Age Pension: assessed under an international agreement

Frank doesn’t understand how the income and asset test is applied overseas.

Man's hands holding nest full of gold pension eggs

Frank and his wife will receive an Age pension under an international social security agreement, but he doesn’t understand how the asset and income test is applied.

Q. Frank

Both my wife and I respectively spent 16 years and 20 years of our adult working life in Australia. We have now retired to Malta (where a Social Security Agreement with Australia exists).

My question is how the assets or income test will impact our pension when taking into consideration that we will not qualify for the full pension.?As the pension is worked out on a pro-rata basis, according to the number of years residence in Australia, does the same equation apply to these tests, whichever is applied.

A. When making a claim for the Age Pension, it will firstly be assessed under the income and asset test, which will determine what payment, if any, you receive. You are paid the resulting lower rate of payment once both test have been replied.

The work life residency rule will then be applied to this payment to calculate the pro rata amount you will receive.

International Social Security Agreement





    COMMENTS

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    ray from Bondi
    30th Dec 2015
    11:21am
    I am sure that whatever happens, the DNA of the liberal government insists they pay as little as possible and non if they can, that is unless they are considering the ultra rich or large international corporations, l will remember at the only time we have an echo of freedom, voting day
    Anonymous
    30th Dec 2015
    11:40am
    ray anyone that is living overseas should get nothing I don"t care how long they have worked here, and by the way don"t tell me you are going to vote for that idiot Shorten he has no hope and won"t help pensioners anyway.
    particolor
    30th Dec 2015
    12:11pm
    There has to be a Message to get an Echo ! So far I've seen nothing Finger Licking Good from any of the Overpaid Corporate Stooges ?? :-(
    I was just listening Some report from Another one of those Conspiracy theorists (Or Not) that Shifting Billions of Tons of Coal and Iron Ore from the Southern Hemisphere to the Northern Hemisphere has Tilted the Earths Axis Slightly ! And that is where the Weather Alteration is coming from ! :-) Believe It Or Not !! ..
    :-)
    particolor
    30th Dec 2015
    11:55am
    well for a Starter You wont get the Pension Supplement ! :-) Plus anything else they can strip Deserter's of !! :-) :-)
    Lescol
    30th Dec 2015
    12:02pm
    ray I aplogise for one of the comments you received. I grew up and worked there until 60. I have now retired overseas. I expect no pension and I shall remember this on voting day.

    30th Dec 2015
    2:48pm
    If another country has a reciprocal social security agreement with Australia you can be assured that each of your social security payments will be scrutinised (with a microscope) by both countries and your "entitlement" adjusted downwards accordingly. You don't even have to bend over nowadays for this treatment.
    particolor
    30th Dec 2015
    5:11pm
    Forget the above if You are an X Polly ! You will get Full Fare !! :-)
    Although there is a Chance You may still be pulled aside by Airport Security for a Once Over !! :-(
    Old Man
    30th Dec 2015
    5:33pm
    Oh dear, I wonder if the same statements about government would be made if Labor was in power. Some people seem to forget that a pension is paid out of taxpayers money and any government, regardless of which one it is, is obliged to ensure that those funds are not abused. When it's all said and done, it's the bureaucrats who collate the information and make the decisions to pay or not to pay under the legislation.
    particolor
    30th Dec 2015
    5:46pm
    If it was meant for Labor I would have written it TWICE !!
    Unvetted Imports !!
    Etc. ! Etc. !! Etc. !!!
    And as for the Present Mobsters ! Pfft !!..
    HAPPY NEW YEAR......
    Anonymous
    30th Dec 2015
    8:00pm
    The same comments about the current state of the country would still be made no matter what party was in government. An ass is still an ass no matter how you cut it.
    Not Senile Yet!
    31st Dec 2015
    1:31am
    The Lifters and Leaners are clear for all to see regardless of Political Persuasion...be it left or right...labor or liberal!!!!
    We the workers are the lifters and the Mp's or Party puppets are the Leaners!!!1
    As for the phrase .....age of entitlement.....it was withdrawn from the Party puppets mindset to use against the Baby Boomers who counted on their promised Pension....only to have it slashed!!!!
    We all know who the Entitled Are!!!!!
    In Australia.....we have MORE Fat Cats at the TOP both in and out of Parliament.....per head of Population....than any other Western Civilised Democracy....and they are ALL stealing by taking over-generous Salaries and Perks......whilst screwing over the Baby boomers and labelling them as bludgers!!!!
    The Party puppets won't even acknowledge that they raided the Pensioner's cookie jar to build their NEW Parliament House in Canberra...nor release any Facts about what was Stolen to pay for it!!!
    We know who the Real Bludgers are.....and it is not those that have worked for over 45yrs and raised future taxpayers!!!!
    Neither Party Deserve to be Re-elected....based on Past Performance......so why the Hell would you seriously consider either one????
    particolor
    31st Dec 2015
    10:56am
    Never Mind ! that Pension Purse Parliament House will make a Magnificent Moosk for the New Owners ! :-)
    Adrianus
    31st Dec 2015
    11:26am
    The definition of stupidity.....vote for Labor then complain about the mess we're in. :) I'm rather pleased they have run out of messiahs.
    particolor
    31st Dec 2015
    11:31am
    Hallelujah ! :-)
    Anonymous
    31st Dec 2015
    12:21pm
    Of course Frank Mr. 14% Billy boy Shorten has had his union stooges hammered overnight and hopefully from now on.
    I do believe he can become Mr 10% soon.
    Adrianus
    31st Dec 2015
    1:31pm
    I think there will and should be more "international agreements" concerning the redistribution of wealth.
    Rusty
    18th Jan 2016
    2:25pm
    No good winging about what politicians do or not..We could be the force to change it if we would stick together and tell them what we want..There are enough retired people in Australia and we could demand to be heard and get what we want ...but only if we stick together..but the politicians know we are not united and so can do what they like.Just look at the politicians..good or bad they stick together and make sure they don't miss out when there retire..And well if you are retired and still want a good income they will find you a cushy job somewhere,like retired Judges in " royal commissions " which cost millions and usual don't go anywhere except for "recommendations" that never get applied.
    particolor
    18th Jan 2016
    3:45pm
    TRUE ! TRUE !!


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