Aussies on the Age Pension will soon be able to earn more without having their Centrelink payments impacted.
From Wednesday December 1, the maximum Work Bonus will increase from $7,800 per year to $11,800 per year. This means pensioners can earn an extra $4,000 per year before their pension is reduced. The changes will be in place until December 31, 2023.
Minister for Social Services Amanda Rishworth said the changes would give older Aussies more options and would help address Australia’s current labour shortages.
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“Around 51,000 pensioners already participating in Australia’s workforce will benefit from this increase immediately, with the hope that other pensioners will soon take up this opportunity, if they choose to,” Rishworth said.
“Older workers are an untapped market, having years of knowledge and skills to offer employers.”
The Government has also scrapped the need for pensioners to reapply for their payments for up to two years if they exceed the income limit. Currently, the pension is cut off after the income limit is exceeded for 12 weeks.
This means pensioners can also keep their Pensioner Concession Card for two years, which gives holders access to cheaper health care, medicines and other benefits.
How will the changes work?
The changes will apply to people over the Age Pension age who receive one of the following payments:
Disability Support Pension
Veterans’ Affairs Service Pensioners and Income Support Supplement
Eligible pensioners do not need to do anything, the $4,000 boost will be automatically credited to their Centrelink income bank from December 1, 2022 until December 31, 2023.