With the reduction in retiree asset values along with the ability to take up to 50% reduction in pension income, some retirees are now able to claim more Centrelink and their retirement funds are doing less of the heavy lifting. Centrelink income may be capped, but there isn't an asset backing it to worry about. More of my clients are updating their asset values with Centrelink more often now, to achieve the higher payout under Age Pension.
I did expect this was likely, and possibly pour in considerable extra numbers, at least temporarily.....June DSS figures won’t be out for awhile although the bump-up in Age pension payments will be noticeable in govt expenditure Budget projections sooner
Presumably, as values go down and up and down and up, one might qualify for say 3 months and then re-qualify later for a further period.
I did note too
Real estate income - Services Australia of which I wasnt aware where “rent, lodger income” can be offset against your mortgage interest.
Found out about it when helping a friend with the myriad of categories necessary to obtain a centrelink Payment as he took on a lodger earlier this year to help with cashflow..
Negative gearing alive and well ....
Potentially this affects age pension eligibility and enables one to qualify where a mortgage is in existence.
I’m assuming the 50% reduction is due to the temporary move of account-based pensions drawdown from 4% to 2% where the underlying assets have suffered a drop in value ?