Many promises were made during the recent Federal Election campaign. YOURLifeChoices subscriber, Brian, recalls hearing something about Age Pensioners being able to earn $6,500 without their Age Pension being affected.
Do you have any information regarding Julia Gillard’s promise for pensioners to be able to earn $6,500 per year without affecting pension payments? Nobody seems to mention this subject following the election.
The promise to which you refer is actually a change to the current Work Bonus scheme. Currently those who have reached Age Pension age can continue to work and have half of the first $500 they earn each fortnight discounted from the income test.
The proposal which the Labor Government has tabled is that to make it fairer to those who do not earn the same amount each fortnight, their income can be assessed pro-rata over the course of a year. Therefore, a recipient of the Age Pension can earn $6,500 per annum, which is discounted from the income test or $250 each fortnight, the end result is the same.
You can read more about the policy by clicking here.
Join YOURLifeChoices, it’s free
- Receive our daily enewsletter
- Enter competitions
- Comment on articles