Case studies: Am I eligible for the Age Pension?
Around 80% of retired Australians receive a part or full Age Pension which means most Aussies considering retirement will need to understand how the Age Pension rules operate. This article contains three case studies illustrating how the Age Pension works in practice.
Take note: Age Pension age increasing to 67 years
More than two years ago, in the May 2009 Federal Budget, the Government announced that the Age Pension age is set to increase to 67 years of age from 2023. This major change may have disappeared from the front pages of newspapers but it should be ‘top of mind’ for most Australians thinking about retirement.
Accessing super early due to severe financial hardship
Q: I would like to know how I could go about accessing my super early on the grounds of extreme hardship. I have 2 children and I’m a single parent.
Accessing super: How long does it take for TPD insurance to be paid out?
Q: I am going to claim TPD from my super fund due to mental illnesses. My psychologist thinks I will be approved. I am 29 and have a lot of reports and evidence. I can hand in my forms in a few weeks time with everything there. Do you know how long will it take to be approved?
Accessing super early: Can I withdraw my super to pay off my debts?
Q: I have a large amount of debts totalling $25,000, and I have no assets. My income is average and my super balance is above $50,000. I would like to withdraw half of my super to pay off my debts. [...]
Age Pension: When I access my super, will that count for the assets test?
Q: When I start drawing from my super after I turned 55, will my super then count as an asset? As my partner is over 65 most of our money is in my super and we are eligible for the pension.
SMSF pension: After making super contributions, when can I convert to another pension?
Can I start the new account based pension as soon as I meet another “condition of release”, ie stop my part time employment?
I’m under 60. Does my super payout also affect my other income, and tax bill?
Q: I turn 55 soon and I am eligible for a super payout of $150,554 next month of which only the $554 is taxable at 16%. However I still intend to keep working and wondered how this will affect the tax payable on my super.
I retired at 59. Do I pay tax on my superannuation lump sum?
Q: I retired in September 2011. I’m now living on a tiny super pension since then of $640 a fortnight. In September 2011, I also received a $15,000 superannuation lump sum. The tax free component of my total superannuation is [...]
Can I withdraw super if the bank is foreclosing on my mortgage?
Q: I’d like to get help with withdrawing my super as I’m in financial difficulty and I’m concerned that the bank could foreclose on my mortgage.
Can I use my super to pay bills?
Q: I am short on funds and looking for a job. Can I apply to use some of my super to pay bills?
