Everything you need to know about the Age Pension in Australia for 2026 — current rates, eligibility age, income and assets test thresholds, and how to apply.
Age Pension Australia 2026: Complete Guide to Rates, Eligibility and How to Apply
If you're approaching retirement, chances are you've got questions about the Age Pension — how much you'll get, whether you actually qualify, and how it fits in with your superannuation. You're not alone: more than 2.5 million Australians currently rely on the Age Pension as part of their retirement income.
This guide breaks down everything you need to know about the Age Pension in Australia for 2026, including the latest Age Pension rates, eligibility age, income test and assets test thresholds, and how to lodge a successful claim with Centrelink.
What Is the Age Pension?
The Age Pension is a fortnightly payment from the Australian Government, paid through Services Australia (Centrelink), designed to provide income support for older Australians who meet certain age, residency, income, and asset requirements. It's one of the three pillars of Australia's retirement income system, alongside compulsory superannuation and voluntary savings.
Unlike superannuation, the Age Pension isn't something you contribute to directly — eligibility is instead determined by your age, how long you've lived in Australia, and how much income and assets you (and your partner, if you have one) hold at the time you apply.
Age Pension Age: When Can You Apply?
The Age Pension age in Australia is currently 67 years old, for anyone born on or after 1 January 1957. This is the final step of a gradual increase from age 65, which was phased in over several years and completed on 1 July 2023.
There is currently no legislated plan to raise the Age Pension age further beyond 67.
Age Pension Rates 2026: How Much Will You Get?
As at 2026, the maximum Age Pension rates are:
Single person: $1,200.90 per fortnight (approximately $31,223 per year)
Couple (each): $905.20 per fortnight (approximately $23,535 per year each, or around $47,070 combined per year)
These figures include the base pension rate plus the Pension and Energy Supplements, and apply from 20 March 2026 until the next indexation date. Age Pension payment rates are reviewed twice a year, on 20 March and 20 September, in line with movements in the Consumer Price Index (CPI), the Pensioner and Beneficiary Living Cost Index (PBLCI), or Male Total Average Weekly Earnings — whichever gives the highest result.
It's important to understand that these are maximum rates. The actual amount you receive depends on the outcome of two separate tests: the income test and the assets test. Centrelink applies both, and whichever test results in the lower payment is the one used to calculate your pension.
Age Pension Eligibility: Do You Qualify?
To be eligible for the Age Pension, you generally need to meet three core requirements:
Age — you must be at least 67 years old.
Residency — you generally need to have been an Australian resident for at least 10 years in total, with at least 5 of those years continuous.
Means testing — you must pass both the income test and the assets test (or qualify for a part pension under one or both).
Age Pension Income Test: What Counts as Income?
Under the Age Pension income test, Centrelink assesses income from sources such as employment, investments, and deemed income from financial assets.
As at 2026:
Singles can earn up to $226 per fortnight before their pension starts to reduce, with a part pension still payable up to around $2,627.80 per fortnight (roughly $68,323 per year).
Couples (combined) have a higher income free area, with part pension eligibility continuing up to a combined income of approximately $4,016.80 per fortnight.
Above the free area, your pension typically reduces by 50 cents for every dollar earned over the threshold.
The Work Bonus
If you're still working part-time in retirement, the Work Bonus allows eligible pensioners to earn up to $300 per fortnight from employment or active self-employment income without it affecting their Age Pension at all — making it easier to keep a foot in the workforce without losing your full entitlement.
Age Pension Assets Test: What Assets Are Counted?
The assets test looks at the value of assets you own, excluding your principal home. This includes real estate (other than your home), vehicles, savings, shares, and superannuation balances (once you reach Age Pension age).
As at 1 July 2026:
Couples can hold combined assets up to $499,000 (homeowners) or $766,000 (non-homeowners) and still receive the full Age Pension.
A part pension remains payable for couples with assets up to approximately $1,102,500 (homeowners) or $1,369,500 (non-homeowners).
Above the full-pension threshold, your payment typically reduces by $3 per fortnight for every $1,000 in assets over the limit.
How to Apply for the Age Pension
You can lodge an Age Pension claim through myGov, linked to Centrelink, generally from 13 weeks before you reach Age Pension age. To apply, you'll typically need:
Proof of identity and residency
Details of income and assets (including your partner's, if applicable)
Bank account details
Superannuation account statements
Processing times can vary, so it's worth lodging your claim as early as the system allows, and keeping Centrelink updated with any change in your circumstances — including changes to income, assets, relationship status, or overseas travel — within 14 days.
Age Pension and Overseas Travel
If you're planning to travel overseas, it's worth knowing that Age Pension portability rules can affect your payments depending on how long you're away and your residency history. Short trips (up to 6 weeks) generally don't affect your payment, while longer trips can affect supplements, concession cards, or in some cases your payment rate — particularly if you're within the first two years of being granted the pension.
Age Pension vs Superannuation: How Do They Work Together?
Many retirees rely on a combination of superannuation and the Age Pension to fund their retirement. Because superannuation balances are assessed under the assets test (and can generate deemed income under the income test), the way you draw down your super — for example, structuring an account-based pension — can directly affect how much Age Pension you're entitled to.
This is one of the most common areas where retirees benefit from speaking to a financial adviser, since even small structuring decisions can have a meaningful impact on your overall retirement income.
Frequently Asked Questions About the Age Pension
Is the Age Pension going away? No. There is no legislated plan to abolish or significantly restrict the Age Pension. It remains a core, ongoing part of Australia's retirement income system.
Will the Age Pension age increase to 68 or 70? There is currently no legislated plan to raise the Age Pension age beyond 67.
How often do Age Pension rates change? Payment rates are reviewed on 20 March and 20 September each year, while income and assets test thresholds are reviewed on 1 July, March, and September.
Can I work and still receive the Age Pension? Yes. The Work Bonus allows you to earn up to $300 per fortnight from work without it affecting your pension, and unused amounts can accumulate over time.
What's the difference between a full pension and a part pension? A full pension is paid to those whose income and assets are below the lower thresholds. A part pension is paid on a sliding scale to those whose income or assets exceed the full-pension thresholds but remain below the upper cut-off points.
Final Thoughts
The Age Pension remains one of the most important supports available to Australian retirees, but the rules around eligibility, income, and assets testing are detailed — and they change twice a year. Getting the right advice on how your superannuation, investments, and any overseas travel plans interact with your Age Pension entitlement can make a real difference to your retirement income.
This article is general information only and does not take into account your personal circumstances. Age Pension rates and thresholds are indexed regularly — always confirm current figures with Services Australia or a licensed financial adviser before making decisions based on this information.
