The Commonwealth Seniors Healthcare Card is changing. Here's what you need to know

Thousands of older Australians will reportedly have access to cheaper medications following a relaxation of income tests as the seniors health card bill comes into effect from Friday.

The income test for senior health concession cards has been bumped up to allow thousands more seniors to access cheaper healthcare. Source: Getty

Key Points

• The income threshold for senior healthcare cards has been increased to allow more people to access cheaper healthcare
• Singles earning up to $90,000 will now be able to access the scheme, as will couples earning up to $144,000
• The move will benefit an extra 44,000 seniors and cost the federal budget $69.4 million over four years.

Tens of thousands of older Australians will now be able to access cheaper healthcare following the relaxation of income tests for the Commonwealth Seniors Healthcare Card.

The changes were an election promise by the Albanese government, and mean higher income earners will now be able to qualify for subsidised treatment and medicines.

"We want to create a better Australia where no one is left behind and no one is held back, and this is particularly true for older Australians," Social Services Minister Amanda Rishworth said.

Here's what we know.

Who can access the concession card and what are the benefits?

The cards are open to anyone over 66 and six months and not receiving a social security pension or benefit.

Recipients must be living in Australia when they receive the card, and have either Australian citizenship, permanent residency, or a Special Category visa.

Newly arrived residents may face waiting periods of up to four years.

Health card holders can get discounted prescriptions through the Pharmaceutical Benefits Scheme and bigger refunds for health expenses than what's usually offered through Medicare.

GPs are also encouraged to bulk-bill for cardholders.

What are the changes, and who will benefit?

Under the new limits, singles earning up to $90,000 will be able to access the scheme, up from $57,761.

For couples, the threshold has been bumped up to $144,000 rather than $92,416.

The move will benefit an extra 44,000 seniors and cost the federal budget $69.4 million over four years.

When does it come into effect?

The seniors health card bill passed the Senate last week, and comes into effect from Friday.

It follows reductions in the cost of medicines, with the government reducing the maximum co-payment under the Pharmaceutical Benefits Scheme (PBS) by $12.50 earlier this year.

Former prime minister Scott Morrison had promised to expand access to the seniors health card in the lead-up to the election, with the pledge promptly matched by Labor.