Measures for older Australians

The Government will introduce a range of measures from 1 July 2019 to enhance the standard of living of older Australians:

  • increase the Pension Work Bonus from $250 to $300 per fortnight (ie $7,800 a year) and extend the Bonus to self employed retirees who will be able to earn up to $300 per fortnight without impacting their pension;
  • amend the pension means test rules to encourage the development and take up of lifetime retirement income products that can help retirees manage the risk of outliving their savings; and
  • expand the Pension Loans Scheme to everyone over Age Pension age and the maximum fortnightly income stream will be increased to 150% of the Age Pension rate. This will enable Australians to use the equity in their homes to increase their incomes.

Super fees to be capped for small accounts and exit fees banned

Passive fees charged by superannuation funds will be capped at 3% for small accounts (balances below $6,000), while exit fees will be banned for all superannuation accounts from 1 July 2019.