a lot of emails expressing similar sentiments.
Regards
Trish
I’m just having a cursory look at your Australian pension rates to compare with our Canadian Old Age security benefits, and, unless I’m missing something, the Aussies beat us Canadians “hands down”!!
Based on zero income from other sources, Canadian Old Age Security rates combined with the G.I.S. (Guaranteed Income Supplement) that begin at 65 yrs. old, can be found here:
http://www.servicecanada.gc.ca/eng/isp/oas/tabrates/tab1-1.shtml
Aus$, Cdn$ and U.S.$ are all near par with each other, so — no need to convert currencies.
I’m still confused: What rate is applied when only one member of a married couple is eligible and the couple are not resident in Australia? Thank you
Hi Duncan
Thanks for your comment. Although we often have articles on our website about the Age Pension, we cannot provide specific advice on this issue.
In response to your question however, I can offer the following information:
1. If one member of a couple is eligible, then the maximum Age Pension payable is half of the couple rate
2. If couple are not resident in Australia, then you need to be mindful of certain issues. See links below:
http://www.centrelink.gov.au/internet/internet.nsf/payments/age_residence.htm (you must be resident in Australia or an agreement country)
http://www.centrelink.gov.au/internet/internet.nsf/international/pension_agreements.htm (Q and As and agreement countries))
http://www.fahcsia.gov.au/about/mediareleases/2011/Pages/rates_indexation_march_2011.aspx (pension rates and assets and income tests are different for non-residents)
You will need to verify your personal circumstances and entitlements with Centrelink.
Regards
Trish
Hi Trish,
When i retire at 65, and my wife who dosn’t work but is seven years younger than me, does that mean i only get the single pension rate till she gets to the qualifying age.
Thanks
Peter
Hi Peter
Thanks for your comment. I suggest you contact Centrelink – they should be answer to this question immediately.
In some circumstances, an individual may receive the full couple rate even though only partner is eligible.
My understanding is that the usual rate is half of the couple rate, rather than the single rate.
Centrelink can answer this more fully.
Regards
Trish
Hi, I am on a disability pension and my husband is on an old age pension, as we still have a mortgage and we have no funds or superannuation, we are finding the going pretty tough. If my husband was able to pick up a little work here and there how much are we able to earn above the amount we get each fortnight. Just the standard pension without rent assistance.
Hi Janelle
Thanks for your email and I’m sorry for the delay in responding.
I suggest you contact the FInancial Information Service (a free service linked to Centrelink that can assist you with these calculations) and take your different scenarios.
The following article also outlines the income you can earn with sacrificing Age Pension amounts
http://www.superguide.com.au/superannuation-basics/age-pension-income-test-thresholds-increase-up-to-3-times-a-year
Regards
Trish
Hello
Are pensioners required to pay tax on there pension only income if it exceeds the tax free threshold of $6,000.00 which it easily does compared to someone who only earns $30,000.00 and who has to pay tax after the threshold and the reasons why.
Thanks
Helen
Hi Helen
Sorry for the delay in responding to your email.
The tax payable on income is also affected by the low income tax offset and, if over Age Pension Age, the Senior Australians Tax Offset.
The following articles should assist you:
http://www.superguide.com.au/retirement-planning/%e2%80%98no-tax%e2%80%99-in-retirement-because-you-sato-2
http://www.superguide.com.au/superannuation-basics/income-tax-rates-for-20112012-and-20122013-years
Regards
Trish
I have a story to tell
I have been an Australian citizen since 1970, and lived in Victoria and Queensland over this time, (never left Australia).
In late August 2008, at age 62, I left my employment and came to live in Thailand, been here for the last 2 years, and planning to stay here a few more years.
In August this year 2011 I returned to Australia for two weeks and lodged my age pension forms, thinking that as an Australian Citizen and after having spent almost 40 years in the country, I would be able to claim it. To my surprise I received notification from Center link stating that my application was declined because I did not live in Australia for the last 2 years ??????
I am not a mathematician, but 3/4 of my life was spent in Australia believing that I belonged to the pack (proud Australian) , then I left the country for 5 minutes, and by pure magic I lost my rights.
I am totally confused, they have asked me to live in Australia for 2 years before I can claim it !!!!! what happened to almost 40 years that I lived there ????
The mighty Australia, the crusader of human rights, the world leader in everything and anything, the lucky country, the , the ,the…………(to many virtues and qualities to list here) is conveniently ROBBING me of my basic rights ????
It seems to me that Center link , and policy makers have difficulty understanding the terms “Citizenship” and “Residency”
Citizenship is a privilege given by any government to a citizen allowing him to live in a country .
Residency is a privilege that any citizen should have in deciding where one wants to live.
Conveniently the Australian government (Center link) is using the loophole of “residency) to refuse to pay Old Age Pension if one does not live in Australia two years prior of claiming OAP.
I lived in Australia for 40 years, (continually) worked, pay my dues, and lived as perfect citizen, but regrettably two years before reaching age 65 I lived in Thailand, and by pure magic I lost the right to claim OAP.
One does not have to be a mathematician, but 40 years is far greater than 2, are they STUPID ???????? I don’t think so, in fact I think they are very smart (or at least they think they are.
Now if a Citizen lived in Australia lets say for 5 years, left the country for 30 years, but decided to return to Oz for two years ,(prior to lodge a claim) he/she is entitled to receive the OAP …..OOPPS !!!!! I should have warned you………my mathematical skills are not the best.
As we say back home …..they need to (STOP THE B… S…)
Old Age pension is just that “OLD AGE PENSION) , no b… s…, no loop holes, no ifs & buts, no trickery, and above all AUSTRALIA (I mean Politicians) don’t insult our intelligence……….WE MADE THE COUNTRY THAT AUSTRALIA IS.
A child would tell you that anything that has strings attached is NOTHING BUT A CON, PERIOD.
Don’t insult our intelligence.
(Scrap the two year ruling), 20,30 or 40 years in the country is far greater then 2 years, don’t have to be a rocket scientist to understand that.
Centre link and Politicians must come to their senses, and “CALL A SPADE A SPADE” no strings attached, they already have a rotten reputation , they invented corruption, now they want us to follow in their foot steps and then wonder why people rot the system.
God bless Australia
A very disgruntled Australian
Hi Pino
Thanks for your comments, and yes the detail involved in applying for the Age Pension can be tricky and unfair.
I will be expanding on the 2 year requirement in a future article.
Regards
Trish
I am confused about the rate if one partners is at retirement age and the other is younger but not working. You said it is half the couples rate, This less that the single rate by my reckoning. Is this right?
Hi Mary
The general rule is that if one partner is at Age Pension age and the other partner is under Age Pension age, then the maximum entitlement for the eligible partner is half of the couples rate. The younger non-working couple may be eligible for an alternative Centrelink benefit but it is best to confirm your circumstances with Centrelink. The Financial Information Service ( http://www.centrelink.gov.au/internet/internet.nsf/services/fis.htm ) can also provide you with free guidance on your entitlements.
Regards
Trish