Age Pension Calculator

Sept 2024 rates

Estimate your Centrelink Age Pension entitlement using the assets test and income test. See your fortnightly payment, which test is limiting you, and how to maximise your pension. Rates are indexed quarterly — these reflect the September 2024 indexation.

Relationship status

Do you own your home?

Your family home is not counted in the assets test. Non-homeowners get higher thresholds.

Your age

Age pension eligibility age is 67

Your family home is exempt. Include all other assets at their current market value.

Total assessable assets$160,000

Employment and other income is entered per fortnight. Rental income is entered per year.

Apply deeming to financial assets

Centrelink uses deeming rates to calculate deemed income from financial assets (0.25% on first $62,600, then 2.25% above)

Deeming breakdown

First $62,600 @ 0.25% p.a.$6.02/fn
Next $87,400 @ 2.25% p.a.$75.63/fn
Total deemed income$81.65/fn

Estimated Pension

$1,263.70

per fortnight

$32,856 per year

100.0% of full pension ($1,263.70/fn)

Full pension — both tests passed

Means Test Results

Assets test
$1,263.70/fn
Your assets: $160,000Full pension: $295,500Cut-off: $695,500

Under the lower threshold — full pension on assets test

Income test
$1,263.70/fn
Your income: $81.65/fnFree area: $212.00/fnCut-off: $2,739.40/fn

Under the free area — full pension on income test

Eligibility Checklist

Age 67 or older

Australian resident (10+ years)

Confirm with Services Australia

Assets below cut-off threshold

Income below cut-off threshold

How to Maximise Your Pension

Spend down assessable assets

Renovate your family home (exempt from assets test), buy a pre-paid funeral plan (exempt up to $15,000), or purchase a caravan/motorhome for your home.

Gifting rules

You can gift up to $10,000 per financial year (max $30,000 over 5 years) without it being counted in the assets test. Amounts above this are still counted for 5 years.

Invest in your partner's super

If your partner is under pension age (67), their super balance is not counted in the assets test. Maximising their super can reduce your assessed assets.

Funeral bonds

Funeral bonds up to $15,500 per person are exempt from the assets test. These provide a guaranteed lump sum for funeral expenses.

Pension Bonus Scheme

If you deferred claiming the pension while continuing to work, you may be entitled to a one-off Pension Bonus lump sum. The scheme is closed to new registrations but existing registrants can still claim.

Seek financial advice

Age Pension rules are complex and personal circumstances vary significantly. A licensed financial adviser can help you structure assets to maximise your entitlement.

How the Age Pension assets test works

The assets test limits your pension based on the value of things you own — excluding your family home. If your assets are below the lower threshold you receive the full pension. Between the lower and upper thresholds your pension reduces by $3 per fortnight for every $1,000 in assets above the lower threshold. Above the upper (cut-off) threshold, no pension is payable. Homeowners have lower thresholds than non-homeowners because their home is already exempt.

How the Age Pension income test works

The income test limits your pension based on your assessable income per fortnight. Income includes employment wages (with a $300/fn Work Bonus exemption), net rental income, and deemed income from financial assets. Deemed income is calculated by applying deeming rates to your financial assets regardless of actual returns. Between the free area and the cut-off, your pension reduces by 50 cents for every dollar of income above the free area. The test that produces the lower pension payment applies — known as the "lower of the two tests" rule.

What is deeming?

Deeming is Centrelink's method of estimating how much income you earn from financial assets. Instead of using your actual interest or dividends, Centrelink applies a fixed rate: 0.25% per annum on assets up to the threshold ($62,600 for singles, $103,800 for couples), and 2.25% per annum on amounts above that. This applies to cash, shares, managed funds, term deposits, and superannuation once you reach pension age.

Age Pension rates 2025-26

From September 2024, the full Age Pension for a single person is $1,263.70 per fortnight ($32,856 per year), including the pension supplement and energy supplement. Couples each receive $950.40 per fortnight (combined $1,900.80 per fortnight). Rates are indexed in March and September each year. Always check the Services Australia website ↗ for the current rates.