Elderly retirees may come to a point where they need support to live at home. They can sometimes rely on friends, family and volunteer services to help. Getting assistance from your nearest and dearest is definitely the cheapest option but can’t always be relied on, especially over the long term. So, what are the ... Read more
Age Pension
A Super Guide
The Age Pension eligibility age in Australia is currently 65 year and 6 months. This age will progressively increase in six month increments until it reaches the age of 67 for all Australians by 1 July 2023.
In addition to the age requirement, your eligibility for the Age Pension depends on you:
- Being able to satisfy the Age Pension assets test,
- Being able to satisfy the Age Pension income test, and
- Meeting Australian residency requirements.
You will be eligible to receive either a full or part Age Pension provided your assets or income don’t exceed the thresholds of the respective tests, and you also satisfy both the age and Australian residency requirements. It’s important to understand that your super may be included in both your asset and income tests, and can therefore affect your potential Age Pension eligibility.
It’s possible to earn up to earn up to $250 per fortnight from paid employment without this amount being included in your Age Pension income test. This is known as the work bonus.
Age Pension rates for singles and couples (married or de facto) are adjusted very six months based on changes in the Consumer Price Index (CPI), Male Total Average Weekly Earnings, and the Pensioner and Beneficiary Living Cost Index.
Learn about the key aspects of the Age Pension in the following SuperGuide articles:
Set out below are all SuperGuide articles that relate to Age Pension.
Quiz: Age Pension rules
Take the following 10 question quiz to test your knowledge on the Age Pension rules.Don't worry if you don’t know the answer to a question. Have a go anyway and we’ll let you know the correct answer, as well as providing you with a link to a relevant article.Note: When you pick an answer the correct answer is ... Read more
Retirement age calculator: When can you access your super or the Age Pension?
Although there is no ‘retirement age’ in Australia, there are two ages that are important to know for planning your retirement:Preservation age: This is the age when you can access your super funds provided you have also met a condition of release (such as retiring or turning 65). Age Pension age: This is ... Read more
How to select a retirement income calculator
Anyone who’s ever spent a few minutes popping numbers into their super fund’s online retirement calculator to find out if their retirement savings are on track knows it’s a confusing process.Calculators ask lots of questions and produce some great charts, but they’re only as good as the information you put into them, ... Read more
Why timing counts if you’re planning to retire this year and start a super pension
If you’re retiring this financial year it pays to think about possible timing issues before you start drawing down on your superannuation. Why? Because your age, your total super balance and ability to make additional contributions now or down the track, could all play a part in your decision-making. So, before you ... Read more
Retiring overseas: Implications for your super and tax
In 2016, 11,660 Australians over 55 permanently relocated overseas. While the exact number is hard to pin down, various industry estimates put the total number of Australian retirees who are now living overseas at around 90,000, a figure which has risen steadily in recent years.The most popular retiree destinations ... Read more
Retiring soon? Here are 5 questions you need to answer first
The start of living your best life is in sight – but are you ready? Retiring is a huge step and it would be normal if you have some last-minute details to sort through before you make the final leap. In the run up to retirement, it’s important to prepare yourself financially and emotionally for what should be an ... Read more
Age Pension deeming rates cut, at last
The Federal Government has finally bowed to pressure to cut Age Pension deeming rates but stopped short of passing on the full cut in official interest rates. The government will cut the lower deeming rate from 1.75% to 1% for financial investments worth up to $51,800 for single pensioners and $86,200 for pensioner ... Read more
Case studies: How is the Age Pension assessed?
The current (20 March 2019 to 19 September 2019) maximum rates of Age Pension are as follows:Single: $926.20 per fortnight (approximately $24,081 per year) Couple (each): $698.10 per fortnight (approximately $18,051 per year)Note: Includes base pension + supplements. Learn more about Age Pension rates. Not everyone ... Read more
Deeming rates for the Age Pension income test
Deeming is a key concept in the Age Pension income test, which is a test you must pass as one of the requirements to access this government payment. The other requirements are passing the assets test, being age-eligible, and qualifying as an Australian resident. Deeming rules are used by the Department of Social ... Read more
Age Pension calculator: How much could you be eligible for?
Welcome to the SuperGuide Age Pension calculator. Using the calculator is easy. Enter your details in the calculator below (in the yellow blocks) and you will see an estimate of amount of Age Pension you may be eligible for. You can skip any question that doesn't apply to you. Help information is available on the right ... Read more
‘Pension tax’ deemed unfair
Note: This article was published before the government announced changes to the deeming rates on 14 July 2019, dropping the lower rate from 1.75% to 1%, and the higher rate from 3.25% to 3%. For more information on the changes see SuperGuide article Age Pension deeming rates cut, at last, and learn more about deeming ... Read more
What is the current Age Pension age?
The current Age Pension eligibility age is 66 years (for any person born between 1 January 1954 and 30 June 1955).If you were born before 1 January 1954 you have already reached Age Pension age, and if you were born after 30 June 1955 your Age Pension age may be 66 years and 6 months, or 67 years, depending on your ... Read more
How do I apply for the Australian Age Pension?
We’ve all heard of the horror stories of people waiting longer than 6 months for their Age Pension claims to be processed by Centrelink.When you submit an Age Pension claim you’re joining a queue a mile long and getting it right the first time can save an incredible amount of time and frustration.This article is a ... Read more
Australian Age Pension rates (March 2019 to September 2019)
The rates for a full Age Pension for Australian residents for the period 20 March 2019 to 19 September 2019 are listed below:Single: $926.20 per fortnight (approximately $24,081 per year) - an increase of $9.90 per fortnight Couple (each): $698.10 per fortnight (approximately $18,051 per year) - an increase of ... Read more