How Age Pension and superannuation work in retirement income
Reaching retirement does not make every income source available at once. Separate access to your super, Age Pension eligibility and the assumptions in a spending plan.
On this page
- Age Pension age
- 67 or older, with other eligibility requirements
- Residence
- Generally 10 years of Australian residence in total, including 5 without a break; exceptions can applyServices Australia: residence rules
- Super and means tests
- Super and payments from it may affect the Age Pension assessment; treatment depends on age and circumstancesASIC MoneySmart: super and the Age Pension
Start with the separate eligibility questions
Age Pension is a government income-support payment. Services Australia states that Age Pension age is 67 or older. Age alone does not establish eligibility: residence rules and generally income and assets tests also apply. A person who has stopped working is not automatically entitled to a payment. Services Australia: who can get Age Pension (opens in a new tab)
The eligibility page identifies exceptions and interactions that need individual checking. For example, someone who is legally blind and is not claiming Rent Assistance may be assessed without the income and assets tests, while some Department of Veterans' Affairs payments can affect eligibility. Use the current official eligibility pathway rather than treating a short checklist as a decision on your claim.
Check residence history as well as your address
Services Australia generally requires at least 10 years of Australian residence in total, including at least 5 years without a break. Residence has a specific meaning for this payment. The usual claim-day requirements include living in Australia, being physically there and meeting the Australian-resident definition. Services Australia: residence rules (opens in a new tab)
Exceptions can apply, including under social security agreements. Refugee history and other specified circumstances can also change the general residence requirement. If you have lived or worked overseas, check that pathway rather than adding up years and assuming the result settles eligibility.
Super can interact with the pension assessment
Superannuation is separate from Age Pension. Access to super has its own conditions; being able to withdraw super does not prove that an Age Pension claim will succeed. Conversely, the age at which Age Pension may become available is not a universal date on which every retirement plan must begin.
ASIC MoneySmart explains that retirement income can combine super, Age Pension, work and other savings. That mix may change over time. Once you reach Age Pension age, super and payments from it may affect the income and assets tests. Taking a lump sum, starting payments or changing other assets can affect the assessment. ASIC MoneySmart: super and the Age Pension (opens in a new tab) Check the treatment with Services Australia before relying on an assumed payment in a plan.
Keep the spending model separate from the claim
A drawdown model starts with a balance and applies the return, withdrawal, inflation and horizon you enter. It can show what those assumptions imply for that balance. It does not verify your residence history, assess income and assets, or establish that you can access the money.
Keep any confirmed government payment and its assessment date in a separate record. Do not insert a maximum pension amount as though it were a personal entitlement. The scenario attached to this explainer excludes Age Pension and other retirement income; a depletion date is a model outcome, not a forecast of your circumstances or a guaranteed retirement income.