13th May 2019
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Do I need to tell Centrelink if I withdraw my money?
Author: Ben Hocking
Do I need to tell Centrelink if I withdraw my money?

Gail wants to withdraw a sum of money from a term deposit and wants to know whether she has to inform Centrelink.

•••

Q. Gail
My husband and I are both on the Age Pension. We have a term deposit which we would like to withdraw $30,000 from when it matures in a week’s time. Do we have to explain to Centrelink what it is for and/or provide receipts? We never seem to get far with inquiries at our local office.

A. Pensioners must advise Centrelink of any changes of $2000 or more in their financial assets. If they add this amount to their bank account, they will need to advise the new balance.

Similarly, they need to advise the department of any changes of $1000 or more to their combined assessable assets – that is, non-financial assets. This includes (but is not limited to) the value of goods, cars, boats, furniture, real estate (including real estate in other countries), personal property, interest in any property, trust or company, and any other right or interest in any other asset (including assets in other countries).

If a pensioner reduces their financial assets by a large amount without buying an asset, the department may ask for details and some form of supporting documentation. This allows the department to investigate if deprivation and/or gifting has occurred.

The gifting rules are designed to stop people giving money away from their assets to gain a higher rate of payment.

If you are just planning on spending the money that you withdraw, what you spend it on is important for Centrelink to know.

If, for example, the money was spent on maintenance or capital work around the family home, it would not be assessed, as the family home is exempt from means testing.

If it was spent on travel, it would not be assessed, as travel expenses are also exempt.

Other non-assessable items include the purchase of a prepaid funeral or investing in funeral bonds up to a value of $12,750.

If the funds were spent on assets such as cars, boats, caravans and furniture for personal use, they would be assessed under the assets test, but would not under the income test as these generally do not produce income. 

Are you eligible for an Age Pension? Do you know your rights? The PensionChecker™ tool has all the information you need.

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    Disclaimer: All content on YourLifeChoices website is of a general nature and has been prepared without taking into account your objectives, financial situation or needs. It has been prepared with due care but no guarantees are provided for ongoing accuracy or relevance. Before making a decision based on this information, you should consider its appropriateness in regard to your own circumstances. You should seek professional advice from a Centrelink Financial Information Services officer, financial planner, lawyer or tax agent in relation to any aspects that affect your financial and legal circumstances.





    COMMENTS

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    inextratime
    13th May 2019
    10:32am
    What other section of society comes under so much scrutinisation as OAP's ? Set a one pensions pays all, i.e everyone over 65 receives the same amount and save millions on Centrelink staff, premises, overheads etc. But hang on that may push the unemployment figures up and no political party wants that.
    john
    13th May 2019
    11:10am
    There is actually plenty of infrastructure work for the government of the day to set up and create employment, like national rail, and like pipelining and drought proofing protection ,from damming the top end from wet season.
    Its not fairy tale stuff really it takes a government with guts, and then they could employ thousands and thousands and pay OAP S' a fair and equal pension where no one loses out.
    But of course we have to protect the politically correct world destroyers don't we?
    Sen.Cit.90
    13th May 2019
    11:12am
    Quite right IXT; it really annoys me because much of my working days, a compulsory 7.5% percentage of my pay was taken by governments to pay for an insurance scheme that would take care of age pension. Governments borrowed from our Insurance funds to pay for infrastructure etc. Eventually, they owed our fund billions and a Government (Bob Hawk ?) decided to scrap the system because they couldn't repay the debt, they then put pensioners on the current pension system and we lost all our rights under the Insurance Scheme that we had paid a percentage of our ages into; now we're classified by many as second class citizens on a handout.
    Sen.Cit.90
    13th May 2019
    11:25am
    Spot on John, just a consideration, Solar systems, could be utilised for the pipelines pumping stations.
    Arvo
    13th May 2019
    11:41am
    john- It was LNP that introduced 'Robo-debt' gestapo tactic to purge the cheats and harm the innocent in the process.
    However, under Labor, when it was in government, the bi-annual pension increase was double what you got from LNP over last 6 years.
    Sure, any influx of unskilled immigrants into the country will put pressure on housing affordability, healthcare services,national welfare expense and increase the risk to national security and state, local community waves of crime., eg; UK, Germany, Italy, France. Unfortunately, under the Human Rights Charter we don't have much choice but to allow refugees to seek asylum. It's the ones that insurge illegally and the ones, including our own radicals that we have to be hard on.
    So the dilemma for many voters will be which side to elect.
    Do pensioners sacrifice double the age pension increases for national, state,local safety and security as well as tough gestapo like purges of age pension qualifications or do they risk it for higher age pension increases, an influx of unskilled immigrants and potentially an increase of political, religious radical crime waves like in Europe?
    Arvo
    13th May 2019
    11:46am
    Sen.Cit.90- and how much did Labor pillage the national superannuation scheme?
    Farside
    13th May 2019
    2:30pm
    don't worry about pushing the unemployment figures up, government can change the definition of the key terms and exclude those who fall outside the new definition.
    Farside
    13th May 2019
    2:39pm
    Sen.Cit.90, misunderstanding and confusion in relation to the National Welfare Fund long ago reached the point of absurdity that gripes over its "theft" only reach those in the bubble. The fact remains you have had the best part of sixty years to adjust to its practical demise, and forty years its actual demise so to hear folk banging on about it is comical and pathetic at the same time. Affordability was never an issue as pensions were paid from consolidated revenue and Hawke was not even in government when the legislation was repealed. Move on.
    john
    13th May 2019
    11:04am
    Funny centrelink gears its whole operation on a minority that cheat. And the rules prove it, they trust no one, but then again I haven't got 30 dollars to draw out, let alone 30,000 so it won't effect me, but the people who do have probably worked hard for it.

    And also why is it looked on as a crime almost, to gift to perhaps a struggling younger family member, when immigration according to Shortens mob will increase as older family members maybe allowed to accompany refugees , that simply means we will get regulated much much more under Labor, especially with the mad greens on board, this place is on the verge of a disaster, the ALP is not the ALP any more, and their wish with Di Natale right behind them is for mass immigration and common sense tells you that refugees are generally fleeing from something , they have nothing and they will all be on welfare and that's when we enter and become members of the 3rd world.
    Sounds over the top , have a real good look at Shorten and the mad man Di Natale.
    Farside
    13th May 2019
    2:43pm
    "Oh! we're going to tell the King the sky's a-falling," said Henny-penny and Cocky-locky.
    Nerk
    13th May 2019
    11:21am
    Get money out of bank and put under mattress
    Farside
    13th May 2019
    2:45pm
    Nerk, with low interest rates this strategy seems a potentially interesting proposition. I guess the trick is knowing the rate that money can be withdrawn from the bank accounts at without copping a "please explain" from Centrelink.
    Arvo
    19th May 2019
    1:24pm
    The tax on mattresses will increase now !!!
    sunnyOz
    13th May 2019
    11:22am
    The utter stupidity of having to advise Centrelink of such small changes is ludicrous. If your assets/income is under their threshold, and you decrease it, you should not have to notify Cenrelink. And even if you take out any money - whether you are above or below the threshold - you should NOT have to explain what you spend it on! My elderly neighbor withdrew a largish amount to assist her daughter - a single mother with 3 kids - during cancer treatment. She was penalised.
    WE earned it - WE should be able to spend it as we like. And the $1000 limit for notifying is just ludicrous! It is nothing to have to take out $1000 every quarter or so to pay for bills. So what if I want to scrimp and save my meager dollars, from the pension I have received, to pay for a new fence? Why should that be any business of CL?
    Arvo
    13th May 2019
    11:57am
    sunnyOz- because the safety net is for cost of feeding, clothing and paying rent not for buying new fence !
    Rae
    13th May 2019
    1:20pm
    The Government still thinks it's running a penal colony and treat us like they did then. They have certainly let us be colonised by any foreigner with a bit of money wanting to come here and set up business.

    Not surprising $17 billion in money transfers is going on as foreigners send money made here home.
    Arvo
    13th May 2019
    1:44pm
    Rae- In that case there's no need for Foreign Aid, is there?
    Rae
    13th May 2019
    2:55pm
    Absolutely not ARVO. There is no way we can be considered a first world nation now after the sales of everything, the crazy contracts signed to allow multinationals access to revenue and the size of the total public/private debt levels.
    Pass the Ductape
    14th May 2019
    1:17pm
    And if the 'safety net' you speak about Arvo IS only utilized for feeding, clothing and rent - or alternatively - through diligence and tight budgeting you've managed over the years to pay off your mortgage and by 65 you now own your home, do you now let everything you've worked for, fall apart?!
    in2sunset
    19th May 2019
    10:38am
    Gee Arvo - pretty dumb comment! I fully understand where sunnyOz is coming from... So I get my fortnightly pension, and scrimp and not spend, so that the balance climbs. Then I want to take out some money to pay to repair or even get an new fence.
    WHY should I have to tell Centrelink that I am taking out some of MY money? NO wonder so many seniors take out money on pension day and 'put it under the bed'. THEN you don't have to tell Centrelink. So if you want to save money and then take it out of the bank you need to tell CL? - ludicrous. Doesn't encourage saving. Am so sick and tired of seniors being treated like naughty children.
    Arvo
    19th May 2019
    1:27pm
    in2sunset- You must belong to the entitled society not the genuine needy one.
    Argydubbaya
    13th May 2019
    11:26am
    All my life i paid extortionate paye tax, scrimped and saved, never had a new car. Now im being penalised, cant get a pension, was being"reviewed" for two years. So ijust gave up, now i exist on around $50 a week. Stick the government up ya proverbial. Seems to me the only way one can qualify for a pension is to become a politician. I am 71 live in a run down substandard house on 18 acres. Have myaloma and am waiting for the final end. I am totally sick virtually to death of the bullshit they put us elders through. Kick the frail while they are down. They have designed the system to kill us off as quickly as they can and steal what is rightfully ours.
    An easy fix, calculate how much paye tax we paid in our lifetime and return a percentage.
    But whoops they spent it all!
    KSS
    13th May 2019
    1:17pm
    So do you think the ALP, Greens, assorted Independents, Mr Palmer or Ms Hanson will do better? The ALP/Greens were not exactly stellar in their last iteration were they? What has changed?
    Farside
    13th May 2019
    2:55pm
    Argydubbaya, it's a nice thought if those ineligible for welfare could draw down on past taxes paid but sadly no party has taken up this notion. It has nothing to do with affordability, just choices.

    You are not alone in finding it too hard to get through the system and abandoned hope. But at a youthful 71 you have possibly many years ahead so if there is a way to improve your enjoyment of life then you should go for it.
    Pass the Ductape
    14th May 2019
    1:39pm
    Dead right KSS. Those you mention - and the rest of them - are really only in it to feather their own nest! And if you're able to last the distance - what a fine nest it ends up being. No need to worry about Centrelink that's for sure!
    cupoftea
    13th May 2019
    11:31am
    Yes let them know what your drawing I don't no about spending I have never told them but there again they did want to see 3 months bank statement for a certain time but I also told them 2 weeks ago that the home I live in had dropped $ 50,0000 in price I know I didn't have to but who knows what's going to happen on May 19 with who is in power
    cupoftea
    13th May 2019
    11:31am
    Yes let them know what your drawing I don't no about spending I have never told them but there again they did want to see 3 months bank statement for a certain time but I also told them 2 weeks ago that the home I live in had dropped $ 50,0000 in price I know I didn't have to but who knows what's going to happen on May 19 with who is in power
    Charlie
    13th May 2019
    12:04pm
    What can I say? No it stinks..It will cost more than its worth to police. The differences between super and money in the bank could be worth looking into.. Stuff money in the mattress.
    Fluffy Duck
    13th May 2019
    12:35pm
    I don't understand why you would need to tell them about your financial ups and downs if you're already under the assets threshold and receiving a full pension. What difference can it make? It's not as if you're going to get any more pension when your money's gone is it. I would genuinely like to know the answer to this - if you have, say, $100,000 in the bank, or super or whatever, and have no other assets but your home, why would you need to tell Centrelink if you take $10,000 out? What's to stop you giving the lot to a cats home, if you're so inclined?
    jackie
    13th May 2019
    12:46pm
    Fluffy Duck...So many migrants are on the pension and they have business, properties and investments overseas. Many are not declaring anything but making fraudulent claims. This is why it’s become more complicated for the rest.
    KSS
    13th May 2019
    1:21pm
    Mr Shorten has promised an open door to a minimum 200,000 more older migrants with immediate effect, no questions asked. These older migrants, being the aged parents of existing residents, will be able to have a visa for 5 years renewable for another 5 by which time they are likely to be too old to return to their origins and will undoubtedly need medical and other care from Australia. Are you ready to wait in line behind them.

    Currently these visas are capped at 1500 a year (and there is a waiting list of up to 30 years for them).
    Rae
    13th May 2019
    1:29pm
    You can't gift to a cat's home and still get the pension. You can go lose the lot at Packer's casino though. It's a weird thing this welfare.

    Yes jackie. $17 billion transferred in money from here to elsewhere.

    It's no wonder our economy is it such a mess they can't be fair to hard working taxpayers in retirement.
    Farside
    13th May 2019
    3:15pm
    Rae, do you know for sure that a full pensioner could not give away assets? Surely the amount would be treated as a gift and considered under the gifting rules for five years commencing on the date that the $30,000 limit was exceeded, which would not affect the means test.
    Rae
    14th May 2019
    8:28am
    You could give $10 000 to charity or $30 000 with the bring forward rule.

    I misunderstood and thought the lot meant $100 000. And you can't give it all away and still get the pension under the rules.
    Farside
    14th May 2019
    2:08pm
    Isn't that the question Rae - why cannot someone with assets less than the minimum threshold do whatever they like with their cash assets without reporting how they spent it to Centrelink? It does not change their pension eligibility, it does not affect their pension.
    jackie
    13th May 2019
    12:42pm
    For a few measly dollars is it worth it for those that can live without the pension? Next it will be the Welfare Card for the Aged Pension. It’s a pity our politicians don’t have to be as accountable for their salaries and pensions. Clive Palmer should be in prison instead of Parliament. Democracy is fast disappearing for the commoner in Australia.
    Rae
    13th May 2019
    1:35pm
    Maybe not jackie. The problem is aged pensioners, no matter how wealthy are a protected species while self funded retirees no matter how poor are seen as cash cows to be taken for all their savings to give to the needy.

    Shorten has opened a can of worms there with his offer to refund franking credits to aged pensioners who don't pay tax while taking from other's who don't claim welfare, are possibly poorer than aged pensioners and who also don't pay tax.

    The credits should go from all non taxpayers or none but not pick favourites.

    Applying for the pension just for the protects it offers is starting to look like a wise move if eligible.
    Farside
    13th May 2019
    3:18pm
    I agree with Rae that "The credits should go from all non taxpayers or none but not pick favourites." It would have been much cleaner and hopefully that will still happen at next step increase in the pension.
    Bren
    13th May 2019
    1:01pm
    The money in the term deposit is already being counted as a financial asset by Centrelink and it is also being deemed. Moving money from one account to another changes nothing. If it is spent on non-assessable items such as a holiday then your financial assets have been reduced potentially giving you more pension. If you buy an assessable asset such as a car the value of this non-financial asset is added to your total, but at the same type your financial assets will have decreased by the same amount, leaving total assets unchanged and deeming income reduced.
    PS this all assumes that Centrelink already knows about the term deposit.
    Greg
    13th May 2019
    4:45pm
    Exactly Bren
    Bren
    13th May 2019
    1:01pm
    The money in the term deposit is already being counted as a financial asset by Centrelink and it is also being deemed. Moving money from one account to another changes nothing. If it is spent on non-assessable items such as a holiday then your financial assets have been reduced potentially giving you more pension. If you buy an assessable asset such as a car the value of this non-financial asset is added to your total, but at the same type your financial assets will have decreased by the same amount, leaving total assets unchanged and deeming income reduced.
    PS this all assumes that Centrelink already knows about the term deposit.
    Tood
    13th May 2019
    1:03pm
    What about if the investment was declared at the time the pension was applied for if it is cashed in?
    SuziJ
    19th May 2019
    5:41pm
    That's what this item is talking about :)
    floss
    13th May 2019
    1:53pm
    Thanks to Joe Hockey I don't have to notify C.Link anything at all.Pay back time has almost arrived.
    Farside
    13th May 2019
    3:20pm
    I wonder how many of the other 300,000 affected by the Hockey changes will use this opportunity for payback?
    Jim
    13th May 2019
    2:04pm
    I was recently threatened by Centrelink that they were going to stop my pension, I had updated my accounts and there was a glitch with Centrelinks computer system, a decimal point ended up in the wrong position, after they checked, they realised their mistake but I still had to take all of my details down to our local office to confirm the details, which were about 6 months from the date the error was found, it was cleared up immediately so no problem, but it doesn’t stop you from being concerned. On another occasion about 5 years ago I was a regular visitor to Centrelink, I was going through a rearrangement of my finances, because I was informed by Centrelink staff that I was required to notify them of any changes within 2 weeks of the changes, I was going down about every 4 weeks or so, I was told by the staff that I was reporting my changes too often and to try and limit my visits to every 6 months, you can’t win sometimes.
    Jim
    13th May 2019
    2:27pm
    Just an add on, I would check with Centrelink, if you withdraw $30,000 from your term deposit and put it in the bank, then your bottom line hasn’t changed, ie your total asset amount hasn’t altered, I recall withdrawing money to buy a new car, I went to our local office to report the changes, I was told by the staff member that I didn’t need to report it because the car still formed my asset base so overall nothing had changed, I wouldn’t rely on the accuracy of the information I was given.
    Greg
    13th May 2019
    4:50pm
    If the funds go from the TD to another account or another assessable asset you don't have to tell them. They're not interested - only if the funds are given away, that's their concern, giving it to the kids to buy a house or whatever, that's what they want to know.
    Cheezil61
    13th May 2019
    2:24pm
    So much knowledge needed just to stay afloat in these crazy times. Not sure how I'm gonna manage to remember all of this information when time comes to need it. Can see myself being fleeced big time (tho there's barely anything to be fleeced of apart from mediocre amount of super, which if I'm lucky/very careful might last me 10yrs (I'm almost 58) So do i spend all of the super before applying for Centreling/Old Age Pension or go allocated pension in conjunction with Centrelik/dole payments (if I'm even elligible with my super-i don't have any money in bank/savings as still owe on home loan) Or do i go transition to retirement & try to keep working even tho my body & mind are totally broken/worn out? Hating that it has to be so damn complicated when it should be so simple! Got any cash in hand jobs need doing anyone?? Oh that's right you can't give me cash as Centrelink/big brother keep a close eye on where you're spending your money so you will have to dob me in! Anyone selling a cheap tent then?? Gonna need it (& box matches/fire instead of electric lights/cooking methods etc) to keep afloat soon! A great country in ruins!
    Jim
    13th May 2019
    2:40pm
    Pre retirement your super isn’t taken into consideration so if you go onto Newstart your super isn’t counted, when you are of pension age you’re super forms part of your asset base, so you are then assessed for your pension on the deemed earnings of your super, which is currently 3.25% I think. You are allowed to have just over $800,000 in super before the pension cuts out and If you only have $230,000 in super you get the full pension, those figures are for a married couple, the figures may have changed so the best advice you can get is to go to Centrelink and speak to one of their advisers, they are usually spot on.
    Farside
    13th May 2019
    3:42pm
    Don't need as much knowledge to stay afloat as you might think, especially once you clear your home loan (if your investments are not earning more after tax than your interest rate then you should make this a priority). It does not seem you will have a complex situation when eligible for pension.
    Sundays
    13th May 2019
    3:07pm
    Yes, you have to advise Centrelink when your bank account changes by $2,000. It’s not that hard to use MyGov. Anyone commenting on this site is quite capable. We don’t have a Universal pension system, so you have to follow the rules. Centrelink does so much data matching that it would be silly to ignore.
    Blossom
    13th May 2019
    3:23pm
    Unless the law has changed any amount over $10,000.00 the bank notifies the ATO.
    Greg
    13th May 2019
    6:17pm
    That's not correct, never has been.

    Banks must report CASH transactions of $10,000 or more to AUSTRAC (Australian Transaction Reports and Analysis Centre) for the purpose of monitoring money laundering, organised crime, tax evasion, welfare fraud and terrorism.

    Banks MAY report balances of accounts but NOT transactions to the ATO.
    Farside
    13th May 2019
    8:00pm
    Greg, the ATO, Centrelink etc may not be allowed to look at transactions however my understanding is this does not prevent them using data matching tools to compare agency data, which could raise flags in relation to certain transactions.
    Elizzy
    13th May 2019
    7:17pm
    Argydubbaya - I am sorry to read about your seemingly failed efforts to get properly assessed for a pension, and about your health problems. Try calling the National Aged Advocacy Service, or get someone to call on your behalf, to discuss a new approach to Centrelink, or nominate someone to make a new approach on your behalf direct to Centrelink. (I can understand why you would be reluctant to try again yourself...). BTW, you are not 'old' at 71 years! Good luck.
    Elizzy
    13th May 2019
    7:17pm
    Argydubbaya - I am sorry to read about your seemingly failed efforts to get properly assessed for a pension, and about your health problems. Try calling the National Aged Advocacy Service, or get someone to call on your behalf, to discuss a new approach to Centrelink, or nominate someone to make a new approach on your behalf direct to Centrelink. (I can understand why you would be reluctant to try again yourself...). BTW, you are not 'old' at 71 years! Good luck.
    Elizzy
    13th May 2019
    7:17pm
    Argydubbaya - I am sorry to read about your seemingly failed efforts to get properly assessed for a pension, and about your health problems. Try calling the National Aged Advocacy Service, or get someone to call on your behalf, to discuss a new approach to Centrelink, or nominate someone to make a new approach on your behalf direct to Centrelink. (I can understand why you would be reluctant to try again yourself...). BTW, you are not 'old' at 71 years! Good luck.
    Elizzy
    13th May 2019
    7:17pm
    Argydubbaya - I am sorry to read about your seemingly failed efforts to get properly assessed for a pension, and about your health problems. Try calling the National Aged Advocacy Service, or get someone to call on your behalf, to discuss a new approach to Centrelink, or nominate someone to make a new approach on your behalf direct to Centrelink. (I can understand why you would be reluctant to try again yourself...). BTW, you are not 'old' at 71 years! Good luck.
    Elizzy
    13th May 2019
    7:17pm
    Argydubbaya - I am sorry to read about your seemingly failed efforts to get properly assessed for a pension, and about your health problems. Try calling the National Aged Advocacy Service, or get someone to call on your behalf, to discuss a new approach to Centrelink, or nominate someone to make a new approach on your behalf direct to Centrelink. (I can understand why you would be reluctant to try again yourself...). BTW, you are not 'old' at 71 years! Good luck.
    Elizzy
    13th May 2019
    7:17pm
    Argydubbaya - I am sorry to read about your seemingly failed efforts to get properly assessed for a pension, and about your health problems. Try calling the National Aged Advocacy Service, or get someone to call on your behalf, to discuss a new approach to Centrelink, or nominate someone to make a new approach on your behalf direct to Centrelink. (I can understand why you would be reluctant to try again yourself...). BTW, you are not 'old' at 71 years! Good luck.
    Elizzy
    13th May 2019
    7:17pm
    Argydubbaya - I am sorry to read about your seemingly failed efforts to get properly assessed for a pension, and about your health problems. Try calling the National Aged Advocacy Service, or get someone to call on your behalf, to discuss a new approach to Centrelink, or nominate someone to make a new approach on your behalf direct to Centrelink. (I can understand why you would be reluctant to try again yourself...). BTW, you are not 'old' at 71 years! Good luck.
    Elizzy
    13th May 2019
    7:17pm
    Argydubbaya - I am sorry to read about your seemingly failed efforts to get properly assessed for a pension, and about your health problems. Try calling the National Aged Advocacy Service, or get someone to call on your behalf, to discuss a new approach to Centrelink, or nominate someone to make a new approach on your behalf direct to Centrelink. (I can understand why you would be reluctant to try again yourself...). BTW, you are not 'old' at 71 years! Good luck.
    Elizzy
    13th May 2019
    7:21pm
    Apologies for multiple comment. I did press Post once only!
    41Alpha
    13th May 2019
    8:44pm
    I visited Centre Link in September 2014 and had a one on one chat with a financial adviser.
    I was advised to convert my super annuation into an account based pension prior to January 2015. The reason being that the funds would not be taken into consideration as an asset.

    I transferred my funds before the deadline, but for some reason Centre Link have not taken this into account. Has anyone else experienced this ?
    Sundays
    13th May 2019
    9:11pm
    I think you’ll find that it is still counted as an Asset. However, with the Granfathered rules your account based pension is the annual amount less the deductible. For most people this means very little of your account based pension is counted as income by a Centrelink

    After 1 Jan 2015, the account based pension is subject to deeming rules which increases the income test. I suggest you make another appointment with Centrelink so they can show you how the difference affects your old age pension
    CathinHobart
    14th May 2019
    8:28am
    My mother is on a part pension. She had to struggle with Centrelink to hold onto this. We had spent $30,000 of her much depleted savings on urgent electrical works (extreme fire risk in an old house). Centrelink was not satisfied until we provided copies of receipts for every item of expenditure. My mother is 86. Keep all your receipts!!!
    Pass the Ductape
    14th May 2019
    1:32pm
    It's a pity the ATO doesn't put in as much effort into hounding tax avoiding companies as much as Centrelink chases OAP's for every last dollar they think they're overpaid!
    Mootnell
    15th May 2019
    10:35am
    Farside, you miss the point entirely re:Sen.Cit.90, misunderstanding and confusion in relation to the National Welfare Fund long ago reached the point of absurdity that gripes over its "theft" only reach those in the bubble. The fact remains you have had the best part of sixty years to adjust to its practical demise, and forty years its actual demise so to hear folk banging on about it is comical and pathetic at the same time. Affordability was never an issue as pensions were paid from consolidated revenue and Hawke was not even in government when the legislation was repealed. Move on.

    the fact is we continued to pay that rate for out entire working life. it did not magically stop just because the government of the day changed the rules. Nor did they stand up and say because we are now taking these funds we will stop that payment you have been making and return it with back pay. I for one and sick to death of jumped up upstarts telling me I've been a leaner and a drain on society. When the fact is we have carried the nation for many years and are still being expected to. Apparently, to be so judgementally scathing you either had a very well paid job or have no idea what it's like to have years of financial planning stolen by the stroke of a pen.
    Farside
    15th May 2019
    7:18pm
    Mootnell, you cannot easily track cessation of the social service contribution once it was integrated into the general tax tables in the 1950s. The levy was never more than an extra tax on income. It is unfortunate you seem to have been unaware of the changes over the years. The Fund was widely acknowledged as frozen and the contribution abolished e.g. from 1960 Canberra Times "... but since the social services contribution has been abolished and merged with the income tax, there is no reason why the revenue from the pay-roll tax should not be merged into other taxation." (20/5/1960)

    I doubt this is sufficiently convincing that it was discontinued decades ago but for many of us that commenced work in the 70s, we never saw it, were not told about it and our retirement plans have had to change many times over the years.
    Paulo
    17th May 2019
    11:38pm
    As clear as mud. Not much help as advice to the questioner?
    Arvo
    19th May 2019
    1:35pm
    Don't forget that some assessable assets like furniture, furnishings, electrical goods, white goods, motor vehicles, bikes , boats etc, etc,etc are subject to depreciation in value and you should adjust for lower value at least once a year. The easiest way is through myGov website linked to Centrelink.
    johnp
    19th May 2019
    3:03pm
    How do you explain it to Centrelink when you cannot get thru on the phone ?? Anyway lets have some simpleness; fairest to have a universal aged pension, save a fortune in bureaucracy and govt still receives their largesse !! Talk about big brother overlording us and intrusion into our daily lives !!
    Dermot
    20th May 2019
    8:24am
    Wait till Scummo includes your house in the assets test. Millions will lose their pension, have to sell their house, and house prices will plummet like never before !!!!!


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