Should I pay off my mortgage? Your pension questions answered
Superannuation shouldn't be set and forget. Our six-part series shows you how to regularly check in on your retirement. See all 7 stories.
If retirement is looming and you're confused about the age pension, you're not alone – it isn't the easiest system to navigate.
We've enlisted a couple of experts to answer your FAQs. Let's get right into it.
Who is eligible for the age pension?
'To be eligible for the age pension, individuals must generally meet a few key requirements,' says Mark Chapman, the director of tax communications at H&R Block.
'[They must] be at least 67 years old, be an Australian resident for at least 10 years – with at least five years being consecutive – and pass both an income test and an assets test.'
Centrelink applies these income and assets tests to determine if you are eligible for the age pension, and how much you will receive.
Depending on the results of these tests, you may be eligible for a full pension, a part-pension, or none.
The income test adds up your income from sources including employment and investments. The assets test adds up your assets, including savings, shares and investment properties.
The income and assets limits vary depending on your circumstances (for example, whether you are a couple or single, or a homeowner or not).
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
West Australian
31 minutes ago
- West Australian
Australian inflation: CPI slows to 2.1 per cent in May in sign of easing cost-of-living pressures
Australian inflation has dipped to 2.1 per cent in the year to May, a figure that would boost hopes that further interest rate relief will be on the way within months. That was down from 2.4 per cent in the previous month, according to Australian Bureau of Statistics data released on Wednesday morning. Core inflation — which strips out volatility — was also lower, at 2.4 per cent for the year to May. The Reserve Bank will brush off the monthly data as it provides only a partial guide to inflation, preferring the fuller snapshot published every quarter. But it does give an early indication of where inflation is heading. Markets were heavily betting on an interest rate cut when the RBA board meets in the second week of July, with the chances of relief tipped at more than 85 per cent. Yet the central bank may prefer to take it slow and wait until August before lowering rates for the third time this year. Treasurer Jim Chalmers on Tuesday warned the monthly figure was 'notoriously volatile' and 'bounces around a bit'. He predicted the number would be in the RBA's target band of 2 to 3 per cent. The central bank will also need to weigh up the threats to economic growth and the potential impact on jobs. Economic activity was sluggish in the March quarter and international chaos caused by President Donald Trump's trade war and the more recent conflict in the Middle East will add to the pressure. The jobs market also had a soft May with the number of Australians in work falling slightly. Offshore, Federal Reserve chair Jerome Powell told US Congress overnight that he would be in no rush to cut that country's interest rates given the potential inflationary impact of tariffs levied on imports by Mr Trump.
The Age
an hour ago
- The Age
‘Doesn't add up': RACQ slams unfair Brisbane petrol price hikes
Brisbane drivers are being urged to fill up the tank now as unleaded petrol prices hike by almost 60 per cent per litre at some service stations. Fuel companies in Brisbane and on the Gold Coast are currently increasing unleaded prices from a low of 160 cents per litre to a high of 219.9 cents per litre. RACQ head of public policy Dr Michael Kane said despite impacts from Israel-Iran conflict and the local price cycle, retail margins were far too high compared with other parts of the country. 'We're currently in the price-hike phase of the fuel cycle and while we usually see prices jump, an almost 60¢ hike is unjustified and unfair,' he said. 'We're seeing a lot of blame for these higher prices fall on international factors, like the conflict in the Middle East and volatile global oil prices, but these haven't led to a significant increase in wholesale fuel prices, so the massive spike at the bowser doesn't add up.' Federal Treasurer Jim Chalmers has written to the Australian Competition and Consumer Commission calling for the watchdog to monitor for potential price gouging at the bowser by operators. Petrol prices have been fluctuating following uncertainty in the Middle East with Iran and Israel trading air strikes and the US bombing Iranian nuclear facilities. 'We don't want to see service stations do the wrong thing by Australian motorists,' he told reporters in Brisbane on Tuesday.
Sydney Morning Herald
an hour ago
- Sydney Morning Herald
‘Doesn't add up': RACQ slams unfair Brisbane petrol price hikes
Brisbane drivers are being urged to fill up the tank now as unleaded petrol prices hike by almost 60 per cent per litre at some service stations. Fuel companies in Brisbane and on the Gold Coast are currently increasing unleaded prices from a low of 160 cents per litre to a high of 219.9 cents per litre. RACQ head of public policy Dr Michael Kane said despite impacts from Israel-Iran conflict and the local price cycle, retail margins were far too high compared with other parts of the country. 'We're currently in the price-hike phase of the fuel cycle and while we usually see prices jump, an almost 60¢ hike is unjustified and unfair,' he said. 'We're seeing a lot of blame for these higher prices fall on international factors, like the conflict in the Middle East and volatile global oil prices, but these haven't led to a significant increase in wholesale fuel prices, so the massive spike at the bowser doesn't add up.' Federal Treasurer Jim Chalmers has written to the Australian Competition and Consumer Commission calling for the watchdog to monitor for potential price gouging at the bowser by operators. Petrol prices have been fluctuating following uncertainty in the Middle East with Iran and Israel trading air strikes and the US bombing Iranian nuclear facilities. 'We don't want to see service stations do the wrong thing by Australian motorists,' he told reporters in Brisbane on Tuesday.
