Disclaimer: The names in asterisks (*) were changed for privacy.

Travelling is one of life's greatest joys, especially after decades of hard work.

It's a way to experience different cultures, explore new horizons, and enjoy one's golden years.

Yet, for one senior, her overseas trip left her shocked and frustrated.

Lauren* had planned a four-week visit to Tennessee, United States, to see her son and grandchildren.

The 78-year-old widow was then accompanied by her adult daughter, Jessica.

Throughout the trip, Jessica* fell ill and needed a minor medical procedure.

Lauren decided to extend her stay to look after her daughter.

Lauren* wanted to spend time with her children in the United States. Image Credit: Pexels/Martin Péchy

'I was only meant to be away for a month, with my daughter going on to do more travelling,' Lauren explained.

'But I wasn't going to leave her in case her condition got worse.'

What Lauren did not realise was that this decision would trigger a series of unexpected events.

After being away for six weeks, Lauren noticed her pension payment was about $30 short.

The next fortnight, it was down by $50, and the reductions kept coming.

Confused and concerned, Lauren called Centrelink, only to be told that pensioners who leave Australia for more than six weeks face automatic payment cuts.

'And the pension gets reduced more and more for each week you are away,' Lauren reiterated.

'Older Australians who have worked hard our whole lives get punished for daring to spend more than six weeks out of Australia. It's disgusting.'

Lauren's full pension was reinstated when she returned to Australia.

However, Centrelink told Lauren that she would not be reimbursed for the lost payments.

'I want everyone to know about this rule. Just because you travel overseas doesn't mean you're rich,' Lauren lamented.

'People have direct debits and rely on their pension to pay bills. It's outrageous.'

Unfortunately, Lauren's story was not an isolated case.

Many seniors are unaware of 'Age Pension portability' rules, which could have a significant impact on finances, especially when travelling overseas.

According to Services Australia's Community Information Officer, Justin Bott, these portability rules depend on several factors.

'How much pension you get changes depending on how long you're away, how long you have lived in Australia or whether you're leaving to live in another country,' he said.

'If you get the Age Pension and are planning on travelling overseas for longer than six weeks, you need to tell Services Australia.'

How does the Age Pension change during your travels?

• First six weeks: You'll continue to receive your full Age Pension, including all supplements.
• After six weeks: The Energy Supplement stops, and the Pension Supplement starts to reduce each fortnight until it reaches the basic rate.
• After 26 weeks: Your Age Pension rate may be further reduced, depending on how long you've lived in Australia between the ages of 16 and pension age.
• Concession cards: Your Pensioner Concession Card is cancelled after six weeks overseas. A new one is only issued when you return and if you're still eligible.

'I had a backlog of mail when I got back, and I discovered my new concession card—it was really confusing,' Lauren recalled.

'There was just no warning. I am worried other people don't know about it.'
'I am just lucky I was with relatives and didn't have to worry about finances as much.'

The government's rationale is to ensure that taxpayer-funded benefits are primarily supporting those who live in Australia.

However, many argued that the rules are outdated and have unfairly penalised seniors who want to travel for health or personal reasons.

'Centrelink told me immigration flags the pensioners leaving the country,' Lauren clarified.

National Seniors Australia CEO Chris Grice pointed out that the government often assumed that anyone travelling overseas could be wealthy.

'You'll find that they're sort of saying, "Oh, hang on, you're out of the country. You don't need electricity,"' MR Grice stated.

'We all know that's not the case. Not everybody's doing a $40,000 scenic river cruise.'

What to do before travelling overseas?

• Notify Centrelink: Always let Services Australia know if you're planning an overseas trip for more than six weeks. It should give seniors clear information about how their payments will be affected.
• Check your eligibility: Visit the Services Australia website or speak to a Centrelink officer to understand how payments will be impacted.
• Plan your finances: For seniors relying on pensions for regular bills and direct debits, make sure you have a backup plan.
• Keep an eye on your mail: If you're away for more than six weeks, expect your concession card to be cancelled and reissued when you return.

Lauren's story should be a timely reminder for all seniors, especially when they have plans to enjoy destinations outside The Land Down Under.

Key Takeaways

• Age Pension recipients who travel overseas for more than six weeks would have their payments reduced, with greater deductions the longer they remain away.
• Pensioners have to notify Services Australia if they intend to travel overseas for longer than six weeks, as concession cards could be cancelled and replaced when they return and remain eligible.
• Many pensioners are unaware of these deductions and the potential impact on their finances.
• Services Australia encouraged senior Aussies with future travel plans to check requirements and contact Centrelink before travelling.

Have you ever been caught out by the Age Pension portability rules during one of your travels? Is this system fair, or is it time for a change in the rules? Share your thoughts about Lauren's experience and the future of travelling in the comments section below.

 

[KaraJenna]

Be a responsible citizen and know your obligations.
At times that can be rough but there does need to be some boundaries to entitled benefits.
I lost my pension when I sold my house in a booming area, which was unexpected, going into a retirement village. Had to re do my financial sums. I acccept I am paying for being 'fortunate. Also have to pay tax for first time in many years. Thems the rules. Stop grizzling!

 

[Trina G]

These rules are common knowledge. The lady sounds like she knew about the 6 weeks limit so she should have relayed a message to CL with the circumstances of her staying on before the 6 weeks were up.

 

[Witty]

These have been the rules for many years. You need to let Centrelink that you are going to be away - whether if be for 3 weeks or 8 weeks. Ignorance is not an excuse. These rules have been in place for over 15 years. No different than having to tell them any changes in your assets or bank balances.

 

[Da Freddo]

These rules are common knowledge. The lady sounds like she knew about the 6 weeks limit so she should have relayed a message to CL with the circumstances of her staying on before the 6 weeks were up.

These rules are common knowledge ??????? I have never heard of them before reading this story.
SHAME YOU MISERABLE GOVT BASTARDS IT NEVER HAPPENS TO YOU CLOWNS THAT RETIRE AFTER GOVT WORK...WHY NOT.????????????????? BASTARDS

 

[Gerrit H. Schorel-Hlavka]

Age Pension, next week I am turning 78, and in its correspondence claimed I earn $553.49 ANNUALLY. hardly the amount of exceeding the threshold. You can read of the fight with Centrelink at https://www.scribd.com/inspectorrikati as I hold it cannot interfere with my pension rights one granted unless by court order, due to separation of powers.

 

[michi]

Yes I was docked $600 from my disability pension for being just two days longer than the four weeks allowed on dsp

 

[Da Freddo]

These rules are common knowledge ??????? I have never heard of them before reading this story.
SHAME YOU MISERABLE GOVT BASTARDS IT NEVER HAPPENS TO YOU CLOWNS THAT RETIRE AFTER GOVT WORK...WHY NOT.????????????????? BASTARDS

Sorry for the language but I feel strongly about being penalised for LIVING past retirement age.
The Pollies Super at 3 Million is exempt but yours is not .....HELLO

 

[novezar]

On our 4 trips overseas, we didn't let anyone at Centrelink know. We just went, &, that was that.

I must admit, we weren't gone for looong periods of time. Still, we didn't let any one know.

 

[BabsL]

Yes I was docked $600 from my disability pension for being just two days longer than the four weeks allowed on dsp

I was told (years ago) that bcz am on Disability pension, my entire pension will be cancelled if I attempt to travel overseas for any reason. Now in 70s, I learned last week that I can go away for two weeks without jeopardising my pension. But it costs over $400 just to get a passport now - that is far too costly and WHY is it for 10 years when women change dramatically from one year to the next w hair, makeup, weight, etc?! Over 70 should be Five year passports, not ten yrs!
Labor grabbing cash again.

 

[Greg350]

On our 4 trips overseas, we didn't let anyone at Centrelink know. We just went, &, that was that.

I must admit, we weren't gone for looong periods of time. Still, we didn't let any one know.

Were they shorter than 6 weeks? If so you don't need to worry.

 

[Greg350]

I was told (years ago) that bcz am on Disability pension, my entire pension will be cancelled if I attempt to travel overseas for any reason. Now in 70s, I learned last week that I can go away for two weeks without jeopardising my pension. But it costs over $400 just to get a passport now - that is far too costly and WHY is it for 10 years when women change dramatically from one year to the next w hair, makeup, weight, etc?! Over 70 should be Five year passports, not ten yrs!
Labor grabbing cash again.

If they were "grabbling cash again" they'd make it five years, so you need to apply again sooner and the fee may have increased by that time.

 

[Greg350]

These rules are common knowledge ??????? I have never heard of them before reading this story.
SHAME YOU MISERABLE GOVT BASTARDS IT NEVER HAPPENS TO YOU CLOWNS THAT RETIRE AFTER GOVT WORK...WHY NOT.????????????????? BASTARDS

Wow, I don't even get a pension and I know this

 

[Greg350]

Age Pension, next week I am turning 78, and in its correspondence claimed I earn $553.49 ANNUALLY. hardly the amount of exceeding the threshold. You can read of the fight with Centrelink at https://www.scribd.com/inspectorrikati as I hold it cannot interfere with my pension rights one granted unless by court order, due to separation of powers.

Are you still around peddling your rubbish.

 

[mylittletibbies]

I go to Bali every year and I've never let Centrelink know, but I usually don't go any longer than two weeks.
I wasn't aware if this rule though.
What happens about the people who have decided to live in Bali, Thailand etc because it's just too damn dear to live here.
I can understand they don't get things like the electricity supplement, but I think it's a bit rough to cut their pension payment.

IMO, if they want retirees to stay in this country and spend their money then perhaps they should consider raising the pension to an amount that makes life liveable in Australia.

Mark McGowan retired, supposedly worn out and within about a couple of months had pulled on four consultancies worth millions and they still get their pensions and all the lurks and perks that go along with this.
These are then the people who decide Australian pensioners can survive on a pittance and then deduct money from that pittance if these people decide to go overseas where that pittance can give them a more reasonable existence.
The whole system is a joke.
I'll bet my.bottom dollar there's no deductions coming out of their pensions.

 

[Greg350]

I go to Bali every year and I've never let Centrelink know, but I usually don't go any longer than two weeks.
I wasn't aware if this rule though.

Well you don't need to let them know, only for overseas travel of longer than 6 weeks.

 

[Iggydi]

How come they crack down on pensioners but don’t crack down on them rorting the system? They don’t have the same rules as us common folk
It should be what’s good for the goose is good for the gander

 

[Suzanne rose]

They need to have boundaries and I know if you are leaving the country for more than 4 weeks you need to let centrelink know.

My husbands aunt and uncle came to Australia in the late 50s went back to Greece in the 80s and took the Australian pension with them. They did have to come back to Australia every 2 years and they stayed for 3 months I know it was to do with their pension

 

[Colette 3799]

We told Centrelink when my husband was going overseas. He got, I think, about $3 deducted from his pension as he was a day, maybe two over the six weeks. We just let them know everything. It’s so much easier than suddenly getting your pension stopped without warning because of an oversight

 

[DABelcher]

I went overseas, I did not pay for the whole trip, I would never have afford to do that. I was unaware of this rule at the time so my whole pension, cards and everything got canceled.
I was not away for more than the 2-3 weeks. However, I was told because I left the country I was not entitled to anything (sorry at the time I was on Newstart) but I should still be entitled to have a holiday. It’s still not expectable though as we still have expenses. I also thought that the time out of the country while on an age pension that I am now, was 12wks out of the country before being docked. So this was good information to know so thank you.