Anne is separated from her partner and about to take full ownership of their jointly-owned home, but she’s concerned that her Age Pension will be reduced. Is this the case?
Q. Anne
I separated from my partner several years ago. He has been living in his own house and I am staying in the house that is jointly owned. I am on the full Age Pension and, due to poor health, I asked him to transfer his half share of our jointly-owned house to me for future medical expenses, so I’ll fully own the house in which I’m living.
Will this reduce my current Age Pension?
A. Under the asset test, the value of your principal place of residence, if you own it, is exempt. It does not matter if this is valued at $500,000 or $5 million.
Therefore, if you take full ownership of the house, the full value will simply be exempt and your Age Pension should not be affected.
However, you should confirm your circumstances with Centrelink.
Related articles:
Age Pension asset test
Will the family home be an asset?