What Centrelink knows or doesn’t
There’s a lot of confusion about what Centrelink knows, what it updates automatically, and what you need to report yourself. Many people assume Centrelink has direct access to their tax records, bank accounts, and superannuation balances—but the reality is quite different.
The following guide breaks down what Centrelink does and doesn’t track and when you need to step in to update your details.
Common assumptions vs. reality
Centrelink can access tax records from the ATO.
No. Centrelink does not receive copies of your tax returns or Notices of Assessment. However, it can match data with the ATO to identify discrepancies.
Centrelink monitors bank accounts in real-time.
No. It only investigates bank accounts in cases of suspected fraud or random audits.
Centrelink knows all financial details about Self-Managed Super Funds (SMSFs), private companies, and trusts.
No. This information is not automatically shared by the ATO. You must report it yourself.
Centrelink delays applications to discourage claims.
No. Processing can be slow due to verification checks, but applications are not deliberately delayed.
Centrelink always knows your super balance.
Partially true. Super funds report balances to Centrelink twice a year (March and September), but this does not apply to SMSFs, which must be updated manually.
What Centrelink updates automatically
Some financial details are updated without you needing to report them:
• Superannuation (except SMSFs) – Most major super funds send updates to Centrelink twice a year.
• Account-Based Pensions – Pension drawdowns and balances from most providers are reported directly to Centrelink.
• Shares and investments – Share prices are updated regularly, but you must report if you buy or sell shares.
Reminder:
If your financial situation changes between updates—such as withdrawing a large sum from super—Centrelink won’t know unless you tell them.
When you need to update Centrelink
You must report changes within 14 days to avoid incorrect payments. Key updates you must provide include:
• Changes in income or assets – Selling property, withdrawing super, receiving an inheritance, or a significant change in savings or investments.
• Spending down assets – If you use super or savings for medical expenses, travel, or home renovations, this could reduce your assessable assets and potentially increase your pension.
• Self-managed Super Funds (SMSFs) and private companies – These are not automatically tracked, so you must update Centrelink whenever balances change.
• Relationship changes – Marriage, separation, or a partner reaching Age Pension age can affect your entitlement.
• Going overseas – Your pension may change depending upon how long you plan to be away. You will need to inform Centrelink if you plan to leave Australia for more than 6 weeks.
If you have scheduled reporting (explained further down), you must also report any changes when you submit your regular report.
What happens if you don’t update Centrelink?
Failing to update Centrelink can lead to financial consequences, including:
• Missed payments – If your assets decrease but you don’t report this, you might be entitled to a higher pension and miss out.
• Overpayments and debts – If your income or assets increase and you don’t update Centrelink, you could receive more than you’re entitled to and may need to repay the difference.
• Late reporting issues – Changes only apply from the date Centrelink processes them, not from when they actually happened. If you report a change too late, you might not receive the correct pension amount for that period.
A notable exception: super in accumulation
If one partner is receiving the Age Pension but the other is below Age Pension age, the younger partner’s super is not counted as an asset.
• You don’t need to update Centrelink on super balance changes while this account remains in accumulation.
• Once the younger partner reaches Age Pension age, their super becomes assessable, and updates must be reported.
This can be an important planning consideration for couples, particularly where one partner can access their super before it is counted in the means test.
Scheduled reporting
If you or your partner earn income from work, Centrelink will usually set up scheduled reporting every 14 days.
• You’ll be given a reporting period and must declare the gross amount earned during that time.
• Reports are due by 5 pm on your reporting date—if you miss it, your payment could be delayed or cancelled.
• You can’t report early, unless your reporting date falls on a public holiday.
• Each time you report, Centrelink will tell you your next reporting date.
Updating Centrelink during a claim
If you’re applying for the Age Pension, it’s worth updating Centrelink if your circumstances change while your claim is being processed.
• Changes in your financial situation can affect eligibility and payment amounts. If your super balance decreases due to spending, you may qualify for a higher entitlement.
• Centrelink’s initial assessment is based upon the information available at the time. If your assets change before your claim is approved, updating them ensures a more accurate outcome.
Since claims can take weeks or even months to process, keeping your details current can prevent delays or incorrect payments.
How to update Centrelink
There are several ways to update your details:
• Online via myGov – Sign in and go to ‘My details’ to update information.
• Express Plus Centrelink app – Update income, assets, and personal details using your phone.
• Centrelink phone self-service – Call and follow the prompts.
• In person or over the phone – If you don’t have access to online services, you can call the Centrelink Older Australians line (132 300) or visit a service centre.
You can also authorise someone to deal with Centrelink on your behalf if needed.
Final thoughts
Centrelink doesn’t track everything in real time, so keeping your details up to date is essential. Regular updates can mean higher payments, fewer surprises, and a smoother experience. If in doubt, report early—it’s better to provide too much information than too little.
If you need help to understand what you do and don’t need to tell Centrelink consider booking a Retirement Essentials Age Pension Consultation. You can also get assistance to reduce the impact of some events (such as an inheritance) on your Age Pension situation with a Maximising Entitlements Consultation.
What about you?
Have you ever been surprised by a Centrelink payment adjustment? What happened?
What’s the biggest challenge you’ve faced when updating Centrelink?
