26 November, 2014

Australian Social Security

Australian Social Security Payments - Pensions

As an Australian expatriate you may be entitled to receive social security payments whilst overseas, and they also need to be considered in the context of any financial planning when considering a move back to Australia. Eligibility can be a complicated matter, dependent both on the income and asset test that may apply and on the country of residence if you remain resident overseas. The sections below provide an overview of the situations in which an old age pension is either fully, or partially, payable - you are advised to discuss your own eligibility either with your financial planner or directly with Centrelink.

Age Pension
 

As at 1 March, 2014 the maximum payment applicable for an Age Pension is $751.70 per fortnight for an individual and for a couple $566.60 per individual (ie. $1,133.20 per fortnight). To access a full or part pension you must have reached the qualifying age - this is currently 67 years of age for anyone born after January 1, 1957, and between 65 and 66.5 years of age for individuals born prior to this date (may be earlier for females born prior to 1 January 1949) and satisfy the Asset and Income tests summarised in the table below.

Assets Test
Maximum Pension payable when your assets are less than:(a)
No Pension payable when your assets are more than:
Single,
Homeowner
$196,750
$748,250
Single,
Non-Homeowner
$339,250
$890,750
Couple,
Homeowner
$279,000
(Combined)
$1,110,500
(Combined)
Couple,
Non-Homeowner

$421,500
(Combined)

$1,2530,000
(Combined)

  

Income Test
Maximum Pension payable when your fortnightly income is less than: (b)
No Pension payable when your fortnightly income is more than:
Single
$156.00
$1,810.20
Couple
$276.00
$2,769.60

(a) Assets over these amounts reduce the pension by $1.50 per fortnight for every $1,000 (single or couple combined)
(b) For every dollar of income over these limits the single and couples pension is reduced by 50 cents.

 

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