If you’re a self-funded retiree, you may have suffered considerable financial losses as a result of the global financial crisis. With some smart accounting, you may be eligible for Centrelink benefits.
As the end of the current financial year looms, now is the time to consider how best to maximise cash flow and make your money work for you. With asset values lower, self-funded retirees may now find themselves below the Centrelink asset limits, and therefore eligible for a pension. Even if you only get a few dollars, this will entitle you to a Pensioner Concession Card which can save you a small fortune.
It is also worth looking at how your assets are held, inside or outside a super fund, as this can have a bearing on how Centrelink assess your wealth. Making sure you utilise both you and your spouse’s superannuation funds, especially if your spouse has not yet reached retirement age, can reap surprising benefits and qualify you for a larger Age Pension. Paying money in to a spouse’s superannuation fund may also be classed as a spousal contribution, which has associated tax offsets. To boost superannuation even greater, the spouse may also be eligible for the government’s co-contribution of up to $1000.
Before making any financial decisions, you should consult an independent financial planner. If you don’t already have one, then you can find a planner in your area by clicking YOURLifeChoices simple shortcut to the Financial Planning Association.
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