Category «Retirement»

Deeming Rates

A slight rise in the age pension rates, and some small changes to the deeming rates, mean that many pensioners may now be slightly better off. Also, some retirees who did not qualify for an age pension because they were over the asset test cut-off point may start to qualify. Under the new rules a …

Pension When Moving Into Care

Recently a reader asked my advice about a situation which is becoming commonplace. She and her husband were homeowners receiving the full aged pension and he was suffering bad health. He went into respite early in February while waiting for a nursing home place which came fairly quickly. He passed away early in April. Her …

Granny Flat Tax Trap

A fundamental principle is to take advice before you undertake any significant financial transactions. Recently, I was told about a widow who decided to move in with her son and his wife in what could loosely be called a “granny flat” arrangement. There was nothing to be built – she handed over $400,000 to her …

Effect of Losing Franking Credits

Expect the “retirees tax” to receive plenty of publicity as the federal election draws near. I have written about it extensively, but as a reader points out there is one group who will suffer badly. Mary is 70, a widow, and who has had no superannuation. Apart from her home, $50,000 in the bank, and …

The Pension Loan Scheme

The Pension Loans Scheme (PLS) for retirees will be useful in certain circumstances. But, as a reader has just pointed out, it is not available to everybody. He has chosen to retire to a manufactured home which is situated on leasehold land. Because the land is leasehold, he has no title to the property, and …