Claiming the Pension Bonus

Chris has only found out about the Pension Bonus Scheme and having recently retired, would like to know if she can make a retrospective claim.

Q. Chris

I have only recently found out about the Pension Bonus scheme. I retired in October last year at age 68. Is it too late to register now and claim payments?

A. The Pension Bonus Scheme pays a tax-free lump sum to those who have continued to work past Age pension eligibility age and who have deferred claiming an Age Pension. Unfortunately, registrations for the scheme closed on 30 June 2014, so, therefore, it is too late to register.

Find out more about the Pension Bonus Scheme

The Pension Bonus Scheme was replaced by the Work Bonus, which exempts the $250 of fortnightly employment income from the Age Pension income test. For those who undertake seasonal work, or do not have a regular employment income, any unused portion – up to $6500 – can be banked and used when needed. This means you may still be eligible for an Age Pension while continuing to work.

Find out more about the Work Bonus.

Written by Debbie McTaggart