The Senate has recently passed measures announced in the Budget in May 2015. New Asset Test cut-off thresholds for full payments have been announced as below:
Benefit Recipient Old Threshold New Threshold
Single homeowner $202,000 $250,000
Home owner couple $286,500 $375,000
Single non-home owner $348,500 $450,000
Non homeowner couple $433,000 $575,000
People will receive the full payment benefit up to the new threshold. Then, for every $1,000 above the new threshold, the payment benefit (e.g. age pension, newstart, parenting payment) will reduce by $3.
Examples of Changes to Age Pension Basic Rates:
Age Pensioner Assets Old Pension New Pension Change
Single Homeowner $250,000 $710.95 pf $782.20 pf +$71.25 pf (+$1,852.50 yearly)
Homeowner Couple $500,000 $858.95 pf $991.70 pf (+$137.75 pf ($+3,581.50 yearly)
Homeowner Couple $850,000 $333.95 pf $Nil * (-$333.95 pf (-$8,682.70 yearly)
*Note: Homeowning couples will receive NIL Age Pension when their assets reach $823,000, and so will lose their Pensioner Concession Card. Such Age Pension ineligible persons would then be eligible for a Commonwealth Seniors Health Card.
We will keep you advised of any further changes!
Please note that the income test has not changed and Centrelink will use whichever test results in the lowest pension.