Australians receiving the Age Pension need to be aware of new rules that affect their payments when travelling or living overseas. From 20 September 2026, the Pension Supplement will no longer continue indefinitely for pensioners who remain outside Australia for an extended period.
Under the new arrangement, eligible Age Pension recipients who are temporarily overseas can generally continue receiving the full Pension Supplement for up to 12 weeks. Once that period is exceeded, the Pension Supplement stops. For pensioners who leave Australia permanently to live overseas, eligibility for the Pension Supplement ends from the date of departure.
The changes could affect retirees planning long overseas holidays, spending several months with family abroad or moving overseas after retirement. Understanding the different time limits is therefore important before making travel plans.
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What Has Changed?
The previous system allowed Age Pension recipients who were temporarily overseas to receive the full Pension Supplement for the first six weeks of their absence. After six weeks, the payment generally reduced to the basic component, which could continue while the person remained eligible for the underlying Age Pension.
The rules have now changed.
Under the new arrangement, an eligible pensioner who is temporarily outside Australia can generally continue receiving the full Pension Supplement for up to 12 weeks. However, once the applicable 12-week period is exceeded, the Pension Supplement stops rather than continuing at the lower basic rate.
The rules are different for people who permanently leave Australia. A pensioner who departs Australia to establish permanent residence overseas loses eligibility for the Pension Supplement from departure.
This means the change can have different effects depending on how long someone plans to stay overseas. A person taking a trip lasting between six and 12 weeks may receive the full supplement for longer than under the previous system, while someone staying overseas beyond the permitted period can lose the supplement entirely.
How Much Is the Pension Supplement?
Following the September indexation, the maximum Pension Supplement is $88.20 per fortnight for a single person and $66.50 per fortnight for each member of a couple.
The basic component is currently $30.70 per fortnight for a single person and $25.30 for each member of a couple.
The basic component is particularly relevant under the previous overseas arrangements because eligible pensioners could continue receiving it after the initial period of their absence.
Under the new rules, however, that continuing basic payment is no longer available once the Pension Supplement stops.
For example, a single pensioner receiving the maximum $88.20 Pension Supplement may continue receiving the full amount during an eligible temporary overseas stay of up to 12 weeks. Once the applicable overseas period ends, the Pension Supplement can drop from $88.20 to $0.
The exact outcome can depend on the pensioner’s circumstances and the rules applying to their overseas absence.
Does the Age Pension Stop Too?
Losing the Pension Supplement does not automatically mean that the underlying Age Pension will stop.
A person who has been receiving the Age Pension may continue receiving their main pension while overseas if they meet the relevant portability requirements. The change to the Pension Supplement is separate from the calculation of the underlying Age Pension.
However, other overseas rules can affect the amount of the Age Pension a person receives during a lengthy absence.
This distinction is important for retirees. The Pension Supplement and the main Age Pension are not the same payment, so losing the supplement does not necessarily mean losing the entire pension.
What Happens After 26 Weeks Overseas?
Another important time limit applies once an Age Pension recipient has been outside Australia for 26 weeks.
After this point, the amount of Age Pension a person receives may be affected by their Australian Working Life Residence.
Generally, a pensioner who has 35 years or more of Australian residence between age 16 and Age Pension age will not have their pension rate reduced for this particular reason. Those with less than 35 years of Australian residence may receive a proportionally lower rate after the relevant overseas period.
However, individual circumstances can make a difference. International social security agreements and other eligibility conditions may also affect how the rules apply.
Pensioners planning a long-term stay overseas should therefore check their individual circumstances rather than assuming that the 35-year rule will apply in exactly the same way to everyone.
Other Payments and Concessions Can Also Change
The Pension Supplement is not the only support payment that pensioners need to consider when travelling overseas.
For example, the Energy Supplement can stop after an Age Pension recipient has been outside Australia for six weeks or more. The Pensioner Concession Card can also be cancelled when the relevant overseas period is reached.
This means different parts of a pensioner’s overall support can be affected at different stages of an overseas trip.
Someone planning a long holiday may therefore need to consider more than just the 12-week Pension Supplement limit. A permanent move overseas can result in changes even sooner because some supplementary payments are only available during temporary absences.
Centrelink Can Track Overseas Travel
Age Pension recipients should not assume that overseas travel will go unnoticed or that they do not need to update their details.
Services Australia receives information from Australia’s immigration authorities about when people leave and return to the country.
Depending on the circumstances, pensioners may also need to provide information about their travel plans, particularly if they intend to move overseas permanently or their circumstances change while they are away.
Where the relevant service is available, travel details can be managed through a Centrelink online account linked to myGov.
Keeping travel information accurate can help pensioners avoid payment problems or unexpected changes after returning to Australia.
Who Will Be Affected?
The changes are not expected to affect most Age Pension recipients because many pensioners either remain in Australia or take overseas trips that do not extend beyond the relevant limits.
The Department of Social Services estimated that around 95% of pensioners would not be affected by the measure. It also estimated that approximately 68,000 recipients who travel overseas for between six and 12 weeks could benefit from being able to receive the full Pension Supplement for a longer period.
The greatest financial impact is expected for people who remain overseas beyond the 12-week period or permanently establish themselves in another country. Under the new arrangement, they can no longer continue receiving the basic component of the Pension Supplement indefinitely.
What Pensioners Should Check Before Travelling
For Age Pension recipients planning an overseas trip, keeping track of the length and nature of the absence is now particularly important.
A temporary overseas traveller can generally continue receiving the full Pension Supplement for up to 12 weeks, while someone who permanently leaves Australia to live overseas loses the supplement from departure.
Longer stays can also lead to changes involving the Energy Supplement, Pensioner Concession Card and, after 26 weeks, potentially the rate of the underlying Age Pension.
Before booking an extended overseas trip or making plans to relocate, pensioners should check how the rules apply to their individual circumstances and make sure Centrelink has the correct information about their travel.
The key point is simple: the length of time spent outside Australia can now make a significant difference to the payments and concessions available to Age Pension recipients.
