Age Pension vs JobSeeker Over 67: Why Pension Pays More and How to Switch
If you're over 67 and still on JobSeeker, you could be missing out. Compare Age Pension and JobSeeker rates, and learn how to transition to the higher payment.
Why This Comparison Matters
Thousands of Australians over 67 remain on JobSeeker Payment when they could be receiving the Age Pension — a payment that's worth significantly more per fortnight. This often happens because people don't realise they've reached Age Pension age, or they assume they won't qualify due to assets or income. But even a part Age Pension can be worth more than JobSeeker, and it comes with a Pensioner Concession Card that unlocks far more discounts than the Health Care Card you get on JobSeeker. If you're 67 or older and still receiving JobSeeker, this guide explains exactly why you should consider switching and how to do it without a gap in payments.
Rate Comparison — The Numbers Speak for Themselves
As of March 2026, the maximum Age Pension for a single person is $1,116.30 per fortnight (including Pension Supplement and Energy Supplement). The maximum JobSeeker Payment for a single person aged 55 or over is $823.70 per fortnight (including Energy Supplement). That's a difference of $292.60 per fortnight, or $7,607.60 per year. For couples, the gap is similar: Age Pension pays $841.40 each per fortnight (combined $1,682.80) versus JobSeeker at $753.30 each. Even if you only qualify for a part Age Pension due to income or assets, the Pensioner Concession Card alone can save you thousands per year on medications, utilities, transport, and council rates.
Income Test Differences
The Age Pension income test is more generous than JobSeeker's. A single pensioner can earn up to $204 per fortnight before their pension starts reducing, compared to JobSeeker's $150 income free area. The Age Pension taper rate is also gentler: 50 cents per dollar over $204 for singles. This means a single Age Pensioner can earn up to $2,436.60 per fortnight and still receive some pension, whereas JobSeeker cuts out at a much lower income level. For couples combined, the pension income free area is $360 per fortnight. The pension income test also treats deemed income from financial assets differently — more on deeming rates in the next section. The key point: the Age Pension lets you earn more before your payment is affected.
Assets Test — Will Your Assets Disqualify You?
The assets test is the main reason people assume they won't qualify for Age Pension, but the thresholds are quite generous. For a single homeowner, you can have up to $301,750 in assessable assets and still receive the full pension. The part pension cuts out at $674,000 for a single homeowner. For a single non-homeowner, the full-rate threshold is $543,750 and the cut-out is $916,000. Your family home is excluded from the assets test regardless of its value — a million-dollar house doesn't count. Your car, furniture, and personal effects are assessed at their sale value (not replacement cost), which is often surprisingly low. Superannuation is only counted as an asset once you reach Age Pension age, so if you've been on JobSeeker and your super wasn't counted, it will be assessed for the pension.
The Pensioner Concession Card Advantage
One of the biggest advantages of switching to Age Pension is the Pensioner Concession Card (PCC), which offers far more benefits than the Health Care Card. With a PCC you get PBS medications at $7.70 per script (same as HCC), but you also get additional state-specific discounts: free or heavily discounted public transport (in most states), water and sewerage rate rebates, council rate reductions of 25-50%, energy rebates worth $200-$350 per year depending on your state, free ambulance cover (in some states), and reduced vehicle registration. In NSW alone, a PCC holder can save over $2,000 per year in concessions beyond what a Health Care Card provides. The PCC also gives your dependants automatic access to a Pensioner Concession Card.
How to Transition Without a Payment Gap
The best approach is to claim Age Pension while you're still receiving JobSeeker. Centrelink allows you to lodge a pension claim up to 13 weeks before you want to start receiving it. Lodge your claim online through myGov — select 'Make a claim' then 'Age Pension'. You'll need income and asset details, bank statements, property valuations, and super fund balances. While your claim is being processed (typically 5-8 weeks), your JobSeeker payment continues. Once the Age Pension is granted, JobSeeker stops automatically. If there's an overlap, Centrelink adjusts it — you won't be overpaid. If your pension claim is rejected, your JobSeeker continues unaffected. There's zero risk in applying. Call the Older Australians line on 132 300 if you need help with the process.
What About Mutual Obligations?
This is another major advantage. On JobSeeker, even if you're over 60, you still have mutual obligation requirements — attending appointments, applying for jobs, and doing approved activities (though they're reduced for over-60s to 10 hours per fortnight). On the Age Pension, there are zero mutual obligation requirements. You don't need to look for work, attend any appointments with employment services, or report job search efforts. You simply need to report any changes to your income, assets, or living arrangements. This alone is a significant quality-of-life improvement. Many older Australians find the mutual obligation requirements stressful and burdensome, especially when combined with health issues that make job-seeking difficult.
What If You Don't Qualify for Full Pension?
Even a part Age Pension is usually worth switching to. If your assets or income reduce your pension below the JobSeeker rate, you still benefit from the Pensioner Concession Card, which can save $2,000-$4,000 per year in concessions. If your income or assets are too high for any pension, you may still qualify for a Commonwealth Seniors Health Card (CSHC), which provides cheaper medications and some concessions. The CSHC income threshold is $95,400 per year for singles ($152,640 for couples). If you're unsure whether you'd qualify, use our Age Pension calculator to get an estimate before you apply. You can also book a Financial Information Service (FIS) appointment with Centrelink — it's free and they can model different scenarios for you.
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General information and estimates only — not financial, tax, or legal advice. Always verify with Services Australia.
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