Pensions are an important part of many people's retirement planning, and it's crucial that they keep up with inflation.

Unfortunately, pensioners have been feeling the pinch in recent years, as the cost of living continues to skyrocket.

In a recent speech, Treasurer Jim Chalmers assured the public that the federal government is determined to make sure that pensioners don't fall further behind as inflation rises.

With inflation currently at 5.1% and forecasted to rise by the end of the year, Mr Chalmers said that a half-yearly indexation increase for pensions is slated to take effect on September 20.

It should be noted that age pension rates increased in March by $20.10, to $987.60 each fortnight — or $25,677.60 annually — for single pensioners, while the joint maximum rate for elderly couples rose by $30.20, to $1488.80 per week or $38,708 per year.

Mr Chalmers promised to provide an update on the government's projections for inflation, growth, and salaries when the new parliament session commences in late July.

The Treasurer said that the federal government will discuss the possible increase in pension payments once the new parliament session commences in late July. Credit: AAP.​

He said: “The shape of the challenge to inflation will get worse before it gets better but it will get better."

“We understand that pensioners are doing it incredibly tough when it comes to their costs of essentials like groceries, electricity and petrol and in other parts of the household budget."

“We don’t want to see pensioners fall further and further behind. And that’s why this indexation which tries to keep up with the skyrocketing cost of living is so important.”

Additionally, economists are expected to keep an eye on important data to see if Australia's construction activity has fallen further once key figures are released.

The Australian Bureau of Statistics is set to release the construction activity report for the March quarter on Wednesday. It will include estimates of the number of new homes and "work yet to be done."

The figures for the first quarter of 2022 is expected to be impacted by a decline in the industry at the end of 2021, with the number of new private sector homes being built decreased by little more than 10%, while the overall number of housing unit commencements declined by 13.5% in the December quarter.

All in all, the total cost of construction work decreased by 1.6% to $30.3 billion.

This week will also see the release of employment statistics, with most experts predicting that the unemployment rate will drop from 3.9% to 3.8% — its lowest level since 1974.

So, there you have it, folks! We want to hear your thoughts on this. Do you think it's time for the federal government to prioritise the increase of pension payments in its budget agenda? Share your insights with us in the comments below.

 

[Luckyus]

Pensions are an important part of many people's retirement planning, and it's crucial that they keep up with inflation.

Unfortunately, pensioners have been feeling the pinch in recent years, as the cost of living continues to skyrocket.

In a recent speech, Treasurer Jim Chalmers assured the public that the federal government is determined to make sure that pensioners don't fall further behind as inflation rises.

With inflation currently at 5.1% and forecasted to rise by the end of the year, Mr Chalmers said that a half-yearly indexation increase for pensions is slated to take effect on September 20.

It should be noted that age pension rates increased in March by $20.10, to $987.60 each fortnight — or $25,677.60 annually — for single pensioners, while the joint maximum rate for elderly couples rose by $30.20, to $1488.80 per week or $38,708 per year.

Mr Chalmers promised to provide an update on the government's projections for inflation, growth, and salaries when the new parliament session commences in late July.

The Treasurer said that the federal government will discuss the possible increase in pension payments once the new parliament session commences in late July. Credit: AAP.​

He said: “The shape of the challenge to inflation will get worse before it gets better but it will get better."

“We understand that pensioners are doing it incredibly tough when it comes to their costs of essentials like groceries, electricity and petrol and in other parts of the household budget."

“We don’t want to see pensioners fall further and further behind. And that’s why this indexation which tries to keep up with the skyrocketing cost of living is so important.”

Additionally, economists are expected to keep an eye on important data to see if Australia's construction activity has fallen further once key figures are released.

The Australian Bureau of Statistics is set to release the construction activity report for the March quarter on Wednesday. It will include estimates of the number of new homes and "work yet to be done."

The figures for the first quarter of 2022 is expected to be impacted by a decline in the industry at the end of 2021, with the number of new private sector homes being built decreased by little more than 10%, while the overall number of housing unit commencements declined by 13.5% in the December quarter.

All in all, the total cost of construction work decreased by 1.6% to $30.3 billion.

This week will also see the release of employment statistics, with most experts predicting that the unemployment rate will drop from 3.9% to 3.8% — its lowest level since 1974.

So, there you have it, folks! We want to hear your thoughts on this. Do you think it's time for the federal government to prioritise the increase of pension payments in its budget agenda? Share your insights with us in the comments below.

Put politicians wages on the same scale as a pensioners, and see how they fare?.