The Australian government has announced a Centrelink pension increase effective from March 20, 2025, aiming to provide additional financial support to retirees and eligible citizens amidst rising living costs.
This adjustment reflects the government’s commitment to maintaining the purchasing power of pensioners by aligning payments with economic indicators such as the Consumer Price Index (CPI) and the Pensioner and Beneficiary Living Cost Index.
Specific Increases in Pension Payments
The exact increase in pension payments is determined based on several economic indicators, including the Consumer Price Index (CPI), the Pensioner and Beneficiary Living Cost Index (PBLCI), and wage growth. The highest of these measures dictates the adjustment rate.
As of the latest available data, the anticipated increases are:
- Single Pensioners: An increase of $19.60 per fortnight, bringing the total payment to $1,164.00 per fortnight.
- Each Member of a Couple: An increase of $14.70 per fortnight, resulting in a total payment of $877.30 per fortnight per person.
These figures encompass the base pension rate, the pension supplement, and the energy supplement.
Updated Fortnightly Payment Rates
| Category | Previous Rate (per fortnight) | Increase | New Rate (per fortnight) |
|---|---|---|---|
| Single Pensioners | $1,144.40 | $19.60 | $1,164.00 |
| Each Partner in a Couple | $862.60 | $14.70 | $877.30 |
Note: These figures include the base pension rate, the pension supplement, and the energy supplement.
Eligibility Criteria for the Age Centrelink Pension
To qualify for the Age Pension in 2025, applicants must meet the following conditions:
- Age Requirement: Must be at least 67 years old.
- Residency Status: Must be an Australian resident and have lived in Australia for at least 10 years, with at least 5 of those years in one continuous period.
- Means Test: Applicants must pass both the income and assets tests, which assess financial resources to determine eligibility and payment rates.
Income and Assets Tests Overview
- Income Test: To receive the full Age Pension, a single person’s income must be below $190 per fortnight, while a couple’s combined income should be under $336 per fortnight. The pension reduces as income exceeds these thresholds and cuts off when income reaches $2,083.40 per fortnight for singles and $3,188.40 per fortnight for couples.
- Assets Test: For homeowners, the full pension is available if assets are below $280,000 for singles and $419,000 for couples. Non-homeowners can have assets up to $504,500 for singles and $643,500 for couples to qualify for the full pension. The pension reduces once assets exceed these limits and stops when assets reach $609,250 for single homeowners and $915,500 for couple homeowners.
How to Apply for the Age Centrelink Pension
Eligible individuals can apply for the Age Pension through the following steps:
- Prepare Necessary Documents: Gather proof of identity, residency, income, and assets.
- Create a myGov Account: If not already registered, create an account and link it to Centrelink.
- Complete the Application: Log in to myGov, access Centrelink services, and fill out the Age Pension application form.
- Submit Supporting Documents: Upload all required documents to support your application.
- Await Assessment: Centrelink will review your application and notify you of the outcome.
The upcoming Centrelink pension increase in March 2025 underscores the Australian government’s dedication to supporting its senior citizens.
By staying informed about these changes and understanding the eligibility criteria, pensioners can better manage their finances and ensure they receive the full benefits to which they are entitled.
FAQs
When will the new pension rates take effect?
The increased pension rates will be effective from March 20, 2025.
How often are pension rates adjusted?
Pension rates are reviewed and potentially adjusted twice a year, in March and September, to align with economic indicators.
Do I need to apply for the pension increase?
No, if you are already receiving the Age Pension, the increase will be applied automatically to your payments.
Can I receive a line from Centrelink to start a small business
Can I get a loan from Centrelink to start a small business
When do I receive my one-off 1, 990 dollars from Centrelink this is a one-off payment I am on disability and I am 73 years old
Do invalid pensioners receive the one of $1990 in February 2025
When you have been on a disability pension from a very bad car accident as you reach age pension time does it automatic become age pension ??? I nearly lost my life but l want to know l became disabled in my back and had a smashed foot l had a brilliant foot surgeon who saved it 4 other surgeons were going to ampute me under knee
I’m afraid not…My mother was booted off her pension where she was told that the switch would be automatic. On the fortnight where she expected a payment found she had received nothing to pay her bills. Without money for that fortnight, we went directly to Centrelink where we were informed that she had to apply for the aged pension. After much stress, the issue was eventually resolved but left Mum without any income for the time between the application.
Looking at the asset test limits, the revised asset values from 20March 2025 looks like reduced compared to the existing asset values valid until 20 March 2025. Is it true?
With an intention to obtain an emergency food supply, it is
highly recommended that people make their own purchases through the online world.