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Market creates more pensioners

Discussion in 'Superannuation, SMSF & Personal Insurance' started by Tropo, 5th Sep, 2008.

  1. Tropo

    Tropo Well-Known Member

    Joined:
    17th Aug, 2005
    Posts:
    3,394
    Location:
    NSW
    05/09/08
    Market creates more pensioners

    The number of applications for the age pension has jumped up 40 per cent in the last year.
    The rise is being driven by changes to the assets test rules, an ageing population and also by negative returns from investments and superannuation.
    The number of new pensioners rose from 130,000 to 180,000 between 2006-07 and 2007-08. "Much of the inflow of new customers in 2007-08 could be attributable to the halving of the assets test change from 20th September, 2007," a Department of Family and Community services spokesman said.
    An average twenty per cent fall in the value of investments has seen many retirees and retired couples fall under the expanded assets limits.
    A financial advisor urged retirees to seek advice about whether they could be eligible for a part pension.

    Source: Courier Mail
     
  2. AsxBroker

    AsxBroker Well-Known Member

    Joined:
    8th Sep, 2007
    Posts:
    1,448
    Location:
    Sydney, NSW
    Hi Tropo,

    Looks like the Courier Mail likes raking up muck.

    At least CentreLink is straight talking!

    "Much of the inflow of new customers in 2007-08 could be attributable to the halving of the assets test change from 20th September, 2007," a Department of Family and Community services spokesman said

    Of course there is going to be more people on the Age Pension with the Assets Test being halved, that's an extra $300,000 retirees can have and still receive partial Age Pension. Yes, a few retirees who have less are going to receive slightly more Age Pension.

    Cheers,

    Dan