In This Chapter
Combining your super and the Age Pension
Applying for the Age Pension
Passing the income test and assets test
Dissecting deeming and your super pension
F or many Australians the Age Pension is the pot of gold at the end of the retirement rainbow — the reward for paying taxes and being law-abiding members of the community. With around 80 per cent of retired, older Australians on a full or part Age Pension, the rainbow theory seems to ring true. However, according to the federal government, the Age Pension is designed to provide a modest retirement for those people who are unable to fully support themselves. Do you notice a glaring gap in expectations? Life on the Age Pension probably sits somewhere between the popular pot-of-gold view and the government’s ‘safety net’ policy position.
Can Australia afford to continue paying a full Age Pension of around $22,200 a year for a single person or about $33,500 for a couple (applicable to March 2015) to nearly half of the senior population, and a part Age Pension to another third ...