Age Pension Assets Test 2026: What Adelaide Retirees Need to Know

If your total assessable assets (excluding your home) are above $333,000 as a single homeowner or $499,000 as a homeowner couple, your Age Pension will already be reducing under the assets test as of 1 July 2026. Above $733,500 (single) or $1,102,500 (couple, combined), the pension cuts off completely. Below, we break down exactly what counts, what’s exempt, and what Adelaide retirees are getting wrong about this test.

Nasser Zreika, Director and Senior Financial Adviser at Lincoln Wealth Advisers, has been advising Adelaide retirees on Centrelink and Age Pension strategy since 1997.

What is the Age Pension assets test?

The assets test is one of two means tests Centrelink (Services Australia) uses to work out how much Age Pension you’re entitled to — the other is the income test. Centrelink calculates your entitlement under both tests and pays you whichever amount is lower. Most Adelaide retirees are caught out by the assets test more often than the income test, simply because it captures superannuation balances the moment you reach Age Pension age (67).

What are the current Age Pension asset limits (from 1 July 2026)?

These are the thresholds that apply right now, from 1 July 2026 to 19 September 2026. They’re indexed regularly, so the exact figures move — but this gives you the current picture.

To receive the full Age Pension, your assessable assets (not including your home) must be below:

Situation	Full pension limit
Single, homeowner	$333,000
Single, non-homeowner	$600,000
Couple (combined), homeowner	$499,000
Couple (combined), non-homeowner	$766,000

To still receive a part pension, your assessable assets must be below:

Situation	Part pension cut-off
Single, homeowner	$733,500
Single, non-homeowner	$1,000,500
Couple (combined), homeowner	$1,102,500
Couple (combined), non-homeowner	$1,369,500

What counts as an assessable asset?

Centrelink counts most things you or your partner own, including:

Superannuation balances (once you reach Age Pension age — under 67, it’s exempt if still in accumulation phase)
Bank accounts, term deposits, shares and managed funds
Investment properties, holiday homes, or a granny flat you own on someone else’s land (net of any mortgage owing)
Motor vehicles, caravans and boats, at market value
Household contents, jewellery and collectibles

What’s exempt from the assets test?

Your principal home — the single biggest exemption, and the reason many downsizing and home-improvement strategies exist
Funeral bonds and prepaid funeral expenses, up to set limits
Superannuation in accumulation phase, but only while you’re under Age Pension age

Assets test vs income test: which one actually applies to you?

You’re assessed under both, and Centrelink pays whichever result is lower. Broadly:

If you have a large super balance or investment property but modest income, the assets test is more likely to determine your payment.
If you have significant income from work, rental income, or defined benefit pensions but comparatively lower assets, the income test may bind instead.

This is exactly the kind of situation where a second set of eyes matters — many Adelaide retirees only find out which test is limiting their payment after the fact, when a review of super structure, deeming, or gifting could have improved their position beforehand. Our Centrelink Age Pension advice service is built specifically around working through this comparison for South Australian retirees.

Common mistakes Adelaide retirees make with the assets test

Not realising super becomes assessable the day you turn 67. Couples with an age gap are often caught off guard when the younger partner reaches Age Pension age and their super — previously invisible to Centrelink — suddenly pushes combined assets over the threshold.
Overlooking investment property debt. Only the net value (market value minus any loan owing) counts — some retirees over-report and understate their entitlement.
Gifting more than the allowed amount. You can gift up to $10,000 per financial year, or $30,000 over five years, without it counting as an asset. Anything above this is still treated as a “deprived asset” for five years — a mistake we see regularly.
Ignoring the home-improvement strategy. Because the family home is exempt, money spent on renovations can reduce assessable assets while adding value to an exempt asset — a legitimate, commonly underused approach.
Assuming their situation is “settled.” Thresholds move regularly (currently indexed in March, July and September). A strategy that worked last year can quietly cost you money this year if it isn’t reviewed.

If you’re also weighing up how much super you actually need before you stop working, our guide on how much super you need to retire comfortably in Adelaide walks through that separately.

Frequently Asked Questions

Does my house count in the Age Pension assets test?

No. Your principal home is exempt, regardless of its value, as long as it’s the home you live in.

How much can a couple have in assets and still get a part pension in 2026?

A homeowner couple can hold combined assessable assets up to $1,102,500 and still receive a part pension. Above that, the pension cuts off entirely.

Does superannuation count towards the assets test?

Only once you (or your partner, for combined assessment) reach Age Pension age. Below that age, super in accumulation phase is not assessed.

What happens if my assets are just over the limit?

Your pension reduces gradually under the taper rate rather than cutting off immediately — $3 per fortnight for every $1,000 over the threshold for singles. It’s only once you pass the upper cut-off that payments stop completely.

How often do the asset limits change?

The full-pension (lower) thresholds are indexed each July. The part-pension (upper) cut-off points are indexed in March and September, based on movements in the maximum pension rate and CPI.