Australia Raises ‘Deeming Rates’ to 1.75 Percent, What It Means for Pensioners
National Seniors Australia says most pensioners will still receive a modest increase, and noted that the deeming rate could have gone up higher.
TL;DR
- The federal government has increased the 'deeming rate' for pensioners.
- The deeming rate estimates income from financial assets to determine pension amounts.
- The deeming rate increased by 0.5 percent on August 20.
- The new deeming rate is 1.75 percent for assets up to $66,800 for singles and $110,600 for couples.
- Assets above these thresholds are subject to a 3.75 percent rate.