News for Seniors
ISSUE 85 2011
Make your money work for you
More support for working seniors • Do you need to lodge a tax return? • Stay safe this winter • Federal Budget
2011 • Need help achieving your financial goals? • Get involved—it’s good for you
Key phone contacts
✆ Seniors Line 13 2300 Age ✆ TTY Service ✆ Customer Relations Line Freecall™
Pension, deeming, income If you are deaf or have a 1800 050 004
and assets tests, Financial hearing or speech impairment, Comment, complain or provide
Information Service, you can contact us through our compliments about our customer service.
Pension Bonus Scheme, TTY service on FreecallTM
Pension Loans Scheme and 1800 810 586. To provide ✆ Department of Veterans’ Affairs
Commonwealth Seniors compliments, suggestions or (DVA) customers should call 13 3254, or
Health Card. complaints, please call our from regional Australia call Freecall™
TTY Customer Relations Line 1800 555 254.
✆ International Services 13 on FreecallTM 1800 000 567.
1673 Pensions paid outside A TTY phone is required to ✆ Aged Care Australia
Australia, claiming use this service. Aged care information line 1800 500 853.
pensions from other Calls from your home phone to
countries, pensions paid Centrelink ‘13’ numbers from
under International anywhere in Australia are charged
Key websites
Agreements. at a fixed rate. That rate may vary
✆ Centrelink Multilingual
from the price of a local call and
may also vary between telephone
13 1202 for information in service providers. Calls to ‘1800’ Centrelink: www.centrelink.gov.au
languages other than numbers from your home phone Department of Families, Housing,
English. are free. Calls from public and Community Services and Indigenous
mobile phones may be timed and Affairs: www.fahcsia.gov.au
✆ Disability, Illness or charged at a higher rate. Department of Veterans’ Affairs:
Injury and Carers 13 www.dva.gov.au
2717. Department of Health and Ageing:
www.health.gov.au
Medicare Australia:
www.medicareaustralia.gov.au
Aged Care Australia:
www.agedcareaustralia.gov.au
Receiving News for Other versions available
Seniors
If you would like to: News for Seniors is published in 16 community languages.
• receive a copy of News for Seniors
If you would like to receive News for Seniors in a language
• change your address
other than English, contact Centrelink Multilingual Call on 13
• cancel your copy of News for Seniors, or
• discuss distribution problems 1202.
call the Seniors Line on 13 2300. If you have a vision impairment and would prefer to receive an
Department of Veterans’ Affairs (DVA) audio version of News for Seniors please call 13 2300.
customers who wish to make the above changes To view English and non-English versions or listen to the
please call 13 3254 or from regional Australia call audio version visit www.centrelink.gov.au and search under
Freecall™ 1800 555 254.
‗Publications‘.
When contacting any Centrelink telephone number please have your Customer Reference Number (CRN) and/or
your concession cards handy for easy reference.
DISCLAIMER The Commonwealth of Australia has attempted to ensure the information in this publication is
accurate. However, the Commonwealth does not warrant that the information is accurate or complete nor will it be
liable for any loss suffered by any person because they rely in any way on it. You should contact your local
Centrelink or Department of Veterans‘ Affairs state office for full details of any entitlements and services to which
you may be eligible, or how any pending changes in legislation, programs or services may affect you.
© Commonwealth of Australia 2011. ISSN 1033-8365
Contents
Key phone contacts 2
Key websites 2
Receiving News for Seniors 2
Other versions available 2
From the Editor 4
Letter to the Editor 4
Message from the Minister 5
FEATURE STORY
Make your money work for you 6
NEWS
August 2011 income stream reviews 7
Do you need to lodge a Centrelink claim? 8
Do you need to lodge a tax return? 8
More support for working seniors from 1 July 2011 9
Shed some light on Census night 10
FEDERAL BUDGET 2011
Changes that may affect you 12
POLICY
Have you ever lived or worked in the
Czech Republic? 14
A new National Disability Strategy 15
FINANCE
Understanding unit pricing can save you money 17
Time to track down your unclaimed super? 18
Need help achieving your financial goals? 19
Could you benefit from an Advance Payment? 20
Have you thought about a Family Agreement? 21
How will you receive your retirement income? 22
CONNECT
Save time and go online 24
News for Seniors is moving with the times… 25
New ways to claim your Medicare benefit 26
HEALTH
Stay safe this winter 27
Get involved—it‘s good for you 28
It‘s just not a conversation without you! 29
Are you caring for someone? 29
News for Seniors advertising enquiries
Contact: CouchCreative
Email: sales@couchcreative.com.au
Centrelink and the Commonwealth of Australia do not endorse and are not responsible for the views, products or services offered or provided by advertisers.
Australian Government organisations should contact:
Email: editornfs@centrelink.gov.au
Mail: Editor, News for Seniors, PO Box 7788,
Canberra BC, ACT 2610
News for Seniors incorporates information for service pensioners, war widows and widowers.
From the Editor
Hello and welcome
to News for Seniors Issue 85, 2011.
This issue includes important Budget information which may be relevant to customers of Centrelink, Medicare Australia and the
Child Support Agency.
As we head into a new financial year you may need to think about lodging a tax return. The article on page 8 explains how to
prepare and lodge your 2011 tax return.
The beginning of a new financial year is a good time to think about your financial situation. In our feature article, we suggest
simple ways to make your money work better for you if retirement is on the horizon. The article on page 18 explains how you
can track down any unclaimed super.
Now that winter is well and truly here, we sometimes become less inclined to leave the warmth and comfort of our homes. We
have included some information on staying safe within your home this winter.
Also, don‘t forget to ‗shed some light on Census night‘—find out more on page 10.
Finally, hearing loss is a problem many of us may face as we get older. Australian Hearing provides assistance to
pensioners—see page 29 for more details.
Until next time.
Hank Jongen, Editor — News for Seniors
Mail: PO Box 7788 Canberra BC ACT 2610
Email: editornfs@centrelink.gov.au
for feedback on the magazine.
Letter to the Editor
Dear Hank,
We live in Tully, north Queensland, near Mission Beach. That‘s where the eye of Cyclone Yasi crossed the coast earlier this
year. It was a frightening time, but thankfully, we all managed to pull through okay.
Unfortunately, our community hall didn‘t survive. We loved our hall. It was such a great place for seniors to catch-up and hold
events. I‘m pleased to say, however, that we‘re building a new one. We pulled down what remained of our old hall in May. And
by the end of the year, we hope our new one is up and running.
Would you like to run a story on our efforts?
Lesley, Tully
Dear Lesley,
Absolutely, we love sharing news on what our readers do in their local community. So many people contribute in so many
fantastic ways—such as your story.
Please keep us up-to-date on your progress.
In future we intend for News for Seniors to include more on what our readers do, and the brilliant ways they stay fit, active and
involved in life and their community. I‘ve heard great things recently—people taking up photography, keeping fit through aqua
aerobics, studying a new trade or skill at TAFE, bushwalking, and volunteering for meals on wheels, just to name a few.
Regards – Ed
Message from the Minister
Australia, like most developed countries, is facing the challenges of an ageing
population. To confront this challenge, the Gillard Government has increased
the Age Pension, improved the adequacy of the pension system and made its
operation simpler.
Since the Government‘s pension reforms came into effect, the maximum rate pensioners receive has increased by around $128 a
fortnight for singles and $116 a fortnight for couples combined. In addition, allowances that were paid quarterly are now part of
the pension supplement and can be received fortnightly which increases the fortnightly amount available by around $25. The $6
payment for pharmaceuticals continues to be paid fortnightly.
This year‘s Budget includes a number of initiatives aimed at older Australians which build on this good work.
To better support age pensioners who want to work, the Gillard Government is delivering a new and improved Work Bonus
from 1 July this year. Older Australians who do seasonal work, such as supervising exams or ―helping Santa Claus‖ at
Christmas time, will be able to keep more of the money they earn from part-time work.
In addition, a new $27.2 million Prisoner of War (POW) Recognition Supplement will provide former POWs with an extra $500
per fortnight in recognition of their special service and sacrifice.
For the very first time at the federal level, a stand-alone Age Discrimination Commissioner and support team within the
Australian Human Rights Commission has been established, delivering on a Gillard Government election commitment.
The Commissioner will tackle the attitudes and stereotypes that can contribute to age discrimination at any age, but in particular
they will be able to focus on addressing barriers to equality and participation faced by mature workers and senior Australians
when compared with young people.
To help seniors navigate new technology and the information age, we are providing assistance to ensure pensioners are not left
in the dark as a result of the ongoing switch to digital TV.
The Household Assistance Scheme has been providing this help since 2010, and was expanded in this year‘s Budget. It includes
the free supply and installation of a high definition set top box, instructions on how to use it, and any necessary upgrades to
cabling and antenna systems.
Moreover, thousands of older Australians will be able to stay connected to family and friends through free access to broadband
internet with continued funding under our successful Broadband for Seniors initiative. The Budget provides ongoing support for
2000 broadband kiosks already established across the country.
As Minister for Human Services, I am also overseeing an increase in the number of shopfronts where you are able to access
Centrelink and Medicare Australia services in one location. Older Australians living in rural and remote communities, who may
previously have travelled great distances to access services, will be among those to benefit from hundreds of new one-stop-
shops.
I hope you find the information in this issue interesting and helpful.
Tanya Plibersek MP
Minister for Human Services
Minister for Social Inclusion
Make your money work for you
No matter how much money you live on, you may be able to make it go further,
explains Centrelink Financial Information Service Officer, Sarah Alder.
Sarah‘s role is to help people make informed financial decisions and to understand the consequences of those decisions in the
short, medium and long term.
‗Just remember, you don‘t need a lot of money to be good with money,‘ says Sarah.
‗It‘s a matter of taking control of your situation. After all, your money is about your financial security, and being able to afford
those things you love—like buying birthday presents for grandchildren, or enjoying a cup of coffee at your local cafe.‘
Budget, budget, budget
‗The number one rule is don‘t spend more than your income. You need to keep track of your expenses and when they must be
paid,‘ says Sarah.
‗Do a budget. It‘s the best way to stay in control. It can be as simple as drawing a line down the middle of a sheet of paper
listing expenses on one side and income on the other. Include as much detail as possible and then total each side up to see where
you stand,‘ suggests Sarah.
To help, a budget planner is available online at www.moneysmart.gov.au
Keep your costs low
The second rule of thumb is to keep your costs low to generate some extra funds.
‗Your budget should show how much money is left over each fortnight,‘ says Sarah. ‗Try to increase this amount, so you have
money for things you may need or want in future.‘
Sarah‘s top saving tips include:
• Asking your insurance provider if a discount rate is available for seniors. If a competitor offers you a better deal, your current
provider may match or beat it.
• Checking your eligibility for a Seniors Card through your state or territory government. Discounts and special offers may be
available from thousands of businesses on travel, accommodation, hospitality, entertainment and leisure activities (note that
discounts may vary between each state and territory). For information visit www.seniorscard.com.au
• Talking to banks and building societies. A competitor may provide a better offer on a range of products including savings
accounts and credit cards.
Consider casual work
Thirdly, think about doing some paid work if you can. If you‘re fit and healthy, you may like to work casually. A few hours
each fortnight can boost your income and help you feel good.
‗The Work Bonus provides an added incentive for pensioners to take up some form of work,‘ explains Sarah. More
information is included on page 9.
Plan ahead with good information
Once your financial situation is on track in the short term, plan for the long term.
‗Do you have some assets to invest? You may like to find out about a sensible strategy. The MoneySmart website is a great
resource for those new to investing,‘ says Sarah.
‗It may also be a good idea to get professional advice for your situation. A financial adviser can help with a range of issues
including your investments.‘ More information is on page 19.
If you need a practical guide on finding the right financial adviser, read the Australian Securities and Investments Commission‘s
Getting advice booklet. Download a copy from the MoneySmart website at www.moneysmart.gov.au or call 1300 300 630.
You can also attend an informative seminar run by Centrelink‘s Financial Information Service on topics such as shares or
managed investments. For details on topics, locations and times, go to www.centrelink.gov.au/fis or call 13 6357.
August 2011 income stream reviews
In August 2011, Centrelink will conduct its usual review of customers who hold a current allocated (account based pension) or a
market-linked (term allocated pension) income stream. That includes those sourced from a Self Managed Superannuation Fund
(SMSF) or a Small APRA Fund (SAF).
If you, or your partner, own any of these income streams you may receive a review letter asking you to provide the following
information about your product:
• the 1 July 2011 account balance
• your new nominated annual income amount for the 2011–12 financial year, and
• any commutations (lump sum withdrawals other than the normal regular payments) made in the 2010–11 financial year.
Please note: the August review also includes asset-test exempt lifetime and life expectancy income streams sourced from a
SMSF or SAF. If you, or your partner, own one of these you will be asked to provide an Actuarial Certificate to verify that your
fund can continue to pay this income stream.
Will I receive a review letter?
Yes, unless your income stream provider gives the required information to Centrelink on your behalf.
Please note: information requested in this review cannot be accepted over the phone. Centrelink must receive your completed
review letter.
Need more information?
For details on Centrelink income stream reviews, please visit www.centrelink.gov.au
Do you need to lodge a Centrelink claim?
Centrelink claims can be made in person, by mail or online.
When Centrelink receives your claim, it is registered on file and given to a Centrelink representative who specialises in the type
of claim that you have requested.
As this representative may not be located in your local Centrelink Customer Service Centre, your claim could be sent to a
processing centre on your behalf.
All claims are carefully checked and processed. Centrelink will then contact you within 14 days. This may be to confirm that
your claim has been processed, to request additional information, or to discuss your claim with you.
Please note that all claims are processed as quickly as possible, but some claims may be delayed. This could be if income or
assets must be confirmed, or if the claim is incomplete and further information is required.
How do I check the progress of my claim?
Call the Centrelink Seniors line on 13 2300.
Do you need to lodge a 2011 tax return?
You will need to lodge a tax return if, during 2010–11:
• you paid tax
• you were eligible for the senior Australians‘ tax offset and your rebate income exceeded the threshold amount relevant to
your circumstances
• you were not eligible for the senior Australians‘ tax offset and you received an Australian Government pension, allowance or
payment and your rebate or taxable income exceeded the threshold amount relevant to your circumstances
• your taxable income was greater than $6000 and you were an Australian resident for taxation purposes for the full year and
other lodgement thresholds did not apply to you.
Other reasons might apply to you. For a list of the reasons why you need to lodge and for more information go to
www.ato.gov.au/individuals and enter ‗Lodging your tax return—home‘ in the ‗search for‘ box.
There is also a Do I need to lodge a tax return? tool on this page under ‗Calculators, rates and forms‘ to help you. Alternatively
you can call 13 28 61.
How to lodge your tax return
One of the most convenient ways to lodge your tax return is online using e-tax. It is free, can give you an estimate of your tax
assessment and can pre-fill some income details, such as your interest, dividends and Australian Government pensions and
allowances, directly into the correct items on your tax return.
E-tax is available from 1 July 2011 only at www.ato.gov.au
You can also lodge your tax return using TaxPack 2011 which is available from ATO shopfronts and most newsagents. You can
order it online from www.ato.gov.au or by phoning the ATO automated publication ordering service on 1300 720 092.
More support for working seniors from 1 July 2011
The Work Bonus is changing.
If you are of age pension age and receive a pension you will be able to earn up to $250 from employment each fortnight and it
won‘t be included in your income.
If your employment income is less than the $250 Work Bonus per fortnight, then the difference between this income and the
$250 will be added to your Work Bonus balance. If you are not working, the entire $250 is added to your balance.
Your Work Bonus balance starts from scratch on 1 July 2011 and can accumulate to a maximum amount of $6500. It can be
used to discount employment income above $250 in future fortnights.
The Work Bonus calculation is in addition to the income free area.
The Work Bonus is an incentive for age pensioners to remain in the workforce. The change to the Work Bonus is designed to let
you use up to the maximum discount of $6500 even if you only work occasionally. Once you have a Work Bonus balance, you
can work for short periods with little or no affect on your pension.
Example—Santa Claus Joe
Joe has not worked since December 2010 and will not work again until November 2011, when he will be employed in the lead-
up to Christmas. From 1 July, Joe‘s Work Bonus balance will accumulate, increasing by $250 each fortnight to $2250 when he
begins work in November.
If Joe earns $650 per fortnight as a Santa Claus over six weeks of paid employment, his Work Bonus balance will be enough to
discount all his employment income. That means his pension won‘t be affected. Once Joe stops work, his balance will begin to
increase again.
What if I am a transitional rate pensioner?
If you receive a transitional rate of pension, Centrelink will continue to compare your rate (which has no Work Bonus) with the
rate introduced in September 2009 (which includes the Work Bonus). Once your transitional rate is no longer higher, you will
move to the new rate permanently.
If you receive the transitional rate you should contact Centrelink to find out how it will affect your pension before you start any
paid work.
How do I find out more?
For more information on changes to the Work Bonus visit www.centrelink.gov.au call the Centrelink Seniors line on 13 2300
or visit your nearest Centrelink Customer Service Centre.
Shed some light on Census night
The 16th Census of Population and Housing will take place on
Tuesday 9 August 2011, marking a significant milestone—100 years of national
Census taking in Australia.
The Census is conducted by the Australian Bureau of Statistics (ABS) every five years to take a snapshot of Australia on Census
night. It aims to accurately measure the number of people in Australia on Census night and collects vital information on the
social, economic and housing characteristics of Australian society. The data collected from the Census is used by government,
industry and community groups to plan for the future and allocate services, facilities and funding in local communities.
About 29 000 Census collectors will begin delivering Census forms to every household in Australia in July. You can fill out the
paper Census form or complete the Census online at www.census.gov.au
If you need help completing your form or using the eCensus, we encourage you to ask someone you trust like a family member,
friend, carer or neighbour.
If you know of, or provide care, for someone with an illness, injury or disability you can help make sure they are captured in
the Census, by including them on your household form if they live with you or are staying with you on Census night. Or you
can help them to complete their form wherever they are staying.
If you are in a hospital, nursing home or retirement village, special collectors will be employed to provide assistance
completing
the form.
The Census form is also available in other formats—Braille, large print, audio and electronic text. To request a form in an
alternate format you can call the Census Inquiry Service on 1300 338 776.
It is important that everyone completes the Census so the information received is accurate. The ABS does not share your
personal information with other government or private agencies. All Census workers are legally bound never to share any
personal information.
So shed some light on Census night and help create a brighter future for Australia. What you say will light the way forward
for hospitals, community centres, public transport and other facilities and services that you use in your area every day.
For general help or information about the Census visit www.abs.gov.au/census or call the Census Inquiry Service on 1300
338 776. For assistance in a language other than English call the Census Inquiry Service Language Helpline on 1300 340
120. The Census Inquiry Service is open 8.30 am to 8.00 pm, seven days a week from 18 July to 5 September 2011.
Article supplied courtesy of the Australian Bureau of Statistics (ABS).
Federal Budget 2011
On Tuesday 10 May, the Federal Treasurer, the Hon Wayne Swan MP,
handed down the 2011–12 Federal Budget. Announcements that may affect
seniors are explained on these two pages.
Establishment of an Age Discrimination Commissioner
The Federal Government will provide $4.0 million over four years to fund, for the first time at the federal level, a stand-alone
Age Discrimination Commissioner and support team in the Australian Human Rights Commission.
This funding recognises the important role the Commission plays in giving a voice to vulnerable members of our community
and promoting an open and fair Australia.
The Age Discrimination Commissioner will tackle the attitudes and stereotypes that can contribute to age discrimination and
will be able to focus on addressing barriers to equality and participation faced by mature workers and senior Australians.
It is important that people susceptible to age discrimination have a dedicated advocate.
The new Commissioner will play an important role in raising awareness among employers about the valuable contributions
that senior Australians can make in the workforce.
For more information please visit this website— www.humanrights.gov.au
A new Prisoner of War Recognition Supplement
The Department of Veterans‘ Affairs (DVA) is introducing a new Prisoner of War Recognition Supplement.
The supplement provides special recognition to surviving former prisoners of war who have experienced severe hardship
and deprivation in the service to their country.
The new supplement is $500 per fortnight (indexed annually) and is in addition to existing DVA benefits already being paid.
It is exempt from the income test and will be tax free. It will be automatically paid to eligible persons from the first full
payment day on 6 October 2011.
All surviving prisoners of war from Japan, Europe and Korea will be entitled to the payment.
Surviving prisoners of war who are known to DVA do not need to apply for the payment. Any queries about eligibility
should be directed to DVA on 13 3254.
Support for Grandparent Carers
The Federal Government will provide $1.2 million over four years to establish 25 MyTime for Grandparents peer support
groups around the country for grandparent carers to meet, share information and experiences, and to support each other.
These peer support groups will give grandparent carers the opportunity to discuss their circumstances, seek peer support
and gain knowledge of services and assistance available to them.
Grandparents who are caring for their grandchildren make enormous sacrifices. Across Australia, there are more than 18 000
families where grandparents are the primary carers of children.
All grandparent carers who are full-time carers of their grandchildren will have access to these peer support groups regardless
of whether their arrangements are formal or informal.
The Government has also established dedicated grandparent advisors in selected Centrelink offices in Sydney, Melbourne,
Brisbane and Perth. Advisors help to improve grandparent carers‘ access to Centrelink payments and services, and provide
information and referral to other government and community services. To talk to a grandparent advisor call 13 6150.
For full details on the budget, please visit www.budget.gov.au
On 1 July 2011, changes to family assistance payments will take effect for Baby Bonus, Child Care Benefit, Child Care
Rebate, and Family Tax Benefit Part A. Changes were announced in either last year‘s (2009–10) Budget or as part of this
Federal Government‘s election commitments. For more information please visit www.familyassist.gov.au or call the Family
Assistance Office on 13 6150.
Have you ever lived or worked in the Czech
Republic?
An international social security agreement between Australia and the
Czech Republic started on 1 July 2011 which may affect you.
The agreement enables people to count periods they have lived in Australia between 16 years of age and age pension age as
insurance periods in the Czech Republic. This may help them to qualify for Czech old age, disability and survivors‘ benefits and
to receive these benefits in Australia.
The agreement also enables people to combine periods of Australian residence with periods of insurance in the Czech Republic
to meet residence requirements for the Australian Age Pension.
Centrelink will send Czech claim forms to customers in Australia whose records indicate they have an association with the
Czech Republic. These claim forms should be returned to Centrelink International Services in the reply-paid envelope provided.
Australian social security law requires all Australian customers to take reasonable action to claim any foreign pension
entitlements they may have.
For more information visit www.centrelink.gov.au and read the Social Security Agreement between Australia and the Czech
Republic factsheet or call Centrelink International Services on 13 1673.
A new National Disability Strategy
For the first time, Australia has a National Disability Strategy, which sets out a
coordinated plan across all levels of government to improve the lives of people
with a disability and their carers.
Endorsed by the Council of Australian Governments, the 10-year plan includes positive changes in all mainstream services and
programs. This is to ensure people with a disability have the same opportunities as other Australians, like a quality education,
health care, access to buildings, transport and social activities and a job where possible.
As part of the strategy, the Australian Government has already committed $11 million to a package of five community
participation initiatives:
• to make local communities more accessible
• to support leadership development for people with a disability
• to promote liveable housing design
• to improve cinema access for people who are deaf, blind, visually or hearing impaired, and
• for Ramp Up www.abc.net.au/rampup—a new disability website.
To get a copy of the National Disability Strategy visit www.fahcsia.gov.au or call 1800 050 009 (TTY 1800 555 677).
The Strategy was launched on 18 March by Senator the Hon Jan McLucas, Parliamentary Secretary for Disabilities and Carers (centre),
with Mr Simon McKeon, Australian of the Year (left); Professor Ron McCallum AO, Senior Australian of the Year (right); and Dr Rhonda
Galbally, Chair, National People with Disabilities and Carer Council (far right).
Understanding unit pricing can save you money
Variety is a good thing but the huge range of brands and sizes we see in
supermarkets today can make it difficult for us to compare products easily
and decide which ones best fit our budget.
Unit pricing is a labelling system that helps you compare prices and values at the supermarket. By using standard units, like
cents per litre or kilogram, you can easily compare prices across sizes and brands. If you are not yet using unit pricing to help
you choose what to put in your shopping trolley you might be missing out on a simple way to save.
Large grocery retailers—like Coles, Woolworths and ALDI, as well as some of the larger Franklins, IGA and Foodworks
stores—are required to display a unit price on price tags next to the selling price of an item. Smaller stores can choose to
participate.
Looking at the example to the right you can tell that the 2.5 litre bottle of laundry detergent costs $3.05 a litre, while the 1.5 litre
detergent costs $3.83 a litre.
Unit pricing means you do not have to take a calculator to the shops because the sums have already been done for you. All you
have to do is decide which product best meets your needs.
This may not always be the product with the lowest unit price. You may prefer fresh vegetables not frozen, or a smaller box of
cereal instead of a large one, but now you have the information to make an informed choice.
For more information contact the Australian Competition and Consumer Commission Unit Pricing Hotline on 1300 746 245 or
visit www.accc.gov.au/unitpricing
Article supplied courtesy of the Australian Competition and Consumer Commission (ACCC).
Is it time to track down your unclaimed super?
Millions of dollars in unclaimed super have been reported by Australian super
funds—some of it could be your money.
Many people lose track of their super or have multiple super funds. Generally it is due to moving homes or changing jobs
and not advising your current fund. Funds do try to contact lost members but are not always successful.
Even at retirement, when it is time to access your super savings, there may be various amounts of unclaimed super you do
not know about.
Super savings typically become ‗unclaimed‘ once a fund has not received contributions on behalf of an individual member
for at least two years, and five years has passed since that member was successfully contacted.
The member must also be 65 years of age or older.
You can search for unclaimed super by calling the self-help phone service on 13 2865. Further information on unclaimed super
is also available on the Australian Tax Office website. Visit www.ato.gov.au and search for ‗unclaimed super‘.
It is easy to be proactive about finding your unclaimed super. Here‘s how:
1. Log on to the Australian Taxation Office (ATO) website at www.ato.gov.au/superseeker and follow the prompts.
2. Enter your name, date of birth and tax file number.
3. Where unclaimed super is found, follow the links to the claim forms to make a claim.
Article supplied courtesy of the Australian Tax Office (ATO).
Need help achieving your financial goals?
Financial planning involves getting advice and assistance to determine how you
can meet your financial needs and future goals. Financial planners can help you
with investing, managing your resources and retirement planning.
You may not need advice if you are only investing for the short-term or have the confidence and skills to look after your own
financial resources and investments.
But if you would like financial advice, consider these tips when choosing a financial planner.
• Visit several financial planners so you can compare their advice and how well it fits with your goals.
• Bring documents and information that the planner will need to know to give you the best advice. This can include financial
statements, what your financial goals are and information on upcoming events that might affect your finances like travel,
moving to a retirement home or health issues.
• Take a list of questions to ask the planner to help you make a decision. Remember, you are hiring someone to do an
important job for you. Interview the potential planner with this in mind.
• Choose a planner from a licensed advisory business, to be sure they are legally registered.
Centrelink‘s Financial Information Service seminar program offers free public seminars on choosing a financial planner, as well
as many other financial topics. To see if there is a seminar near you visit www.centrelink.gov.au or call 13 6357.
To check license details, or to see if a financial planner has been banned from practising, visit www.moneysmart.gov.au or call
the Australian Securities and Investments Commission Infoline on 1300 300 630.
Could you benefit from an Advance Payment
of your pension?
An Advance Payment is a lump sum amount which comes out of your future
entitlement.
Advance Payments work by paying you a lump sum up front and reducing your fortnightly pension for a time to pay it back.
Please note an Advance Payment is not a loan.
Advance payments may help you to budget for some of those big bills such as insurance premiums, car registrations and gifts,
or to cover unforeseen expenses such as household repairs or unexpected travel.
You may qualify for an Advance Payment if you receive the Age Pension, Carer Payment, Disability Support Pension, Widow
B Pension or Wife Pension.
Minimum and maximum amounts limit the lump sum you can receive. These amounts are linked to the pension rates and are
affected by the CPI increases, which take effect from 20 March and 20 September each year.
Advance Payment rates for pensioners who receive the full rate of pension are currently:
Minimum amount Maximum amount
Single rate $348.95 $1046.85
Partnered rate $263.00 $789.00
• Rates current for period of 20 March 2011 to 19 September 2011
• Maximum amount is less for those receiving a part rate or under 21 rate
Here are some common questions and answers about an Advance Payment.
Q: How much will an Advance Payment reduce my pension each fortnight?
An Advance Payment is recovered over a period of 13 fortnights. For example, if you take a $500 advance, each of your next 13
pension payments will reduce by $38.50 to repay your advance.
Q: Can I spread the repayment over a longer period?
No. When you talk to Centrelink about an Advance Payment you will be asked what you can afford. Centrelink will use
this information to work out how much the Advance Payment should be. The recovery period is set at 13 fortnights.
Centrelink will only approve Advance Payment amounts an individual can afford without causing financial hardship. In
this case, you may be able to afford a lesser Advance Payment but it cannot be below the minimum amount.
Q: If I want to take more than one Advance Payment, how will it affect my fortnightly payment?
Advance Payments are recovered in the order you take them. If you take a second or third Advance Payment, your fortnightly
payment will reduce each time. Following on from the previous example, if you take a second $500 advance, your fortnightly
pension will go down by $77; two lots of $38.50. Once the first $500 advance is repaid, the amount coming out of your pension
will go from $77 to $38.50 and will stay at $38.50 until the second advance is repaid.
Q: Why was my advance not approved?
All Advance Payment requests are checked to determine if you are eligible. Two common reasons why an advance is not
approved are:
1. the amount of advance requested is less than the minimum amount, or
2. the person is repaying a debt.
Keep in mind, you can only get three advances over a six month period (13 fortnights) if you take no more than the minimum
amount each time. If you take more than the minimum, even by a small amount, there is a risk that the minimum amount may
not be available when you next apply.
For example: if you receive the maximum pension (partnered rate), you can choose an Advance Payment amount between
$263 and $789 (see table). If your first advance is $600, the remaining amount will be $189 ($789 minus $600). If three
weeks later you wish to take this remaining amount as a second advance, your request cannot be approved. This is because
the amount of $189 is less than the $263 minimum.
Need more information?
For more information on an Advance Payment, including how to apply, visit www.centrelink.gov.au call the Centrelink
Seniors line on 13 2300 or visit your local Centrelink Customers Service Centre.
Have you thought about a family agreement?
It is one option when considering your future care and accommodation needs.
A Family Agreement is an arrangement made between an older person and another party, usually a family, friend or carer.
These agreements often involve a mutually beneficial arrangement where you provide a benefit to your family in exchange for
them taking care of you.
Many families enter into successful and supportive arrangements. A shared accommodation arrangement may help you have
closer contact with your grandchildren and save your family child minding fees. Your family may also be able to care for you if
you become ill.
Family agreements can be beneficial and provide you with some security—but it is important to be aware of the potential risks.
Some families enter into agreements with good intentions, but do not realise the legal or financial implications. It is important to
plan for future changes.
If you provide a financial guarantee or transfer the title of your home to your family and they cannot meet their financial
obligations, you could lose your home.
If you intend to transfer ownership of your assets whilst receiving a pension it is also very important to discuss this with
Centrelink as it may affect your payments.
To help protect yourself, you can follow a few key steps before entering into a family agreement.
1. Seek legal and financial advice.
2. Find out if your name should be on title deeds.
3. Talk to Centrelink, the Australian Taxation Office and any other relevant authorities.
4. Be sure you know how this arrangement may affect you and your family and try to anticipate what could happen in the
years ahead.
5. Get it in writing.
Family agreements can be useful, but make sure you get good advice and only enter into one because you want to, not because
others want you to. For more information contact the Legal Aid Commission in your state or territory or call the Centrelink
Seniors line on 13 2300.
How will you receive your retirement income?
Most retirees choose an annuity or an account-based pension. Both can provide regular income payments to meet your daily
living expenses.
Before making a decision however, learn the basics of each. It is a good idea to also seek professional advice for your situation.
What is an annuity?
According to ASIC‘s helpful MoneySmart website at www.moneysmart.gov.au an annuity is an investment purchased with a
lump sum that guarantees to pay a set income for a set period, either a number of years or for life. Income may be indexed each
year, often in line with inflation.
Lifetime or fixed-term annuities are purchased through super funds and life insurance companies. You can use your
superannuation savings and other savings that you may have.
The certainty of guaranteed income is the biggest advantage of an annuity. You choose how long your income will last. That
may be a set number of years, or the rest of your life.
An annuity works by you selecting the term of your payments (how long your annuity will last) and your income payment
frequency (usually either monthly, quarterly, every six months or annually).
The drawbacks are that if the market does very well, your income will not increase above the usual rate of indexation and that
lump sum withdrawals from your annuity are generally not allowed.
That being said, annuities can be great for people without other income and unable to ride out any lows in the market, or for
those who prefer a higher level of security in order to plan ahead.
What is an account-based pension?
An account-based pension is a pension purchased with a superannuation payout on retirement or in the transition to retirement.
Previously known as allocated pensions, account-based pensions can provide a regular income in retirement, or from
preservation age, which is when an individual is able by law to access their preserved super savings.
People who wish to tell their financial planner or investment manager how to invest their money, or prefer the flexibility of
making withdraws and changing their payment amount, may prefer an account-based pension.
An account-based pension works as follows:
• Your account balance is your total super benefit, so when that runs out, your balance is exhausted and your income is not
guaranteed.
• You choose your income level above a minimum amount, except in the case of transition to retirement pensions where there
is also a maximum limit.
• Income payments can be received monthly, quarterly, half-yearly or annually and will continue until your balance is
exhausted.
• Unlike an annuity, money can be withdrawn as a lump sum amount, unless your pension is paid under transition to
retirement rules.
Keep in mind that your balance is linked to the performance of actual investment assets over time.
Generally, you can choose cash, fixed interest, property or shares, or a combination of these depending on your preference. It
means your pension account may benefit from capital growth or, during periods of poor investment performance, may decrease.
Your balance can also be rolled back into a super accumulation account.
What about Age Pension?
If you receive a full or part Age Pension, an annuity or account-based pension may be counted in the income or assets test. You
should check with Centrelink how they may affect your entitlement.
What is right for you?
One size does not fit all when it comes to receiving income in retirement.
Take time to learn the options available to you and shop around to find the type of retirement income stream that best meets
your needs.
For more information, visit ASIC‘s MoneySmart website at www.moneysmart.gov.au or contact a Centrelink Financial
Information Service Officer on 13 2300.
Article supplied courtesy of the Australian Securities and Investment Commission (ASIC).
Save time and go online
Centrelink‘s self service facilities are a secure, quick and convenient way to do your Centrelink business without having to visit
a Centrelink Customer Service Centre or speak to a Customer Service Adviser over the phone.
By using self service you can:
• lodge a claim for eligible payments
• view and print your online letters
• update your details
• update your address and accommodation details
• apply for an Advance Payment
• view or request a Payment Summary at the end of financial year
• view your current Work Bonus balance
and history
• request a replacement card
• report employment income
• receive SMS or email alerts to your mobile phone number or email address when you have a new online letter.
1. Register for Online Services
To register for Online Services, visit www.centrelink.gov.au and select ‗Register‘ under the Online Services Logon button.
2. Subscribe to Online Letters
You need to have at least level three access to subscribe to Online Letters. Your access level is determined by the number of
questions you answer correctly when registering for Online Services. These questions confirm information previously provided
to Centrelink about your identity, which may include such details as your bank account information and dependant details. The
more questions you answer correctly, the higher your access will be. Please ensure you have this information ready when you
register.
To subscribe after registering for Online Services, select ‗Reminders and Letters Subscriptions‘ from your personalised menu,
then ‗Reminders and Letters Subscriptions‘ and follow the simple instructions to subscribe to Online Letters.
Further information and video demonstrations are available at www.centrelink.gov.au
New ways to claim your Medicare benefit
Is it difficult for you to attend a Medicare office? More convenient ways to claim
your Medicare benefit may be available to you.
Online
Some types of Medicare claims can be lodged using Medicare‘s Online Services at www.medicareaustralia.gov.au
This service is available 24 hours a day, seven days a week. Claims can be lodged for common GP visits for anyone on your
Medicare card including grandchildren and guardians.
Lodging your claim online is easy. Step-by-step instructions are provided and a phone help desk is available to assist you. Your
benefit will be paid into your bank account within two to three working days.
To get started register online at www.medicareaustralia.gov.au/online
You can also ask a customer service representative at your local Medicare office to help register you.
At the doctor
Many medical practices can now lodge a claim on your behalf. Register your bank details with Medicare Australia to make
it easier for your benefits to be paid automatically into your bank account if your doctor offers this service. Ask the staff
next time you see your doctor.
To find out more about lodging your next Medicare claim online or at the doctor, call 13 2011* or go to
www.medicareaustralia.gov.au
*Call charges apply
Stay safe this winter
The cold months can bring some hot hazards.
Hot water bottles and heating appliances provide you with warmth and comfort during cold winter nights, however they can be
dangerous if used unsafely.
Safety tips for your hot water bottle
• Never use boiling water out of a kettle to fill your hot water bottle—this will reduce the severity of any burn injury if you are
splashed while filling the bottle or if the bottle bursts.
• Always use a hot water bottle cover or wrap the bottle in a towel of fabric when you use it.
• Never lean on or roll onto a hot water bottle in case it bursts.
• Never sleep with your hot water bottle in your bed in case you accidently roll onto it while you are sleeping.
• Cracked and worn hot water bottles are more likely to burst or leak, which can cause serious burns. To keep yours in good
condition drain it by hanging it upside down with the stopper removed and then store it in a dark, dry place.
• Remember these products have a limited life span so it is best to replace them each winter.
Safety tips for your heating
• Make sure to check that your heaters and electric blankets are in good condition before using them for the first time each
winter.
• If you have a fireplace or a wood heater, ensure the chimney or the exhaust vent pipe is free of blockages before you
start using it to avoid the chance of carbon monoxide poisoning.
• Some fabrics can be highly flammable and cause serious burns. Be careful near open flames, such as fire places and gas
stoves, as your clothing could catch on fire.
For more information on staying safe this winter, visit www.productsafety.gov.au
Article supplied courtesy of the Australian Competition and Consumer Commission (ACCC).
Get involved—it’s good for you
Ageing can lead to social isolation because of increased frailty, lack of mobility
and the loss of friends and family.
The resulting feelings can lead to depression and a range of physical symptoms such as sleep disorders, lack of appetite and low
energy levels.
Experiences of loneliness can range from a vague feeling that something is not right to an intense deprivation and deep pain.
Loneliness is not the same as being alone. It is the feeling of being alone and being sad about it. While everyone feels lonely
sometimes, it is when you feel trapped in your loneliness that it becomes a real problem.
A way to ease these feelings is to tell someone about them. Talking to your friends, family or counsellors or pastors can also
help you recognise other aspects of your life where you can make changes.
Becoming more active is the main way to deal with loneliness. Getting involved in clubs and associations with people who have
similar interests as you can:
• prevent loneliness
• widen your network of friends
• increase social skills
• provide you with structure and routine so that there are things to look forward to.
If you find you are having difficulty dealing with feelings of loneliness on your own, talk to your doctor, a counsellor or call a
Centrelink Social Worker on
13 1794.
Content provided by the Commonwealth Department of Health and Ageing.
It’s just not a conversation without you!
Good relationships are about communication. To make communication easier
and be part of the conversation you need to have good hearing.
Managing hearing loss enables seniors to enjoy a healthier and happier life, and Australian Hearing encourages anyone aged
65 years and over to have their hearing checked every two years.
Ms Janette Thorburn, Principal Audiologist at Australian Hearing, said that hearing can affect good communication in a
number of ways.
‛If someone is having trouble with their hearing it can impact their ability to understand what is being said and to know when
to respond,‘ Ms Thorburn said.
‛It can also lead to feelings of isolation and frustration.‘
A 2009 survey of 300 Australian Hearing seniors‘ customers found that good hearing is linked to better relationships, with one
in four people saying that using a hearing aid improved their social life.
‛Good hearing is the key to feeling like you are part of a relationship with family and friends,‘ Ms Thorburn said.
‛The survey highlighted the positive benefits of using a hearing aid for maintaining a social and romantic life. Three quarters
of clients reported that it was easier to have intimate conversations.‘
‛If someone is struggling with their hearing they should consider doing something about it,‘ she added, ‛not just for
themselves but also their family and friends.‘
Australian Hearing provides subsidised hearing care to pensioner concession cardholders and most veterans. To find out if you
are eligible for free hearing services or to book a free hearing screening, visit www.hearing.com.au or call 13 1797.
You can check your hearing over the telephone using Australian Hearing‘s toll-free service called Telscreen™ on 1800 826
500. This service is available in 11 languages including Arabic, Cantonese, English, Greek, Italian, Macedonian, Mandarin,
Serbian, Spanish, Turkish and Vietnamese.
Are you caring for someone?
Carers play an important role in our society, taking care of loved ones and friends who need care and assistance. Centrelink
supports carers with a range of payments such as Carer Payment and Carer Allowance.
You may be eligible for the Carer Allowance of $110 per fortnight if you are a parent or carer who provides daily care for an
adult or child with a physical, intellectual or psychiatric disability or someone who is frail aged. Carer Allowance is not income
and assets tested and can be paid in addition to your wages or other income support payments such as Age Pension.
For more information on Carer Allowance visit www.centrelink.gov.au call 13 2717 or visit your nearest Centrelink Customer
Service Centre.
Rates
Pension and Rent Assistance Rates SINGLE COUPLE COUPLE COUPLE
and Thresholds combined one eligible separated due to
partner ill health
How much pension Per fortnight Per fortnight Per fortnight Per fortnight each
Maximum basic rate 1 $670.90 $1011.40 $505.70 $670.90
Maximum pension supplement 2, 5 $58.40 $88.00 $44.00 $58.40
TOTAL5 $729.30 $1099.40 $549.70 $729.30
Rent Assistance 3 Per fortnight Per fortnight Per fortnight Per fortnight each
Maximum rate Rent Assistance $116.40 $109.80 $109.80 $116.40
Maximum payment if rent above $258.80 $315.00 $315.00 $258.80
No payment if rent below $103.60 $168.60 $168.60 $103.60
Allowable Income 1a Per fortnight Combined Combined Combined
Full pension up to $150 up to $264 up to $264 up to $264
Part pension 4, 5 less than $1 608.60 less than $2 462.80 less than $2 462.80 less than $3 181.20
Allowable Assets 6 Single Combined Combined Combined
Full pension—Home owner $186 750 $265 000 $265 000 $265 000
Full pension—Non-home owner $321 750 $400 000 $400 000 $400 000
Part pension—Home owner 4, 5 $673 000 $998 000 $998 000 $1 237 500
Part pension—Non-home owner 4, 5 $808 000 $1 133 000 $1 133 000 $1 372 500
Deeming Rates and Thresholds Single Combined Combined Combined
Threshold $44 600 $74 400 $74 400 $74 400
Rate below threshold 3% 3% 3% 3%
Rate above threshold 4.5% 4.5% 4.5% 4.5%
Commonwealth Seniors Health
Single Combined Combined Combined
Card (CSHC)
Income limit (per annum) 7 $50 000 $80 000 $80 000 $100 000
Seniors Supplement (per annum) 5, 8 $816.40 $1 232.40 $616.20 $816.40 each
Pension Bonus Scheme Maximum SINGLE PARTNERED Registration in the Pension Bonus
Rates Effective 1 January 2011 (each) Scheme* is limited to those who met the
age and residence requirements for Age
Pension before 20 September 2009.
Maximum Bonus after Year 1 $1 689.50 $1 277.50
Registered members with unregistered
partners may wish to contact Centrelink‘s
Maximum Bonus after Year 2 $6 758.10 $5 109.90 Financial Information Service on 13 2300
to discuss how this change might affect
Maximum Bonus after Year 3 $15 205.80 $11 497.30 them.
Maximum Bonus after Year 4 $27 032.60 $20 439.70
Maximum Bonus after Year 5 $42 238.40 $31 937.00
If you are receiving or have received Age Pension, you are not eligible for a Pension Bonus.
Pension Reform SINGLE COUPLE COUPLE COUPLE
Transitional Arrangements combined one eligible separated due to
Rates and Thresholds partner ill health
How much pension Per fortnight Per fortnight Per fortnight Per fortnight each
Maximum rate $650.90 $1 051.40 $525.70 $650.90
Allowable Income Per fortnight Combined Combined Combined
Full pension $150 $264 $264 $264
Part pension $1 777.25 $2 892.50 $2 892.50 $3 518.50
Allowable Assets Single Combined Combined Combined
Full pension—Home owner $186 750 $265 000 $265 000 $265 000
Full Pension—Non-home owner $321 750 $400 000 $400 000 $400 000
Part Pension—Home owner $620 750 $966 000 $966 000 $1 133 000
Part Pension—Non-home owner $755 750 $1 101 000 $1 101 000 $1 268 000
Pensioners receiving payments at 19 September 2009 who would have received a lesser payment because of the changes made to the pension
system from 20 September 2009 (including changes to the income test taper rate, the Work Bonus and removal of higher income test free
area for pensioners with dependent children) were instead
paid a transitional rate until the new rules provide an equal or better outcome for them, or their pension otherwise ceases to be payable. The
transitional rate (which is only payable to a minority of pensioners) is based on the income test rules that applied before 20 September 2009.
Transitional rates are indexed to the CPI.
These figures are a guide only. Effective 1 July 2011 unless otherwise stated.
1. Rate of payment is calculated under both the income and assets tests. The test that results in the lower rate (or nil rate) is the one that is applied. There is
no income or assets test for customers who are permanently blind. Some assets are deemed to earn income and there are special rules for other types of
income.
a) Income over allowable amounts for full pension reduces pension by 50 cents in the dollar for singles and 25 cents in the dollar each for couples.
b) Each fortnight, the Work Bonus disregards up to $250 of employment income earned by pensioners over age pension age (unless paid Parenting
Payment). If employment income is less than $250, the unused Work Bonus is banked up to a maximum amount of $6,500. This bank then discounts
future employment income that exceeds $250 per fortnight.
2. Pension Supplement Basic Amount per fortnight ($20.40 single, $17.00 partnered, each) is paid for temporary absences after 13 weeks and all permanent
departures overseas.
3. Rent Assistance is not payable to people paying rent to a government housing authority. Special rules apply to single sharers, people who pay board and
lodging or live in a retirement village. There are additional rates for those who have dependent children. Rent Assistance is generally paid with Family
Tax Benefit if there are dependent children, or with the pension if there are no children. For temporarily separated rates, call 13 2300.
4. Your payment may be higher if Rent Assistance is paid with your pension.
5. These amounts only apply to pensioners in Australia or absent for a continuous period not exceeding 13 weeks.
6. Single and combined couple rates are reduced by $1.50 per fortnight for every $1000 of additional assets above the allowable assets limits for full
pension. Certain assets, including a person‘s home, are not included in the assets test.
7. Income test for the CSHC is adjusted taxable income.
8. To obtain the daily rate of Seniors Supplement, divide the annual amount by 364. The quarterly amount is then calculated by multiplying the daily rate
by the number of days Seniors Supplement is payable in that quarter.
Note: Absences from Australia may affect your payments. If you are planning on travelling outside Australia please contact Centrelink for more information
on 13 2300.
For more information visit www.centrelink.gov.au
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