The Australia Age Pension Payment 2024 will assist thousands of older Australians, increasing their financial flexibility and boosting their quality of life. While base pension rates are not rising, changes to the income and asset test limits mean that many retirees will receive larger benefits.
Australia Age Pension Payment 2024: Changes In Income Test
The following changes will be made to the income test thresholds:
Pensioners who are single: The income-free zone, which enables them to make a specific amount of money without compromising their benefits, will rise from $204 to $212 every two weeks. The pension amount drops by 50 cents for each dollar over the cap after this level is crossed.
Pensioners in a couple: For couples, the combined income-free area will increase from $360 to $372 per two weeks. As with retirees who are single, any income that exceeds this ceiling is reduced by fifty cents for every dollar that exceeds the cap.
The upper income thresholds that must be reached before pension benefits completely stop are also rising:
Pensioners who are single: The cap will increase to $2,444.60 every two weeks from $2,436.60.
Pensioners who are couples: The joint cap will rise to $3,737.60 per fortnight from $3,725.60.
Australia Age Pension Payment 2024: Asset Test Threshold
Additionally, there will be adjustments made to the asset test levels that will let pensioners to own larger assets without having their pension benefits reduced:
Homeowners
Pensioners who are single: $301,750 to $314,000 will be the new asset threshold for obtaining the full pension.
Pensioners who are couples: The total amount of assets required to qualify for the full pension will increase from $451,500 to $470,000.
Non- Homeowner
Pensioners who are single: The maximum amount of assets required to receive the full pension will rise to $566,000.
Couple Pensioners: From $693,500 to $722,000, the combined asset limit will be required to get the full pension.
Australia Age Pension Payment 2024: Deeming Rates
Up to June 30, 2025, deeming rates which the government uses to calculate the amount of income from financial assets will be fixed at their current levels. Higher asset values can be deemed at a lesser rate, though, because the criteria for deeming will be indexed:
Pensioners who are single: Starting at $60,400, the first $62,600 in financial assets will be considered to earn 0.25%.
Couple Pensioners: Up from $100,200, the first $103,800 in combined financial assets will be considered to receive 0.25%. Amounts over these caps will still be considered as earning 2.25%.
