Age Pension income test calculator guide
Understand work income, passive income, deeming and why the income test can reduce pension estimates.
What the income test checks
The income test looks at assessable income such as employment income, some pension income, deemed income from financial assets and other regular income.
Deeming can surprise people
Bank savings, shares and other financial assets may be deemed to earn income even if the actual income is different.
Work after pension age
Employment income after Age Pension age can interact with Work Bonus rules. It is worth modelling carefully rather than guessing.
Why both tests matter
Age Pension is affected by both assets and income tests. The test that produces the lower pension amount usually matters most.
How RetireAI helps
RetireAI turns spending, super, retirement timing and Age Pension assumptions into a plain-English educational report. It is designed to help you get organised before checking official rules or speaking with a qualified adviser.
Common questions
Is rental income counted?
Rental income can be assessable, with specific treatment depending on the situation.
Is super drawdown income counted?
Account-based pension and super drawdown treatment can be complex and should be checked against current rules.