Good things are going to happen on July 1 for the millions of Australians who are on an Age Pension – and hundreds of thousands of others who might now qualify.
You may be surprised by this as generally speaking major Age Pension changes only happen twice a year – on March 20 and September 20.
That’s true, but July 1 is the date for changes for many qualifying limits attached to the Age Pension income and assets tests. And this year there is also an increase in the threshold for deeming rates. So millions of Australians are likely to be better off after July 1.
Read on for the detail of these changes.
Income thresholds (per fortnight)
| Previous Amount | From 1 July 2022 | Increase | |
| Income free area for maximum payment | |||
| Single | $180 | $190 | $10 pf |
| Couple | $320 | $336 | $16 pf |
| Disqualifying income limit | |||
| Single | $2,155.20 | $2,165.20 | $10 pf |
| Couple | $3,297.60 | $3,313.60 | $16 pf |
Asset thresholds
| Asset free area for maximum payment | Previous Amount | From 1 July 2022 | Increase |
| Single – Homeowners | $270,500 | $280,000 | $9,500 |
| Couple – Homeowners | $405,000 | $419,000 | $14,000 |
| Single – Non-Homeowners | $487,000 | $504,500 | $17,500 |
| Couple – Non-Homeowners | $621,500 | $643,500 | $22,000 |
| Disqualifying asset limits | |||
| Single – Homeowners | $599,750 | $609,250 | $9,500 |
| Couple – Homeowners | $901,500 | $915,500 | $14,000 |
| Single – Non-Homeowners | $816,250 | $833,750 | $17,500 |
| Couple – Non-Homeowners | $1,118,000 | $1,140,000 | $22,000 |
Deeming thresholds
| Previous Amount | From 1 July 2022 | Increase | |
| Single | $53,600 | $56,400 | $2,800 |
| Couple | $89,000 | $93,600 | $4,600 |
Are you due for more?
It may all seem a bit confusing, so here’s how to recheck your entitlements. The Retirement Essentials Age Pension Entitlements Calculator will be updated with all of the above changes on June 21st. So you can check your entitlements early and get started on your application before the changes come into effect on July 1. don’t worry, we will send a reminder email next week.
If you are already receiving an Age Pension:
Full Age Pensioners won’t see any change however part pensioners will see their payments increasing slightly. You don’t need to do anything as Centrelink will automatically adjust payments based on the new thresholds from 1 July. While payment changes will happen automatically Centrelink won’t update all your asset values so it is good practice to check you are not overvaluing your assets. Revaluing your assets plus the higher thresholds could mean even more in your fortnightly payments Visit the Age Pension Entitlements Calculator, recheck the information you have previously input for income and assets (and any other relevant detail) and see if your situation has changed.
And one last thing.
Hidden away in the fine print at the end of the six page document which outlines the new July 1 Centrelink changes is another piece of good news.
This is the increase to the Average Weekly Earnings (AWE) indexation factor. It’s tiny – from 1.019 to 1.038. But it means that a slightly higher benchmark will be used when next the Age Pension is indexed in early September, for a September 20 update. If you’re interested in the various indexes and benchmarks used to calculate possible Age Pension increases, you can read more here.
I am currently paying a daily fee for my home care package. I pay 6 dollars a day. I am paid half pension from overseas and half Australian pension.
Will this daily fee I have to pay change now?
Thank you. Hanne
This will not relieve pensioners from being made to fill out the ridiculous form every fortnight , there has to be a stop to this crap which centre link used to do but now claim ignorance to the reports they manufactured prior to 2020 .
It’s such good news that the cashless welfare card is now dead. And this government now seems to have much more humanistic approach.
Hello, my wife is in the process of claiming the pension. She is a retired teacher, 67 years old. We own our house and have no savings other than her super. Right now the value of this is 650k
I am a casual worker earning $440 per week
Are we entitled to some pension Thankyou
Hi Mark, based on the details you have listed yes you would be eligible for a part pension. To find out how much it would be best to go through our free, online calculator.
The cashless card never worked, people just handed the card to a mate to do the ordinary shopping and got the equivalent in cash. Some children did the shopping and then give Mum the cash to use in the clubs. Too costly to administer them at any rate.
Do I have to complete 10 years in Australia to apply for Pension? Has this requirement changed if so what period is applicable.
Hi Pethahandi, thanks for reaching out! The residency criteria for the Age Pension is still that you need to have been an Australian citizen/permanent resident living in Australia for at least 10 years and 5 of those years must be consecutive.
Why is single homeowner worse off than the non homeowner to the tune of over $200,000? Being a homeowner I’m liable for rates, insurance and maintenance on property as against somebody copping rental assist. I believe the govt decreeing that the home is free from the asset test is total rubbish. The entire income and asset test needs a total overhaul .
I’m 58 years old, have payed taxes my whole life. I am watching my super dissolve before my eyes- it’s not enough to retire on and never will be. 2 choices – live in poverty or work until I drop dead and I think sooner would be better, than meekly asking for a couple of bucks to scrape through every pension week. Australians wake-up. There won’t be anything left for the baby boomers.
Peter,
Your not wrong.
It’s our money they’re plaing monopoly with and giving billions away while we half starve and live in rags.
And web controllers running sites like this unlawfully gag us.
Pensions didn’t increase today at all.