1. Income and Asset Test for Pensioners

A number of the eligibility requirements for pensions require the applicant to meet an asset or income test.

1.1.1        Asset Tests

This test includes the sum of all assets belonging to the individual except the place of residence. These limits are listed separately for home owners and non-homeowners and family situations.

If exceeded the rate of pension is reduced marginally until nil. There is an extra allowable amount for applicants in retirement village, granny flat and rural home owners.  

1.1.2        Disposal of Assets

People are prevented from giving assets away in order to receive a social security benefit, thus any assets given away over $10,000 in any one year without adequate benefit will still be considered as an asset for the next 5 years.

1.2                Income Tests

The maximum income for pensions is set out by family situations and has different amounts for full and part pension, any income there after affects the amount of pension received.

---