8th May 2013
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The Budget and the Age Pension
Author: Kaye Fallick
The Budget and the Age Pension

The week before the Federal Budget is usually a time of rash predictions and wild fiscal forecasts. This year is no exception. In fact the hyperbole has been exacerbated by a predicted $12 billion deficit and crazy guesses about the spending cuts that will need to be made.

And that brings us to Budget 2013-14 and what it will mean for the Age Pension.

Since 2008 the Rudd and Gillard Governments have raised the Age Pension by $207 per fortnight for singles and $236 per fortnight for couples (combined).

Yet despite these increases Australian Age Pensioners are on an income which falls more than $2000 short of that amount needed to fund the most modest standard of living.

It is inconceivable that such a low-level pension will be reduced in this year’s budget.

But it is entirely possible that age pensioners will not be given one penny more this year because of the fiscal constraints facing Treasurer Wayne Swan. 

And if, as is widely expected, the Liberal Coalition wins the election on 14 September, then it is highly likely that there will be no pension increases for years to come, as was the case under the Howard Government. As Mr. Hockey, the possible future Treasurer, stated last year, “the age of entitlement is over”.

So for those living below the poverty level, there is little relief in sight for a long, long, long time.





    COMMENTS

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    charlemagne
    10th May 2013
    12:47pm
    But the parasites pollies will get another increase financed with taxpayers
    money! Stop these increases! these freeloaders are "public servants" ok
    clay
    10th May 2013
    1:00pm
    And did I read that this Govt. are giving more money to Imigrants and Ilegal ones as well and are spending another 7 million on overseas aid

    Correct me if I am wrong
    tiger
    10th May 2013
    2:19pm
    I don't see the PM or any of her Ministers and back benches even remotely thinking of a cut to the outrage amounts of money they receive. Am I wrong to say Jenny Macklin receives about $600,000 a fortnight but says single mothers can live on $35 a day.Why do they care when they know the Titanic the ship they all are on is slowly sinking and taking them with it sooner rather than later.
    LENYJAC
    10th May 2013
    3:17pm
    CHARLEMAGNE YOU HIT THE NAIL ON THE HEAD,, PARASITES IS A TOP DESCRIPTION OF THESE WANNABES WITH TOO MUCH MONEY IN THEIR GREEDY POCKETS... TIME FOR THEM TO GO BEFORE THEY SELF DESTRUCT AND TAKE US ALL WITH THEM...
    cat
    10th May 2013
    5:02pm
    i dont know how they sleep at night ?????????????????
    when they have sooooo much and we o.a.p. have so little , when we have ONLY the govmt pension.they even get paid big when they retire
    oh dear i must stop before i get tooo upset.
    LENYJAC
    10th May 2013
    7:25pm
    DONT BLAME YOU CAT.. THESE MONGROLS PROBABLY PAY THEMSELVES OVERTIME FOR NOT SLEEPING????
    Grateful
    12th May 2013
    2:16pm
    Amazing that the only comments on this extremely vital subject to those on the Age Pension as their ONLY income are directed at politicians and immigrants!!??
    Can't you people read and understand simple English? Our pensions are under severe threat, most definitely if Joe Hockey becomes Treasurer, and not one word about how that is going to affect you!!
    When you talk about those that you think do not "deserve" getting government support, don't just look at "illegal" immigrants and politicians, think about those with hundreds of thousands of dollars in their own savings accounts and property, yet still get the Age pension and all the benefits from the pensioner health benefits card.
    THAT'S what you should be complaining about.
    While genuinely needy age pensioners live below the poverty line, those well off pensioners are getting much richer at the expense of the genuine needy. Reduce the assets and income levels and use part of what is saved to increase the base Age Pension to at least the poverty level.
    That will not only save billions of dollars but significantly improve the living standards of hundreds of thousands of pensioners in genuine need.
    And I bet that every cent that is given to those on the base pension will be spent in the shops and again, significantly improve the overall economy. Most of the pensions and savings given to those that are already very well off just goes into their bank accounts anyway and only makes bank executives much better off. Wake up before it is too late. The wrong choice in September will haunt you for at least the next 8 years. THINK!!!
    archer
    13th May 2013
    7:48am
    "Since 2008 the Rudd and Gillard Governments have raised the Age Pension by $207 per fortnight for singles and $236 per fortnight for couples (combined".
    But surely that's something to be grateful for !!! does anyone think?
    Grateful
    13th May 2013
    9:46am
    HOORAY!!!! It has been a huge benefit to us.
    But, we will probably never see anything like that in our lifetime if Labor gets slaughtered this September. There is NO way that pensioners will get anything like that, if anything, from a Coalition government.
    That is not a "political" statement, it is a fact from over 55 years experience. Tony Abbott might have some "socialist" blood in him where there is a vote in it, i.e. Paid Parental Leave up to $75,000 per pregnancy, but, there are NO votes in Age pensions!!! THINK!!! PLEASE!!!


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