When you sell your home, the proceeds are exempt for up to 12 months if you plan to use them to buy, build or renovate another home. The proceeds are 'deemed' in the income test — they are assessed as income from financial assets. This may affect the amount of government benefits you get.
Centrelink will also 'deem' (take as a fact) that you are receiving income from the amount of money you have received from the sale of your house. Centrelink will assess the 'deemed income' from the $500,000 until you pay for the new unit.
Sign in to myGov and select Centrelink. Select MENU from your homepage. Select Income and assets, then Income and assets details and Manage income and assets.
Your home is not counted as an asset when calculating pension or payment, but it does affect how your pension or payment is assessed under the assets test.
We include most real estate you own in your assets test. The only real estate asset we don't include is your principal home.
Assets include any: financial investments. home contents, personal effects and vehicles. real estate, annuities, income streams and superannuation pensions.
When you sell your home, the proceeds are exempt for up to 12 months if you plan to use them to buy, build or renovate another home. The proceeds are 'deemed' in the income test — they are assessed as income from financial assets. This may affect the amount of government benefits you get.
How Centrelink knows your assets without you telling them. Centrelink has multiple data-sharing agreements with government organisations like the ATO, Medicare, PayG and more. This helps them to maintain a view of your assets, and in certain circumstances they may apply additional scrutiny to individuals.
The Work Bonus income bank is useful for pensioners who wish to work, particularly those who undertake intermittent or occasional work. Note: from 1 December 2022 to 31 December 2023, a one-off, temporary credit of $4,000 applies to Work Bonus income bank balances.
When should I update my asset values with Centrelink? You should update your details with Centrelink anytime your situation or value of assets change and the changes are relatively significant. Centrelink will generally complete a balance update for most recipients annually, commonly in July.
Job seekers getting Youth Allowance
If you get Youth Allowance as a job seeker you can earn money and still get your payment. We'll start to reduce your payment if your income is more than $150 a fortnight. Your payment will reduce by 50 cents for each dollar of income you have between $150 and $250.
Yes, you have to disclose your inheritance to Centrelink within fourteen days of being able to access your inheritance.
The payment rates for Age Pension, Carer Payment and Disability Support Pension are increasing from 20 March 2023. Age Pension, Carer Payment and Disability Support Pension will increase by $37.50 a fortnight for singles and $56.40 a fortnight for couples combined.
The “downsize incentive” is due to start on 1 July this year (2018) and will allow people over the age of 65 to contribute up to $300,000 from the proceeds of the sale of their home into their superannuation. In the case of a couple this means up to $600,000 could be contributed.
Typically, when you sell an asset you must pay capital gains tax (CGT) on any profit made on the sale.
Centrelink has very broad powers to demand information from any individual or organisation. For example, they can require your bank or your employer to give details of your financial transactions, or any other personal details that are relevant to your Centrelink entitlements.
A capital gain is NOT treated as income for social security income support purposes. If a capital loss is made it CANNOT be offset against other income amounts.
Bank interest reviews. We check your bank account information is up to date. We do this to check we paid you the right payment and amount in the past.
Can I Get the Pension if I Have Super? Having superannuation savings does not deny you from receiving Age Pension payments. Eligibility for the Age Pension is based on an Assets Test and an Income Test.
You can request a Statement of Debt for any 5 year period going back to 1998. You can make more than one request.