Pension Bonus Scheme

Dated: March 2007

Under Centrelink’s Pension Bonus Scheme, if you defer claiming the Age Pension and stay in the workforce you can get a tax free lump sum bonus when you eventually claim and receive the Age Pension.

The bonus can only be paid to people who have not received income support payments (excluding Carer Payment) since reaching Age Pension Age.

You must register for the Pension Bonus Scheme with Centrelink within 13 weeks of reaching Age Pension Qualification age (for men this is 65 years old, for women it varies depending on date of birth, see Table 1). If you have not registered within this 13 week period you may still be accepted and should speak to your accountant about your application to Centrelink.

Once you have registered you will need to pass a ‘flexible work test’ for at least 12 months from the date your membership commenced.

More information is available at www.centrelink.gov.au

Table 1 - Qualifying ages for women to get the Age Pension

Date of Birth	Qualification Age
Before 1 July 1935	60
1 July 1935 – to 31 December 1936	60.5
1 January 1937 to 30 June 1938	61
1 July 1938 to 31 December 1939	61.5
1 January 1940 to 30 June 1941	62
1 July 1941 to 31 December 1942	62.5
1 January 1943 to 30 June 1944	63
1 July 1944 to 31 December 1945	63.5
1 January 1946 to 30 June 1947	64
1 July 1947 to 31 December 1948	64.5
1 January 1949 and later	65