Not paying tax on an Australian Pension, not strictly true, although they do receive a higher amount compared to the UK State Pension.
The Australian’State Pension’ is means tested and is paid via Centrelink’ which is similar to DSS here in the UK. If you have a certain amount of money in the bank (Unsure if the amount) you aren’t eligible to receive it (unlike UK State Pension which you don’t pay tax on, although UK Pension Credit Supplements are means tested). Where as everyone in the UK pays National Insurance Contributions gets a pension.
Australian Superannuation is the pension your employer legally has to pay a set percentage this was 9% due to go up to 12% (as we left in 2017) of your salary and you had the option to pay extra (Similar to AVC’s in the UK), you also had the choice of paying on it before tax or after tax (After Tax meant that you didn’t pay any tax when you received your Superannuation.
So the system isn’t the same, you also don’t get ‘free prescriptions’ at 60, but once you reach pensionable age 66 rising to 67 years you get a card and pay a reduced Set amount (I believe about £3 per item for medication). Prescriptions items aren’t one set amount, what you pay depends on the medication. I was paying the equivalent £70 per month for the regular medications I need, whereas on my return to the UK - over 60 I didn’t pay anything.
Shinamae Fri 22-May-20 11:21:20
Redtop1 Sat 23-May-20 20:01:42
Callistemon Sat 23-May-20 22:55:50
Callistemon Sat 23-May-20 23:02:20