' "I looked at the letter and just skimmed through it and thought, 'OK, yeah, it doesn't look too exciting'," she said. But the devil was in the detail and what the former speech pathologist didn't grasp then was the fact her pension payment was about to be cut by half, under changes that come into effect from July 1.'
__________________
Procrastination, mankind's greatest labour saving device!
50L custom fuel rack 6x20W 100/20mppt 4x26Ah gel 28L super insulated fridge TPMS 3 ARB compressors heatsink fan cooled 4L tank aftercooler Air/water OCD cleaning 4 stage car acoustic insulation.
The Age Pension rates will next change on 20 September 2020. Age Pension rates and the upper thresholds for the assets and income tests (ie for those who are eligible for a part Age Pension) are adjusted in March and September each year. The lower limits (ie for those for are eligible for the full Age Pension) change in July each year.
This is a beat up. It is an opt in system. If you wish you can reduce your super pension for up to 2 years (There are minimum amounts you must draw depending on your age) It's not automatic. (Not for Australian super anywsy)
So, if you have cash in the bank getting say, 2% you can live on that along with a lower super pension. This gives your super a chance to recover over the next 2 years.
Speak to an advisor or ph your super scheme for more info or before making changes.
As oldbloke says, it's optional. You have to advise your super pension fund if you want the new lower minimums. If you are getting the normal minimums this year, and don't change anything, you will get the normal minimum next financial year (eg 5% of July 1 balance depending on age). It will probably be a bit less though, because it's based on July 1 balances each year. Allowing for this year's pension payments and reduced returns, your balance this July may be noticeably less than last July.
