RECENTLY our Federal Member for Gilmore sent a letter concerning age pensions.
In this letter, amongst other things, she says that, “Just as we promised, the age pension will increase and will continue to do so twice every year, showing that the government is committed to providing strong support for pensioners”.
This is thoroughly disingenuous in at least four ways. First, prior to the last election we were told by the Coalition that there would be no changes to pensions. The change to the twice annual indexation rate will result in an effective cut compared to previous indexation movements. Second, thresholds for the income and assets tests for the age pension, which rise with inflation, will be frozen for three years from July 1, 2017.
Less people will be eligible for the pension. Third, deeming thresholds will be lowered. The effect of this is that more of the assets of retirees will be deemed to have earned the higher deeming rate. Finally, the member for Gilmore’s letter does not make clear that the changes proposed need to get through the Senate and then only commence after the next federal election. If they proceed, many pensioners will have their pension payments cut, and more people who meet the pension qualifying age will be ineligible for the pension.
This story Administrator ready to work first appeared on Nanjing Night Net.