Pensions Centrelink
Curious about the eligibility requirements for the Age Pension in Australia?
Here’s a breakdown of the criteria established by Services Australia:
Age Pension Age
To qualify for the Age Pension, you need to be at a certain years old. The eligibility age has been gradually rising from 65 to 67 years, increasing by six months every two years until it reached 67 on July 1, 2023.?
Residence Rules
When you apply for the Age Pension, you generally need to be an Australian resident and present in Australia on the day of your application. To qualify, you usually must have been a resident for at least 10 years, with no interruptions for at least 5 of those years. Services Australia may request additional information to verify your residency history, which may involve completing a form regarding your residence in Australia and other countries.?
Assets Test
The assets test is used to determine your eligibility for the Age Pension and the amount you may receive. All types of assets are considered in this assessment, including properties and possessions you fully own, partially own, or have an interest in, as well as assets located outside of Australia and any debts owed to you. There are specific limits on asset values that can affect your payment amount, which varies based on individual circumstances. The limits are reviewed quarterly—in January, March, July, and September—each year. For detailed asset values and cutoff points for receiving the full pension, refer to the relevant page.?
Income Test
Your income can impact the amount of pension you receive. The income test evaluates both your income and that of your partner from all sources, including financial assets like superannuation. We utilize a deeming method to calculate the income generated by your financial assets. There are income and asset thresholds for pensions; exceeding these limits results in a reduced pension amount. As of 2021, any income above $178 every fortnight reduces the pension by 50 cents for each dollar over that threshold. For couples living together, the limit is set at over $316. For further information on income tests, please visit the relevant page.?
Preparing to Make a Claim
When getting ready to apply for the Age Pension, there are several important factors to consider. For guidance on how to prepare and submit your claim, please refer to Services Australia.
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