The age pension will rise, and the value of assets you can have in retirement while still qualifying for the pension will lift from next month.

The income you can earn while still qualifying for the pension will also rise in the next round of indexation changes from 20 September.

Single pensioners will receive an extra $29.70 per fortnight, and couples will receive an extra $22.40 per person under the changes.

This will raise the full pension, with both supplements included, to $1,178.70 per fortnight for singles and $888.50 per partner for couples.

Australians become eligible for the pension when they reach their ‘retirement age‘. If you were born on or after 1 January 1957, that’s 67.

The pension is subject to assets and income tests. If you own or earn too much, you may only qualify for a part-pension, or no pension.

How much can you own in retirement and still get the pension?

Australians in retirement will be able to own a greater value of assets from 20 September and still qualify for the pension.

Your home is excluded from the assets test. If you rent your home, you can own a higher value of assets and still qualify for the pension.

Assessable assets include your superannuation, ASX shares, international shares, bonds, managed funds, investment properties, and cash at the bank.

For a full pension, single homeowners can own $321,500 in assets (unchanged) and still qualify for the full pension from 20 September. Single non-homeowners can own $579,500 in assets (unchanged) and get the full pension.

Couples who own their homes can have $481,500 in assets (unchanged), and non-homeowners can have $739,500 in assets (unchanged) and still get the full pension.

For a part-pension, the new asset value cut-off point from 20 September for single homeowners will be $714,500. For single non-homeowners, it will be $972,500.

The new cut-off for couple homeowners will be $1,074,000, and for non-homeowners, it will be $1,332,000 in assets.

How much can you earn and still get an age pension?

The age pension is also subject to an income test.

Singles can earn $218 per fortnight (unchanged) and couples $380 combined per fortnight (unchanged) and qualify for the full pension.

For a part-pension, the new cut-off point for singles will be $2,575.40 per fortnight, and for couples, it will be $3,934 per fortnight.

How much wealth do you need for a comfortable retirement?

The Association of Superannuation Funds of Australia (ASFA) says single homeowners need $595,000 and couple homeowners need $690,000 in superannuation savings by age 67 to enjoy a comfortable retirement.

This assumes they also receive a part-pension and an average 6% return on their super savings per year.

In today’s dollars, a comfortable retirement costs $73,875 per annum for couples who own their homes, and $52,383 for singles who own their homes.

ASFA defines a comfortable retirement as having enough money for all of life’s basic costs plus top-level private health insurance, a good car, high-speed internet and mobile phone, lots of exercise and leisure activities, occasional restaurant meals, a domestic holiday every year, and an overseas trip every seven years.

Planning for retirement?

The Motley Fool offers a comprehensive retirement planning guide to help you save and invest appropriately for your retirement.

Check out the 10 most popular ASX shares being bought by self-managed superannuation investors in the new financial year here.