HOWARD GOVERNMENT INCREASES PENSIONS FOR THOUSANDS
Federal Member for Berowra, Philip Ruddock MP said the Howard Government’s changes to the pensions’ assets test will mean from 20 September over 300,000 people will receive increased pensions and tens of thousands more will have access to the pension for the first time.
“As a result of these changes, a large number of people will be able to have increased access to benefits delivered by Centrelink, such as Age and Disability Support Pensions, as well as Carers’ Payment and other benefits, such as concession cards,” Mr Ruddock said.
“The changes are designed to further increase the incentives for saving for retirement and workforce participation, and are designed to improve retirement incomes.
“Around 300,000 people who are currently receiving less than the maximum rate of Centrelink and DVA pensions, due to the value of their assets, will receive an increase in their fortnightly payments as a result of these changes.
“These generous changes are only possible because of the strong economic management and record Budget surpluses of the Howard Government. This economic strength would be put at risk under a Rudd Labor Government.
“When Labor was last in Government they were responsible for deficits in 9 out 13 budgets. Due to the economic management of the Howard Government we were able to pay off the $96 billion of Labor debt and deliver real benefits to older Australians.
From 20 September the assets test threshold limit for part pension for a single homeowner will increase to $520 750 (up from $343 750). For couples that own their home, the limit will rise to $825 500 (up from $531 000). It is important that people remember that their own home is exempt from the assets test.
“These changes are part of the Howard Government’s plan to simplify and streamline superannuation. By relaxing the pensions assets test for those Australians, pensions will only be reduced by $1.50 per fortnight (rather than $3) for each $1,000 of assets above the assets’ value at which full pension is paid,” Philip Ruddock said.
“Similar changes to DVA benefits will benefit service pensioners and war widow(er)s receiving income support supplement.
“Customers currently on these payments who will benefit from these changes will automatically have their rate of payment increased from 20 September - they don’t need to do anything to benefit.”
People should contact to contact Centrelink and make a claim to test their eligibility under the new arrangements. People can apply at Centrelink and DVA offices now for payments to start in September, or seniors with access to the internet can now claim Age Pension online.
For more information about the changes, go to www.centrelink.gov.au or visit your local Centrelink office. For help over the phone, seniors can call 13 2300, while carers and people with disabilities can call 13 2717.
For more information about Veterans’ Affairs payments, veterans and their dependants can visit www.dva.gov.au, their local Veterans’ Affairs Network office or phone Veterans’ Affairs on 13 3254 or 1800 555 254 (for regional callers).