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Home / In retirement / Age Pension / Age Pension rates (March 2021 to September 2021)

Age Pension rates (March 2021 to September 2021)

March 26, 2021 by Barbara Drury 40 Comments

Reading time: 6 minutes

On this page

  • Latest Age Pension rates (from 20 March 2021)
  • How the Age Pension works
  • What happens if only one member of a couple is eligible?
  • When is the next Age Pension increase?
  • How often is the Age Pension paid?
  • Can you get an advance payment of the Age Pension?
  • Can you also get rent assistance?
  • Transitional Age Pension rates
  • Age Pension rates for non-residents

Despite the growth in superannuation over the past three decades, the Age Pension is still a significant source income for most Australian retirees. According to Rice Warner, roughly 39% of Australians of Age Pension age receive the full Age Pension and a further 24% receive a part pension.

So how much income does the Age Pension provide?

Latest Age Pension rates (from 20 March 2021)

The rates for a full Age Pension for Australian residents for the period 20 March 2021 to 19 September 2021 are listed below:

  • Single: $952.70 per fortnight (approximately $24,770 per year)
  • Couple (each): $718.10 per fortnight (approximately $18,670 per year)
  • Couple (combined): $1,436.20 per fortnight (approximately $37,341 per year)
  • Couples separated due to illness each receive the Single rate (see above), which combined is $1,905.40 (approximately $49,540 per year)

Note: Annual amounts are estimated by multiplying fortnight amounts by 26. The figures above include the pension and energy supplements.

From 20 March 2021 the maximum full Age Pension increased $8.40 per fortnight for a single person, and $6.30 per person per fortnight for a couple.

The tables below provide more detail in terms of the latest increase and how the Age Pension is broken down. 

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Age Pension rates for a single person

AmountIncrease
Maximum base rate$868.30$7.70
Maximum pension supplement$70.30$0.70
Energy supplement$14.10–
Total (per fortnight)$952.70$8.40

Age Pension rates for a couple (living together)

Amount (each)Increase (each)Amount (combined)Increase (combined)
Maximum base rate$654.40$5.80$1,308.80$11.60
Maximum pension supplement$53.00$0.50$106.00$1.00
Energy supplement$10.60–$21.20–
Total (per fortnight)$718.10$6.30$1,436.20$12.60

Source: Department of Human Services. Applicable 20 March 2021 to 19 September 2021

See later in the article for transitional and non-resident Age Pension rates.


Try our Age Pension calculator to get an indication of your potential Age Pension entitlements.


How the Age Pension works

To qualify for the Age Pension in Australia you must have reached Age Pension age (which depends on your date of birth but is currently 66), satisfy Australian residency rules, and pass both an income test and an assets test. Depending on your level of income and the assets you own, you may qualify for either a full or part Age Pension.


Assets test

To qualify for a full Age Pension as a single person your assets must also be valued below $268,000 if you own your own home, or $482,500 if you don’t own your own home. You can still be eligible for a part Age Pension if your assets are worth less than $585,750 if you own your own home, or $800,250 if you don’t own your own home.

For a couple to qualify for the full Age Pension, your combined assets must be below $401,500 if you own your own home, or $616,000 if you don’t own your own home. You can still be eligible for a part Age Pension if your assets are worth less than $880,500 if you own your own home, or $1,095,000 if you don’t own your own home.

Learn more about how the assets test works.


Income test

To qualify for a full Age Pension as a single person your income must be below $178 per fortnight (approximately $4,628 per year), but you can still be eligible for a part Age Pension if you earn less than $2,083.40 per fortnight (approximately $54,168 per year).

For a couple, to qualify for the full Age Pension your combined income must be below $316 per fortnight (approximately $8,216 per year), but you can still be eligible for a part Age Pension if you earn less than $3,188.40 per fortnight (approximately $82,898 per year).

It’s important to note that you can earn up to $300 per person per fortnight from working and this amount is not included in the Age Pension income test. This is known as the work bonus.

Learn more about how the income test works.


If you are over the threshold limits for a full Age Pension in either the assets or income tests (or both), your Age Pension will be based on the test that delivers the lower amount. For example, if you are eligible for $400 per fortnight according to the assets test, and $500 per fortnight through the income test, then the assets test ($400 per fortnight) will apply.

What happens if only one member of a couple is eligible?

This is a common question. If you’re in a living arrangement with your partner and only one of you is eligible for the Age Pension, do you receive the single rate or half of the combined couple rate?

The answer is you will be assessed under the income and assets tests as a couple and, if eligible, you will receive half the combined couple rate. This is best illustrated with an example.


Example

Bill reached his pension eligibility age of 66 years in July 2019. He meets the Age Pension residency requirements and passed both the assets and income tests for couples, not reaching the threshold limits of either one. He is eligible for the maximum Age Pension rate. However, his partner Sue is only 62 and she is therefore not yet age-eligible for the Age Pension.

Bill would be entitled to the maximum Age Pension rate of $654.40 for each person in a couple living arrangement. He would also be entitled to the maximum pension supplement of $53.00. He would not be eligible for the energy supplement.


If you receive the Age Pension, you’ll automatically be paid a pension supplement. You’ll receive the maximum rate if you’re eligible to receive the full pension, but if you’re only eligible for a part pension (for example if your income or assets exceed the thresholds in the Age Pension income or assets tests), your pension supplement will be reduced proportionally until it reaches the minimum amount.

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The minimum pension supplement amounts per fortnight for single and couple part pensioners are provided in the table below.

SituationMinimum pension supplement
Single$37.80
Couple living together$28.50 each
Couple separated due to illness, respite or prison$37.80 each

Source: Department of Human Services

You can arrange to have the pension supplement paid quarterly rather than fortnightly if you prefer, to help you budget for regular quarterly bills like electricity.

Unlike the Age Pension supplement, the energy supplement is only available to certain Age Pensioners. If you’re receiving the Age Pension, you aren’t eligible for the energy supplement if you have a Commonwealth Seniors Health Card (CSHC) issued after 20 September 2016. If you received your CSHC before this date, you’re still eligible to receive the energy supplement.

If you are eligible for the energy supplement, you’ll receive the same amount whether you’re on a full or part Age Pension. Payments differ only based on whether you’re single or part of a couple, as outlined in the table at the top of this article.

When is the next Age Pension increase?

The Age Pension rates will next potentially change on 20 September 2021. Increases are likely but not certain because the Australian Bureau of Statistics evaluates these increases based on changes in the Consumer Price Index (CPI), Male Total Average Weekly Earnings, and the Pensioner and Beneficiary Living Cost Index. In September 2020 the Age Pension rates did not increase, although that was for the first time since 1997.


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Age Pension rates and the upper thresholds for the assets and income tests used to determine eligibility for a part Age Pension are adjusted in March and September each year. The lower limits used to determine eligibility for the full Age Pension change in July each year.

How often is the Age Pension paid?

The Age Pension is normally paid fortnightly, but you can apply to the Department of Human Services (via Centrelink) to receive weekly payments if you are:

  • Homeless (or risk becoming homeless)
  • Having trouble managing your money.

Can you get an advance payment of the Age Pension?

Yes. If you’ve been receiving the Age Pension for at least three months, you can apply to get one to three advance payments. If you’re approved, in any six-month period you’re entitled to receive the following amounts if you’re receiving a full pension:

Living arrangementLowest amount
(you can receive three of these payments)
Highest amount
(one can receive one payment of this amount)
Single$446.40$1,339.20
Couple$336.50$1,009.50

If you’re receiving a part Age Pension, the amounts you can receive are adjusted proportionally.

Your future Age Pension entitlement will be adjusted for any advance payments you receive so you can repay amounts owing over time.

Can you also get rent assistance?

If you’re receiving the Age Pension, you may be entitled for rent assistance (including any fees you may be paying a retirement village, provided that the Australian government isn’t already paying a subsidy to the facility where you live).

To receive assistance, you must be paying a minimum amount of rent. These rates are adjusted in March and September each year based on movements in the CPI. Current rates for Age Pensioners without any dependent children are outlined in the table below. If you pay more than these amounts, you’re entitled to 75 cents of rent assistance for every dollar you pay over the threshold, up to the maximum amount.

Living arrangementMinimum fortnightly rent to qualify for assistanceMaximum fortnightly rent assistance payment
Single$125.80$140.80
Couple (combined)$203.60$132.80

Source: Department of Human Services. Figures correct as at 26 March 2021

Transitional Age Pension rates

Some Age Pensioners in Australia are on transitional pensions. Transitional pension rates are paid to people who would otherwise be getting a lower payment after changes to the income test were introduced in 2009.

  • Single: $796.30 per fortnight (approximately $20,704 per year) – an increase of $7.00 per fortnight
  • Couple (each): $642.40 per fortnight (approximately $16,702 per year) – an increase of $5.60 per fortnight
  • Couple (combined): $1,284.80 per fortnight (approximately $33,405 per year) – an increase of $11.20 per fortnight
  • Couples separated due to illness each receive the Single rate, which combined is $1,592.60 (approximately $41,408 per year) – an increase of $14.00 per fortnight

If you’re being paid a transitional rate of pension, you’re not eligible for the pension supplement but you can potentially get the energy supplement (provided you received your CSHC, if you have one, prior to 20 September 2016).

The tables below give more detail of how the transitional Age Pension is broken down:

SingleAmountIncrease
Maximum transitional pension rate$782.20$7.00
Energy supplement$14.10–
Total (per fortnight)$796.30$7.00
Couple (living together)Amount eachIncreaseAmount combinedIncrease
Maximum transitional pension rate$631.80$5.60$1,263.60$11.20
Energy supplement$10.60–$21.20–
Total (per fortnight)$642.40$5.60$1,284.80$11.20

Source: Department of Human Services

Age Pension rates for non-residents

If you live outside Australia and qualify for the Age Pension, the rates are as follows:

  • Single: $717.40 per fortnight (approximately $18,652 per year) – an increase of $7.00 per fortnight
  • Couple (each): $599.60 per fortnight (approximately $15,590 per year) – an increase of $5.30 per fortnight
  • Couple (combined): $1,199.20 per fortnight (approximately $31,179 per year) – an increase of $10.60 per fortnight
  • Couples separated due to illness each receive the Single rate (see above), which combined is $1,434.80 (approximately $37,305 per year) – an increase of $14.00 per fortnight

Note: Annual amounts are estimated by multiplying fortnight amounts by 26.

The information contained in this article is general in nature.

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Learn more about the Age Pension in the following SuperGuide articles:

Case studies: How is the Age Pension assessed?

March 12, 2021

Age Pension calculator: How much could you be eligible for?

March 9, 2021

Am I eligible for the Age Pension?

March 9, 2021

Age Pension income test limits (March 2021 to July 2021)

March 9, 2021

Age Pension assets test limits (March 2021 to July 2021)

March 9, 2021

How to maximise your Age Pension

September 17, 2020

Deeming rates (and calculator) for the Age Pension income test

July 1, 2020

How does your super affect the Age Pension?

March 1, 2020

What are the Age Pension residency rules?

March 1, 2020

Are you getting your slice of the Age Pension Work Bonus?

November 13, 2019

Retirement age calculator: When can you access your super or the Age Pension?

August 7, 2019

How do I apply for the Age Pension?

July 1, 2019

Related topics

Age Pension In retirement

IMPORTANT: All information on SuperGuide is general in nature only and does not take into account your personal objectives, financial situation or needs. You should consider whether any information on SuperGuide is appropriate to you before acting on it. If SuperGuide refers to a financial product you should obtain the relevant product disclosure statement (PDS) or seek personal financial advice before making any investment decisions. Comments provided by readers that may include information relating to tax, superannuation or other rules cannot be relied upon as advice. SuperGuide does not verify the information provided within comments from readers. Learn more

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Reader Interactions

Comments

  1. Geoff Pate says

    February 3, 2021 at 6:44 am

    Just been approached by a man on the pension to do some work on my farm . He is looking for some extra income but want to still get full pension . He can only earn $178 / fortnight . But someone not on pension can about $400 before paying tax . I think this should be increased to help pensioners .

    Reply
  2. william says

    January 29, 2021 at 11:27 am

    There is no incentive for pensioners with a partner who is working to work as a heavy penality is put on the partner in realtion to a drop in partners pension Gov are always attacking the people trying to get ahead but the so called job seekers who dont want to work keep getting more n more not a system that is fair let people get ahead who r prepared to work needs to be reviewed

    Reply
  3. Nana says

    January 28, 2021 at 1:25 pm

    Ideally a couple would merge their finances. As the female has usually done unpaid work at home caring for a family, when it comes to finances she doesn’t have the same amount of assets. But some couples, usually the males won’t do that and yet still expect their partner to contribute half to the cost of running a home. If the male partner doesn’t like spending money on maintaining the home the women either puts up with the rundown bathroom etc or pays for repairs herself. This does happen, thankfully not at my home.

    Reply
  4. Christine Meyer says

    December 7, 2020 at 10:18 am

    Yes, when working we are treated as an individual for tax purposes. Come pension time your partners financial status is taken into account….I call this Financial Domestic Violence on the governments behalf…………

    Reply
  5. Maria B says

    July 28, 2020 at 7:57 am

    I strongly agree with all the comments. It’s so sad that having to work all your life even while raising a family and paying your taxes as an individual, when it comes for the pension not only you are not seeing as a single person for the calculation of the pension but you are also penalized if you happened to receive death lump sum payment and any superannuation from your decided partner. Further more if you give as gift some of this money’s to your children this is taken into account and you can not receive the full pension. Have to wait for five years.
    Again I am stating if you are paying taxes individuality while you working why you can not been seen as an individual when you apply for the pension and your partner husband or wife and their financial status is taken into account?

    Reply
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