Two significant changes have been made to the Work Bonus scheme. These changes apply from 1 January 2024. The first change is that an initial credit of $4,000 will be granted to the “work bonus bank” of each new age pension recipient. The second is that the maximum balance of the “work bonus bank” has been increased to $11,800 (previously the maximum balance was $7,800).
age pension
Downsizing and net sale proceeds: Parton’s Case
This case illustrates the consequence where the net sale proceeds was not entirely applied in the application of the replacement home.
Work Bank Bonus temporarily increased by $4,000
The Work Bank Bonus cap has been temporarily increased by $4,000. This increase applies from and including 1 December 2022 and will end on and including 31 December 2023.
Higher income limits for Seniors Health Care
The legislation to significantly increase the cut-off limit for entitlement to the Seniors Health Care has been enacted. Now the relevant cut-off limits are $90,000 for a single (previously $61,284) and $144,000 for a couple (previously $98,054). These new limits will be subject to the normal annual indexation cycle which applies each September. The new limits apply from 4 November 2022 and so will be indexed on 20 September 2023.
Lump sum option for HEAS reverse mortgages from 1 July
Lump sum advance payments are now allowed under the Federal Government’s Home Equity Access Scheme (HEAS). This change will increase flexibility and utility for participants by providing a new way to use the scheme to meet their living expenses.
Single women embracing Pension Loans Scheme
Pension Boost, who are specialists in the government’s Pension Loans Scheme (PLS), has reviewed the PLS applications it has submitted on behalf of its clients since the PLS was expanded in July 2019.
Funding an aged care RAD with a reverse mortgage
A Refundable Accommodation Deposit (RAD) payable on entry in aged care is often a large amount of money to find in a hurry and many people think selling the family home is the only option open to them.
Asset thresholds and taper rates applying to the Age Pension asset test to change on the 1st January 2017
The asset thresholds and taper rates that apply to the Age Pension asset test will change on the 1st January 2017 and will affect all pensioners who are asset tested or become asset tested.