Commonwealth Seniors Health Card 2026: Eligibility & Benefits
Complete guide to the Commonwealth Seniors Health Card for 2026, including the expanded income test, how to apply, and all the discounts and concessions available.
What Is the Commonwealth Seniors Health Card?
The Commonwealth Seniors Health Card (CSHC) is a concession card issued by Services Australia to older Australians who have reached Age Pension age (67 years) but do not qualify for the Age Pension. It is specifically designed for self-funded retirees — people whose income from superannuation, investments, and other sources exceeds the Age Pension income or asset test thresholds but is below the CSHC income threshold. The CSHC provides access to cheaper medicines, potential bulk billing from doctors, and various state-based concessions. It was originally introduced with a relatively low income threshold, but the September 2022 changes dramatically expanded eligibility by more than doubling the income limits. This expansion brought hundreds of thousands of additional self-funded retirees into the CSHC system, recognising that even retirees with moderate incomes can benefit from pharmaceutical concessions and bulk billing access. The CSHC has no asset test — only an income test applies, making it accessible to retirees with significant assets but moderate income.
CSHC Income Test (2025-26)
The income test for the CSHC uses your adjusted taxable income (ATI) from your most recent tax return. As of 2025-26, the income thresholds are: $152,000 per year for singles and $244,000 per year for couples combined (including the income of any illness-separated or partner in a nursing home). These thresholds were dramatically increased in September 2022 — previously they were $57,761 for singles and $92,416 for couples. The expanded thresholds mean that the vast majority of self-funded retirees now qualify. Your adjusted taxable income includes: taxable income, reportable superannuation contributions, net investment losses (such as negative gearing), tax-free government pensions (such as DVA payments), target foreign income, and certain other amounts. Importantly, account-based pension income from superannuation may be assessed differently depending on when the pension started. Tax-free withdrawals from superannuation accumulation accounts do not count as income for CSHC purposes (as they are not taxable income). Deemed income from account-based pensions started before 1 January 2015 may also be treated favourably.
How to Apply for the CSHC
Applying for the CSHC is straightforward and can be done online through your myGov account linked to Centrelink. You will need: proof you have reached Age Pension age (67 years), your Tax File Number, your most recent Notice of Assessment from the ATO (to verify your adjusted taxable income), details of any account-based superannuation pensions you receive, and your bank account details. If you are a member of a couple, your partner's income details are also required. You can apply online by going to myGov, selecting Centrelink, and navigating to Payments and Claims. Select 'Older Australians' and choose the CSHC option. If you do not have a myGov account or Centrelink record, you will need to set these up first (see our guide to applying for Centrelink online). Processing typically takes 2 to 4 weeks. If your income is close to the threshold, note that the income test is based on the most recent tax year — if your income has since decreased, provide a current estimate along with your application. Once approved, your CSHC is valid indefinitely, subject to an annual income review.
Pharmaceutical Benefits
The most valuable benefit of the CSHC is access to cheaper medicines under the Pharmaceutical Benefits Scheme (PBS). CSHC holders pay the concessional rate for PBS-listed medicines — currently $7.70 per prescription, compared to the general rate of $31.60. For retirees taking multiple regular medications, the savings can be substantial — a retiree taking five different medications could save over $1,400 per year on prescriptions alone. CSHC holders also reach the PBS Safety Net at the lower concessional threshold of $262.80 per calendar year (compared to $1,563.50 for general patients). Once you reach the Safety Net, PBS prescriptions are free for the rest of the calendar year. To access concessional pricing, present your CSHC at the pharmacy when filling prescriptions. Your pharmacist will record the concession on their system so it applies automatically for future prescriptions. Some pharmacies may also offer additional discounts on non-PBS items for concession card holders. The pharmaceutical benefit alone makes the CSHC worth applying for if you take any regular medications, as the annual savings typically exceed $500 even for people taking just one or two prescriptions.
Bulk Billing and Medical Benefits
CSHC holders may be able to access bulk-billed medical services more easily than general patients. Under the government's Medicare incentive arrangements, doctors receive a higher bulk billing incentive for consultations with concession card holders (including CSHC holders). This additional incentive encourages GPs to bulk bill concession card patients, meaning you are more likely to find a doctor who will bulk bill you if you present your CSHC. However, bulk billing is not mandatory — individual doctors and practices decide whether to bulk bill, and some may still charge a gap fee even for CSHC holders. The increased bulk billing incentives introduced in November 2023 have significantly improved bulk billing rates for concession card holders, with rates returning to near pre-pandemic levels. Beyond GP visits, CSHC holders may also receive concessional rates at public hospital outpatient clinics, dental clinics (some state dental services provide priority access to concession card holders), and allied health services under Medicare. Eye tests through optometrists are bulk-billed for all Medicare holders, but some optometrists provide additional services for concession card holders.
State and Territory Concessions
The CSHC is recognised for various state and territory concessions, though the level of recognition varies. In some states, CSHC holders receive the same energy and utility concessions as Pensioner Concession Card holders — in others, the concessions are reduced or not available. In Victoria, CSHC holders receive the same energy concessions as PCC holders (approximately $287 for electricity and $109 for gas per year). In NSW, CSHC holders can access the Seniors Energy Rebate of up to $200 per year but do not receive the full Low Income Household Rebate available to PCC holders. In Queensland, CSHC holders receive an electricity rebate of $372.20 per year — the same as PCC holders. In South Australia, CSHC holders receive the Cost of Living Concession ($222.10 per year for singles). In Western Australia, CSHC holders receive the WA Seniors Card concessions but not the full Energy Assistance Payment available to PCC holders. Tasmania and the ACT generally treat CSHC holders similarly to PCC holders for most concessions. Public transport concessions also vary — check your state's transport authority website for specific details.
CSHC vs Age Pension: Which Is Better?
If your income and assets put you near the boundary between qualifying for a part Age Pension and only qualifying for the CSHC, it is worth understanding which is more beneficial. A part Age Pension — even a very small one — provides several advantages over the CSHC: you receive actual income (even a few dollars per fortnight is still money), you receive a Pensioner Concession Card (which provides more comprehensive concessions than the CSHC in most states), and you may be eligible for the Pension Supplement and Energy Supplement. However, receiving the Age Pension requires meeting both the income and asset tests, and you must report changes in your circumstances. The CSHC has no asset test, is simpler to maintain, and does not require regular reporting. Some self-funded retirees can structure their finances to qualify for a small part Age Pension — for example, by drawing down assets to below the upper threshold. Our Age Pension Calculator can help you determine whether you might qualify for any amount of pension. If you are above the pension thresholds but below the CSHC limits, the CSHC is an excellent fallback that provides significant pharmaceutical and potential medical savings.
Try these free tools
Official resources
General information and estimates only — not financial, tax, or legal advice. Always verify with Services Australia.
Related articles
Complete guide to Centrelink concession cards in Australia, including the Pensioner Concession Card, Health Care Card, and Commonwealth Seniors Health Card, plus what discounts you get.
Age Pension Rates 2026: How Much Will You Get?Complete guide to Australian Age Pension rates for 2026, including single and couple rates, pension supplements, and when the next rate increase happens.
Age Pension Age in Australia: When Can You Get the Pension?Find out the qualifying age for the Age Pension in Australia, including the transition schedule for people born after 1952, and what to do while you wait.
Pension Supplement Explained: What It Is & How Much You GetUnderstand the Pension Supplement in Australia, including who receives it, how much it pays, the minimum and maximum rates, and how it interacts with other pension components.