July 1 brings a boost to some pensioners – but power prices also climb
The start of the new financial year often brings mixed feelings for older Australians – but there’s some welcome news for Age Pension recipients this July.
From 1 July, the income and asset thresholds used to assess eligibility for the Age Pension will rise by 2.4% to better keep pace with inflation. This means some pensioners will receive a small but helpful increase in their fortnightly payments.
- Couples who are asset-tested will see their pension increase by $34.50 per fortnight
- Singles will receive an additional $22.50 per fortnight
At the same time, the upper limits of the assets test – where the pension begins to reduce – have been lifted:
- For couples, the cut-off has risen from $470,000 to $481,500
- For singles, it has increased from $314,000 to $321,500
The next scheduled Age Pension adjustment will take place on 20 September.
Rising energy costs a concern
However, this modest financial boost comes as electricity prices rise across the country from 1 July – putting more pressure on household budgets.
Here’s what to expect:
- NSW: Up 7.8% to 8.9%, adding $159 to $249 a year for average households
- Southeast Queensland: Up 2.5% to 5.8% ($61 to $119 per year)
- Regional Queensland: Up 3.2% (around $73 annually)
- South Australia: Up 4.4% to 5.2% (about $120 per year)
- ACT: Up 10.1%, or $214 per year
Energy rebate on the way
To help ease the pain, the Federal Government has extended its Energy Bill Relief Fund in the 2025-26 Budget.
From 1 July 2025, eligible households and small businesses will receive up to $150 in rebates off their electricity bills – split across two $75 payments applied automatically in quarterly instalments.
If you’re eligible, the discount will appear on your power bill – there’s no need to apply.
