Retirees across Australia are getting a financial boost with the Age Pension rates rising as of 20 September 2025. With costs for groceries, utilities, and housing climbing, this increase offers welcome relief for pensioners. Single pensioners will now receive up to $1,178.70 per fortnight, while couples get $1,777.00 combined. Wondering if you qualify or when the money hits your account? Here’s a clear, straightforward guide to everything you need to know.
What Are the New Age Pension Rates for 2025?
As of 20 September 2025, Centrelink has increased Age Pension payments to keep up with inflation and living costs. The new maximum fortnightly rates, including pension and energy supplements, are:
| Recipient Type | New Fortnightly Rate | Increase |
|---|---|---|
| Single Pensioner | $1,178.70 | +$29.70 |
| Each Member of a Couple | $888.50 | +$22.40 |
| Couple Combined | $1,777.00 | +$44.80 |
These are maximum rates. Your actual payment may be lower if your income or assets exceed certain thresholds. Some pensioners on transitional rates may see different amounts.
Why the Age Pension Increase Matters
The Age Pension supports over 2.6 million Australians, acting as a safety net for retirees with limited savings or superannuation. Rising costs for essentials like food, power, and rent can stretch budgets thin. This increase ensures pensioners can:
- Cover daily expenses without cutting back.
- Avoid financial hardship in retirement.
- Maintain independence and dignity.
Regular indexation in March and September keeps payments aligned with inflation and wage growth, so retirees aren’t left behind.
Who Qualifies for the Age Pension?
To receive the Age Pension in 2025, you must meet specific eligibility rules:
- Age: Be 67 or older.
- Residency: Be an Australian resident and meet residency requirements (usually 10 years in Australia, with at least 5 years continuous).
- Income Test: Your fortnightly income must be below $218 (singles) or $380 (couples, combined) for the full pension.
- Asset Test: Your assets must fall under the limits, which vary by homeownership status.
Asset Test Limits (September 2025)
| Recipient Type | Full Pension Asset Limit |
|---|---|
| Single Homeowner | $321,500 |
| Single Non-Homeowner | $579,500 |
| Couple Homeowners (Combined) | $482,500 |
| Couple Non-Homeowners (Combined) | $740,500 |
Exceeding these limits reduces your pension, but you may still qualify for a part pension. Work Bonus rules can also exempt some work income for pensioners who earn extra.
When and How Are Payments Made?
Age Pension payments are deposited every two weeks into your nominated bank account. The new rates started on 20 September 2025, and you’ll see the increase in your regular payment cycle. The next adjustment is set for 20 March 2026, based on inflation, wages, and cost-of-living indexes.
Payments include the base pension plus supplements (pension and energy). To ensure smooth deposits:
- Keep your bank details updated with Centrelink.
- Check your myGov account for payment confirmations.
- Contact Services Australia at 132 300 if issues arise.
How the Increase Helps Retirees
This boost—$29.70 more per fortnight for singles and $44.80 for couples—might seem modest, but it adds up. It could cover an extra grocery shop, a utility bill, or part of your rent. For retirees relying heavily on the pension, this adjustment eases the pressure of rising costs and helps maintain a decent standard of living.
What Else Should You Know?
Centrelink’s Work Bonus lets pensioners earn up to $300 per fortnight from work without affecting their pension. Any income above this taps into a Work Bonus balance (up to $11,800) before reducing payments. This is great for those picking up part-time or casual work.
Asset and income thresholds also got a refresh in September 2025, so even if you were previously over the limit, you might now qualify for a part pension. Check your eligibility on servicesaustralia.gov.au.
Final Thoughts
The Age Pension increase for September 2025 is a vital step to help retirees cope with Australia’s rising cost of living. Whether you’re a single pensioner or part of a couple, this boost can make daily expenses more manageable. Keep your Centrelink details current, explore Work Bonus options, and stay informed about future adjustments. For more details, visit Services Australia or log into your myGov account.
FAQ: Age Pension New Rates 2025
What is the Age Pension rate for a single person in 2025?
As of 20 September 2025, singles receive up to $1,178.70 per fortnight, including supplements.
How much do couples get on the Age Pension?
Each member of a couple gets $888.50 per fortnight, or $1,777.00 combined, starting 20 September 2025.
When do the new Age Pension rates start?
The increased rates began on 20 September 2025, with the next review on 20 March 2026.
What are the asset limits for the full Age Pension?
Singles: $321,500 (homeowners) or $579,500 (non-homeowners). Couples: $482,500 (homeowners) or $740,500 (non-homeowners).
Can I work and still get the Age Pension?
Yes, the Work Bonus allows up to $300 per fortnight in work income without reducing your pension.