The Centrelink Age Pension is one of the most important social welfare benefits in Australia, designed to provide financial assistance to seniors who can no longer earn a full-time income. Starting from 20 September 2025, the government has announced an increase in the Age Pension, along with adjustments in deeming rates.
This update will see single pensioners receive up to $1,178.70 per fortnight, while couples will also benefit from additional increases, though at a slightly lower rate per person. The goal of this change is to support older Australians facing rising living costs, including food, rent, healthcare, and utilities.
This article explains the full details of the $1,178.70 Centrelink Age Pension Increase in September 2025, including eligibility, payment schedule, how to claim, and the broader impact of the changes.
What is the Centrelink Age Pension?
The Age Pension is a government-funded benefit that ensures older Australians can maintain a basic standard of living after retirement. It is a fortnightly income support payment for individuals who meet the required age, residency, and income/asset criteria.
The September 2025 increase is part of the government’s biannual indexation system, which adjusts pensions in March and September to keep up with inflation.
Quick Summary of the Age Pension Increase 2025
Aspect |
Details |
|---|---|
Name of Program |
$1,178.70 Centrelink Age Pension Increase |
Year |
2025 |
Month |
September |
Country |
Australia |
Authority |
Services Australia |
New Payment Amount |
$1,178.70 per fortnight (singles, including extras) |
Increase Amount |
$29.70 for singles, $22.40 for couples |
Frequency |
Fortnightly |
Age Requirement |
67 years and above |
Official Website |
Details of the September 2025 Pension Increase
From 20 September 2025, pensioners will see the following changes:
- Singles: An increase of $29.70 per fortnight, bringing the maximum payment (including supplements) to $1,178.70.
- Couples (each): An increase of $22.40 per fortnight, with the combined couple rate adjusted accordingly.
- Deeming Rates: A rise of 0.5% in deeming rates, which affects how financial assets are assessed for pension eligibility.
These adjustments ensure that pensioners maintain their purchasing power as the cost of essential goods and services continues to rise.
Eligibility for the $1,178.70 Age Pension
To qualify for the Age Pension, applicants must meet specific requirements set by Services Australia:
- Age Requirement: You must be at least 67 years old from 1 July 2023 onwards.
- Residency Requirement: You must be an Australian resident and have lived in Australia for at least 10 years (with at least 5 consecutive years).
- Income Test: Your income must be below the threshold set by the government. Earnings from employment, investments, and superannuation are considered.
- Assets Test: The total value of your assets (property, vehicles, savings, etc.) must remain under the specified limits.
- Other Rules: You must not be serving a waiting period or facing any restrictions based on visa or residency status.
Payment Dates and Schedule in 2025
Pension payments are made on a fortnightly basis. For September 2025, the official adjustment will take effect from 20 September 2025.
- Next payment after adjustment: Expected in the second half of September 2025.
- Payments will continue every two weeks into the recipient’s nominated bank account.
How to Apply for the Age Pension
If you are already receiving the Age Pension, you do not need to reapply. The increase will be applied automatically.
For new applicants:
- Create a MyGov Account and link it to Centrelink.
- Prepare Documentation, including proof of age, residency, bank account details, and evidence of income/assets.
- Log into MyGov and go to Centrelink > Payments and Claims > Age Pension.
- Complete the Claim Form and upload supporting documents.
- Track Application Progress through your MyGov account.
- Once approved, payments will be deposited fortnightly, including the increased amount from September 2025.
Important Points to Remember
- Automatic Adjustment: Current pensioners do not need to do anything; the increase will be credited automatically.
- Means Testing: Your actual payment amount may vary depending on your income and asset levels. Part-pensioners may receive less than the maximum rate.
- Notification of Changes: Pensioners must notify Centrelink of any significant changes in income or assets, as this can affect eligibility.
- Indexation Frequency: Adjustments are made twice a year, in March and September.
Fact Check
- Singles: The maximum payment increases to $1,178.70 per fortnight from 20 September 2025, a rise of $29.70.
- Couples: Each member receives a $22.40 increase.
- Deeming Rates: Increased by 0.5% to reflect market conditions.
- No Reapplication Needed: The increase is applied automatically.
Always confirm the latest information through the Services Australia website.
FAQs About $1,178.70 Centrelink Age Pension Increase September 2025
Q1. Do couples receive the same increase as singles?
No. Couples receive an increase of $22.40 per person, which is lower than the $29.70 increase for singles.
Q2. Will this rise continue permanently?
Yes. Once adjusted, the new amount becomes the standard rate until the next indexation in March 2026.
Q3. Why has the pension been raised?
To counter inflation and help seniors manage the rising cost of living.
Q4. How often are pensions adjusted?
Twice a year – in March and September.
Q5. Do I need to apply to receive the increase?
No. If you are already on the Age Pension, the increase will be applied automatically.
Q6. Who qualifies for the Age Pension increase?
All Australians who are eligible Age Pension recipients and meet the income and asset tests.
Q7. Will part-pensioners receive the full increase?
Not necessarily. The amount depends on your income and assets, so some may receive less.
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