Age pensioners lose benefits faster when they work, rules need change
Australian workers over 67 can earn only up to $526 a fortnight before age pension begins to shrink.
Older Australians who want to keep working face steep financial penalties under current pension rules. A single age pensioner can earn up to $526 a fortnight before the pension reduces.
Many say this limit is too strict. The 71-year-old Queensland retail worker Peter Gibney and his wife, a teacher's aide, both receive part pensions.
They lose benefits the more they earn. Industry groups and age advocates are calling on the government to relax the rules.
They argue the system unfairly punishes people who want to stay in the workforce. Many want to work for health, social and financial reasons.
About 15 per cent of Australians over 67 now work. This is up from 11 per cent five years ago.
- 526 dollars a fortnight
- Single pensioner threshold
- 300 dollars per fortnight
- Work bonus disregarded
- 15 per cent
- Over-67s working now
- 11 per cent
- Over-67s working five years ago
Why it mattersAs Australia ages, more retirees will want or need to work; strict income limits discourage labour force participation when the country faces workforce shortages.
AustraliaMillions of age pensioners face a choice between working and losing income support; loosening the rules could push more Australians to stay employed, easing labour shortages and boosting productivity.
✓ Claims checked against the source. checked 2 h ago
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