Changes to Centrelink Age Pension rates, thresholds and work options
The federal government has recently implemented some important changes to the Age Pension. One will affect all age pensioners, and the other will affect those who may want or need to work.
All of these changes reflect the rising cost of living in Australia, with the latest annual inflation rate of 6.1% being the highest recorded figure since 1990.
Changes to Age Pension Rates
The table below outlines the increase to the maximum Age Pension rates that was effective from the 20 September 2022. The maximum fortnightly rate for eligible singles has increased by $38.90 and the maximum rate for each eligible partner in a couple living together has increased by $29.40 per fortnight.
Changes to Pensioner Work Options
Age Pensioners will be able to earn an additional $4,000 from working this financial year without losing any Age Pension. This credit is only available for the 2022-23 financial year.
This $4,000 credit will increase the minimum amount that Age Pensioners can earn before their Age Pension is affected to $11,800 (previously $7,800) – known as the Work Bonus.
Work can be done in short stints or over the course of the year. The credit is designed to assist the current labour market shortage as well as to enhance the income earning potential of Age Pensioners with the current cost of living being so high.