PENSION INCOME LIMITS

justme
avater
22nd Mar 2012
6:19pm
Posted justme

I would like to see is a credible inquiry into what would be the overall effect of changing pension additional income limits from the current arrangements, to be included in the tax schedule (both listed below).

This inquiry should be conducted with the pension included and excluded for comparison.

 If, as it seems at a glance, it offers an increase in disposable additional income for most pensioners that would help with depressed retail sales as pensioners spend a higher % of there lower incomes.

Work Bonus participants would have to be considered as a special issue.

 Payment rates

 Status Pension rate per fortnight

Single $695.30*                              $18077.80 p/a

Couple $524.10* each                  $13,626.60 p/a each

 Income test for pensions

 Family situation For full pension*(p/f) For part pension#(p/f)

Single up to $150 less than $1,661.00 $43,186.00 p/a

Couple (combined) up to $264 less than $2,542.00 $66,092.00 p/a

Illness separated

(couple combined) up to $264 less than $3,286.00 $85436.00 p/a

 * Income over these amounts reduces your rate of pension by 50 cents in the dollar (single), or 25 cents in the dollar each (for couples). For transitional or saved cases, income over these amounts reduces your rate of pension by 40 cents in the dollar (single), or 20 cents in the dollar each (for couples).

# These figures may be higher if Rent Assistance is paid with your pension.

Pensioners receiving payments at 19 September 2009 may be paid under 'transitional arrangements' or saved status.

 Some assets are deemed to earn income, while there are special rules for other types of income. Contact Centrelink for more information.

Employment income is subject to a Work Bonus for eligible pensioners over age pension age.

 Tax rates 2012-13

The following rates for 2012-13 apply from 1 July 2012.

Taxable income

Tax on this income

0 - $18,200

Nil

$18,201 - $37,000

19c for each $1 over $18,200

$37,001 - $80,000

$3,572 plus 32.5c for each $1 over $37,000

$80,001 - $180,000

$17,547 plus 37c for each $1 over $80,000

$180,001 and over

$54,547 plus 45c for each $1 over $180,000

 Posted for constructive comment, I don't pretend to be an expert; but it may be worthwhile.

Feel free to comment, we all get ideas that we would like others to look at and give helpful advice.

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