Superannuation Discussion + market volatility

[mrsterryn]

What happens if they are a resident at old age pension age, the commence collecting the age pension, then relocate overseas?

Then they have planned their retirement well lol .
The 35 years rule does kick and their payment is pro rata out. What does happen though for some is their previous ppor becomes an asset and may cancel their payment .

 

[CaptJCool]

The inbound age pension rate remains low (around 1/3)

 

[mrsterryn]

The inbound age pension rate remains low (around 1/3)

As in population to claiming ?

Interesting the low amount under 70. I wonder if the partner's employment income and their own preclude payment

 

[Quickstatus]

Then they have planned their retirement well lol .

The only issue is then Medicare. Eligible so long as card is expiry date valid.
Just need to return to AU within 5 years to ensure new Medicare card is issued, otherwise there is a bit of rigmarole to go through if out of AU > 5 years.

 

[mrsterryn]

The only issue is then Medicare. Eligible so long as card is expiry date valid.
Just need to return to AU within 5 years to ensure new Medicare card is issued, otherwise there is a bit of rigmarole to go through if out of AU > 5 years.

I wonder how that would go for people who use the reciprocal agreements under Medicare

 

[Quickstatus]

I wonder how that would go for people who use the reciprocal agreements under Medicare

You need both a passport and an expiry-date valid Medicare card and ask to be treated under the "Reciprocal health Care agreement with Australia"

 

[mrsterryn]

You need both a passport and an expiry-date valid Medicare card and ask to be treated under the "Reciprocal health Care agreement with Australia"

So if the Medicare had expired after a year , it would no longer be applicable? I had never ever consider the Medicare expiring for overseas absence. Quite aware of reciprocal for holidays

 

[Quickstatus]

I had never ever consider the Medicare expiring for overseas absence.

An expired medicare care cannot be used to claim Reciprocal health care.

So if the Medicare had expired after a year , it would no longer be applicable?

My understanding is that if Medicare Card expires while overseas BUT if overseas stay is less than 5 years, the card can be renewed as per usual processes on return to Australia. I assume a new card will be posted in any case to your Australian address if you have not been overseas for more than 5 years as per normal arrangements.

So potentially (speculating) if the medicare card expires 4 years and 11 months into overseas stay, then the new Medicare card will be posted and someone can mail it to you overseas . Potentially you could stay overseas for a further 5 years until that new card expires (medicare card validity is 5 years). But presumably the system will eventually catch up.... But I would not recommend anyone rely on this....

 

[Jacques Vert]

Of course, there is also a residency test on your self-managed superfund .

 

[Quickstatus]

Of course, there is also a residency test on your self-managed superfund .

But not an issue with retail or industry super funds

.......
Retiring and living overseas with super/pension is quite attractive for many people especially when the AUD goes further in many parts of the world.
There are of course ATO rules for tax residency. If deemed by the ATO to be a tax resident in AU, then domestic and foreign income are required to be declared, but income tax is eligible for tax free threshold and medicare levy is charged according to normal rules

Non tax residents of Australia have to only declare Australian income but the income is not eligible for tax free threshold, but Medicare levy is not charged.