When Australian pensioner Frank Kemmler saw his lotto numbers come up, he thought he'd hit the jackpot. A $60,000 win seemed like a dream come true, a chance to finally enjoy some financial freedom.

But his joy was short-lived when he discovered the harsh reality of his newfound wealth: his pension would be taken away. Now, Frank is on a mission to warn other pensioners about the potential pitfalls of playing the lottery.

'I'm just trying to stop other people falling into the same trap,' he told a news source.

'If I'd known then what I know now, I would've given the win to my daughter and kept the pension for myself…So much for being lucky,' he added.

Lottery winner loses his pension due to Centrelink rules. Image: Pexels

The moment Frank realised he'd won the lottery was one of pure elation. He immediately told his family to pack their bags for a well-deserved holiday.

'It was certainly a nice feeling when I checked my numbers,' he said.

However, Frank soon learned that his winnings would be paid out in $5,000 monthly instalments.

This meant that Centrelink would consider his win as an income.

As a result, Frank lost his pension and the benefits that came with it, including subsidised GP appointments and medication.

The unexpected loss of his pension benefits meant that Frank's lottery win was more of a curse than a blessing. 'You think you win on the one end, but they take it away with the other hand,' he said.

Frank's experience highlighted a common misconception about lottery winnings: The belief that such a windfall comes with no strings attached. 'That’s what everybody thinks,' he said.

However, the reality is that lottery winnings could have significant implications, especially for pensioners.

Frank's winnings have now been exhausted, but he's still feeling the impact of his win. Centrelink has informed him that it could take up to six months for his pension reapplication to be approved.

'These people that are buying these [lottery] tickets, there's no warning anywhere…to say that you're going to lose your pension,' he said.

Understanding the Implications of Lottery Winnings for Pensioners

Centrelink assesses a person's income and assets to determine their eligibility for a pension. If a person's income or assets exceed certain thresholds, their pension may be reduced or cancelled.

Losing the pension can mean having to pay full price for essentials like doctor appointments and medication, which can be a significant financial burden.

So, before you buy that next lottery ticket, make sure you understand the potential implications of a win. It could save you a lot of heartache in the long run.

Key Takeaways

• Aussie pensioner Frank Kemmler won $60,000 in the lotto but warns other pensioners of the potential consequences for their pension.
• Frank faced a 'rude awakening' as his lotto winnings, paid in monthly instalments, were deemed income by Centrelink, resulting in the loss of his pension and associated benefits.
• The win has caused Frank to pay full price for healthcare necessities, negating the financial benefits of the prize.
• Frank's story is a cautionary tale for pensioners, highlighting the lack of warning about the impact of lottery wins on government pensions.

What are your thoughts on this, members? Have you ever considered the implications of a lottery win on your pension? Share your thoughts in the comments below.

 

[Suzanne rose]

I don't know how this would be counted as income . Each month the $5000 is winning money not income
If you are a home owner then you can have $400,000 or non home owners can have $600,000 in the bank .

I would ask for a review unless he has money in the bank then this would change everything

 

[Nichola]

I don't know how this would be counted as income . Each month the $5000 is winning money not income
If you are a home owner then you can have $400,000 or non home owners can have $600,000 in the bank .

I would ask for a review unless he has money in the bank then this would change everything

That's exactly what I thought, Suzanne. It's baffling to see how $60,000 could boost his assets beyond income limits.

 

[Iggydi]

I read about this when he won and it’s the set for life lottery. He got $5,000 a month for 12 months. Because he was getting money monthly that is considered to be like a wage. If he got a lump sum it would have been different. It sucks but I suppose getting the money monthly would be classed as a wage. He could have put some of that money in the bank and he could still get the pension. Maybe The Lottery should have a financial advisor for people who win big.

 

[BJM]

When Australian pensioner Frank Kemmler saw his lotto numbers come up, he thought he'd hit the jackpot. A $60,000 win seemed like a dream come true, a chance to finally enjoy some financial freedom.

But his joy was short-lived when he discovered the harsh reality of his newfound wealth: his pension would be taken away. Now, Frank is on a mission to warn other pensioners about the potential pitfalls of playing the lottery.

'I'm just trying to stop other people falling into the same trap,' he told a news source.

'If I'd known then what I know now, I would've given the win to my daughter and kept the pension for myself…So much for being lucky,' he added.

View attachment 38469

Lottery winner loses his pension due to Centrelink rules. Image: Pexels

The moment Frank realised he'd won the lottery was one of pure elation. He immediately told his family to pack their bags for a well-deserved holiday.

'It was certainly a nice feeling when I checked my numbers,' he said.

However, Frank soon learned that his winnings would be paid out in $5,000 monthly instalments.

This meant that Centrelink would consider his win as an income.

As a result, Frank lost his pension and the benefits that came with it, including subsidised GP appointments and medication.

The unexpected loss of his pension benefits meant that Frank's lottery win was more of a curse than a blessing. 'You think you win on the one end, but they take it away with the other hand,' he said.

Frank's experience highlighted a common misconception about lottery winnings: The belief that such a windfall comes with no strings attached. 'That’s what everybody thinks,' he said.

However, the reality is that lottery winnings could have significant implications, especially for pensioners.

Frank's winnings have now been exhausted, but he's still feeling the impact of his win. Centrelink has informed him that it could take up to six months for his pension reapplication to be approved.

'These people that are buying these [lottery] tickets, there's no warning anywhere…to say that you're going to lose your pension,' he said.

Understanding the Implications of Lottery Winnings for Pensioners

Centrelink assesses a person's income and assets to determine their eligibility for a pension. If a person's income or assets exceed certain thresholds, their pension may be reduced or cancelled.

Losing the pension can mean having to pay full price for essentials like doctor appointments and medication, which can be a significant financial burden.

So, before you buy that next lottery ticket, make sure you understand the potential implications of a win. It could save you a lot of heartache in the long run.

Key Takeaways

• Aussie pensioner Frank Kemmler won $60,000 in the lotto but warns other pensioners of the potential consequences for their pension.
• Frank faced a 'rude awakening' as his lotto winnings, paid in monthly instalments, were deemed income by Centrelink, resulting in the loss of his pension and associated benefits.
• The win has caused Frank to pay full price for healthcare necessities, negating the financial benefits of the prize.
• Frank's story is a cautionary tale for pensioners, highlighting the lack of warning about the impact of lottery wins on government pensions.

What are your thoughts on this, members? Have you ever considered the implications of a lottery win on your pension? Share your thoughts in the comments below.

I don’t think we’re hearing the full story here there must be more to it.

 

[Suzanne rose]

I don’t think we’re hearing the full story here there must be more to it.

That's what I thought , eg he has assets over what he is allowed

 

[Bridgit]

I read about this when he won and it’s the set for life lottery. He got $5,000 a month for 12 months. Because he was getting money monthly that is considered to be like a wage. If he got a lump sum it would have been different. It sucks but I suppose getting the money monthly would be classed as a wage. He could have put some of that money in the bank and he could still get the pension. Maybe The Lottery should have a financial advisor for people who win big.

Exactly - he obviously doesn't understand just what he had a ticket in. One offs normally don't affect things but getting it each month is classed as earnings - Set for Life is not Lotto and if you won the big one of 20,000 per month for 25 years you would not need the pension - would you?

 

[IJH]

I read about this when he won and it’s the set for life lottery. He got $5,000 a month for 12 months. Because he was getting money monthly that is considered to be like a wage. If he got a lump sum it would have been different. It sucks but I suppose getting the money monthly would be classed as a wage. He could have put some of that money in the bank and he could still get the pension. Maybe The Lottery should have a financial advisor for people who win big.

I have heard of this before with a win on Set for life lottery - pensioners do not buy this particular lotto!

 

[JKD]

Seriously!! Why worry about the pension if you are getting $5K a month income!!!! I am sure the majority of pensioners would jump at the chance. More to this story than meets the eye I guess

 

[June E]

Seriously!! Why worry about the pension if you are getting $5K a month income!!!! I am sure the majority of pensioners would jump at the chance. More to this story than meets the eye I guess

He was only getting it for 12 months if you splurged it you’d be back to zilch one year on and spend months trying to get your pension back ! I won’t be doing set for life or any lotto. At 76 I only ever won $50 in my life !

 

[kenrconn]

I believe that the facts of the matter as stated are correct. I agree that any pensioner would be grateful for a monthly cash boost and would willingly give up the pension for it. When the well runs dry and you haven’t had the foresight to realise that Centrelink has a service that has eroded to a six month wait for a “new” pension application and you haven’t saved to cover this situation then you will be in trouble. This serves as a warning to all Lotto type participants to check what they are entering and how, if lucky, it will be paid out. It is the degradation of the Centrelink service that is the problem in this case.

 

[Chrissie1761]

When Australian pensioner Frank Kemmler saw his lotto numbers come up, he thought he'd hit the jackpot. A $60,000 win seemed like a dream come true, a chance to finally enjoy some financial freedom.

But his joy was short-lived when he discovered the harsh reality of his newfound wealth: his pension would be taken away. Now, Frank is on a mission to warn other pensioners about the potential pitfalls of playing the lottery.

'I'm just trying to stop other people falling into the same trap,' he told a news source.

'If I'd known then what I know now, I would've given the win to my daughter and kept the pension for myself…So much for being lucky,' he added.

View attachment 38469

Lottery winner loses his pension due to Centrelink rules. Image: Pexels

The moment Frank realised he'd won the lottery was one of pure elation. He immediately told his family to pack their bags for a well-deserved holiday.

'It was certainly a nice feeling when I checked my numbers,' he said.

However, Frank soon learned that his winnings would be paid out in $5,000 monthly instalments.

This meant that Centrelink would consider his win as an income.

As a result, Frank lost his pension and the benefits that came with it, including subsidised GP appointments and medication.

The unexpected loss of his pension benefits meant that Frank's lottery win was more of a curse than a blessing. 'You think you win on the one end, but they take it away with the other hand,' he said.

Frank's experience highlighted a common misconception about lottery winnings: The belief that such a windfall comes with no strings attached. 'That’s what everybody thinks,' he said.

However, the reality is that lottery winnings could have significant implications, especially for pensioners.

Frank's winnings have now been exhausted, but he's still feeling the impact of his win. Centrelink has informed him that it could take up to six months for his pension reapplication to be approved.

'These people that are buying these [lottery] tickets, there's no warning anywhere…to say that you're going to lose your pension,' he said.

Understanding the Implications of Lottery Winnings for Pensioners

Centrelink assesses a person's income and assets to determine their eligibility for a pension. If a person's income or assets exceed certain thresholds, their pension may be reduced or cancelled.

Losing the pension can mean having to pay full price for essentials like doctor appointments and medication, which can be a significant financial burden.

So, before you buy that next lottery ticket, make sure you understand the potential implications of a win. It could save you a lot of heartache in the long run.

Key Takeaways

• Aussie pensioner Frank Kemmler won $60,000 in the lotto but warns other pensioners of the potential consequences for their pension.
• Frank faced a 'rude awakening' as his lotto winnings, paid in monthly instalments, were deemed income by Centrelink, resulting in the loss of his pension and associated benefits.
• The win has caused Frank to pay full price for healthcare necessities, negating the financial benefits of the prize.
• Frank's story is a cautionary tale for pensioners, highlighting the lack of warning about the impact of lottery wins on government pensions.

What are your thoughts on this, members? Have you ever considered the implications of a lottery win on your pension? Share your thoughts in the comments below.

He doesn't state what lottery it was. There is only one that says how much per month. Others are a lump sum.

 

[kenrconn]

It had to be “Set for life” as it’s the only lottery that pays a monthly reward. You don’t have a choice how it is paid. If it had been paid to a close (and trusted) family member or friend then he might have been OK. I say “might” as I don’t know about the terms of identification on a win (unfortunately).

 

[NickyW]

When Australian pensioner Frank Kemmler saw his lotto numbers come up, he thought he'd hit the jackpot. A $60,000 win seemed like a dream come true, a chance to finally enjoy some financial freedom.

But his joy was short-lived when he discovered the harsh reality of his newfound wealth: his pension would be taken away. Now, Frank is on a mission to warn other pensioners about the potential pitfalls of playing the lottery.

'I'm just trying to stop other people falling into the same trap,' he told a news source.

'If I'd known then what I know now, I would've given the win to my daughter and kept the pension for myself…So much for being lucky,' he added.

View attachment 38469

Lottery winner loses his pension due to Centrelink rules. Image: Pexels

The moment Frank realised he'd won the lottery was one of pure elation. He immediately told his family to pack their bags for a well-deserved holiday.

'It was certainly a nice feeling when I checked my numbers,' he said.

However, Frank soon learned that his winnings would be paid out in $5,000 monthly instalments.

This meant that Centrelink would consider his win as an income.

As a result, Frank lost his pension and the benefits that came with it, including subsidised GP appointments and medication.

The unexpected loss of his pension benefits meant that Frank's lottery win was more of a curse than a blessing. 'You think you win on the one end, but they take it away with the other hand,' he said.

Frank's experience highlighted a common misconception about lottery winnings: The belief that such a windfall comes with no strings attached. 'That’s what everybody thinks,' he said.

However, the reality is that lottery winnings could have significant implications, especially for pensioners.

Frank's winnings have now been exhausted, but he's still feeling the impact of his win. Centrelink has informed him that it could take up to six months for his pension reapplication to be approved.

'These people that are buying these [lottery] tickets, there's no warning anywhere…to say that you're going to lose your pension,' he said.

Understanding the Implications of Lottery Winnings for Pensioners

Centrelink assesses a person's income and assets to determine their eligibility for a pension. If a person's income or assets exceed certain thresholds, their pension may be reduced or cancelled.

Losing the pension can mean having to pay full price for essentials like doctor appointments and medication, which can be a significant financial burden.

So, before you buy that next lottery ticket, make sure you understand the potential implications of a win. It could save you a lot of heartache in the long run.

Key Takeaways

• Aussie pensioner Frank Kemmler won $60,000 in the lotto but warns other pensioners of the potential consequences for their pension.
• Frank faced a 'rude awakening' as his lotto winnings, paid in monthly instalments, were deemed income by Centrelink, resulting in the loss of his pension and associated benefits.
• The win has caused Frank to pay full price for healthcare necessities, negating the financial benefits of the prize.
• Frank's story is a cautionary tale for pensioners, highlighting the lack of warning about the impact of lottery wins on government pensions.

What are your thoughts on this, members? Have you ever considered the implications of a lottery win on your pension? Share your thoughts in the comments below.

I think Frank should be grateful that he's been receiving welfare and will again once his winnings are exhausted.

 

[Gsr]

My theory on any winnings from lotteries of any sort if you are a pensioner, get it paid into an account in a kids name and keep your pension. Unless the win is big enough that you won’t need a pension ever again.

 

[darrellh]

his winnings were far more than his pension. Common sense should have told him to save some for the period it took for his pension to be granted again so he was not desperate. Centrelink should also make sure people understand as most who win money don't necessarily know how to handle excess funds and spend willy nilly.

 

[NickyW]

My theory on any winnings from lotteries of any sort if you are a pensioner, get it paid into an account in a kids name and keep your pension. Unless the win is big enough that you won’t need a pension ever again.

Then the child might need to pay tax if interest paid exceeds the amount allowed. Older children could have tax implications too.

 

[Lesle]

When Australian pensioner Frank Kemmler saw his lotto numbers come up, he thought he'd hit the jackpot. A $60,000 win seemed like a dream come true, a chance to finally enjoy some financial freedom.

But his joy was short-lived when he discovered the harsh reality of his newfound wealth: his pension would be taken away. Now, Frank is on a mission to warn other pensioners about the potential pitfalls of playing the lottery.

'I'm just trying to stop other people falling into the same trap,' he told a news source.

'If I'd known then what I know now, I would've given the win to my daughter and kept the pension for myself…So much for being lucky,' he added.

View attachment 38469

Lottery winner loses his pension due to Centrelink rules. Image: Pexels

The moment Frank realised he'd won the lottery was one of pure elation. He immediately told his family to pack their bags for a well-deserved holiday.

'It was certainly a nice feeling when I checked my numbers,' he said.

However, Frank soon learned that his winnings would be paid out in $5,000 monthly instalments.

This meant that Centrelink would consider his win as an income.

As a result, Frank lost his pension and the benefits that came with it, including subsidised GP appointments and medication.

The unexpected loss of his pension benefits meant that Frank's lottery win was more of a curse than a blessing. 'You think you win on the one end, but they take it away with the other hand,' he said.

Frank's experience highlighted a common misconception about lottery winnings: The belief that such a windfall comes with no strings attached. 'That’s what everybody thinks,' he said.

However, the reality is that lottery winnings could have significant implications, especially for pensioners.

Frank's winnings have now been exhausted, but he's still feeling the impact of his win. Centrelink has informed him that it could take up to six months for his pension reapplication to be approved.

'These people that are buying these [lottery] tickets, there's no warning anywhere…to say that you're going to lose your pension,' he said.

Understanding the Implications of Lottery Winnings for Pensioners

Centrelink assesses a person's income and assets to determine their eligibility for a pension. If a person's income or assets exceed certain thresholds, their pension may be reduced or cancelled.

Losing the pension can mean having to pay full price for essentials like doctor appointments and medication, which can be a significant financial burden.

So, before you buy that next lottery ticket, make sure you understand the potential implications of a win. It could save you a lot of heartache in the long run.

Key Takeaways

• Aussie pensioner Frank Kemmler won $60,000 in the lotto but warns other pensioners of the potential consequences for their pension.
• Frank faced a 'rude awakening' as his lotto winnings, paid in monthly instalments, were deemed income by Centrelink, resulting in the loss of his pension and associated benefits.
• The win has caused Frank to pay full price for healthcare necessities, negating the financial benefits of the prize.
• Frank's story is a cautionary tale for pensioners, highlighting the lack of warning about the impact of lottery wins on government pensions.

What are your thoughts on this, members? Have you ever considered the implications of a lottery win on your pension? Share your thoughts in the comments below.

I always thought lotto winnings was tax free (which still is I think) but I never would have thought for one moment it could impact our pensions, that’s a scary thought especially when it’s not such a significant amount, I mean you couldn’t live the rest of your life on $60,000 that amount some people spend in a space of 6 months, and for a pension to win that much, wow it’d be like all our Christmas’s had come at once. I so feel for this gentleman, but I’m also grateful he’s told us his story, now we know if we ever win the lottery we put it in our kids bank accounts

 

[Gsr]

Then the child might need to pay tax if interest paid exceeds the amount allowed. Older children could have tax implications too.

I’d be happy to pay any extra tax out of the winnings.

 

[Isis]

When Australian pensioner Frank Kemmler saw his lotto numbers come up, he thought he'd hit the jackpot. A $60,000 win seemed like a dream come true, a chance to finally enjoy some financial freedom.

But his joy was short-lived when he discovered the harsh reality of his newfound wealth: his pension would be taken away. Now, Frank is on a mission to warn other pensioners about the potential pitfalls of playing the lottery.

'I'm just trying to stop other people falling into the same trap,' he told a news source.

'If I'd known then what I know now, I would've given the win to my daughter and kept the pension for myself…So much for being lucky,' he added.

View attachment 38469

Lottery winner loses his pension due to Centrelink rules. Image: Pexels

The moment Frank realised he'd won the lottery was one of pure elation. He immediately told his family to pack their bags for a well-deserved holiday.

'It was certainly a nice feeling when I checked my numbers,' he said.

However, Frank soon learned that his winnings would be paid out in $5,000 monthly instalments.

This meant that Centrelink would consider his win as an income.

As a result, Frank lost his pension and the benefits that came with it, including subsidised GP appointments and medication.

The unexpected loss of his pension benefits meant that Frank's lottery win was more of a curse than a blessing. 'You think you win on the one end, but they take it away with the other hand,' he said.

Frank's experience highlighted a common misconception about lottery winnings: The belief that such a windfall comes with no strings attached. 'That’s what everybody thinks,' he said.

However, the reality is that lottery winnings could have significant implications, especially for pensioners.

Frank's winnings have now been exhausted, but he's still feeling the impact of his win. Centrelink has informed him that it could take up to six months for his pension reapplication to be approved.

'These people that are buying these [lottery] tickets, there's no warning anywhere…to say that you're going to lose your pension,' he said.

Understanding the Implications of Lottery Winnings for Pensioners

Centrelink assesses a person's income and assets to determine their eligibility for a pension. If a person's income or assets exceed certain thresholds, their pension may be reduced or cancelled.

Losing the pension can mean having to pay full price for essentials like doctor appointments and medication, which can be a significant financial burden.

So, before you buy that next lottery ticket, make sure you understand the potential implications of a win. It could save you a lot of heartache in the long run.

Key Takeaways

• Aussie pensioner Frank Kemmler won $60,000 in the lotto but warns other pensioners of the potential consequences for their pension.
• Frank faced a 'rude awakening' as his lotto winnings, paid in monthly instalments, were deemed income by Centrelink, resulting in the loss of his pension and associated benefits.
• The win has caused Frank to pay full price for healthcare necessities, negating the financial benefits of the prize.
• Frank's story is a cautionary tale for pensioners, highlighting the lack of warning about the impact of lottery wins on government pensions.

What are your thoughts on this, members? Have you ever considered the implications of a lottery win on your pension? Share your thoughts in the comments below.

Yes I did think of this, you learn that Centrelink giveth and Centrelink taketh away. The fact that you are on a pension shows that any extra goes toward things you couldn’t afford earlier, maybe house maintenance, even giving as a gift to children, has penalties. If you are going to win anything better be millions not thousands, Just awful for this man whose first thought was a gift to family.