Retiring overseas at 67 to 74 on the Age Pension

The order of decisions for you

At this age the pension is usually part of the plan, so the calendar matters as much as the place. The rules favour stays of under 12 weeks. If you move for good, they change sharply.

1. Decide between a trip and a move. A trip, even a long one, keeps your pension rate until the 6 and 12-week points. Moving overseas for good changes things from the day you leave: you get the base rate only, with no supplements, and the Concession Card is cancelled.
2. Set your dates around 12 weeks. About three months covers most of an Australian winter, from mid June to early September, and you keep the Pension Supplement.
3. Tell Services Australia if you’ll be away more than 6 weeks. Services Australia says you must. You can do it through myGov, by phone on 132 300, or at a service centre.
4. Check your residence years. If you lived in Australia less than 35 years between age 16 and pension age, your rate can drop after 26 weeks away. Our guide to taking your Age Pension overseas explains how.
5. Ask insurers about the whole trip. Ask whether a policy covers the full length of the trip at your age with your conditions declared, and what the longest single trip on an annual policy is. Our guide to travel insurance for long stays sets out the age limits.
6. Think about the house before month 12. Once you’ve been away more than 12 months the home becomes an assessable asset, and the assets test can then reduce your pension.
7. Shortlist two to four places. These suit this age group:
   • Penang: 90 days on arrival covers a 12-week winter without a visa application.
   • Hua Hin: a beach town at about A$3,280 a month for a couple (our estimate). TTG Asia reported from the Royal Gazette that Thailand’s visa-free stay is now 30 days, so you’d need a visa for a full winter.
   • Da Nang: an eVisa of up to 90 days fits a 12-week stay, at about A$2,470 a month for a couple (our estimate).
   • The Algarve: Portugal has a social security agreement with Australia, and Schengen’s 90 days in any 180 lines up with 12 weeks.

A worked example

An example, not a real person.

Pat and Lou are 69 and 71. They own their home in Geelong and get the maximum couple rate of the Age Pension. They’re weighing up two plans: an 11-week winter in Penang each year, or moving there for good.

	Winter away (11 weeks)	Move for good
Their Age Pension	A$1,866.00 a fortnight combined, about A$4,040 a month	Base rate only: A$44,506.80 a year, about A$3,710 a month
What stops	Energy Supplement and Concession Card after 6 weeks	All supplements and the card, from the day they leave
A month in Penang for a couple, rent included (our estimate)	about A$2,540	about A$2,540
The home	Stays exempt (well under 12 months away)	Homeowner status changes when they leave

Pension rates are from Services Australia (20 September 2026). How we worked out our estimate: Numbeo’s living costs for one person (without rent), plus a one-bedroom city-centre rent, plus 30% for eating out, local trips and extras. For a couple we multiply living costs by 1.8. We converted at the Reserve Bank of Australia’s average exchange rate for the 12 months to September 2026 (A$1 = 2.80 ringgit, for example). Health insurance isn’t included. Numbeo’s Penang page was last updated 15 October 2026. The estimate uses a long-lease rent of about A$590 a month, and short furnished lets usually cost more than that.

What they noticed:

• The winter keeps the Pension Supplement, because they’re home inside 12 weeks.
• The move costs about A$330 a month in pension compared with the maximum rate at home, and their house would be treated differently.
• They’d still pay for the Geelong house while away. The Penang figure doesn’t include it.

They chose the winter first, and told Services Australia before they left.

What to ask a professional

• Licensed financial adviser: “If we moved overseas for good, how would our income and assets be assessed, and what happens to our pension?”
• Registered tax agent: “If we rent out our home while we’re away, how is the rent taxed, and does it change our tax residency?”
• Insurance broker: “Which travel policies cover a 12-week trip at our ages, with our conditions declared?” “Which international health insurers still take new members at 72?”
• The country’s embassy or a licensed visa agent there: “Which visa covers a 12-week stay, and can it be extended?”

Book a free planning session on Zoom. Once we know your situation, we can tell you which of these people to start with.