Age Pension is a very important social security scheme for living a secure and self-reliant life as one grows older in Australia. This scheme provides financial assistance to elderly citizens who have contributed to the country’s economy throughout their lives. Every year the government changes its updated amount, eligibility criteria and rules related to Superannuation i.e. retirement fund. Some important changes have also been made in September 2025, which is important for every pensioner and adult Australian to know.
What is Age Pension and why is it important?
Age Pension is a regular income given by the Australian government, which is given to eligible citizens after a certain age. This amount helps to meet the basic needs of the elderly – such as food, medicines, rent etc. This scheme is especially helpful for people who have limited income and assets.
Changes of September 2025 – What are the main updates?
There has been a change in the updated amount of Age Pension in September 2025. In addition, there have been amendments to the Superannuation access and income test thresholds.
(A) New pension amount – Updated Payouts: Single pensioners: The new rate is about $1,070.60 per fortnight, which includes base pension, supplement and energy supplement.
Couples: Together they will get $1,615.60 per fortnight.
This increase has been made keeping in mind inflation, cost of living and the needs of low-income earners.
(B) Changes to income and asset tests: People whose income or assets exceed a certain limit for pension eligibility do not receive a full pension. From September 2025, these limits have been slightly increased to allow more people to benefit.
(C) Changes to Superannuation: The minimum age for access to superannuation funds is now 60 years (compared to the previous 59 years). Also, the minimum drawdown rates have also changed so that people can use their funds for a longer life.
Eligibility Criteria – Who are eligible for this scheme?
- Age: 67 years or more (some changes are possible according to the date of birth)
- Residence: Resident of Australia and living here for at least 10 years
- Income and property status: Should be within the limits set by the government
How to apply for Age Pension?
To receive Age Pension, you must fulfill the following conditions:
Application can be made online through the MyGov portal or by visiting the Services Australia office. You will need documents such as your income, Superannuation account details, identity card, proof of residence etc.
Superannuation – New direction of retirement savings
Superannuation is Australia’s retirement fund system, in which your employer deposits a part while you are working.
Some changes made in 2025:
Super Guarantee Contribution Rate has now been increased to 11% (was 10.5% earlier)
The government has advised that people keep updating their Super Fund from time to time and invest in funds with better returns
Transparency and control have also been increased in the rules of Self-managed Super Funds (SMSFs)
Can you take both pension and super?
Yes! If your income from Superannuation is limited and income/assets are within the government’s prescribed limit, then you are eligible for Age Pension. The combination of both can provide a better retirement life.
Importance of Age Pension amid inflation and cost of living
In Australia, the prices of house rents, health services and daily commodities are constantly increasing. In such a situation, this increase in Age Pension gives relief to senior citizens. With this, they can fulfill their needs and also remain socially active.
Tips: How to get maximum benefit?
- Keep your MyGov account up to date
- Report your income and expenses at the end of each financial year
- Use free financial counselling services
- Review your Super Fund and transfer if needed
Other benefits with Age Pension
Age Pension recipients also get some other benefits:
- Concession Cards: which provide discounts on medical, public transport and utility bills
- Rent Assistance
- Discounted Medicine via PBS (Pharmaceutical Benefits Scheme)
- Access to Home Care Packages and aged care services
Conclusion
These changes to the Age Pension and Superannuation in September 2025 will give Australian seniors the opportunity to live a self-sufficient and dignified life. This is not just financial assistance, but an assurance – the government will care for its elderly.
FAQs
What is the Age Pension in Australia?
The Age Pension is a financial support payment provided by the Australian government to eligible older Australians who have reached retirement age and meet certain income and asset tests.
What changes are happening to the Age Pension in September 2025?
In September 2025, the Australian government is expected to update the Age Pension payment rates in line with inflation and average wage growth, along with some revisions to superannuation rules.
How much will the Age Pension increase in September 2025?
The exact increase will depend on inflation and wage indexation. However, reports suggest a potential modest rise in fortnightly payments to keep pace with the cost of living.
Who is eligible for the Age Pension in 2025?
To be eligible, individuals must be of qualifying age (currently 67 years by 1 July 2023), meet residency requirements, and pass the income and asset tests.
Will Superannuation affect my Age Pension in 2025?
Yes. Your superannuation balance and withdrawals are assessed under the income and assets test, which may affect how much pension you receive.