Current and future retirees now have precise details of how the new harsher age pension assets test will impact on their retirement finances. From January 1, 2017 the cut-off points for any age pension entitlement are now set for homeowners at $542,000 (single) and $816,000 (couple combined) with an additional allowance of $200,000 for non-homeowners.
These cut-off points for homeowners are less than 70 per cent of the current asset test limits and will inevitably result in a large number of retirees losing all or part of their age pension. Coming at the same time as official interest rates and conservative investment returns are at historic low levels, the asset test changes will squeeze the incomes of self-funded retirees. http://www.smh.com.au/money/planning/the-harsher-pension-test-gives-retirees-little-reason-to-save-20161013-gs18et.html
I know an old dude who has recently gone on the pension - Under the old/current rules he gets a bit. Under the new rules he won't. (Pretty much right on the cut off he is.) And I think he said the new rules kick in come February next year or some such?
But apparently it's a good thing to be getting some pension - Even if it's only $10 a fortnight - Specifically so one qualifies for a whole bunch of other perks that come with it.
So he's gunna piss some money up against tha wall doing some travelling overseas - Think it might have bin around $30K he said he's gunna spend? (On him 'n a companion.) - Just specifically ta make sure he qualifies.
All grist ta tha mill I guess - 'N good for some country's consumer economy.
Hmmm - Another couple I know who got ta pension age a few years back 'n had a bit much loot ta qualify spent their excess on home renos - Which was good for tha local Oz consumer economy I suppose?
Then you get others who just stash cash - Tho with that not being a great thing ta do for mine. 'Cause if any naughty people get the impression you could have a cash stash, ya become a target 'n potential victim; Plus as ya get older 'n more forgetful, there certainly is a very real risk you'll forget where at least some of ya cash stashes are.
Anyway, good luck ta 'em all - Wotever they god damn well do.
Just another case of guv fiddling rules 'n affecting/influencing/manipulating people's behaviour I guess.
I know an old dude who has recently gone on the pension - Under the old/current rules he gets a bit. Under the new rules he won't. (Pretty much right on the cut off he is.) And I think he said the new rules kick in come February next year or some such?
But apparently it's a good thing to be getting some pension - Even if it's only $10 a fortnight - Specifically so one qualifies for a whole bunch of other perks that come with it.
So he's gunna piss some money up against tha wall doing some travelling overseas - Think it might have bin around $30K he said he's gunna spend? (On him 'n a companion.) - Just specifically ta make sure he qualifies.
All grist ta tha mill I guess - 'N good for some country's consumer economy.
Hmmm - Another couple I know who got ta pension age a few years back 'n had a bit much loot ta qualify spent their excess on home renos - Which was good for tha local Oz consumer economy I suppose?
Then you get others who just stash cash - Tho with that not being a great thing ta do for mine. 'Cause if any naughty people get the impression you could have a cash stash, ya become a target 'n potential victim; Plus as ya get older 'n more forgetful, there certainly is a very real risk you'll forget where at least some of ya cash stashes are.
Anyway, good luck ta 'em all - Wotever they god damn well do.
Just another case of guv fiddling rules 'n affecting/influencing/manipulating people's behaviour I guess.
Quote:
But apparently it's a good thing to be getting some pension - Even if it's only $10 a fortnight - Specifically so one qualifies for a whole bunch of other perks that come with it.
The big perk is the health care card. You can still get it if low income but not low enough to get the pension. Reduces meds from $38 to 6 per script. Oldies are generally on at least 3 meds so a health care card saves them at least $90 pm!
The smart ones have chronic pain - get their oxy for a few bucks and sell it out the back for a few hundred.
The big perk is the health care card. You can still get it if low income but not low enough to get the pension. Reduces meds from $38 to 6 per script. Oldies are generally on at least 3 meds so a health care card saves them at least $90 pm!
The smart ones have chronic pain - get their oxy for a few bucks and sell it out the back for a few hundred.
Me own mum's actually on methadone patches - But ya can trust me when I say she really needs 'em - So does not and never will be selling 'em "out the back" for a few hundred bucks.
Hmmm - I don't personally get tha fascination wif floggin' tha oldies?
Me own mum's actually on methadone patches - But ya can trust me when I say she really needs 'em - So does not and never will be selling 'em "out the back" for a few hundred bucks.
Hmmm - I don't personally get tha fascination wif floggin' tha oldies?
But anyway, there ya have it - It's wot we do.
I wouldn't say we're flogging the oldies, in fact I'm sure as a society we would like to be more generous. But we simply can't afford it. We are simply asking the more well off oldies to spend a little more of their own money.
I'm actually in a group who is getting flogged. A little above the average income and no kids. I'm one of the taxed. And after I'm taxed, I get to pay full price for everything. And I get to pay for my own accommodation instead of getting an apartment at millers point free of charge.
In order not to flog the oldies, people like me would need to be flogged even more. Trouble is, there's not enough of people like me around, everyone is reorganizing their lives to get on welfare.
Seems a bit fairer on face value. Pauk would be proud; but still howling at the moon with PPOR excluded from the assets test.
Good to see the 'deemed' value of a house increase significantly, but still nowhere near the cost of an average house.
Well the incentive for the average couple is now to own their home, have superannuation of about $350K each, and spend everything else. There is little incentive to save during their lifetime. If they still don't meet the assets test then a nice holiday in Spain should do the trick.
Take risks - if you win you will become wealthy, if you lose you will become wise
Well the incentive for the average couple is now to own their home, have superannuation of about $350K each, and spend everything else. There is little incentive to save during their lifetime. If they still don't meet the assets test then a nice holiday in Spain should do the trick.
That's maybe about on tha mark? - Tho ya don't want ta have too expensive a home where ya get whacked wif some great big quarterly rates bill either is my punt - Just sorta keep it middling/average maybe.
Anyway, me 'n me principle Gen X heir are off ta talk ta some smarty legal eagle about such stuff soon - Doin' me will/inheritance issues/super/land taxes/investments/financial blah blahs generally - Testamentary Trust is tha term wot's bin run by us by another family member wot's a legal eagle but don't practise as such 'cause he finds fiddling with property is just a bit more his thing at this time at least.
Hmmm - We'll see wot comes of it I guess.
PS: Before any of tha natural born critics on this board start screamin' at me I'm a rabbit for not having a will, I do have one; But it's just well 'n truly time it got revisited/revised is all.
PPS: Funny word "heir" - Just doesn't follow tha ole 'i before e except after c' rule - No wonder Inglish messes wif 'foreigners' heads eh? - LOL
That's maybe about on tha mark? - Tho ya don't want ta have too expensive a home where ya get whacked wif some great big quarterly rates bill either is my punt - Just sorta keep it middling/average maybe.
Anyway, me 'n me principle Gen X heir are off ta talk ta some smarty legal eagle about such stuff soon - Doin' me will/inheritance issues/super/land taxes/investments/financial blah blahs generally - Testamentary Trust is tha term wot's bin run by us by another family member wot's a legal eagle but don't practise as such 'cause he finds fiddling with property is just a bit more his thing at this time at least.
Hmmm - We'll see wot comes of it I guess.
PS: Before any one starts screamin' at me I'm a rabbit for not having a will, I do have one; But it's just well 'n truly time it got revisited/revised is all.
Yes anyone on a pension simply can't afford to maintain a $5M house. They won't be able to afford the upkeep or the rates for long. Something more modest is a better plan.
Most people will need a pension to make it in retirement, and they will make their savings plans based on this means test. The lowering of this assets test will simply encourage those people to save less. It probably won't make any difference to wealthy people who will be self sufficient in any case.
Take risks - if you win you will become wealthy, if you lose you will become wise
That's maybe about on tha mark? - Tho ya don't want ta have too expensive a home where ya get whacked wif some great big quarterly rates bill either is my punt - Just sorta keep it middling/average maybe.
Anyway, me 'n me principle Gen X heir are off ta talk ta some smarty legal eagle about such stuff soon - Doin' me will/inheritance issues/super/land taxes/investments/financial blah blahs generally - Testamentary Trust is tha term wot's bin run by us by another family member wot's a legal eagle but don't practise as such 'cause he finds fiddling with property is just a bit more his thing at this time at least.
Hmmm - We'll see wot comes of it I guess.
PS: Before any one starts screamin' at me I'm a rabbit for not having a will, I do have one; But it's just well 'n truly time it got revisited/revised is all.
This post is some of your finest work Herbie. With a little more effort your posts will be totally incomprehensible.
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