In March 2025, Australia will increase the Age Pension to help retirees keep up with the rising cost of living. With this increase, single pensioners will receive $1,148.92 every 14 days, while couples will receive $1,732.02. This adjustment is linked to the Consumer Price Index (CPI) and wage increases to ensure pensioners maintain their standard of living amid rising housing, healthcare, and everyday expenses.
Overview of the March 2025 Age Pension Increase
| Aspect | Details |
|---|---|
| New Pension Payment | Singles: $1,148.92/fortnight ($29,872/year) Couples (combined): $1,732.02/fortnight ($45,032/year) |
| Eligibility Age | 67 years and older |
| Residency Requirement | Must have lived in Australia for at least 10 years (including a minimum continuous period of 5 years) |
| Income Test | Singles: Full pension if earning up to $190/fortnight; partial pension up to $2,115.20/fortnight. Couples: Full pension if earning up to $336/fortnight; partial pension up to $3,237.60/fortnight. |
| Assets Test | Homeowners: Singles: Full pension up to $280,000; partial up to $609,250. Couples: Full pension up to $419,000; partial up to $915,500. Non-homeowners: Singles: Full pension up to $504,500; partial up to $833,750. Couples: Full pension up to $643,500; partial up to $1,140,000. |
| Payment Frequency | Fortnightly |
| Next Adjustment Date | 20 September 2025 |
| Official Resource | Services Australia – Age Pension |
How Does This Increase Compare to Previous Years?
The Age Pension increase in March 2025 represents a significant rise compared to previous years:
| Period | Single Pension (Fortnightly) | Couple Pension (Fortnightly) |
|---|---|---|
| September 2024 | $1,096.70 | $1,653.40 |
| March 2025 | $1,148.92 (+$52.22) | $1,732.02 (+$78.62) |
Eligibility Criteria for the Age Pension
To qualify for the Age Pension and benefit from the March 2025 increase, you must meet the following conditions:
1. Age Requirement
You must be 67 years or older by 2025 to be eligible for the Age Pension.
2. Residency Requirement
You must be an Australian resident when applying and must have lived in Australia for at least 10 years, including a continuous period of at least 5 years.
Note: Some exemptions apply under international social security agreements.
3. Income Test
The Age Pension is subject to an income test. The amount you receive depends on your earnings.
| Household Status | Full Pension Eligibility | Partial Pension Cut-off |
|---|---|---|
| Singles | Up to $190/fortnight | Up to $2,115.20/fortnight |
| Couples | Up to $336/fortnight | Up to $3,237.60/fortnight |
Income includes wages, investments, superannuation, and foreign pensions.
4. Assets Test
Your assets will also impact your pension payments. This test assesses the value of your belongings, excluding your primary residence.
| Ownership Status | Singles (Full Pension) | Singles (Partial Pension) | Couples (Full Pension) | Couples (Partial Pension) |
|---|---|---|---|---|
| Homeowners | Up to $280,000 | Up to $609,250 | Up to $419,000 | Up to $915,500 |
| Non-homeowners | Up to $504,500 | Up to $833,750 | Up to $643,500 | Up to $1,140,000 |
Assets include cash, vehicles, and investments, but exclude your primary residence.
How to Apply for the Age Pension Increase
If you’re eligible, follow these steps to apply for the Age Pension:
- Gather Required Documents: Include proof of age, residency, income, and assets.
- Create a myGov Account: Link your myGov account to Centrelink.
- Submit Your Application: Apply online through myGov or in person at a Centrelink office.
- Wait for Approval: Processing times may vary, but expect a decision within a few weeks.
Additional Support for Pensioners
Apart from the Age Pension, Australian retirees may also qualify for additional financial support:
| Support Program | Benefits |
|---|---|
| Pensioner Concession Card | Discounts on healthcare, utilities, and transport |
| Commonwealth Seniors Health Card | Reduced prescription costs |
| Rent Assistance | Financial help for those renting their homes |
| Energy Assistance | Support to offset rising energy bills |
Conclusion
The March 2025 Age Pension increase will provide financial relief to Australian retirees, helping them cope with rising living costs. Understanding the eligibility criteria, income and assets tests, and how to apply is essential to ensure you receive the maximum benefits.
FAQs
When will the new Age Pension rates take effect?
The updated rates will start from March 2025, with the next adjustment scheduled for September 2025.
What is the maximum Age Pension payment for singles and couples?
In March 2025, singles will receive $1,148.92/fortnight and couples will receive $1,732.02/fortnight combined.
Do my savings affect my Age Pension?
Yes, your savings and other assets are included in the assets test, which can impact your pension amount.
Can I apply for the Age Pension online?
Yes, you can apply through the myGov portal linked to Centrelink.
What if I live overseas?
If you meet the residency and age requirements, you may still qualify under specific international agreements.