A Special Message for Seniors

Posted June 11, 2020

by Nick Bruining.

For seniors on a part pension, a donation to Telethon can effectively make you more money than leaving it parked in the bank!

It works like this. If your pension is reduced because of Centrelink’s Asset means test, every $1,000 over the Asset test threshold means your pension is being clipped at $3 per fortnight. Over a year, that adds up to $78. If you get rid of $1,000 through a donation, your pension could increase by $3 a fortnight. That same $1,000 in a bank account earning say, 0.8 percent would pay you just $8. What a difference, $8 from the bank or $78 from Centrelink.

You’ll possibly be affected by the assets test if you are single and your assets are more than $263,250. As a couple, if your combined assets are more than $394,500, then you could be affected by the asset test too. The value of your home, no matter how much it is worth, does not form part of this amount. In fact, non home-owners can have an additional $210,500 in assets before the asset test takes effect. If you want to double check if this trick might work for you, call Centrelink on 13 23 00.