The Centrelink Age Pension is a vital financial support system for older Australians, ensuring they can afford essential living expenses during retirement.
As of 2025, changes in income and asset thresholds mean that more Australians may now qualify for full or partial pension payments.
If you’re nearing retirement or already receiving Centrelink benefits, this guide explains the eligibility requirements, recent updates, and how to apply for the 2025 Centrelink Age Pension.
What is Centrelink Age Pension?
Centrelink Age Pension is an amount from the government which provides financial help for the retirement of people upon meeting age, residence, income, and assets conditions.
Key Facts about the Age Pension:
- It is reviewed every two years on March and September to take care of inflation.
- Payments involve the Energy Supplement and Pension Supplement.
- It addresses the basic needs of the elderly for economic security
Centrelink Pension Eligibility Criteria – 2025:
To be considered eligible for receiving Centrelink Age Pension in the year 2025, it is required that the following criteria are met within four eligibility aspects:
Eligibility Based on Residence:
You are an Australian citizen, permanent resident, or on an eligible visa.
You have spent at least 10 years of your life in Australia. Among those 10 years, five of them should be continuous Except in cases where international social security agreements apply, or refugees.
Age Eligibility:
You are at least 67 years, which means a birth date is on or after January 1, 1957.
Income Test:
Your income affects how much pension you can receive.
| Household Type | Income Limit (Full Pension) | Reduction Rate |
|---|---|---|
| Single | Up to $212 per fortnight | $0.50 deducted per $1 earned above limit |
| Couples (combined) | Up to $378 per fortnight | $0.50 deducted per $1 earned above limit |
If your income exceeds these limits, your pension is reduced accordingly.
Asset Test:
Your assets also determine your eligibility for a full or partial pension.
| Homeownership Status | Single Asset Limit (Full Pension) | Couple Asset Limit (Full Pension) |
|---|---|---|
| Homeowner | Up to $314,000 | Up to $470,000 |
| Non-homeowner | Up to $566,000 | Up to $722,000 |
For every dollar in excess of $1,000, the Age Pension will decrease by $3 per fortnight.
Centrelink Age Pension 2025 How to Claim the Centrelink Age Pension
How to make an application for Centrelink Age Pension:
Step 1. Sign Up with MyGov Link your MyGov account with Centrelink, if you don’t already have.
Step 2: Application Log on MyGov Centrelink → Apply Now
Step 3: Attach required documents
Step 4: Wait for Approval
- Proof of identity & residency
- Details of income & assets
- Bank statements & superannuation details
Centrelink will process your application and notify you of the outcome within several weeks.
Tip: Apply at least 3 months before turning 67 to avoid delays in receiving payments
Recent Updates to Centrelink Pension Eligibility (2025)
The Australian government unveiled vital changes to assist pensioners with soaring living costs.
Deeming Rates Frozen Till June 2025
Deeming rates help to calculate income from financial assets such as bank savings & shares.
Higher Income Limits
Single pensioners earn a higher amount without reductions (previously $190/fortnight).
Couples have higher income thresholds.
- Increased Asset Limits
- Increased for inflation and rising values of property.
More retirees qualify for full or partial pensions.
| Deeming Rate | Singles (up to) | Couples (combined up to) |
|---|---|---|
| Lower rate (0.25%) | $62,600 | $103,800 |
| Higher rate (2.25%) | Above $62,600 | Above $103,800 |
What This Means:
Lower pension reductions for those with investments or savings.
How Much Will You Receive?
(2025 Rates) The Age Pension amount depends on your income & assets.
| Pension Type | Maximum Fortnightly Payment (March 2025) |
|---|---|
| Single Pensioner | $1,144.40 |
| Couple (combined) | $1,725.20 |
These amounts include:
- Basic pension payment
- Energy Supplement
- Pension Supplement
The 2025 Centrelink Age Pension updates aim to help more Australians access financial support in retirement. With higher income and asset limits, pensioners can earn and save more without losing their benefits.
If you’re approaching 67 or already retired, check your eligibility and apply early to ensure financial stability in your retirement years.
FAQS:
What is Age Pension?
Age pension is the type of pension of the government designed for eligible Australians who, after attaining their qualifying age and having cleared their income test, passed all types of asset te
How old would someone be in the year 2025 for the purposes of the age pension?
The age of qualification for the Australian Age Pension, by 2025, will be 67 years for both males and females.
How do I apply for Centrelink Age Pension?
You can apply for the Centrelink Age Pension through your myGov account online, or you can ring the service at your nearest service center anytime.