Property-Owning Pensioners Face Cut to Support Payments Under New Rules
The deeming rate, which the government uses to assess pensioners' social security payments, will increase on Sept. 20.
TL;DR
- Pensioners in Australia may face reduced government payments.
- The deeming rate, used to assess social security payments, is changing.
- The deeming rate will increase from 1.25% to 1.75% for assets up to $66,800 (singles) and $110,600 (couples).
- Assets above the threshold will be subject to a 3.75% rate.
- The deeming rate represents the assumed return on personal investments used to calculate pension payments.