Important changes that may affect your super
Important changes that may affect your super
Age pension rules are changing
From 1 January 2017, the Government will introduce two changes to the Government Age Pension rules.
These changes may affect how your VicSuper income is assessed.
1. Asset test thresholds
The assets test thresholds that help determine Centrelink Age Pension eligibility will change, with lower thresholds increasing and upper thresholds decreasing.
This is great news for those at the lower ends of the thresholds as more people will be able to access the full Age pension. However, for those at the higher end, eligibility for a partial pension will cut out.
Homeowner asset test thresholds
| Couples |
| Current |
$296,500 – $1,175,00 |
| New |
$375,000 – $823,000 |
| Singles |
| Current |
$209, 000 – $791, 750 |
| New |
$250,000 – $547,000 |
Non-homeowner asset test thresholds
| Couples |
| Current |
$448,000 – $1,326,00 |
| New |
$575,000 – $1,023,000 |
| Singles |
| Current |
$360, 500 – $943, 250 |
| New |
$450,000 – $747,000 |
2. Partial pension taper rate
The Government is also changing the taper rates that determine how much the Age Pension reduces once you reach the lower asset threshold.
Currently, the Age Pension reduces by $1.50 per fortnight for every $1,000 in extra assets over the lower threshold.
From 1 January 2017, this will change to a $3 reduction per fortnight for every $1,000 in extra assets over the lower threshold.
Affected by these changes?
Having a regular income in retirement you can rely on is important, whether or not these changes affect you.
Our Financial Planners are experts in helping members form individual retirement income strategies that make the most of what’s available to them so they maximise their income potential.
Appointments with our Financial Planners are available at no additional charge to members in most cases. There are no obligations and you can choose to meet at one of our 17 locations or over the phone.
We’re here to help. So if you’re concerned about how these changes may impact you, or you’d just like to talk to an expert about your superannuation and income options, call our Member Centre 1300 366 216 to request an obligation-free appointment, or book online.
Age pension rules are changing
From 1 January 2017, the Government will introduce two changes to the Government Age Pension rules.
These changes may affect how your VicSuper income is assessed.
1. Asset test thresholds
The assets test thresholds that help determine Centrelink Age Pension eligibility will change, with lower thresholds increasing and upper thresholds decreasing.
This is great news for those at the lower ends of the thresholds as more people will be able to access the full Age pension. However, for those at the higher end, eligibility for a partial pension will cut out.
Homeowner asset test thresholds
| Couples |
| Current |
$296,500 – $1,175,00 |
| New |
$375,000 – $823,000 |
| Singles |
| Current |
$209, 000 – $791, 750 |
| New |
$250,000 – $547,000 |
Non-homeowner asset test thresholds
| Couples |
| Current |
$448,000 – $1,326,00 |
| New |
$575,000 – $1,023,000 |
| Singles |
| Current |
$360, 500 – $943, 250 |
| New |
$450,000 – $747,000 |
2. Partial pension taper rate
The Government is also changing the taper rates that determine how much the Age Pension reduces once you reach the lower asset threshold.
Currently, the Age Pension reduces by $1.50 per fortnight for every $1,000 in extra assets over the lower threshold.
From 1 January 2017, this will change to a $3 reduction per fortnight for every $1,000 in extra assets over the lower threshold.
Affected by these changes?
Having a regular income in retirement you can rely on is important, whether or not these changes affect you.
Our Financial Planners are experts in helping members form individual retirement income strategies that make the most of what’s available to them so they maximise their income potential.
Appointments with our Financial Planners are available at no additional charge to members in most cases. There are no obligations and you can choose to meet at one of our 17 locations or over the phone.
We’re here to help. So if you’re concerned about how these changes may impact you, or you’d just like to talk to an expert about your superannuation and income options, call our Member Centre 1300 366 216 to request an obligation-free appointment, or book online.