Noel Whittaker is the author of Wills, Death & Taxes Made Simple and numerous other books on personal finance. Email: [email protected]​

The quarterly age pension adjustments came into play on 20 September, and thanks to inflation, all pensioners got an income boost. The pension rates are somewhat confusing because there are four changes a year: in July and January each year, they adjust the thresholds, and in September and March, they adjust the amount of pension paid. These changes can sometimes produce anomalous outcomes, and savvy pensioners should keep an eye on the changes, to see if they can tweak their situation to achieve better financial outcomes.

Go to my website, www.noelwhittaker.com.au, to download the new pension charts and play with the age pension calculator and the deeming calculator, both of which have been updated with the new numbers.

Image Credit: Shutterstock

The previous pension changes took effect from 1 July. Because they raised the thresholds but not the amount of the pension itself, only part-pensioners got an increase in their pension. This meant the most in-need pensioners – those under the asset and income thresholds – got no pension increase at all, despite record inflation. In fact, they went backwards. But part-pensioners who were just over the bottom threshold ended up with a full pension because of the threshold increase.

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[CliffE]

??

 

[NotNats]

Lost me

 

[Mika in the van]

I couldn’t be bothered reading all this Very long winded report.
But when you have to do the furniture value for the asset test; (we learnt from moving interstate and trying to sell most of it) it’s almost worthless. You may have paid $3000 for a lounge suite 2 years ago, but you’d be lucky to sell it for $500. That’s it’s true value now!

 

[IAN3005]

I couldn’t be bothered reading all this Very long winded report.
But when you have to do the furniture value for the asset test; (we learnt from moving interstate and trying to sell most of it) it’s almost worthless. You may have paid $3000 for a lounge suite 2 years ago, but you’d be lucky to sell it for $500. That’s it’s true value now!

I devalue my furniture by 10% every year. I don't know why I bother, as most of it was picked up off the side of the road.

 

[IAN3005]

What a joke....

 

[steamyjack]

What is not mentioned is the effect the increase has on your tax liabilities. The tax free threshold of $18200 has not increased in at least three years.So,although the purchasing power of your pension has gone backwards,your tax liability goes UP. It also affects the calculation of the low income tax offset because the income level at which it starts to taper off,is not indexed either. In my view,its total sleight of hand by the government.If pensions are to keep pace with the COL,then all relevant tax levels have to be indexed as well.

 

[UNIT1000]

What a joke....

tipical labor goodonur labor all wayes scruing the pensurs aelbo has got to go bring on the eletion so we can give him the ass

 

[Ssearle]

this is how we are, now. Taxed all our working lives, taxed when we buy anything, car, house, etc, and taxed again on money WE EARN, and yet.... the richest of them are not taxed at an equal rate...

I wounder how they would go, if we all gave up working, and lined up at the dole office...

 

[UNIT1000]

this is how we are, now. Taxed all our working lives, taxed when we buy anything, car, house, etc, and taxed again on money WE EARN, and yet.... the richest of them are not taxed at an equal rate...

I wounder how they would go, if we all gave up working, and lined up at the dole office...

good onyer mate its about time the clounds are bourt to heal i saw cloune show on sky chanel the other day i took phatoes oveit on my phone

 

[UNIT1000]

sorry i wish thay woold run it agane im 87 years and a bit slow on the computer sorry for the speling

 

[Mika in the van]

sorry i wish thay woold run it agane im 87 years and a bit slow on the computer sorry for the speling

Type slower and check it as you go. The device will often change your words automatically.

 

[Jest]

I couldn’t be bothered reading all this Very long winded report.
But when you have to do the furniture value for the asset test; (we learnt from moving interstate and trying to sell most of it) it’s almost worthless. You may have paid $3000 for a lounge suite 2 years ago, but you’d be lucky to sell it for $500. That’s it’s true value now!

do not moan/whinge about your pension when you could not be bothered read this article.

 

[what]

??

sorry i wish thay woold run it agane im 87 years and a bit slow on the computer sorry for the speling

WHY do "THEY" make these articles so damn hard to read and understand???? So they can catch us out doing the wrong thing and give us a fine?????

 

[Ronloby]

Old news. This newsletter is becoming a joke, to say the least.

 

[Mika in the van]

do not moan/whinge about your pension when you could not be bothered read this article.

I’m not on the pension. But this article is poorly written. Should be in bullet point. Not just long winded paragraphs.

 

[oilsfromoz]

"The quarterly age pension adjustments came into play on 20 September"

No they didn't! They are half-yearly adjustments and are just short of useless. As soon as they start the payments at the new rate, cost-of-living increases eat into any benefit (a benefit which is debatable) so that, by the time the next "quarterly" adjustment occurs 6 months later, pensioners are even further behind. These adjustments are meaningless because they don't keep up with inflation and institutional greed.

 

[Luckyus]

Pensions should be linked to a Cabinet Ministers highest pay rate.

 

[UNIT1000]

do not moan/whinge about your pension when you could not be bothered read this article.

some how i mist some thin i only get my penchin twice a year the 22 of march then the 22 september but the govement desided to split your payment into2parts march harf then april the second half the same in september i mite be oldbut i keep my on the bouncing ball check it out

 

[Suzanne rose]

do not moan/whinge about your pension when you could not be bothered read this article.

??