Income test

What an income test is

We assess your and your partner’s income from all sources. This includes financial assets such as superannuation. To work out how much income your financial assets produce, we use deeming. If you’re paid employment income, read about working while you’re getting Age Pension.

Age Pension has income and asset limits. If you’re over these limits, you get a lower pension.

Unless you get Rent Assistance, we don’t use the income test if you’re permanently blind and get Age Pension.

What the standard rules are

These are the income rules for most pensioners. Read about the Work Bonus and how it can help you earn more income from working without reducing your pension.

Single person

Couple living together or apart due to ill health

What the transitional rules are

These are the income rules for transitional rate pensioner.

Single person

Couple living together or apart due to ill health

Transitional rate with dependent children

You can earn up to an extra $24.60 per fortnight for each dependent child without reducing your pension. Couples living together and both getting a pension can each earn an extra $12.30 per fortnight for each dependent child.

What the cut off points are

If your income in a fortnight goes over the cut off point, we’ll pay you $0 for that fortnight.

Your cut off point may be higher if you get Rent Assistance or Work Bonus.

Your cut off point may be lower if you don’t live in Australia.