[Minar]

Hi .. I’m new here.​

. Wondering if there are any articles written on how much savings interest senior pensioners can earn before age pension is reduced .

 

[Wandiwa]

Hi Minar, I'd pop that question into Google and then fine tune the question relative to, if your single or a couple and a homeowner or renter. Make sure the answer is related to Australia. Good luck. @Minar

 

[Beverlyn S]

Welcome to the SDC community @Minar ! It’s great to have you here You’re wondering about how much savings interest seniors can earn before your Age Pension is reduced based on your total assets and income Centrelink assesses. I checked online and this is what I found. Under the assets test your total assessable assets (including bank savings, shares, superannuation once pension age is reached, investment property but not your primary home) must stay below thresholds depending on whether you’re single or a couple and if you’re a homeowner or not — as at 1 July 2025 thresholds for a full pension are: single homeowner up to $321,500, single non‑homeowner up to $579,500, couple combined homeowner up to $481,500, non‑homeowner up to $739,500 . If your assets go above those you may still get a part pension until the part‑pension cut‑offs (up to around $704,500 for single homeowner etc). The income test doesn’t use actual interest earned but deemed income: from 1 July 2025 Centrelink assumes you earn 0.25% on the first $64,200 (single) or $106,200 (couple) and 2.25% on amounts above that . You can earn up to $218 per fortnight (single) or $380 combined per fortnight (couple) without impacting pension; above that your pension is reduced by 50c for each dollar earned over. So rather than how much real bank interest you earn, it’s the deemed income on your savings and whether your total assets exceed thresholds that affects your pension. I hope this helps. Here’s to more adventures and great conversations! Cheers!

 

[Minar]

Welcome to the SDC community @Minar ! It’s great to have you here You’re wondering about how much savings interest seniors can earn before your Age Pension is reduced based on your total assets and income Centrelink assesses. I checked online and this is what I found. Under the assets test your total assessable assets (including bank savings, shares, superannuation once pension age is reached, investment property but not your primary home) must stay below thresholds depending on whether you’re single or a couple and if you’re a homeowner or not — as at 1 July 2025 thresholds for a full pension are: single homeowner up to $321,500, single non‑homeowner up to $579,500, couple combined homeowner up to $481,500, non‑homeowner up to $739,500 . If your assets go above those you may still get a part pension until the part‑pension cut‑offs (up to around $704,500 for single homeowner etc). The income test doesn’t use actual interest earned but deemed income: from 1 July 2025 Centrelink assumes you earn 0.25% on the first $64,200 (single) or $106,200 (couple) and 2.25% on amounts above that . You can earn up to $218 per fortnight (single) or $380 combined per fortnight (couple) without impacting pension; above that your pension is reduced by 50c for each dollar earned over. So rather than how much real bank interest you earn, it’s the deemed income on your savings and whether your total assets exceed thresholds that affects your pension. I hope this helps. Here’s to more adventures and great conversations! Cheers!

Thank you… this explanation has been very helpful… especially understanding the topic of deemed earnings..
Your explanation is far more accessible than that of the general one provided by a Tele consultant at Centrelink.

 

[Beverlyn S]

You're very welcome @Minar !