The Centrelink Age Pension is a vital source of income for older Australians who have reached the eligibility age and are looking for financial support in retirement.
In 2025, there are significant Age Pension changes that could mean a larger payout for eligible individuals.
This article will break down the key updates regarding these changes, how much more you will receive, and what actions you need to take to ensure you are getting the maximum benefit.
What is the Centrelink Age Pension?
The Centrelink Age Pension is a government payment designed to provide financial assistance to eligible Australians once they reach the official retirement age.
To qualify, individuals must meet specific criteria, including residency, age, and income and asset tests.
Centrelink Age Pension Changes in 2025
As part of the 2025 federal budget, the Australian government has announced adjustments to the Age Pension rates to help retirees deal with the increasing cost of living.
These changes will benefit a large number of senior Australians, particularly those on lower or fixed incomes.
How Much Will the Age Pension Increase?
In 2025, the Age Pension rates will increase by $50 to $100 per fortnight, depending on your circumstances.
The increase aims to provide additional support to pensioners who are experiencing financial stress due to rising living costs and inflation.
The government has also confirmed that the increase will be indexed to ensure the payments stay in line with inflation and the rising cost of goods and services.
The new Age Pension rates will reflect this increase, and individuals will see these changes in their upcoming payments. The rates for 2025 are as follows:
| Pension Type | Current Rate (2024) | New Rate (2025) | Increase |
|---|---|---|---|
| Single Pensioner (living alone) | $1,005.90/fortnight | $1,055.90/fortnight | $50 |
| Couple (each person) | $758.80/fortnight | $808.80/fortnight | $50 |
| Couple (combined) | $1,517.60/fortnight | $1,617.60/fortnight | $100 |
Who is Eligible for the 2025 Age Pension?
To qualify for the Age Pension, you must meet the following criteria:
- Age: You must be 66 years and 6 months old or older. This age will gradually increase in future years, but for 2025, this is the required age.
- Residency: You must be an Australian resident for at least 10 years.
- Income Test: Your income (including wages, rental income, or other government benefits) must be below a certain threshold to qualify.
- Assets Test: Your assets (such as property, superannuation, and savings) must also fall below a specific value. For example, single pensioners can have assets of up to $270,500, and couples can have combined assets of $405,000 before their pension is reduced.
How to Claim the Centrelink Age Pension
Applying for the Age Pension can be done online through the myGov website, or you can complete a paper application.
It’s important to submit your application well before you reach the eligible age to avoid any delays in payments.
- Online Application: Log in to myGov and link your Centrelink account.
- Paper Application: Download and complete the Age Pension claim form from the Centrelink website and submit it to your local Centrelink office.
Payment Schedule for the Centrelink Age Pension in 2025
The payment schedule for the Age Pension is issued every fortnight. The payments are made directly to your bank account, and you can expect to receive your payments every second Thursday.
The new rates for 2025 will be reflected in these regular payments, ensuring pensioners can access the increased amount.
Centrelink Age Pension Payment Dates in 2025
Here’s an example of what the Age Pension payment schedule will look like for 2025:
| Payment Date | Payment Amount (Single) | Payment Amount (Couple) |
|---|---|---|
| January 9, 2025 | $1,055.90 | $1,617.60 |
| January 23, 2025 | $1,055.90 | $1,617.60 |
| February 6, 2025 | $1,055.90 | $1,617.60 |
| February 20, 2025 | $1,055.90 | $1,617.60 |
(Note: Exact dates may vary slightly based on public holidays)
Additional Support for Age Pension Recipients
In addition to the Age Pension increases, the Australian government has also introduced other support measures in 2025, including:
- Cost of Living Relief: Additional one-off payments and rebates for eligible pensioners to help with the rising costs of utilities and healthcare.
- Rent Assistance: Increased payments for rent assistance to help those who are renting and living in private or public housing.
In 2025, the Centrelink Age Pension will increase significantly, providing much-needed financial support to retirees facing rising living costs.
The increase in payments, combined with other government support measures, will help pensioners maintain a decent standard of living during their retirement years.
Ensure that you check your eligibility and apply for the Age Pension well before reaching retirement age to receive these benefits promptly.
FAQs
When will the Centrelink Age Pension increase be paid?
The increase will be reflected in your fortnightly payments starting from the first payment of 2025, which is due in early January.
How do I know if I’m eligible for the Age Pension in 2025?
To be eligible, you must be over 66 years and 6 months old, meet residency requirements, and pass the income and asset tests. Visit the myGov website or Centrelink for more details.
Can I apply for the Centrelink Age Pension online?
Yes, you can apply online through the myGov website. Alternatively, you can apply in person at your local Centrelink office.