Latest news with #AgePension
Yahoo
12-06-2025
- Business
- Yahoo
Centrelink cash boost coming in weeks for 2.4 million Aussies: ‘More money in bank accounts'
Millions of Centrelink recipients will see a small increase in their payments in the coming weeks. The increase is part of regular indexation, which is designed to ensure payments keep up with the rising cost of living. Around 2.4 million Australians will benefit from the latest round of indexation, which will come into effect from July 1. The increase will see a range of rates, thresholds and limits increase by 2.4 per cent. That includes payment increases for families receiving the Family Tax Benefit A and B, the Multiple Birth Allowance, and the Newborn Supplement. Income and asset thresholds will also be increased for recipients of the Age Pension, Disability Support Pension and Carer Payment. RELATED Centrelink payment change happening next week: 'Will increase' Major RBA interest rate call set to give homeowners $250 per month win $400 cash boost available for thousands of Aussies in new energy rebate Social Services Minister Tanya Plibersek said the government's "number one priority" was addressing cost-of-living pressures. 'From 1 July, millions of recipients of social security payments will see more money in their bank accounts," she said. 'Payments like the Family Tax Benefit help cover the costs of raising children for many Australian families, and indexation is a crucial way to help families when cost of living rises." Families getting the Family Tax Benefit Part A will see their maximum fortnightly payments go up to $227.36 a fortnight, an increase of $5.32. For those with children aged 13 or over, the rate will increase to $295.82 a fortnight, which is an increase of $7. Families receiving the Family Tax Benefit Part B will see their maximum rate increase to $193.34, an increase of $4.48. Families with children aged over 5 will see their rate increase to $134.96. First-time parents of a newborn child will receive an extra $48 over 13 weeks, with the Newborn Supplement increasing to $2,052.05. The Multiple Birth Allowance will increase to $196.56 per fortnight for those giving birth to triplets, while payments for quadruplets and more will go up to $261.94 per fortnight. This round of indexation won't impact payment rates for the Age Pension, JobSeeker, Youth Allowance, the Disability Support Pension or Carer Payment. However, there will be income and asset threshold changes. Age Pensioners will be able to earn $218 a fortnight, up $6 a fortnight, and still be eligible for the full pension. The maximum amount you can earn before your pension cuts out will increase to $2,516. For couples, those limits will be $380 per fortnight and $3,844.40 per fortnight for the disqualifying income limit. Single homeowners will be able to have assets of $321,500 and receive the full pension, while couples will be able to have $481,500. The cut-off threshold to receive a part pension will increase to $704,500 for single homeowners and $1,059,000 for couple homeowners. The Paid Parental Leave annual income limits will also increase, with the individual limit increasing to $180,007 per annum and the family limit increasing to $373,094 per annum. Full details of the new rates and thresholds can be found in retrieving data Sign in to access your portfolio Error in retrieving data
Yahoo
11-06-2025
- Business
- Yahoo
Centrelink cash boost coming in weeks for 2.4 million Aussies: ‘More money in bank accounts'
Millions of Centrelink recipients will see a small increase in their payments in the coming weeks. The increase is part of regular indexation, which is designed to ensure payments keep up with the rising cost of living. Around 2.4 million Australians will benefit from the latest round of indexation, which will come into effect from July 1. The increase will see a range of rates, thresholds and limits increase by 2.4 per cent. That includes payment increases for families receiving the Family Tax Benefit A and B, the Multiple Birth Allowance, and the Newborn Supplement. Income and asset thresholds will also be increased for recipients of the Age Pension, Disability Support Pension and Carer Payment. RELATED Centrelink payment change happening next week: 'Will increase' Major RBA interest rate call set to give homeowners $250 per month win $400 cash boost available for thousands of Aussies in new energy rebate Social Services Minister Tanya Plibersek said the government's "number one priority" was addressing cost-of-living pressures. 'From 1 July, millions of recipients of social security payments will see more money in their bank accounts," she said. 'Payments like the Family Tax Benefit help cover the costs of raising children for many Australian families, and indexation is a crucial way to help families when cost of living rises." Families getting the Family Tax Benefit Part A will see their maximum fortnightly payments go up to $227.36 a fortnight, an increase of $5.32. For those with children aged 13 or over, the rate will increase to $295.82 a fortnight, which is an increase of $7. Families receiving the Family Tax Benefit Part B will see their maximum rate increase to $193.34, an increase of $4.48. Families with children aged over 5 will see their rate increase to $134.96. First-time parents of a newborn child will receive an extra $48 over 13 weeks, with the Newborn Supplement increasing to $2,052.05. The Multiple Birth Allowance will increase to $196.56 per fortnight for those giving birth to triplets, while payments for quadruplets and more will go up to $261.94 per fortnight. This round of indexation won't impact payment rates for the Age Pension, JobSeeker, Youth Allowance, the Disability Support Pension or Carer Payment. However, there will be income and asset threshold changes. Age Pensioners will be able to earn $218 a fortnight, up $6 a fortnight, and still be eligible for the full pension. The maximum amount you can earn before your pension cuts out will increase to $2,516. For couples, those limits will be $380 per fortnight and $3,844.40 per fortnight for the disqualifying income limit. Single homeowners will be able to have assets of $321,500 and receive the full pension, while couples will be able to have $481,500. The cut-off threshold to receive a part pension will increase to $704,500 for single homeowners and $1,059,000 for couple homeowners. The Paid Parental Leave annual income limits will also increase, with the individual limit increasing to $180,007 per annum and the family limit increasing to $373,094 per annum. Full details of the new rates and thresholds can be found in to access your portfolio
Yahoo
10-06-2025
- Business
- Yahoo
$1 million superannuation retirement myth busted: ‘Not a magic number'
The belief that Australians need to have $1 million in superannuation to retire comfortably has been busted by new research. The cost of living has put pressure on retirees and has many Aussies worried they won't have enough tucked away. More than half of recent retirees believe you don't need $1 million in superannuation to live well, new AustralianSuper research found. In fact, 94 per cent of Aussies who retired in the last five years did so with less than seven figures. Warren Morrison retired at 64 with $350,000 in superannuation. The Aussie, who previously worked in local government, banking and media, said he was living comfortably and doesn't feel as though he is missing out. RELATED Major superannuation change to give Aussie workers $600,000 boost in weeks Rare $1 coin worth 10 times more due to 'unfortunate' detail Major Coles move to take on Chemist Warehouse, Bunnings, Amazon 'I didn't have a million bucks, but I had a plan,' he says. 'I worked out what I'd need day to day, figured out what brought me joy and built my retirement around that, eventually leaving the workforce with around $350,000 in superannuation.' The research found 44 per cent of Aussies retired with less than $100,000 in super, 35 per cent retired with between $100,000 and $499,999, and only 21 per cent had $500,000 or more. Morrison said he was now officiating weddings, hosting trivia nights, dabbling in acting and even judging roller skating competitions in his retirement. 'It's not about being rich; it's about being purposeful. I still have my coffee and cake with mates. I'm careful, but I'm not missing out,' he said. 'The key isn't a magic number. It's knowing what kind of life you want and putting the pieces in place to live it.' Super Consumers Australia research released earlier this year found Australians may need less in their superannuation to retire than they think. It found that a typical single needs around $310,000 in super and a couple needs around $420,000 when they retire to maintain their living standards throughout their retirement. This assumes you own your home outright and factors in income you may be entitled to from the Age Pension. It is worth noting that this is lower than the standard from the Association of Superannuation Funds of Australia. Under this standard, a single person needs $595,000 in superannuation at age 67 to achieve a comfortable retirement, while a couple needs $690,000. AustralianSuper head of advice and guidance Ross Ackland said some people thought they needed to be chasing a seven-figure balance to live well in retirement, but this wasn't the case. 'We know superannuation is incredibly important and encourage members to make extra contributions where appropriate, but super is only one piece of the retirement puzzle,' he said. He said it was important for Aussies to plan their budget around their lifestyle, rather than just a number. 'The key to retirement confidence is to be realistic, understand your needs and make the most of all the tools available to you — whether that's superannuation, the age pension, good spending habits or even simple planning tools that help you get a clearer picture of what you might need,' he said. He noted that future generations would benefit from the compulsory super system for their full working lives, unlike most retirees today. Workers will also benefit from higher contribution rates, with the super guarantee rate increasing to 12 per cent on July in retrieving data Sign in to access your portfolio Error in retrieving data
Yahoo
29-05-2025
- Business
- Yahoo
Major superannuation change to give Aussie workers $600,000 boost in weeks
Compulsory superannuation payments will increase in the coming weeks, and the boost will help young Australians retire with nest eggs of more than $600,000. This is nearly triple what some people are retiring with today. The super guarantee rate will increase from 11.5 to 12 per cent from July 1. This is the final legislated increase to the rate that employers are legally required to pay into your superannuation. A 30-year-old with a super balance of $30,000 today who earns the median wage of $75,000 is expected to accumulate a super balance of $610,000 in today's dollars, new research from the Association of Superannuation Funds of Australia (ASFA) found. RELATED $3 million superannuation tax change sparks property warning as 'panic' selling begins $1,831 Centrelink payment change coming within weeks: 'You'll get more' Australia's most in-demand jobs revealed with $125,000 salaries up for grabs: 'Short supply' Compared to previous generations, today's workers will benefit from higher compulsory contributions rates for longer periods of time. The median super balance for 60- to 64-year-old men today is $205,000, while for women in the same age bracket it is $154,000. ASFA found there was strong support for superannuation from younger Australians, despite them being decades away from retirement. It found 77 per cent of the 18 to 34 age bracket believed the compulsory contribution rate should be at least 12 per cent, while 82 per cent agreed or strongly agreed that regular contributions made them feel more confident about their financial future. 'The strong level of satisfaction, trust and confidence younger people feel about their super is encouraging to see as superannuation is often not front-of-mind for younger people,' ASFA CEO Mary Delahunty said. 'This result demonstrates that younger Australians are engaged with superannuation and well aware of its positive contribution in shaping their financial security in retirement.' To achieve a comfortable retirement, ASFA calculated that a single person needs $595,000 in superannuation, while a couple needs $690,000. These figures assume the retiree draws down all their capital and receives a part Age Pension. Super Consumers Australia has calculated Aussies need less in superannuation to retire, with its targets finding a single person needs around $310,000 and a couple around $420,000. ASFA noted that the contribution rate of 12 per cent wouldn't, in itself, guarantee adequate retirement incomes for today's younger workers. Factors like time out of the workforce to have and raise children, along with working in jobs not covered by the compulsory system, like gig economy work, would impact a person's capacity to build up their savings. The super guarantee rate increase to 12 per cent is just one change kicking in from July 1. Superannuation accounts with balances of $3 million or more will see the existing tax rate increase from 15 to 30 per cent on earnings above this threshold, including unrealised capital gains. This change is due to come into effect from July 1 but hasn't yet been legislated. Superannuation will start being paid on Parental Leave Pay from the new financial year. This means parents getting the government support will get an extra 12 per cent of their payment as a contribution to their super fund. The transfer balance cap, which limits the amount of super that can be transferred into the retirement phase, will increase by $100,000 from $1.9 million to $2 million. There has been some misinformation about changes to preservation and withdrawal rules, but the ATO has assured people that this is in retrieving data Sign in to access your portfolio Error in retrieving data
The Advertiser
28-05-2025
- The Advertiser
Traveler's warning after pension docked during extended overseas holiday
A 78-year-old was shocked to uncover the government was docking her age pension after an extended holiday to the United State. After six weeks away, Lauren (who wished not to use her real name), noticed her payment was short around $30, then a fortnight later, it was short $50, while the following payment was docked even more. The widow, who was on a trip to visit her son and grandchildren in Tennessee, was only meant to be away for four weeks. But her adult daughter and travelling companion, Jessica, became ill. When her daughter required a small medical procedure, Lauren extended her stay. "I was initially staying for a month, with my daughter going on to do more travelling," she said. "But I wasn't going to leave her in case her condition got worse." Lauren told The Senior she called Centrelink when she arrived home, and they explained pensioners can't leave Australia for more than six weeks without a financial penalty. "And the pension gets reduced more and more - for each week you are away," she said "Older Australians who have worked hard our whole lives get punished for daring to spend more than six weeks out of Australia. It's disgusting." Despite explaining the situation to Centrelink, Lauren was told she wouldn't be reimbursed. But her full pension was reinstated because she was back in the country. "I want everyone to know about this rule. Just because you travel overseas doesn't mean you're rich," Lauren said. "People have direct debits and rely on their pension to pay bills. "It's outrageous." Services Australia Community Information Officer Justin Bott said the rule is called "Age Pension portability" and many factors can affect payment. "How much pension you get changes depending on how long you're away, how long you have lived in Australia or whether you're leaving to live in another country," he said. "If you get the Age Pension and are planning on travelling overseas for longer than six weeks you need to tell Services Australia." The Senior understands the Energy Supplement portion of the Age Pension stops after six weeks and the Pension Supplement keeps reducing until it reaches the basic rate. After 26 weeks overseas, the rate of Age Pension may change - depending on how long a person has lived in Australia between the ages of 16 and when they were eligible to get the pension. Australians will also have their concession card cancelled after six weeks - with a new one issued only when the traveller returns back home and if they are still eligible. "I had a backlog of mail when I got back, and I discovered my new concession card - it was really confusing. There was just no warning," Lauren said. "I am worried other people don't know about it. "I am just lucky I was with relatives and didn't have to worry about finances as much." National Seniors Australia CEO Chris Grice told The Senior he believes the Government thinks people who go overseas must have plenty of money. "You'll find that they're sort of saying, 'Oh, hang on, you're out of the country. You don't need electricity,'" he said. "We all know that's not the case. Not everybody's doing a $40,000 Scenic river cruise," he said. The CEO said Aussies need to be aware that the longer people stay overseas, the more money is docked. "A conversation with Services Australia is pretty important if someone is going for that longer trip," he said. Even if a traveller does not inform Centrelink, their pension will still be docked after six weeks. "Centrelink told me immigration flags the pensioners leaving the country," Lauren said. Shockingly, Age Pension recipients are not the only ones who need to be aware of the "portability" rule. "They're not just singling out the Age Pension. It's any government payment, such as study allowances, carers allowances and disability support," Mr Grice said. But the portability rule is different for the various allowances. For example, the Disability Support Pension can be stricter. Recipients may not be able to spend more than a total of 28 days overseas across a 12-month period. Services Australia recommends anyone receiving a government payment to go to Centrelink to see how their money could be reduced when travelling overseas. A spokesperson for Services Australia said they would reach out to Lauren. Share your thoughts in the comments below, or send a Letter to the Editor by CLICKING HERE. A 78-year-old was shocked to uncover the government was docking her age pension after an extended holiday to the United State. After six weeks away, Lauren (who wished not to use her real name), noticed her payment was short around $30, then a fortnight later, it was short $50, while the following payment was docked even more. The widow, who was on a trip to visit her son and grandchildren in Tennessee, was only meant to be away for four weeks. But her adult daughter and travelling companion, Jessica, became ill. When her daughter required a small medical procedure, Lauren extended her stay. "I was initially staying for a month, with my daughter going on to do more travelling," she said. "But I wasn't going to leave her in case her condition got worse." Lauren told The Senior she called Centrelink when she arrived home, and they explained pensioners can't leave Australia for more than six weeks without a financial penalty. "And the pension gets reduced more and more - for each week you are away," she said "Older Australians who have worked hard our whole lives get punished for daring to spend more than six weeks out of Australia. It's disgusting." Despite explaining the situation to Centrelink, Lauren was told she wouldn't be reimbursed. But her full pension was reinstated because she was back in the country. "I want everyone to know about this rule. Just because you travel overseas doesn't mean you're rich," Lauren said. "People have direct debits and rely on their pension to pay bills. "It's outrageous." Services Australia Community Information Officer Justin Bott said the rule is called "Age Pension portability" and many factors can affect payment. "How much pension you get changes depending on how long you're away, how long you have lived in Australia or whether you're leaving to live in another country," he said. "If you get the Age Pension and are planning on travelling overseas for longer than six weeks you need to tell Services Australia." The Senior understands the Energy Supplement portion of the Age Pension stops after six weeks and the Pension Supplement keeps reducing until it reaches the basic rate. After 26 weeks overseas, the rate of Age Pension may change - depending on how long a person has lived in Australia between the ages of 16 and when they were eligible to get the pension. Australians will also have their concession card cancelled after six weeks - with a new one issued only when the traveller returns back home and if they are still eligible. "I had a backlog of mail when I got back, and I discovered my new concession card - it was really confusing. There was just no warning," Lauren said. "I am worried other people don't know about it. "I am just lucky I was with relatives and didn't have to worry about finances as much." National Seniors Australia CEO Chris Grice told The Senior he believes the Government thinks people who go overseas must have plenty of money. "You'll find that they're sort of saying, 'Oh, hang on, you're out of the country. You don't need electricity,'" he said. "We all know that's not the case. Not everybody's doing a $40,000 Scenic river cruise," he said. The CEO said Aussies need to be aware that the longer people stay overseas, the more money is docked. "A conversation with Services Australia is pretty important if someone is going for that longer trip," he said. Even if a traveller does not inform Centrelink, their pension will still be docked after six weeks. "Centrelink told me immigration flags the pensioners leaving the country," Lauren said. Shockingly, Age Pension recipients are not the only ones who need to be aware of the "portability" rule. "They're not just singling out the Age Pension. It's any government payment, such as study allowances, carers allowances and disability support," Mr Grice said. But the portability rule is different for the various allowances. For example, the Disability Support Pension can be stricter. Recipients may not be able to spend more than a total of 28 days overseas across a 12-month period. Services Australia recommends anyone receiving a government payment to go to Centrelink to see how their money could be reduced when travelling overseas. A spokesperson for Services Australia said they would reach out to Lauren. Share your thoughts in the comments below, or send a Letter to the Editor by CLICKING HERE. A 78-year-old was shocked to uncover the government was docking her age pension after an extended holiday to the United State. After six weeks away, Lauren (who wished not to use her real name), noticed her payment was short around $30, then a fortnight later, it was short $50, while the following payment was docked even more. The widow, who was on a trip to visit her son and grandchildren in Tennessee, was only meant to be away for four weeks. But her adult daughter and travelling companion, Jessica, became ill. When her daughter required a small medical procedure, Lauren extended her stay. "I was initially staying for a month, with my daughter going on to do more travelling," she said. "But I wasn't going to leave her in case her condition got worse." Lauren told The Senior she called Centrelink when she arrived home, and they explained pensioners can't leave Australia for more than six weeks without a financial penalty. "And the pension gets reduced more and more - for each week you are away," she said "Older Australians who have worked hard our whole lives get punished for daring to spend more than six weeks out of Australia. It's disgusting." Despite explaining the situation to Centrelink, Lauren was told she wouldn't be reimbursed. But her full pension was reinstated because she was back in the country. "I want everyone to know about this rule. Just because you travel overseas doesn't mean you're rich," Lauren said. "People have direct debits and rely on their pension to pay bills. "It's outrageous." Services Australia Community Information Officer Justin Bott said the rule is called "Age Pension portability" and many factors can affect payment. "How much pension you get changes depending on how long you're away, how long you have lived in Australia or whether you're leaving to live in another country," he said. "If you get the Age Pension and are planning on travelling overseas for longer than six weeks you need to tell Services Australia." The Senior understands the Energy Supplement portion of the Age Pension stops after six weeks and the Pension Supplement keeps reducing until it reaches the basic rate. After 26 weeks overseas, the rate of Age Pension may change - depending on how long a person has lived in Australia between the ages of 16 and when they were eligible to get the pension. Australians will also have their concession card cancelled after six weeks - with a new one issued only when the traveller returns back home and if they are still eligible. "I had a backlog of mail when I got back, and I discovered my new concession card - it was really confusing. There was just no warning," Lauren said. "I am worried other people don't know about it. "I am just lucky I was with relatives and didn't have to worry about finances as much." National Seniors Australia CEO Chris Grice told The Senior he believes the Government thinks people who go overseas must have plenty of money. "You'll find that they're sort of saying, 'Oh, hang on, you're out of the country. You don't need electricity,'" he said. "We all know that's not the case. Not everybody's doing a $40,000 Scenic river cruise," he said. The CEO said Aussies need to be aware that the longer people stay overseas, the more money is docked. "A conversation with Services Australia is pretty important if someone is going for that longer trip," he said. Even if a traveller does not inform Centrelink, their pension will still be docked after six weeks. "Centrelink told me immigration flags the pensioners leaving the country," Lauren said. Shockingly, Age Pension recipients are not the only ones who need to be aware of the "portability" rule. "They're not just singling out the Age Pension. It's any government payment, such as study allowances, carers allowances and disability support," Mr Grice said. But the portability rule is different for the various allowances. For example, the Disability Support Pension can be stricter. Recipients may not be able to spend more than a total of 28 days overseas across a 12-month period. Services Australia recommends anyone receiving a government payment to go to Centrelink to see how their money could be reduced when travelling overseas. A spokesperson for Services Australia said they would reach out to Lauren. Share your thoughts in the comments below, or send a Letter to the Editor by CLICKING HERE. A 78-year-old was shocked to uncover the government was docking her age pension after an extended holiday to the United State. After six weeks away, Lauren (who wished not to use her real name), noticed her payment was short around $30, then a fortnight later, it was short $50, while the following payment was docked even more. The widow, who was on a trip to visit her son and grandchildren in Tennessee, was only meant to be away for four weeks. But her adult daughter and travelling companion, Jessica, became ill. When her daughter required a small medical procedure, Lauren extended her stay. "I was initially staying for a month, with my daughter going on to do more travelling," she said. "But I wasn't going to leave her in case her condition got worse." Lauren told The Senior she called Centrelink when she arrived home, and they explained pensioners can't leave Australia for more than six weeks without a financial penalty. "And the pension gets reduced more and more - for each week you are away," she said "Older Australians who have worked hard our whole lives get punished for daring to spend more than six weeks out of Australia. It's disgusting." Despite explaining the situation to Centrelink, Lauren was told she wouldn't be reimbursed. But her full pension was reinstated because she was back in the country. "I want everyone to know about this rule. Just because you travel overseas doesn't mean you're rich," Lauren said. "People have direct debits and rely on their pension to pay bills. "It's outrageous." Services Australia Community Information Officer Justin Bott said the rule is called "Age Pension portability" and many factors can affect payment. "How much pension you get changes depending on how long you're away, how long you have lived in Australia or whether you're leaving to live in another country," he said. "If you get the Age Pension and are planning on travelling overseas for longer than six weeks you need to tell Services Australia." The Senior understands the Energy Supplement portion of the Age Pension stops after six weeks and the Pension Supplement keeps reducing until it reaches the basic rate. After 26 weeks overseas, the rate of Age Pension may change - depending on how long a person has lived in Australia between the ages of 16 and when they were eligible to get the pension. Australians will also have their concession card cancelled after six weeks - with a new one issued only when the traveller returns back home and if they are still eligible. "I had a backlog of mail when I got back, and I discovered my new concession card - it was really confusing. There was just no warning," Lauren said. "I am worried other people don't know about it. "I am just lucky I was with relatives and didn't have to worry about finances as much." National Seniors Australia CEO Chris Grice told The Senior he believes the Government thinks people who go overseas must have plenty of money. "You'll find that they're sort of saying, 'Oh, hang on, you're out of the country. You don't need electricity,'" he said. "We all know that's not the case. Not everybody's doing a $40,000 Scenic river cruise," he said. The CEO said Aussies need to be aware that the longer people stay overseas, the more money is docked. "A conversation with Services Australia is pretty important if someone is going for that longer trip," he said. Even if a traveller does not inform Centrelink, their pension will still be docked after six weeks. "Centrelink told me immigration flags the pensioners leaving the country," Lauren said. Shockingly, Age Pension recipients are not the only ones who need to be aware of the "portability" rule. "They're not just singling out the Age Pension. It's any government payment, such as study allowances, carers allowances and disability support," Mr Grice said. But the portability rule is different for the various allowances. For example, the Disability Support Pension can be stricter. Recipients may not be able to spend more than a total of 28 days overseas across a 12-month period. Services Australia recommends anyone receiving a government payment to go to Centrelink to see how their money could be reduced when travelling overseas. A spokesperson for Services Australia said they would reach out to Lauren. Share your thoughts in the comments below, or send a Letter to the Editor by CLICKING HERE.
