How it works

The Work Bonus reduces the amount of employment income or eligible self-employment income that we applied to your rate of pension entitlement under the income test.

The Work Bonus doesn’t apply to income from your investments.

If you don't work

If you don’t work you still accrue a bonus.

If you work

If you work, we’ll apply your Work Bonus balance to offset your Work Bonus eligible income. We’ll do this before we reduce your pension.

If your partner has employment income

Your partner’s assessable income may also change with the Work Bonus.

Types of income we apply the Work Bonus to

We apply the Work Bonus to employment and self-employment income. You need to tell us how much you earn so we can apply the Work Bonus and income test.

Page last updated: 22 March 2021

How it works

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