The Aged Pension is a Government Benefit for people above the Aged Pension age which is 67 years or older.
In order to qualify for the aged pension you must be all of the following:
67 years or older
Under the Income and Assets test limits
An Australian residence, normally for at least 10 years
There are different rates of Aged Pension Payments for single and partnered people. There are three parts to the typical ‘normal rates’ that pensioners receive.
For Aged Pension payment there are Normal or Maximum Rates which are then means tested (Income and Assets Tests) and then support is ‘tapered’ off depending on the values of those tests.
Normal rates
Normal fortnightly rates of Age Pension before tax (as of 26 Jan 2026)
Per fortnight | Single | Couple each | Couple combined | Couple apart due to ill health |
Maximum basic rate | $1,079.70 | $813.90 | $1,627.80 | $1,079.70 |
Maximum Pension Supplement | $84.90 | $64.00 | $128.00 | $84.90 |
$14.10 | $10.60 | $21.20 | $14.10 | |
Total | $1,178.70 | $888.50 | $1,777.00 | $1,178.70 |
Taxation & changes over time
| Indexation | Tax Treatment |
Aged Pension Basic Rate | Complex - just use CPI | Taxable Income |
Aged Pension Supplement | May be adjusted at CPI - just use CPI | Taxable Income |
Energy Supplement | Not indexed. | Non-Taxed |
Indexation of Rates
Aged Pension Basic Rate: The Department of Social Services adjusts the rates every 20 March and 20 September → within Canwi we apply an adjustment based on CPI.
IRL: Aged Pension Basic Rate indexation is based on three different indices with a general theme of ensuring indexation is aligned with living costs for pensioners and not too out of step with wage growth.
Aged Pension Supplement: DSS updates payment rates every 20 March and 20 September → within Canwi we apply an adjustment based on CPI
IRL: Aged Pension supplement may be indexed at CPI
Energy Supplement: Not Indexed. → within Canwi we do not apply any adjustment.
Other notes:
Transitional rates: There are also Transition rates - we do not handle these as in order to receive transitional rates you must have been getting pensions prior to 19 Sept 2009. This falls outside our user profile.
Sources:
Aged Pension Basic Rate: After 20 Sept 2009 https://guides.dss.gov.au/social-security-guide/5/1/8/50?utm_source=chatgpt.com
Aged Pension Supplement indexation: Updating Payments Rates from https://www.servicesaustralia.gov.au/how-much-pension-supplement-you-can-get?context=22321