Page 3 - Centrelink blow

What will the new deeming rates be?

Plibersek said the lower deeming rate will rise to 0.75 per cent from September 20.

This will apply to financial assets under $64,200 for singles, and $106,200 for a couple's
combined assets.

The upper rate will rise in a similar 0.5 per cent increment to 2.75 per cent for assets above both

thresholds.

The Social Services Minister indicated this will be the first of a series of phased increases in the
deeming rate.

September 20 will also be the date that certain Centrelink payments go up due to indexation.

After that, the decision to raise, lower, or hold deeming rates will be governed by the Australian
Government Actuary.

Plibersek said the body will be able to advise the government on the "most appropriate rate"

that reflects current economic conditions, but there will still be some oversight.

“The government will retain the power to make adjustments, including during exceptional
circumstances or events," she added

This article originally appeared on Yahoo Finance AU at

https://au.finance.yahoo.com/news/centrelink-blow-for-460000-pensioners-as-major-
change-to-deeming-rates-announced-gradually-return-223915725.html