In May 2025, Centrelink has implemented significant updates to the Age Pension scheme, introducing increased fortnightly payments and special one-off bonuses.
These changes aim to provide financial relief to pensioners amid rising living costs.
Fortnightly Pension Rate Adjustments
Effective from 20 March 2025, the maximum Age Pension payments have been increased as follows:
- Single Pensioners: Now receive $1,149.00 per fortnight, up from $1,144.40.
- Couples (each): Now receive $866.10 per fortnight, up from $862.60.
These adjustments are part of the regular indexation process, which considers inflation indicators such as the Consumer Price Index and the Pensioner and Beneficiary Living Cost Index.
Upcoming One-Off Payments
To further assist pensioners, Centrelink has announced two one-off payments:
- $250 Payment: Scheduled between 15 and 30 May 2025.
- $750 Payment: Scheduled between 1 and 15 June 2025.
Eligible recipients will receive these payments automatically in their bank accounts, with no need for additional applications.
Advance Payment Options
Pensioners facing financial hardship can apply for advance payments through Services Australia. These are essentially loans against future pension payments and must be repaid over time.
The amount available and eligibility criteria vary, so it’s advisable to consult directly with Services Australia for personalized information.
Eligibility Criteria for Age Pension
To qualify for the Age Pension as of May 2025, applicants must meet the following conditions:
- Age Requirement: Must be at least 67 years old.
- Residency: Must have been an Australian resident for at least 10 years.
- Income and Asset Tests: Applicants must fall below certain thresholds.
Asset Limits:
- Single Homeowners: Assets must be below $314,000.
- Single Non-Homeowners: Assets must be below $566,000.
- Couple Homeowners: Combined assets must be below $470,000.
- Couple Non-Homeowners: Combined assets must be below $722,000.
Income Limits:
- Single Pensioners: Income must be below $212 per fortnight.
- Couples (combined): Income must be below $372 per fortnight.
These thresholds are subject to change and are reviewed periodically to reflect economic conditions.
Centrelink’s May 2025 pension updates offer vital financial support through increased fortnightly payments, bonus one-off payouts, and flexible advance options.
These changes aim to ease cost-of-living pressures for eligible Australian pensioners. Staying informed on updated rates and criteria ensures individuals can maximize their entitlements and plan their finances more effectively.
FAQs
Do I need to apply for the one-off payments?
No, eligible pensioners will receive the $250 and $750 payments automatically in their bank accounts during the specified periods.
How can I apply for an advance payment?
Advance payments can be requested through Services Australia, either online via your MyGov account or by contacting them directly.
What happens if my assets or income exceed the thresholds?
If your assets or income exceed the specified limits, you may still be eligible for a part pension. The amount received will be adjusted based on how much you exceed the thresholds.