Applying for Australian pension

Welcome to the forum ferr, there are plenty of posts on this topic but my understanding and only what I have read as follows. For me to ever avail an Aussie pension from Oz I need to go back to Australia and live there for 2 years before I hit 67.

45 years of paying copious amounts of tax and it used to be 65 YOA. All that aside? I will get nothing because the pension is means tested and I will get diddly squat as I have too much cash in the bank and a very large super account that I won't be touching for years. My taxes are paying the non thinkers it seems.

The other point is that if you live out of country after securing your hard earned pension your benefits from memory are reduced by around 2K per annum as well as other losses. Medical etc.

https://tinyurl.com/bdf2pwwm

Good luck.

Cheers, Steve.

So, in other words, Aussies are screwed?...

@bigpearl thanks for your bragadocia.  Perhaps a succinct answer to the question rather than drivel may be more helpful. 

@bigpearl thanks for your bragadocia. Perhaps a succinct answer to the question rather than drivel may be more helpful.
-@Peter Crawford

The facts, no need to brag, reality mate and as another member mentioned? Yes screwed for some Aussies that actually considered their retirement.

BTW the correct spelling is braggadocio.

OMO.

Cheers, Steve.

Australia is the ultimate in socialism when it comes to retirement.  Only the primary residence is ignored when it comes to means testing.  A person with a million dollar house and no savings will receive the full pension, while a person with a 300,000 dollar house and $700,000 in savings will get nothing.  In addition, those living out of the country will get a smaller pension.  I know a couple from Australia who came to the USA to work for over 10 years so they could collect US Social Security since Australia was going to give them nothing.

Tell that couple working in the USA to not hold their breath. The US Govt is planning major proposed changes to their SS system, including raising the full retirement age from 67 up to 70, & imposing means testing as well, giving higher SS checks to those who worked in lower wage jobs...so they may be working for 10 yrs just to get "pennies on the dollar" for a SS payment when they do retire.

So, in other words, Aussies are screwed?...
-@Harbred6051

Makes a change given that most Filipina's have been screwed by one.

Tell that couple working in the USA to not hold their breath. The US Govt is planning major proposed changes to their SS system, including raising the full retirement age from 67 up to 70, & imposing means testing as well, giving higher SS checks to those who worked in lower wage jobs...so they may be working for 10 yrs just to get "pennies on the dollar" for a SS payment when they do retire.
-@Harbred6051

They already retired to Australia and are collecting their USA Social Security benefits.

Tell that couple working in the USA to not hold their breath. The US Govt is planning major proposed changes to their SS system, including raising the full retirement age from 67 up to 70, & imposing means testing as well, giving higher SS checks to those who worked in lower wage jobs...so they may be working for 10 yrs just to get "pennies on the dollar" for a SS payment when they do retire.
-@Harbred6051

Where did you hear this?

The only change I've heard of is raising the payroll tax contributions and adjusted retirement age over a period of time.

There is consequences in raising the age, more people will opt for early SS. Also if a senior citizens happens to be looking for employment, the market is very small for this age group. Thus they are in limbo, no SS benefit no employment.

With all this in mind I can see a increase in people applying for SSDI benefits.

So politicians will consider their actions impacting their future election.

For every person collecting SS, there are three working stiffs whose payroll contributions are paying the current SS benefits.

Heard those PROPOSED SSA benefits changes, might be politically impossible because of lowered re-election prospects.  Mostly pushed by those wanting to lower highest federal income tax rates and corporate taxes, cutting SSA as a cost saving measure.

Tell that couple working in the USA to not hold their breath. The US Govt is planning major proposed changes to their SS system, including raising the full retirement age from 67 up to 70, & imposing means testing as well, giving higher SS checks to those who worked in lower wage jobs...so they may be working for 10 yrs just to get "pennies on the dollar" for a SS payment when they do retire.
-@Harbred6051

The above changes will happen its just a matter of when. There are UK government wonks looking at this too. Most western economies with ageing populations will not be able to afford to carry on as they are. Pensions currently represent the 2nd largest chunk of UK govt expenditure.

Most western govts have increased the pension retirement age over the last decade. Inevitably at some point in the future means testing will kick in. The UK state pension as it stands is already one of the lowest in Europe and quite a bit less than the US state pension albeit all healthcare is free including prescriptions - provided you're in Blighty and not in the Philippines on a beach with your beloved Filipina.

Fortunately for UK expats the Philippines is one of the few countries where the state pension is index (C.O.L.A) linked.