I am on a CSS Defined Benefit for life. I have two choices having money in Accumulation stage already. I am 71, converting present amount in Accumulation to a Lifetime Annuity where Centrelink only look at 60%, and leave present amount in the bank earning a good 5.25% interest as a readily accessible source, but taxable. Or just use the Grandfather three year rule of being allowed to transfer the maximum $360,000 to add to the present Accumulation Account, to join the money already there, and do the Lifetime Annuity option, and have a great untaxable income for hopefully the rest of my life? Because of the regular CSS payment either option will work for me, but just wondering what other retirees might do in this situation!
I am looking for ways to optimize my Age Pension entitlements while ensuring legal compliance, I have heard from TH-cam channel which is to contribute super to my younger spouse in order to legally hide money from Centrelink Age Pension. I already at Age Pension age while my partner is several years away. I just want to found out for Centrelink purposes, will this action to be seen as Gifting? And it’s not benefit to optimize my Age Pension entitlements within a period of 5 years. Thanks for your kind advice.
@elsachu9607 yes, this is a common strategy employed by a lot of retirees and it is not deemed as a gift. There are a few things to be aware of so just make sure you do your homework first 😊
Hey Vanessa, you are assessed as a couple even if only your husband is eligible. I deliberately didn't put the asset thresholds in the video because they depend on your situation and change regularly, but you can find them here www.servicesaustralia.gov.au/assets-test-for-age-pension?context=22526
I am on a CSS Defined Benefit for life. I have two choices having money in Accumulation stage already. I am 71, converting present amount in Accumulation to a Lifetime Annuity where Centrelink only look at 60%, and leave present amount in the bank earning a good 5.25% interest as a readily accessible source, but taxable. Or just use the Grandfather three year rule of being allowed to transfer the maximum $360,000 to add to the present Accumulation Account, to join the money already there, and do the Lifetime Annuity option, and have a great untaxable income for hopefully the rest of my life? Because of the regular CSS payment either option will work for me, but just wondering what other retirees might do in this situation!
I am looking for ways to optimize my Age Pension entitlements while ensuring legal compliance, I have heard from TH-cam channel which is to contribute super to my younger spouse in order to legally hide money from Centrelink Age Pension. I already at Age Pension age while my partner is several years away.
I just want to found out for Centrelink purposes, will this action to be seen as Gifting? And it’s not benefit to optimize my Age Pension entitlements within a period of 5 years.
Thanks for your kind advice.
@elsachu9607 yes, this is a common strategy employed by a lot of retirees and it is not deemed as a gift. There are a few things to be aware of so just make sure you do your homework first 😊
Hi Brad. If my partner is to apply for pension, would he be assessed on his own or as a couple? What is the income and asset threshold to be eligible?
Hey Vanessa, you are assessed as a couple even if only your husband is eligible.
I deliberately didn't put the asset thresholds in the video because they depend on your situation and change regularly, but you can find them here www.servicesaustralia.gov.au/assets-test-for-age-pension?context=22526