Currently, pensions are reduced by $1.50/fortnight for every $1,000 of assessable assets above the assets-test free amount for a full pension.
From 1 January 2017 this ‘taper rate’ increases to $3.00 per $1,000 of excess assets. Pension payments will phase out more quickly and the limit on assets up to which some pension is payable reduces.
However, the assets threshold for a full pension increases from $209,000 to $250,000 for a single home-owner, and from $296,500 to $375,000 for a couple, so some part-pensioners will receive an increase in their payments.
Contact us on (07) 3040 4840 to determine how this might affect you.
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