New laws giving older Australians a better deal in retirement have passed the Parliament.
The Retirement Incomes Bill 2018 will make a number of changes to give locals more financial options in retirement from July 1.
The Pension Work Bonus – the amount that can be earned from work without affecting eligibility for the Age Pension – will rise from $250 to $300 a fortnight, giving 90,000 people across Australia an increase in their payments.
Australians of retirement age who chose to work will be able to keep more of their pension. Self-employed pensioners will also qualify for the Work Bonus for the first time.
Some 1,150 more people will become eligible for a social security pension for the first time.
The new laws also expand the Pension Loans Scheme, giving more people the option of borrowing against the value of their home to draw down fortnightly payments from Centrelink.
The expanded Pension Loans Scheme will give people a higher standard of living in retirement by receiving additional fortnightly payments in the form of a loan, conveniently paid into their accounts fortnightly by Centrelink.