Q: Age pension eligibility changes on July 1. How will I be affected?

A: From July 1, the age at which people become eligible for an age pension starts to rise.

• If your birth date is between 1 July 1952 and 31 December 1953, you are eligible for an age pension at 65 years and six months.
• If your birth date is between 1 January 1954 and 30 June 1955, you are eligible at 66 years.
• If your birth date is between 1 July 1955 and 31 December 1956, you are eligible at 66 years and six months.
• If your birth date is from 1 January 1957, you are eligible at 67 years.

In addition, you must be an Australian resident, actually residing in Australia. To get an age pension you need to have been an Australian resident for at least 10 years in total, with five years of unbroken residency during that time.

Refugees are exempt from the 10-year rule.

Government policy is to increase eligibility to age 70, although no legislation has been passed to make it a reality.

Changes to the age pension assets test took effect on January 1. The assets test threshold – the maximum value of assets you can have before they reduce your age pension – was increased.

• For a single homeowner to receive a full pension, assets must be less than $250,000 (up from 209,000 in 2016).
• For a single non-homeowner to receive a full pension, assets must be less than $450,000 (up from $360,500).
• For a couple who own their home to receive a full pension, assets must be less than $375,000 (up from $296,500).
• For a couple who do not own their home to receive a full pension, assets must be less than $575,000 (up from $448,000).

The age pension taper rate was also changed. Previously, pension payments were reduced by $1.50 for every $1000 owned above the asset threshold. On 1 January the taper rate changed to a $3 reduction for every $1000 over the threshold.

As a result, the thresholds for the part-age pension went down.

• A single homeowner with assets worth more than $542,000 will not receive any age pension (down from $793,750 last year).
• A single non-home owner with assets worth more than $742,500 will not receive any pension (down from $945,520).
• A couple who own their home and with assets worth more than $816,000 will not receive any pension (down from $1,178,500).
• A couple who do not own their home and with assets worth more than $1,016,000 will not receive any pension (down from $1,330,000).