The Age Pension paid by the Australian Government provides financial support to eligible Australians who have reached retirement age. This page explains Age Pension eligibility, how Age Pension payments are calculated and how the Age Pension can fit alongside other retirement income sources.
Who is eligible for the Age Pension?
Eligibility for the Age Pension is based on age, residency, and means testing of income and assets1. Meeting one requirement does not automatically guarantee access to the pension.
Age requirement
The qualifying age for the Age Pension is at least 67 years. This milestone can be used as a retirement planning reference point. Reviewing your age and eligibility options can help you understand how different income sources might work together as part of planning for retirement.
Residency requirements
To qualify for the Age Pension, you generally need to be an Australian resident and have lived in Australia for a minimum period1. Additional rules may apply if you have lived or worked overseas.
Work and income considerations
You do not always need to stop working completely to receive the Age Pension. Some people continue working part-time, but income from work may affect Age Pension payments under the income test.
How Age Pension payments are calculated
Age Pension payments are means-tested, which means they are assessed using both income and asset thresholds.
Income test
The income test1 considers income you and your partner, if you have one, may be receiving from all sources such as employment, investments, superannuation and other pensions. If your income exceeds the thresholds, your payment will be reduced.
Assets test
The assets test1 looks at all assets that you own or have an interest in, such as savings and investments, as well as property other than your home. You may be eligible to receive a full or part pension depending on the assets you own, if you are a homeowner and if you are single or partnered.
Age Pension and super
Super can work alongside the Age Pension, but it can also affect your assessment under the income and assets tests depending on how it is held and accessed. You can consider how account-based income streams from super and the age pension may work and complement each other as part of your retirement options, as explained in account-based and government pensions.
How to apply for the Age Pension
Applications for the Age Pension are generally made through Services Australia, and you’ll usually need to provide information about your identity, residency, income and assets.
To be eligible for the Age Pension you must be 67 years or older.
Both tests are applied to your circumstances and the test that results in the lower payment outcome is used to determine pension payments.
Yes, although super can affect Age Pension eligibility and payments depending on how much you have in super, how it is held and accessed.
1. Services Australia, Australian Government website. https://www.dss.gov.au/older-australians
This information is general in nature and provided for informational purposes only. It does not take into account your personal financial situation, objectives or needs. Before making a decision, you should consider obtaining financial advice and read the Financial Services Guide and the relevant Product Disclosure Statement(s) and Target Market Determination as well as other important documentation available on our website for information about our products.