As of September 20, 2025, and hence payable from October, for instance, the Age Pension rates have been increased which now provides a substantial increase to the older eligible population. The couple combined payment rates increased by $44.80 a fortnight which means $22.40 more for each, whereas for singles there is an increase of $29.70 per fortnight. The changes to the rates of payment, which is part of the indexation process, is done to keep with inflation and the varying costs of living to ensure fiscal autonomy for the older populace.
Breakdown of New Payment Rates
For singles, now the pension rates have been uplifted to 1,178.70 perfortnight and for couples888.50 per person. These increases would, in all likelihood, include the base rate of pension, pension supplements, and energy supplements accruing to all the recipients. For couples where one is in domestic separation because of ailments, each partner gets the single rate, which totals is $2,357.40 per fortnight. These payments are a form of assistance provided to the older population to help them with the essentials like health care, utility bills, and daily living.
New Pension Rates Summary Table
| Pension Type | New Fortnightly Rate | Fortnightly Increase |
|---|---|---|
| Single | $1,178.70 | $29.70 |
| Couple (each) | $888.50 | $22.40 |
| Couple (combined) | $1,777.00 | $44.80 |
| Couples separated due to illness (each) | $1,178.70 | $29.70 |
Criteria to qualify for an Age Pension
As of now, new applicants for an Age Pension must satisfy the following criteria.
- Reaching the age of 67 years and older (if born on or after January 1, 1957).
- Must have settled in Australia for 10 years, sustaining 5 years of continuous residency during the period.
- Must comply with Centrelink’s income and assets assessment.
Senior citizens are granted the automatic right to the pension and associated benefits with no application process, provided the criteria are met.
Changes to Shrinking the Deeming Rate and Threshold
There has also been an increase in lower and upper asset threshold deeming rates. The increase on the pension rates has also changed the lower asset threshold assumed income for financial assets, shifting it from 0.25% to 0.75% and from 2.25% to 2.75% for the upper thresholds. Higher income- and asset-rated thresholds for full or partial pensioners has also changed, benefiting the retirees for having slightly higher assets or income. The bulk of the pensioners are likely to experience the new changes positively in their net payments, except for some part pensioners who may face slight decreases.
Payment Timing and Future Adjustments
Although the Centrelink website states payments will commence roughly at the end of September or the beginning of October for payments due on September 20, 2025. Payments on new rates will be credited to Centrelink accounts and will be in line with the Centerlink fortnightly schedules for credits. Payments for new rates will be added to fortnightly Centrelink accounts in October. Superannuants don’t need to do anything to to receive the new increased payments; their accounts will be updated automatically.
Frequently Asked Questions
1. When can I expect the new boosted pension payments?
Most clients will be able to receive their payments with the adjusted rates in the second fortnight of September, with payments standard at the end of the month or the beginning of October.
2. Is this increase for the pension something permanent or is it a one-time adjustment?
This increase is permanent and is part of the standard biannual pension index rises to reflect inflation.
3. I am due an increase. Do I need to submit an application?
No new application is required, as the increase will be applied automatically for those who receive them.
