The Commonwealth Seniors Health Card (CSHC) is an Australian Government concession card issued by Services Australia, formerly Centrelink. It is specifically designed for self-funded retirees who are of Age Pension age but do not receive any income support payments from Services Australia or the Department of Veterans' Affairs due to their income or asset levels. Meeting the income test is a primary requirement for receiving this card.
Current Commonwealth Seniors Health Card income limits
Following indexation, the annual income thresholds for the CSHC have increased, effective from September 20, 2025. To be eligible, your assessed income must be less than the following amounts:
- Single person: $101,105 per year.
- Couples (combined): $161,768 per year.
- Illness-separated couples (combined): $202,210 per year.
- An additional $639.60 per year can be added to these amounts for each dependent child in your care.
These income limits are reviewed and adjusted annually on September 20 in line with the Consumer Price Index (CPI).
How is income assessed for the CSHC?
The CSHC income test is different from the one used for the Age Pension. Unlike the Age Pension, there is no assets test for the CSHC. Services Australia assesses your income based on two key components:
- Adjusted Taxable Income (ATI): This is calculated using your annual taxable income, plus a range of other income types.
- Deemed income from account-based income streams: Income from certain account-based pensions is not included in your ATI but is instead assessed through deeming rules.
What is included in Adjusted Taxable Income (ATI)?
Your ATI for the CSHC includes:
- Your taxable income, as shown on your latest tax return.
- Any reportable superannuation contributions, such as salary sacrifice amounts.
- Reportable fringe benefits from an employer.
- Foreign income.
- Total net investment losses.
How deeming rules apply to income streams
Deeming assumes that financial assets, like account-based pensions, earn a certain rate of income regardless of the actual return. Services Australia applies specific deeming rates to the balance of these income streams.
- Current deeming rates (from September 20, 2025):
- Singles: The first $64,200 is deemed to earn 0.75% per year.
- Couples (combined): The first $106,200 is deemed to earn 0.75% per year.
- Amounts above these thresholds: All balances above these initial amounts are deemed to be earning 2.75% per year.
Note: Specific grandfathering rules apply to account-based pensions started before January 1, 2015, for individuals who have held the CSHC continuously since that time.
Key benefits of the Commonwealth Seniors Health Card
The CSHC offers significant savings on healthcare and other living expenses. The benefits include:
- Cheaper medicines: Access to prescription medications at the concessional rate under the Pharmaceutical Benefits Scheme (PBS).
- Bulk-billed doctor visits: Access to bulk-billing is at the discretion of the individual doctor.
- Lower Medicare Safety Net threshold: Provides a higher Medicare rebate for out-of-hospital medical costs once you reach a lower annual threshold.
- State and territory concessions: You may also be eligible for additional discounts on things like electricity, gas, water rates, and public transport, depending on where you live.
Commonwealth Seniors Health Card vs. Pensioner Concession Card
It is important to understand the differences between the CSHC and the Pensioner Concession Card (PCC), as they have different eligibility requirements.
| Feature | Commonwealth Seniors Health Card (CSHC) | Pensioner Concession Card (PCC) |
|---|---|---|
| Target Audience | Self-funded retirees who are Age Pension age but do not meet the Age Pension eligibility criteria. | People receiving certain income support payments from Services Australia, including the Age Pension. |
| Income Test | Annual income test based on Adjusted Taxable Income and deemed income from account-based pensions. | Income test applies to determine eligibility and payment rate for income support payments. |
| Assets Test | No assets test is applied for the CSHC. | An assets test applies to determine eligibility for the Age Pension. |
| Primary Benefit | Provides access to health care concessions and potential state/local government discounts. | Provides access to a broader range of concessions, often including higher levels of discounts and direct payments. |
Conclusion
Eligibility for the Commonwealth Seniors Health Card is based on an annual income test, with the latest thresholds from September 20, 2025, set at $101,105 for singles and $161,768 for couples. There is no assets test, making it a valuable option for self-funded retirees who miss out on the Age Pension due to their income or asset levels. To determine your specific eligibility and potential savings, it is important to accurately assess your adjusted taxable income and deemed income from investments. The CSHC provides access to significant benefits, including cheaper medicine and potential state-based concessions, helping to ease cost of living pressures for many older Australians. For comprehensive and personalised information, the Services Australia website is the official source to consult.
