Post by Banjo on May 14, 2015 11:31:23 GMT 7
Concessions for SA pensioners and low-income earners, self-funded retirees lose
State Political Editor Daniel Wills
The Advertiser
May 14, 2015 1:47PM
PENSIONERS, low-income earners and self-funded retirees with a seniors’ health card will receive up to $200 per year under a new State Government concessions scheme.
Premier Jay Weatherill today announced the changes, two days after a Federal Budget that confirmed $30 million in concessions payments to SA would not be restored.
Mr Weatherill said the new concessions would affect 205,000 households.
They are:
PENSIONERS and low-income earners who own their own house will receive $200, up from $190 currently received.
PENSIONERS and low-income tenants will receive $100, up from nothing.
SELF-FUNDED retirees with a seniors’ health card who own their home continue to get $100.
SELF-FUNDED retirees with a seniors’ health card who rent get $100, up from nothing.
However, there are some losers in the new scheme:
SELF-FUNDED retirees earning more than $51,500 will no longer be eligible if they are single. COUPLES who are self-funded retirees earning more than $82,400 will also be cut from the scheme.
It’s a double hit for some wealthy pensioners and self-funded retirees, who also lost out in the Federal Budget, announced on Tuesday.
About 91,000 people will receive no payments and another 235,000 will be worse off, as the government tightens the assets test for the age pension.
Pensioners with assets of more than $823,000 (excluding the family home) will no longer receive any pension payments. The threshold used to be $1.15 million.
Treasurer Tom Koutsantonis said the new concession will cost the State Government $36.5
million per year. The council rate concession had cost $34 million per year.
The total amount of funding the State Government will now spend on concessions in 2015-16
is $280 million.
About 91,000 people will receive no payments and another 235,000 will be worse off, as the government tightens the assets test for the age pension. Pensioners with assets of more than $823,000 (excluding the family home) will no longer receive any pension payments. The threshold used to be $1.15 million.
The SA Government protected pensioners by covering the concession cuts last year, but warned a rate rise was possible this year if the Coalition maintained its position. An increase could affect up to 160,000 households.
Yesterday, Treasurer Tom Koutsantonis said it was in Labor’s ideology to “protect the most vulnerable”.
“We will come up with the best way to protect our pensioners,” he said.
An Upper House coalition of the Opposition and crossbench MPs has already committed to blocking any moves to pass on the cut and increase council rates.
It is unclear if the State Government’s response will require the approval of State Parliament.
The discount is currently received by 160,000 South Australian households.
Armed with Federal Budget papers showing a GST windfall to SA over the next three years, estimated to top $850 million, the Opposition had renewed its calls for the State Government to continue paying the concession.
Mr Koutsantonis said more detailed analysis by SA Treasury officials indicated the state was more likely to receive a more modest $600 million.
Opposition Leader Steven Marshall said the cash was more than enough to cover the pensioner payments and rollback of increases to the Emergency Services Levy announced in last year’s State Budget as a response to federal health and education cuts.
Mr Koutsantonis said any new revenue delivered by the Budget was dwarfed by the impact of cuts to health and education, which total $1 billion between now and 2019.
Mr Koutsantonis welcomed the Federal Budget’s small-business package, which allows tax breaks for purchases valued $20,000 or less.
“The Federal Budget earmarks billions of dollars in stimulus funding for the north of the country, rather than the north of Adelaide which needs it most,” he said.
www.adelaidenow.com.au/news/south-australia/concessions-for-sa-pensioners-and-low-income-earners-self-funded-retirees-lose/story-fni6uo1m-1227354906331?sv=9d8322a5a26dabbba7a63d1d70042e7b
State Political Editor Daniel Wills
The Advertiser
May 14, 2015 1:47PM
PENSIONERS, low-income earners and self-funded retirees with a seniors’ health card will receive up to $200 per year under a new State Government concessions scheme.
Premier Jay Weatherill today announced the changes, two days after a Federal Budget that confirmed $30 million in concessions payments to SA would not be restored.
Mr Weatherill said the new concessions would affect 205,000 households.
They are:
PENSIONERS and low-income earners who own their own house will receive $200, up from $190 currently received.
PENSIONERS and low-income tenants will receive $100, up from nothing.
SELF-FUNDED retirees with a seniors’ health card who own their home continue to get $100.
SELF-FUNDED retirees with a seniors’ health card who rent get $100, up from nothing.
However, there are some losers in the new scheme:
SELF-FUNDED retirees earning more than $51,500 will no longer be eligible if they are single. COUPLES who are self-funded retirees earning more than $82,400 will also be cut from the scheme.
It’s a double hit for some wealthy pensioners and self-funded retirees, who also lost out in the Federal Budget, announced on Tuesday.
About 91,000 people will receive no payments and another 235,000 will be worse off, as the government tightens the assets test for the age pension.
Pensioners with assets of more than $823,000 (excluding the family home) will no longer receive any pension payments. The threshold used to be $1.15 million.
Treasurer Tom Koutsantonis said the new concession will cost the State Government $36.5
million per year. The council rate concession had cost $34 million per year.
The total amount of funding the State Government will now spend on concessions in 2015-16
is $280 million.
About 91,000 people will receive no payments and another 235,000 will be worse off, as the government tightens the assets test for the age pension. Pensioners with assets of more than $823,000 (excluding the family home) will no longer receive any pension payments. The threshold used to be $1.15 million.
The SA Government protected pensioners by covering the concession cuts last year, but warned a rate rise was possible this year if the Coalition maintained its position. An increase could affect up to 160,000 households.
Yesterday, Treasurer Tom Koutsantonis said it was in Labor’s ideology to “protect the most vulnerable”.
“We will come up with the best way to protect our pensioners,” he said.
An Upper House coalition of the Opposition and crossbench MPs has already committed to blocking any moves to pass on the cut and increase council rates.
It is unclear if the State Government’s response will require the approval of State Parliament.
The discount is currently received by 160,000 South Australian households.
Armed with Federal Budget papers showing a GST windfall to SA over the next three years, estimated to top $850 million, the Opposition had renewed its calls for the State Government to continue paying the concession.
Mr Koutsantonis said more detailed analysis by SA Treasury officials indicated the state was more likely to receive a more modest $600 million.
Opposition Leader Steven Marshall said the cash was more than enough to cover the pensioner payments and rollback of increases to the Emergency Services Levy announced in last year’s State Budget as a response to federal health and education cuts.
Mr Koutsantonis said any new revenue delivered by the Budget was dwarfed by the impact of cuts to health and education, which total $1 billion between now and 2019.
Mr Koutsantonis welcomed the Federal Budget’s small-business package, which allows tax breaks for purchases valued $20,000 or less.
“The Federal Budget earmarks billions of dollars in stimulus funding for the north of the country, rather than the north of Adelaide which needs it most,” he said.
www.adelaidenow.com.au/news/south-australia/concessions-for-sa-pensioners-and-low-income-earners-self-funded-retirees-lose/story-fni6uo1m-1227354906331?sv=9d8322a5a26dabbba7a63d1d70042e7b