Hundreds of thousands may now qualify for $750 stimulus payment
Hundreds of thousands of self-funded Australians might not realise they may now qualify for a CSHC, which also means they may be missing out on the $750 stimulus payment if they are not declared an eligible CSHC holder by 10 July.
“Lower deeming rates mean more retirees fall below the income test threshold for the card,” says National Seniors Australia Chief Advocate, Ian Henschke.
“There could be hundreds of thousands of older Australians eligible and they don’t even realise it.
"I urge [older Australians] to go on to the Services Australia website and apply for the Commonwealth Seniors Health Card because if they are not a card holder by July 10, they could miss out on the $750 stimulus payment.”
To qualify for the card, you must:
- be an Australian resident living in Australia
- have reached the pension age
- meet an income test
- not be receiving any payment from Veterans Affairs.
Centrelink only uses an income test for the card. Your income estimate is partly determined by applying the deeming rate to your financial assets, but an assets test is not used.
The income test will look at both your:
- adjusted taxable income
- a deemed amount from account-based income streams.
To meet the income test you must earn below the following income thresholds:
- $55,808 for singles
- $89,290 for couples
- $111,616 for couples who are separated by illness, respite care or prison.
With deeming rates so low, a single retiree with financial assets of to $2.5 million may be eligible. Similarly, a couple with financial assets of up to $4 million could also be eligible.