Seniors & Pensioners

  • The age pension age will be gradually increased to 67 years of age. The new pension changes will apply to new pensioners from 1 July 2017. This means that it will apply to people who are 57 years of age or younger on July 2009.
  • In July 2009, a decision was made to change the income test taper to increase the rate at which the pension is reduced with increasing private income. It will be 50 cents for each additional dollar of income received by a pensioner.
  • The pension drawdown relief has been extended. A halving of the minimum annual drawdown amount for account-based pensions has been extended to include the 2009-10 financial year.
  • Superannuation funds are now required to align their lost superannuation reporting with unclaimed money regulations.This means that superannuation funds will need to transfer lost superannuation accounts with balances less than $200 to unclaimed monies.
  • The Seniors Supplement payment is available to certain self-funded retirees. Self-funded retirees who are eligible for the Senior’s Health Card or the Department of Veteran’s Affairs Gold card with Seniors Concession Allowance are eligible for the annual payment of $790.40 for singles and $1190.80 for couples.
  • The future tax panel’s review into retirement incomes has released its report recommending keeping the superannuation guarantee charge at 9%, increasing the age pension age to 67 years and aligning the age pension with the preservation age. Further examination will also be undertaken into the concessional tax treatment for superannuation contributions and for salary sacrifice arrangements. The final version of the panel’s report will be released in December 2009.