In this edition, we take you through a basic how-to for retirement planning, discuss income and asset changes for the Age Pension, how to stay digitally safe and secure online, and a video summarising key market movements during August and September.
If you are interested in discussing the topics raised in this month’s newsletter, please don’t hesitate to contact us.
In the meantime, we hope you enjoy the read.
Planning to retire means considering the steps and decisions needed to get you to where you want to be. Think ahead to the kind of life you want to live and how you will support yourself when you’re no longer working.
How much you need to retire depends on how you want to live.
You might plan to keep things simple, or have plans to spend money on travel, family or hobbies.
Both approaches can provide a fulfilling retirement. The key is to match your plans to your savings so you have enough to cover your lifestyle.
Once you know what you need, the next step is to work out how and when you’ll retire.
That means deciding when to stop working, what income sources you can access and how you will budget for day-to-day living.
Your plan can be as simple or detailed as you need.
Super is designed to support you in retirement, but it does not get paid out automatically.
You decide when and how to access your super. Depending on your age and circumstances, you may have different decisions to make.
You may choose to leave your super where it is for now, use it to set up a regular income, or withdraw a lump sum. Or you may choose any combination of those options.
What happens to your super when you retire can be complex, so speak to us today if you’re nearing retirement and unsure which option would suit your circumstances.
Source: Reproduced with the permission of ASIC’s MoneySmart Team. This article was originally published at https://moneysmart.gov.au/plan-for-your-retirement
Important note: This provides general information and hasn’t taken your circumstances into account. It’s important to consider your particular circumstances before deciding what’s right for you. Although the information is from sources considered reliable, we do not guarantee that it is accurate or complete. You should not rely upon it and should seek qualified advice before making any investment decision. Except where liability under any statute cannot be excluded, we do not accept any liability (whether under contract, tort or otherwise) for any resulting loss or damage of the reader or any other person. Past performance is not a reliable guide to future returns.
Important Any information provided by the author detailed above is separate and external to our business and our Licensee. Neither our business nor our Licensee takes any responsibility for any action or any service provided by the author. Any links have been provided with permission for information purposes only and will take you to external websites, which are not connected to our company in any way. Note: Our company does not endorse and is not responsible for the accuracy of the contents/information contained within the linked site(s) accessible from this page.
Receiving the full government Age Pension, or even a partial pension payment, can provide eligible retirees with a significant amount of income over time that can supplement income earned from other assets.
Millions of Australians are eligible to receive Age Pension payments every fortnight once they turn 67.
But there are strict limits on how much individuals and couples can earn, and on the value of assets that can be held, which the government uses to determine eligibility.
While there were no changes to the fortnightly Age Pension payment rates themselves on 1 July, the start of the 2025-26 financial year saw some indexed increases to both the income and assets test limits used by the government to determine eligibility for the pension.
For example, individuals can now earn to $218 per fortnight (a $6 increase) and couples up to $380 per fortnight (an $8 increase) and still receive the full Age Pension.
Assets test limits have also increased for individuals and couples by between $7,500 and $17,500, depending on home ownership status.
For example, individual homeowners can now have up to $321,500 in assets in addition to the value of their home (an increase of $7,500) and still receive the full Age Pension. For couples who are homeowners, the total amount is now $481,500 (an increase of $11,500).
The asset test limits are higher for non-homeowners.
It’s important to know the Age Pension test limits. The following tables, sourced from the Department of Social Services, provide a detailed breakdown of the latest income test and assets test changes.
Individuals and couples can earn up to a set amount of income every fortnight in addition to the Age Pension to receive the maximum pension payment.
The pension amount received will then be reduced for every dollar of income earned above the maximum payment limit and will totally cut out at the government’s disqualifying income limit.
Income per fortnight | Amount your pension will reduce by |
---|---|
Up to $218 (free area) | $0 |
Over $218 | 50 cents for each dollar over $218 |
Different rates apply for partners getting a payment other than a pension.
Combined income per fortnight | Amount each member of the couple’s pension will reduce by |
---|---|
Up to $380 (free area) | $0 |
Over $380 | 25 cents for each dollar over $380 |
If your income in a fortnight goes over the cut-off point, the government will pay $0 for that fortnight.
Your cut-off point may be higher if you receive Rent Assistance or Work Bonus, or may be lower if you don’t live in Australia.
Your situation | Fortnightly income cut off point |
---|---|
Single | $2,516.00 |
A couple living together | $3,844.40 combined |
A couple living apart due to ill health | $4,976.00 combined |
A transitional rate pensioner – single | $2,580.00 |
Transitional rate pensioners – couple living together | $4,191.50 combined |
Transitional rate pensioners – couple living apart due to ill health | $5,104.00 combined |
The government also applies the assets test (based on property or possessions owned in full, in part, and assets that an individual or couple have a financial interest in) to determine whether individuals and couples can qualify for full or part pension payments.
When your assets are more than the limit for your situation, your pension will reduce.
If you’re a member of a couple, the limit is for both you and your partner’s assets combined, not each of you.
Your situation | Homeowner | Non-homeowner |
---|---|---|
Single | $321,500 | $579,500 |
A couple, combined | $481,500 | $739,500 |
A couple, separated due to illness, combined | $481,500 | $739,500 |
A couple, one partner eligible, combined | $481,500 | $739,500 |
From 1 July 2025, part pensions cancel when your assets are over the cut off point for your situation.
If you’re a member of a couple, the limit is for both your and your partner’s assets combined, not each of you.
Your situation | Homeowner | Non-homeowner |
---|---|---|
Single | $704,500 | $962,500 |
A couple, combined | $1,059,000 | $1,317,000 |
A couple, separated due to illness, combined | $1,247,500 | $1,505,500 |
A couple, one partner eligible, combined | $1,059,000 | $1,317,000 |
The Age Pension provides a fortnightly government payment that acts as a financial safety net. Even a part pension can help cover essential living costs like groceries, utilities, and healthcare, reducing the pressure on your superannuation or personal savings.
Many retirees draw income from superannuation, investments, or part-time work. The Age Pension can supplement these sources, helping to smooth out fluctuations in investment returns or market downturns.
The Age Pension is indexed and paid for life, offering protection against outliving your savings. This is especially valuable as people live longer and may need income support well into their 80s or 90s.
Combining the Age Pension with other income streams allows for greater flexibility in managing your finances.
You can draw less from your super during market downturns or use the pension to cover fixed costs, preserving your capital for discretionary spending or emergencies.
Source: Vanguard July 2025
This article has been reprinted with the permission of Vanguard Investments Australia Ltd. Copyright Smart Investing™
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Vanguard Investments Australia Ltd (ABN 72 072 881 086 / AFS Licence 227263) (VIA) is the product issuer and operator of Vanguard Personal Investor. Vanguard Super Pty Ltd (ABN 73 643 614 386 / AFS Licence 526270) (the Trustee) is the trustee and product issuer of Vanguard Super (ABN 27 923 449 966).
The Trustee has contracted with VIA to provide some services for Vanguard Super. Any general advice is provided by VIA. The Trustee and VIA are both wholly owned subsidiaries of The Vanguard Group, Inc (collectively, “Vanguard”).
We have not taken your or your clients’ objectives, financial situation or needs into account when preparing our website content so it may not be applicable to the particular situation you are considering. You should consider your objectives, financial situation or needs, and the disclosure documents for the product before making any investment decision. Before you make any financial decision regarding the product, you should seek professional advice from a suitably qualified adviser. A copy of the Target Market Determinations (TMD) for Vanguard’s financial products can be obtained on our website free of charge, which includes a description of who the financial product is appropriate for. You should refer to the TMD of the product before making any investment decisions. You can access our Investor Directed Portfolio Service (IDPS) Guide, Product Disclosure Statements (PDS), Prospectus and TMD at vanguard.com.au and Vanguard Super SaveSmart and TMD at vanguard.com.au/super or by calling 1300 655 101. Past performance information is given for illustrative purposes only and should not be relied upon as, and is not, an indication of future performance. This website was prepared in good faith and we accept no liability for any errors or omissions.
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Scammers aim to take advantage of weak security and plan on you being distracted with everyday life.
To keep yourself safe:
Always be aware of what information you share. If a scammer gets your personal information they can use it to access your bank account, sign in to your myGov account, or steal money and commit fraud in your name.
If an interaction doesn’t feel right, don’t engage. You should either:
If you are the victim of a data breach and your personal information has been accessed, go to Data breach guidance for individuals.
To commit identity crime or fraud, scammers only need some of your personal information. This may include:
They can use this information in a variety of ways, such as to commit refund fraud in your name, access your myGov account to steal your tax refund, steal your superannuation or sell your identity to organised crime groups on the dark web or via other means.
If you suspect your personal information, such as your TFN, has been stolen, misused or compromised, phone the ATO as soon as possible on 1800 467 033 between 8:00 am and 6:00 pm Monday to Friday. They will investigate and can place extra protection on your ATO account.
If your identity is stolen the consequences can extend far beyond immediate financial loss (such as your super being cleaned out or refund fraud committed in your name) and lead to significant personal and professional challenges. Such as:
The emotional toll is also significant. Victims of identity theft often experience stress, anxiety and a sense of vulnerability knowing that someone else is capable of exploiting their personal information at any moment.
Here are some top tips to keep your personal information safe:
To learn more about myID visit How to set up myID.
For top cyber security tips, visit Top cyber security tips for individuals. You can also set up Voice authentication to help protect your tax account and reduce the chance of scammers accessing it.
More information on securing your devices is available from the Australian Cyber Security Centre.
They take the security and privacy of your personal information very seriously and have steps in place to make sure your data and online transactions are secure and safe.
They keep your personal information safe by:
To help you stay safe online, they:
They may use SMS or email to ask you to contact them, but they will never send an unsolicited message with a link asking you to return personal information or log in to their online services.
The ATO has a Facebook, Instagram, X and LinkedIn account, but will never use these platforms to ask you to provide personal information, documentation or ask you to make payments.
Source: ato.gov.au May 2025
Reproduced with the permission of the Australian Tax Office. This article was originally published on https://www.ato.gov.au/newsroom/smallbusiness/ .
Important: This provides general information and hasn’t taken your circumstances into account. It’s important to consider your particular circumstances before deciding what’s right for you. Although the information is from sources considered reliable, we do not guarantee that it is accurate or complete. You should not rely upon it and should seek qualified advice before making any investment decision. Except where liability under any statute cannot be excluded, we do not accept any liability (whether under contract, tort or otherwise) for any resulting loss or damage of the reader or any other person.
Any information provided by the author detailed above is separate and external to our business and our Licensee. Neither our business nor our Licensee takes any responsibility for any action or any service provided by the author. Any links have been provided with permission for information purposes only and will take you to external websites, which are not connected to our company in any way. Note: Our company does not endorse and is not responsible for the accuracy of the contents/information contained within the linked site(s) accessible from this page.
Stay up to date with what’s happened in the Australian economy and markets over the past month.
Consumer sentiment continues to rise after the latest interest rate cut.
A higher-than-expected jump in inflation figures may prompt the RBA to keep interest rates on hold at this month’s meeting
August saw the S&P/ASX 200 edging higher, notching another all-time high.
Click the video below to view our update.
Please get in touch if you’d like assistance with your personal financial situation.