Thinking about Travelling Overseas

Apply first

First, you need to apply for the age pension when you’re living in Australia. Once you start receiving the age pension, you normally need to stay in Australia for at least 2 years before you can go overseas, otherwise, your pension payments may stop while you’re travelling.

What is your timing

Generally speaking, if your overseas holiday is less than six weeks, your pension rates remain unchanged. However, if you prolong to more than six weeks,, the government will reduce your Pension Supplement to the basic rate and your Energy Supplement will stop.

If you travel abroad for more than 26 weeks (i.e. more than six months), your pension depends on how long you’ve lived in Australia from age 16 to your pension age. More specifically, if you’ve lived in Australia for at least 35 years, you get a full Age Pension. If you’ve lived here for less than 35 years, you get a proportional rate. For example, if you’ve lived here 10 years between the age of 16 and pension age, you will generally receive 10/35ths of the full means tested rate.

International Social Security Agreements

Australia has international social security agreements with over 30 countries to share responsibility for social security coverage. Under these agreements, you may be able to claim the age pension overseas if you:

·       live in Australia but are visiting an agreement country

·       live in an agreement country

·       live in an agreement country but are visiting Australia.

These agreements could also help you meet eligibility for the age pension where you haven’t been an Australian resident for 10 years, but your time in an agreement country covers the gap. For example, 7 years in Australia plus 3 years in an agreement country may make you eligible for the age pension.

Before you go

You may get the age pension for the whole time you’re outside Australia, even if you are leaving to live in another country. But you’ll need to tell Services Australia that you’re travelling overseas if you:

·       are going to live in another country

·       will be gone for more than 6 weeks

·       get age pension under a social security agreement with another country

·       are leaving Australia within 2 years after coming back to live and started getting the age pension since then

·       or your partner are getting income from employment.

The rules can get complex depending on your personal situation, so it’s a good idea to speak with Services Australia if you’re thinking about claiming a payment while in an agreement country.