Age Pension and Harmer Report which is not to be released til May
Oh well we have a lot of leaks about this report and some articles appearing in the papers.
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This is one I found interesting.
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[quote]Wealthy pensioners to lose out
February 27, 2009
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A MILLION pensioners stand to have their payments reduced to cover the cost of an increase to the pension paid to single people.
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The Federal Government will receive a report today from the senior public servant Jeff Harmer about the adequacy of the age pension. It is expected to say the system is poorly targeted because it pays too little to those most in need and too much to people with private income from superannuation or property.
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Senior officials from Treasury and the Department of Family and Community Services are believed to support tilting the balance in favour of poorer retirees by changing the taper rate, or the income threshold at which the age pension begins to decline.
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A change to the pension system would fit in with the Government's desire to clamp down on middle-class welfare.
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On January 1 it tightened eligibility for the baby bonus and family payments by introducing a $150,000 income test, a decision that affected 50,000 families.
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The Herald has learned significant savings could be made by lifting the taper rate from 40 cents to 50 cents, which means pensions would decline by 50 cents for each dollar earned over the qualifying threshold.
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This would take the rate back to the level of a decade ago, when it was reduced to appease pensioner lobby groups before the introduction of the GST.
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It would also reduce the stress on a budget already headed for significant deficit.
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About 1 million people, most of whom receive only a part pension, would be affected.
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They are likely to be comparatively wealthy and own their homes outright and have other sources of income.
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Welfare groups said they would support the change because it would mean the pension would be better targeted to help poorer people, those with caring responsibilities and those renting private accommodation.
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The director of the Welfare Rights Centre, Maree O'Halloran, said the system needed to be overhauled to make it equitable.
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"Unless the fundamental design of the system is considered it will be impossible to fairly address the adequacy of payments," Ms O'Halloran said.
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"A single person can get some of the pension and a range of other concessions when their income is about $770 a week. [b]Working families paying a mortgage and trying to get their kids through school would consider this amount a bit rich."[/b]
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The chief executive of National Seniors Australia, Michael O'Neill, said the first priority of the pension system needed to be "making sure the most vulnerable are looked after". "Any focus needs to be on them. As a consequence, the focus needs to be where the money is spent at the other end of the scale. In terms of the taper rate that might be one of the issues we have to deal with."
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[b]Although the Government has committed itself to increasing the pension in the budget in May it is also wary of condemning itself to years of high welfare bills due to the ageing population and the declining value of superannuation.[/b]
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[b]An increase of $30 a week for single pensions would cost the Government billions of dollars when it can least afford it.[/b]
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AA spokeswoman for the Minister for Family and Community Services, Jenny Macklin, said the Government remained [b]"committed to delivering long-term pension reform in the context of this year's budget"[/b].[/quote]
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http://www.smh.com.au/national/wealthy-pensioners-to-lose-out-20090226-8j99.html?page=-1
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Ok read that have you - well what do you think of it?
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There is the last stinger in the tail - Jenny Macklin says which means what? Reform of the assets for home ownership for one thing I suspect.
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Also we have that phrase - working families raising its ugly head again - Rudd speak - for you are too bloody old and useless so die you buggers - do you think?
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Forgetting of course that we all worked and paid our income taxes without any of the handouts that the younger ones who sneer at us expecting to get a bit better than a below poverty pittance whilst they think nothing of their welfare handouts of Tax Benefits and First Home Owners Grants and all the things not one of the Age Pensioners today got because they were not brought in when they were working to pay off a home and keep a family on a what most would consider to be a blooming low wage they wouldn't get out of bed for!
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Now we will not be able to access the Harmer report until after the May Budget so that means that we will have to put up with whatever is given and I suspect it will be a bitter pill for many and a bit of a kick in the teeth even for those singles who did struggle along with their spouses to pay off a home and some still are doing the same paying off a mortgage and during times when rates were up to 18% and we have all been through 3 Labor recessions and this is the fourth recession and again strangely enough under Labor.
What on earth is that one side poll in aid of? Bag Labour?
Where is the absolutely will vote Labour again? I will as I believe our Prime Minister
Mr. Kevin Rudd is doing a great job.
Talk about bias..............:(
Phyl.