Amanda Hardy Lai, Author at Retirement Essentials

Earning more in retirement: What if you’re already asset tested?

by Amanda Hardy Lai | Centrelink Age Pension

If you’re on a part-Age Pension because your assets are above the lower threshold, you may be in a stronger position to earn extra income than you realise – even beyond the Work Bonus.

Here’s why.

The Age Pension is reduced under two separate tests:

The income test, which reduces your fortnightly payment by 50 cents for every dollar of income over the threshold

The assets test, which reduces your payments by $3 per fortnight (or $78 per year) for every $1,000 of assets over the threshold

?You can see the current income and assets test thresholds here.

When you are being assessed, Centrelink will apply both tests, but you’ll receive the lower fortnightly amount determined by whichever test reduces it more. So, if your Age Pension is already being cut because of your assets, any extra money you earn from work (even beyond the Work Bonus) might not affect your payment further. This continues until your income becomes the main reason for your fortnightly payment reduction.

Taking the Age Pension with you: What you need to know before retiring overseas

by Amanda Hardy Lai | Centrelink Age Pension

For many Australians, the idea of retiring overseas is more than just a lifestyle dream — it’s a practical plan. Whether driven by family ties, better weather, or a more affordable cost of living, an increasing number of retirees are exploring life beyond Australia.

But taking your Age Pension with you isn’t as simple as booking a one-way flight. Centrelink has strict portability rules that can significantly impact what you’re paid, when you’re paid, and how long those payments continue. Planning ahead – with a full understanding of income tests, asset rules, and international agreements – can help make that dream retirement a sustainable reality.

Popular destinations

Australians choose to retire overseas for a range of reasons, and a few locations consistently stand out:

New Zealand
Just across the Tasman, New Zealand appeals for its cultural similarities, proximity and ease of travel. It’s a natural choice for many Australians with family connections or prior work history there.

Tip: If you’ve lived or worked in both Australia and New Zealand, the time spent in each may have already helped you qualify for the Age Pension.

Southeast Asia

Countries like Thailand, Malaysia, Vietnam, and Indonesia (particularly Bali) are favoured for their warm climates and low cost of living. Many Australians find their retirement savings go further here, especially in areas such as healthcare and accommodation.

Southern Europe
Italy, Portugal, and Spain continue to attract Australian retirees seeking a Mediterranean lifestyle, good healthcare systems, and accessible retirement visas. While these countries are not as close to home, they offer thriving expat communities and a slower pace of life.

Wherever you choose, it’s essential to consider the local visa rules, tax systems, and support services – and how Centrelink’s portability rules will apply to your specific situation.

When Age Pension meets advice: Understanding granny flat arrangements

by Amanda Hardy Lai | Centrelink Age Pension

There’s a lot to think about when someone considers moving in with family or giving money to help build a granny flat or home extension. For older Australians, these decisions often involve a deep mix of personal, financial, and practical factors – but the outcomes can affect Age Pension entitlements in ways that aren’t always obvious.

Centrelink calls these arrangements ‘granny flat interests’ – not because of the building itself, but because of the legal and financial interest created when you exchange money, assets, or ownership rights for a place to live for life.

This article unpacks some of the most important considerations – from gifting rules to homeowner status, and highlights the value of getting the right advice before going ahead.