Australia is not ending the Age Pension. As of September 2025, the scheme continues as a permanent pillar of the nation’s retirement income system, alongside superannuation and voluntary savings.
What did change this month is the usual September indexation (the twice-yearly adjustment designed to protect purchasing power) plus routine updates to income and assets test thresholds used to decide how much you’re paid.
Below is a clear, SEO-friendly breakdown of what matters in September 2025—written in simple English and focused on the facts retirees actually use.
Is The Age Pension Ending?
No. There is no plan to abolish the Age Pension. The program remains ongoing, with payments continuing on the normal fortnightly cycle.
September brings the regular indexation that happens each March and September, ensuring rates keep pace with the cost of living.
What Changed In September 2025
Each September, the government adjusts the maximum pension rate and related thresholds using formulas tied to inflation and wage growth.
That means your pension amount, and the cut-offs for the income and assets tests used by Centrelink, may shift.
If your savings, investments or personal situation changed this year, your rate can move up or down after the September recalculation.
Who Is Eligible In 2025
To get the Age Pension in 2025, you generally must:
- Be 67 years or older (Age Pension age).
- Meet residency rules (e.g., a minimum period as an Australian resident).
- Satisfy the income test and assets test (your final rate is the lower of the two results).
If you’re partnered, assessments are typically based on combined circumstances.
Payment Dates And Frequency
The Age Pension is usually paid fortnightly to your nominated bank account.
If you’re experiencing vulnerability (for example, at risk of homelessness or difficulty managing money), you can ask Centrelink for weekly payments.
Your actual pay day depends on when your claim started and your assigned schedule.
How Deeming Works In 2025
Under the income test, Centrelink often uses deeming to estimate earnings from your financial assets (like savings and term deposits) rather than checking your actual interest each fortnight.
Deeming applies a lower rate up to a threshold and a higher rate above that threshold.
Because deeming is a policy setting, small changes can affect how much Age Pension you receive—especially if you hold larger cash balances.
Quick Reference- Age Pension — September 2025
| Item | What To Know In September 2025 |
|---|---|
| Program Status | Age Pension continues; it is not ending. |
| Indexation Timing | Happens twice yearly: March and September. |
| Eligibility Age | 67+ years (Age Pension age). |
| Tests Used | Income test and assets test; the lower result sets your rate. |
| Deeming | Used to estimate income from financial assets; has lower and upper rates with thresholds. |
| Payment Frequency | Fortnightly (with a weekly option in limited circumstances). |
| What To Do Now | Check your myGov/Centrelink account for your updated rate, test results, and next pay date. |
Practical Tips To Maximise Your Pension
- Keep details current: Report changes to savings, investments, or living arrangements quickly so your rate is correct.
- Claim concessions: Make sure you’re using your Pensioner Concession Card and any state/territory concessions you qualify for.
- Review income streams: If you draw an account-based pension from super, ensure your drawdowns and balances are up to date so deeming and asset values reflect reality.
- Ask for weekly payments if cash-flow stress makes fortnightly cycles difficult.
The bottom line for September 2025: Australia is not ending the Age Pension. What you’re seeing is the normal September indexation and routine updates to tests and thresholds.
Log in to myGov (Centrelink) to view your recalculated rate, payment schedule, and the test that currently determines your entitlement.
Keeping your details accurate, understanding deeming, and checking concessions can help you get every dollar you’re entitled to.
FAQs
Is the Age Pension being abolished in 2025?
No. The Age Pension continues as normal, with indexation applied in September and again in March each year.
What if my payment changed after September indexation?
Your rate is recalculated using updated income/assets settings. If your savings or investments changed, your new assessed amount may be different.
Can I be paid weekly instead of fortnightly?
Yes—if you meet vulnerability criteria (for example, difficulty managing money). Ask Centrelink about switching to weekly payments.
