Post by Deleted on Nov 26, 2018 7:58:52 GMT 7
New laws to let pensioners earn more money before payments are affected.
South Australian pensioners will be able to earn $50 more a fortnight before their payments are affected, under laws to be tabled by the federal Government.
More pensioners would also be able to use the equity in their homes and access financial products that allow them to supplement their payments in retirement.
Social Services Minister Paul Fletcher told the Sunday Mail an increase to the pension work bonus would result in more than 90,000 people receiving an increase in their payments and 1150 people becoming eligible for a social security pension.
The bonus is the amount an eligible pensioner can earn from employment before it affects their pension rate.
“The increased bonus will mean pensioners who work will be able to keep more of their pension,” Mr Fletcher said.
The changes also mean the self-employed will be eligible for the bonus for the first time.
Under the plans, more pensioners will be eligible to access the Government’s pensions loans scheme.
“The expanded pension loans scheme offers pensioners a higher living standard because you can borrow against your home and receive a fortnightly payment through Centrelink,” Mr Fletcher said.
Under the loans scheme, fortnightly income payments are provided at a reasonable rate of interest to people who receive a reduced rate of income-support pension.
It will also apply to pensioners who receive no income-support pension because of the income or assets tests.
Mr Fletcher said the combination of a pension payment and a loan payment could be up to 150 per cent of the full pension, or $1374.45 a fortnight, for a single person of pension age. The Government also wants to establish fairer means testing rules for newer financial products, including pooled lifetime income streams. This allows people to combine savings to provide lifetime payments and protect against longevity risk.
“These changes will encourage the development of new types of financial products in the superannuation system, improving choice and flexibility for retirees,” Mr Fletcher said.
www.adelaidenow.com.au/news/south-australia/new-laws-to-let-pensioners-earn-more-money-before-payments-are-affected/news-story/bf75680d46026e52a0ce063cdcd9e2ee
South Australian pensioners will be able to earn $50 more a fortnight before their payments are affected, under laws to be tabled by the federal Government.
More pensioners would also be able to use the equity in their homes and access financial products that allow them to supplement their payments in retirement.
Social Services Minister Paul Fletcher told the Sunday Mail an increase to the pension work bonus would result in more than 90,000 people receiving an increase in their payments and 1150 people becoming eligible for a social security pension.
The bonus is the amount an eligible pensioner can earn from employment before it affects their pension rate.
“The increased bonus will mean pensioners who work will be able to keep more of their pension,” Mr Fletcher said.
The changes also mean the self-employed will be eligible for the bonus for the first time.
Under the plans, more pensioners will be eligible to access the Government’s pensions loans scheme.
“The expanded pension loans scheme offers pensioners a higher living standard because you can borrow against your home and receive a fortnightly payment through Centrelink,” Mr Fletcher said.
Under the loans scheme, fortnightly income payments are provided at a reasonable rate of interest to people who receive a reduced rate of income-support pension.
It will also apply to pensioners who receive no income-support pension because of the income or assets tests.
Mr Fletcher said the combination of a pension payment and a loan payment could be up to 150 per cent of the full pension, or $1374.45 a fortnight, for a single person of pension age. The Government also wants to establish fairer means testing rules for newer financial products, including pooled lifetime income streams. This allows people to combine savings to provide lifetime payments and protect against longevity risk.
“These changes will encourage the development of new types of financial products in the superannuation system, improving choice and flexibility for retirees,” Mr Fletcher said.
www.adelaidenow.com.au/news/south-australia/new-laws-to-let-pensioners-earn-more-money-before-payments-are-affected/news-story/bf75680d46026e52a0ce063cdcd9e2ee