Volume 10 Edition 1 Financial Care Services Newsletter
Volume 10 Edition 1 – 30 January 2020
Financial Care Services, the specialist adviser to seniors in transition to new lifestyles
Now we are sixty six
The Age Pension Age is now sixty six years.
Australian citizens born in 1954 reach their Age Pension Age in 2020. Seniors born before 1954 have already attained their Age Pension Age.
Now that you are sixty six years old you satisfy the age requirement for an Age Pension or Commonwealth Seniors Health Card.
But to be eligible for financial assistance from the Commonwealth you need to prove that you are a long term resident of Australia and that you are not overly wealthy.
The main residency requirement for an Age Pension is that you have lived permanently in Australia for ten years after attaining age sixteen years. The ten years must be as an Australian citizen or ‘Permanent Resident’.
Commonwealth Seniors Health Card
The major benefit for holders of Commonwealth Seniors Health Card is PBS prescription medications at the ‘concession prices’ applicable to pensioners. Both the Commonwealth Seniors Health Card and the Pensioner Concession Card grant access to the MyPost concession postage stamps also.
The Commonwealth Seniors Health Card has an Income Test only.
A single person is excluded from the Commonwealth Seniors Health Card if her ‘adjusted taxable income’ exceeds $55,808 for the year.
A member of a ‘couple at Centrelink, is not permitted to hold a Commonwealth Seniors Health Card if the ‘adjusted taxable income’ of the couple exceeds $89,290 for the year.
Remember at Centrelink a ‘couple’ is any two adults who share domestic arrangements and present socially as a couple. You cannot be treated as a ‘single’ person at Centrelink just because you and your domestic partner choose to keep your finances separate.
A higher cut-off level of $111,616 applies to couples who are separated by illness.
For the purposes of the Commonwealth Seniors Health Card, Centrelink use ‘adjusted taxable income’ which is defined differently from ‘assessable income’ for the Age Pension.
Age Pensions are payable to seniors with very constrained levels of assets and income.
A single senior is eligible for some Age Pension if her ‘income’ is not more than $1,872 per fortnight and her assets are less than $756,000. The alternative Asset Test cut off is at $546,000 excluding the value of her home.
A couple could be eligible for some Age Pension if their combined ‘income’ is not more than $2,868 per fortnight and their total combined assets are not more than $1,031,000. A ‘homeowner couple’ are excluded from any Age Pension if their assets exceed $821,000 excluding the value of their home.
The Age Pension Income Test is applied to your ‘assessable income’ which includes deemed income from your ‘financial assets’ and adjusted income amounts for superannuation pensions and annuities.
All Age Pensioners receive the regular Pension Supplements and a Pensioner Concession Card.
The Pension Supplements totalled $83 per fortnight for a single pensioner and $62.50 for each eligible member of a couple. You must be eligible to receive at least one dollar per fortnight of Age Pension in order to qualify for the Pension Supplements.
Pensioner Concession Card holders qualify for government funded discounts on their home utility bills, Driver Licence fees, motor registration fees, municipal Council rates, water rates and pet registration fees. Other businesses also choose to offer ‘pensioner discounts’.
Do I qualify for some Age Pension or a Commonwealth Seniors Health Card?
The calculation of your Age Pension amount, if any, can be challenging. The easy route is to ask for the Age Pension Illustration Personal Data form as a checklist of essential data and then arrange for a ‘$99 Special Age Pension Illustration Short Consultation’ with Christine Hopper of Financial Care Services.
If the Income and/or Assets Tests would exclude you from the Age Pension, Christine could help you check whether you would qualify for the Commonwealth Seniors Health Card.
Christine Hopper of Financial Care Services offers Short Consultations for ‘personal factual financial information’ in the form of an Illustration of the amount of Centrelink Age Pension you could receive today provided that you satisfied the age and residency conditions for a Centrelink Age Pension.
Contact Christine at Financial Care Services to obtain the Age Pension Illustration Personal Data form. You will also receive our Client Services Guide that provides essential information about Christine Hopper of Financial Care Services.
Alternatively you could search through the Centrelink website for clues about Pension rates and means tests then do the sums yourself.
MyPost Concession Postage
MyPost Concession Postage Stamps cost currently sixty cents each. Little booklets of five MyPost Concession Postage Stamps cost three dollars. These special postage stamps have “Concession” printed on them rather than the price.
MyPost Concession Postage Stamps can be used for ordinary letters for delivery within Australia at the “regular” delivery schedule. Remember these MyPost Concession Postage Stamps are for personal letters only. Concession account holders can purchase up to 10 booklets of 5 stamps, that’s a maximum of 50 stamps each year.
Buying MyPost Concession Postage stamps
You will need to set up a MyPost concession account to be eligible to buy MyPost Concession Postage stamps.
You can download the MyPost Concession Account application form online or collect a paper form from your local post office.
You must sign your completed form in ink. Then take your completed form to your post office and show your Commonwealth Seniors Health Card or Pensioner Concession card as proof of eligibility for a MyPost Concession Account.
You may buy MyPost Concession Postage Stamps immediately your application for a MyPost Concession Account is established.
For subsequent MyPost Concession Postage Stamps purchases you are expected to show your MyPost Concession Card.
Alternatively you can quote your name and address and have the Post Office check that you are have a MyPost account and are eligible for a MyPost Stamps. A new MyPost card is then mailed to you.
Christine at Financial Care Services your independent adviser
Financial Care Services is an independent advisory service specialising in retirees of modest means and aged care entrants.
Our core values include working with clients in claiming DVA and Centrelink entitlements.
The team at Financial Care Services are here to answer your Age Pension questions and guide your understanding of aged care costs.
Help with Centrelink challenges is available from Christine Hopper at Financial Care Services, the specialist adviser to seniors in transition to new lifestyles.
Christine has neat handwriting just right for inserting your data into small printed spaces. She helps clients complete Centrelink forms.
Christine could help you with collating your supporting documents and then mailing your form to Centrelink.
Assistance with completing the Commonwealth aged care means testing forms is available to clients of Financial Care Services.
Christine charges fees based on the work involved in advising you about pensions and aged care fee solutions.
To make an appointment for confidential, independent and professional advice about aged care, retirement lifestyle costs, granny flat or Age Pension issues please contact Christine Hopper or call +61 3 9808 0338.
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Christine Hopper
Financial Care Services Pty Ltd
Independent aged care, strategic lifestyle and Social Security advice for seniors in Melbourne, Victoria, Australia
Telephone – call +61 3 9808 0338
Email – contact info@financialcareservices.com.au
Address – mail to 172 Warrigal Road, Camberwell Victoria 3124
Website – visit financialcareservices.com.au
LinkedIn – connect https://www.linkedin.com/in/christinehopper1
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Past newsletters – see http://financialcareservices.com.au/newsletters/
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Disclaimer: The information contained in this newsletter is of a general nature only and does not constitute “financial advice”.
All eligibility for Commonwealth benefits will be determined by Centrelink or DVA, based on your personal position as documented and the legislation and Regulations in force at that time.
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