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seniors fact sheet 2007–08

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income support for seniors This fact sheet, together with fact sheets 3–8, outlines ways in which the Australian Government supports seniors receiving income support.

$111.40 a fortnight for a couple combined, more than they would have otherwise done (based on 20 March 2007 pension rates).

Age Pension

Centrelink customers may be eligible for additional assistance including: > a quarterly Telephone Allowance for eligible pensioners and certain allowees > Pharmaceutical Allowance for pensioners and certain allowees > Rent Assistance, a supplementary benefit paid to eligible pensioners, allowees and certain Family Tax Benefit recipients who pay private rent > Remote Area Allowance, for all income support recipients whose usual place of residence is in certain defined remote areas of Australia > Utilities Allowance (see below).

Age Pension is a payment for people of age pension age who cannot support themselves fully in retirement. It is paid to ensure adequate incomes in retirement.

A person may get Age Pension if they are a male aged 65 years and over or a female aged 63 and a half years and over (gradually increasing to 65 years), meet certain residence requirements, and have assets and income below certain amounts.

Pension indexation Pension rates are checked every March and September to make sure they keep pace with cost of living increases, as measured by the Consumer Price Index (CPI). The CPI is a very good measure of how price changes in goods and services affect age pensioners, as well as the general population.

Pension benchmarked to 25 per cent of Male Total Average Weekly Earnings (MTAWE) In addition to the normal six-monthly adjustment to the pension to compensate for price increases, pensioners also share in improvements in community living standards as measured by wages. The Australian Government legislated to ensure the maximum single pension rate is at least 25 per cent of MTAWE, with proportional flow-ons to the maximum partnered rate.

As a result of this legislation, since March 1998 pension rates have increased by $66.20 a fortnight for singles, and by

Supplementary payments

Utilities Allowance Utilities Allowance is paid to older Australians on income support to provide additional assistance with household bills.

The allowance is indexed to the Consumer Price Index, and is paid automatically in March and September each year. Since September 2006 Utilities Allowance has also been paid to all recipients of Mature Age, Partner and Widow Allowances.

Concessions All social security pensioners, Department of Veterans’ Affairs service pensioners and war widows who receive the Income Support Supplement and certain allowees are automatically issued a Pensioner Concession Card (PCC).

PCC holders and their dependants may receive: pharmaceuticals listed under the Pharmaceutical Benefits Scheme (PBS) at

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income support for seniors the concessional rate (and PBS prescriptions, generally without charge, for the remainder of the calendar year after reaching the PBS safety net); a lower Medicare safety net; access to bulk-billing at the discretion of their GP; and free hearing assessments and rehabilitation from selected providers.

State, territory and local governments also provide a range of concessions to PCC holders.

These may include reduced fares on public transport, and reduced rates, utilities and motor vehicle registration charges.

2007–08 Budget one-off payment for older Australians The 2007–08 Federal Budget has reaffirmed the Australian Government’s commitment to older Australians by providing a one-off non-taxable bonus payment of $500 to each person qualified for Utilities Allowance or Seniors Concession Allowance on Budget night. More than two million older Australians received the bonus payment before the end of June 2007, at a total cost of $1.3 billion.

Pension assets test Rural and rural-residential landowners Since 1 January 2007, age pensioners and Carer Payment recipients of age pension age may have the maximum amount of private land that can be exempt from the assets test increased from two hectares, to encompass all land on the same title as the age pensioner’s or carer’s home. To benefit from this measure, age pensioners and carers must have a long-term (20 year) continuous attachment to their land and home, and must show they are making effective use of productive land to generate an income, given their capacity.

Impact of assets test on rate of pension As part of the Better Super reforms, legislation has been passed to make the assets test more generous. The new rules will increase incentives to save for retirement.

From 20 September 2007, the pension assets test taper rate will be halved so that pensioners only lose $1.50 instead of $3 every fortnight in pension for every $1,000 of assets above the assets test threshold.

Exemption of accommodation bonds Since 1 July 2005, accommodation bonds paid by residents in residential aged care have been exempt from the social security and veterans’ affairs assets tests.

This measure applies to all lump sum accommodation bonds, regardless of when they were paid. In addition, residents who pay all or part of their accommodation bond by periodic payments are able to rent out their former home, without the rental income or the value of the former home affecting their rate of pension.

Extension of exemption on new homes From 1 July 2007, the Australian Government extended the exemption period of principal home sale proceeds from 12 months to up to 24 months, in certain circumstances, for affected pensioners. Subject to the passage of legislation, customers who have been forced from their home due to a disaster and have not been able to rebuild or repair their home within 12 months due to factors beyond their control, will also benefit from the changes.

Pension Loans Scheme The Pension Loans Scheme is available to part-rate pensioners and some self-funded retirees who own real estate in Australia, and who are not entitled to a maximum rate of pension, or any pension, because of their income or assets (but not both). Under this scheme, a person who is of age pension age, or the partner of someone who is, may be able to obtain a loan that will increase their fortnightly pension payment from a part-rate or nil rate, up to the maximum pension rate.

Repayments can be made at any time or the debt can be left, including the accrued interest, to be recovered from the person’s estate. The loan is secured against the value of any real estate they own.

Further information For further information about all of the initiatives listed, please contact Centrelink on 13 2300 or visit www.centrelink.gov.au

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support for self-funded retirees This fact sheet, together with fact sheets 3–8, outline ways in which the Australian Government supports self-funded retirees over age pension age.

Commonwealth Seniors Health Card The main purpose of the Commonwealth Seniors Health Card (CSHC) is to assist Australian seniors who do not qualify for Age Pension with certain living costs.

It was introduced to support self-provision in retirement, and recognises the additional health costs incurred by people in this age group. To be eligible for a CSHC a person must: > be of age pension age, not receiving a social security pension or benefit, or a Department of Veterans’ Affairs Service Pension or Income Support Supplement > be an Australian resident or special visa category holder > have an annual adjusted taxable income of less than $50,000 for a single, $80,000 for a couple combined, or $50,000 each for a couple separated by illness.

There is no assets test.

The CSHC provides access to: > prescriptions listed on the Pharmaceutical Benefits Scheme (PBS) at a cheaper rate > PBS prescriptions, generally without charge, for the remainder of the calendar year after reaching the PBS safety net > bulk-billed general practitioner appointments (at the discretion of the doctor) > a reduction in the cost of certain out-of-hospital medical expenses above a concessional threshold, through the extended Medicare Safety Net

> concessional travel on Great Southern Rail services (the Indian Pacific, the Ghan, the Overland) > Telephone Allowance, for eligible telephone subscribers > Seniors Concession Allowance (see below).

From 1 July 2007 superannuation benefits paid from a taxed fund, either as an income stream or as a lump sum, became tax free for people aged 60 and over. As the CSHC income test is based on a person’s adjusted taxable income, the exclusion of certain superannuation income from this test means that more people became eligible for the CSHC from 1 July 2007.

Seniors Concession Allowance Seniors Concession Allowance is paid to eligible holders of a CSHC and Department of Veterans’ Affairs Gold Card holders over veteran pension age. The payment recognises the fact that this group does not receive concessions from most state and territory governments. The allowance is indexed to the Consumer Price Index, and is paid automatically in December and June each year.

2007–08 Budget one-off payment for older Australians The 2007–08 Federal Budget reaffirmed the Australian Government’s commitment to older Australians by providing a one-off non-taxable bonus payment of $500 to each person qualified for Utilities Allowance or Seniors Concession Allowance on Budget night. More than two million older Australians received the bonus payment before the end of June 2007, at a total cost of $1.3 billion.

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support for self-funded retirees Pension Bonus Scheme Some people over age pension age continue to work and defer claiming Age Pension. They may also be drawing on their superannuation, and may have different work arrangements such as reduced hours.

People who work beyond age pension age may be eligible for the Pension Bonus Scheme. It provides an incentive for older Australians to defer claiming Age Pension and remain in the workforce.

The scheme is entirely voluntary and provides a tax-free lump sum when participants eventually claim and are eligible to receive Age Pension. People must not have received income support after age pension age (other than Carer Payment) and be gainfully employed for at least one year after registering for the scheme to be eligible for the bonus.

The amount of the pension bonus lump sum depends on how many bonus periods the person has accrued, their rate of pension at the time they are granted Age Pension and their partnered status since they registered in the scheme.

In the 2007–08 Budget, the Australian Government announced changes to the Pension Bonus Scheme that will allow more older Australians to access the bonuses they have accrued. Members of the scheme will be able to benefit from these changes effective from 1 January 2008.

Changes include: > allowing the surviving partner of a deceased scheme member to receive the bonus their deceased partner had accrued, but had not claimed, before their death > allowing scheme members who take recreation leave, long service leave or unpaid leave to continue in the scheme as non-accruing members for up to 26 weeks, without failing the work test > allowing a ‘top up’ to bonuses where the rate of pension a person receives increases in the 13 weeks after it was granted, because the person’s assessed income and/or assets decrease in that time

> allowing Centrelink and Department of Veterans’ Affairs decision makers more discretion, in special circumstances, to extend the period in which people must claim their bonus after failing the scheme’s work-test.

Further information For further information about all the initiatives listed, please contact Centrelink on 13 2300 or visit www.centrelink.gov.au

Taxation The Australian Government has encouraged Australians of all ages to save and invest through a range of tax measures. Two of these measures that are of particular benefit to retirees are the discount on capital gains for assets held for more than 12 months, introduced in 1999, and the refund of excess dividend imputation credits, introduced in 2000.

Excess dividend imputation credits are refundable to Australian resident taxpayers.

This means that self-funded retirees, and other low-income resident individuals, can receive a refund of the difference between the company tax paid in respect of their dividends (the dividend imputation credit) and their marginal tax rate.

For self-funded retirees who are required to lodge a tax return, any refund of excess imputation credits will be automatically calculated. Where self-funded retirees are not required to lodge a tax return, they are able to receive a full refund of imputation credits by calling the Australian Taxation Office’s Personal Tax Infoline on 13 2861 and asking for an application form, or by visiting www.ato.gov.au

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additional financial assistance for seniors This fact sheet outlines additional financial assistance the Australian Government provides to seniors on income support and self-funded retirees.

Superannuation Better Super reforms The Australian Government recently introduced the biggest reform to superannuation ever undertaken. The Better Super reforms were introduced on 1 July 2007 to increase retirement incomes, simplify the taxation of superannuation, provide more flexibility and choice in how super can be accessed and improve incentives to work and save. A key reform was the removal of tax on superannuation benefits for Australians aged 60 and over who have already paid tax on their superannuation contributions and earnings.

The full details of the Government’s superannuation reforms are available at http://australia.gov.au/bettersuper Surcharge abolition In the 2005–06 Budget, the Government announced the abolition of the surcharge on superannuation contributions and relevant termination payments made or received in the 2005–06 and later financial years.

Income streams Since 1 July 2005, people who have not retired have been able to access their superannuation in the form of certain types of income streams, once they reach superannuation preservation age. The Government’s Better Super reforms also include new simplified minimum standards for income streams which have applied since 1 July 2007.

The new payment rules for income streams specify minimum limits only. No maximum applies (with the exception of transition to retirement income streams).

Government co-contribution The Australian Government contributes $1.50 for every dollar of eligible personal superannuation contributions made by qualifying individuals. The maximum co-contribution of $1,500 is payable for those with assessable income and reportable fringe benefits of $28,000 or less. This amount is reduced by 5 cents for every dollar of annual income over $28,000. The maximum income for eligibility is $58,000.

In the 2007–08 Budget, the Government announced an additional one-off co-contribution for persons who made eligible contributions in the 2005–06 income year. The additional payment doubles the amount of the co-contribution paid in respect of that year. The Government’s Better Super reforms also include an extension of the co-contribution scheme to eligible self-employed persons, effective from 1 July 2007.

Increasing the contributions age limit to 74 With effect from 1 July 2002, the Government raised the maximum age for making personal superannuation contributions from 70 to 74.

Previously, superannuation funds were only able to accept mandated employer contributions on behalf of workers over 70.

People aged between 65 and 74 can now contribute to superannuation where they have worked at least 40 hours within a period of 30 consecutive days in a financial year. If a person satisfies this test, they are able to make contributions for the rest of that financial year.

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additional financial assistance for seniors Under the Government’s Better Super reforms, the maximum age for non-mandated employer contributions has been increased to 74, effective from 1 July 2007. Employers can now claim a full deduction for all contributions to superannuation funds made on behalf of their employees under age 75.

Eligible self-employed persons are also allowed to claim deductions for superannuation contributions made until age 75.

Compulsory payment of superannuation benefits The Better Super reforms abolish the requirement for compulsory payment of benefits to members over age 65 who do not meet the current work test. The requirement for benefits to be paid out regardless of a person’s work status from age 75 has also been removed. The removal of the compulsory payment rules took effect from 10 May 2006.

Further information For further information about all the initiatives listed above, phone the Australian Taxation Office on 13 1020, or visit www.ato.gov.au

Taxation Senior Australians Tax Offset The Senior Australians Tax Offset (SATO) is a tax offset available to eligible senior Australians of age pension or service pension age, to reduce tax liability. Where eligible, the SATO, combined with the low-income tax offset and the higher Medicare levy threshold, ensures that single senior Australians can have income up to $25,867 without paying tax, while each member of a couple can earn $21,680 without paying tax.

The offset is payable on assessment.

Mature Age Worker Tax Offset The Mature Age Worker Tax Offset is an extra incentive for people to stay in work beyond the age of 55. The offset is available to people aged 55 and over, and provides a maximum annual rebate of $500 on their income from working. The offset is payable on assessment.

Further information For further information call the Australian Taxation Office on 13 2861 or visit www.ato.gov.au

Financial information The Financial Information Service (FIS), provided by specialist Centrelink officers, is an education and information service available to everyone in the community.

FIS is independent, free and confidential, and provides services by phone, by appointment and through seminars. For more information about FIS call Centrelink on 13 2300 or visit www.centrelink.gov.au For information about seminars being held, call Centrelink on 13 6357.

The National Information Centre on Retirement Investments (NICRI) is an independent body funded by the Australian Government to provide the public with free information on financial investments, financial industry services and saving for retirement. People can contact NICRI toll free on 1800 020 110, or visit www.nicri.org.au The Financial Literacy Foundation provides a national focus for financial literacy issues and works to advance financial literacy in Australia. For more information about the Foundation and the Understanding Money media campaign phone 1800 236 235 or visit www.understandingmoney.gov.au

Seniors information booklets The Australian Government publishes a range of products that provide practical and easy-to-read information on topics such as government programs and services to assist seniors, investment options, and accommodation choices.

The publications include: > Australian Government Directory of Services for Older People > Investing for Your Retirement > Moving House – Your Choices > Home and Residence Choices for Older People.

These useful booklets are available free of charge. Simply phone Centrelink on 13 2300 to order your copy, or visit the Department of Families, Community Services and Indigenous Affairs website at www.facsia.gov.au/seniorsinfo

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mature age employment This fact sheet outlines ways in which the Australian Government supports older Australians who want to stay in, or get back into the workforce.

Mature Age Employment and Workplace Strategy The Mature Age Employment and Workplace Strategy (MAEWS) seeks to improve the labour force participation of mature age Australians as a key strategy for managing the impact of demographic change. MAEWS takes a holistic approach by focusing on employers, mature age job seekers and mature age workers, and seeks to overcome negative attitudes to mature age employment, improve the awareness of mature age Australians to the changing demographic environment, and broker solutions to skill shortages in key industry sectors. Further information on MAEWS can be found at www.jobwise.gov.au

Age discrimination legislation Age discrimination can be a significant problem for older people. The Australian Government’s Age Discrimination Act 2004 recognises the importance of Australians of all ages being able to participate fully in society, and prohibits both direct and indirect age discrimination in many areas of public life, including employment.

The Act is part of the Government’s strategy for managing the economic and social implications of Australia’s ageing population, in particular, by assisting older workers to continue to contribute to the workforce. More information can be found on the Human Rights and Equal Opportunity Commission’s website at www.humanrights.gov.au/age

Pension Bonus Scheme The Pension Bonus Scheme provides an incentive for older Australians to defer claiming Age Pension and remain in the workforce. The scheme is entirely voluntary and provides a tax-free lump sum when participants eventually claim and are eligible to receive Age Pension. People must not have received income support after age pension age (other than Carer Payment) and be gainfully employed for at least one year after registering for the scheme to be eligible for the bonus.

The amount of the pension bonus lump sum depends on how many bonus periods the person has accrued, their rate of pension at the time they are granted Age Pension and their partnered status since they registered in the scheme.

In the 2007–08 Budget, the Australian Government announced changes to the Pension Bonus Scheme that will allow more older Australians to access the bonuses they have accrued. Members of the scheme will be able to benefit from these changes effective from 1 January 2008.

For further information, contact Centrelink on 13 2300, or visit www.centrelink.gov.au

Moving to Work The Australian Government has implemented a range of new measures to increase the workforce participation of income support recipients, through a balance of improved services, increased financial incentives and appropriate participation requirements.

Groups to be assisted by the new measures are mature age people (aged 50 or over), principal carer parents, people with a partial work capacity and the very long term unemployed. Further information is available at www.movingintowork.gov.au or www.jobwise.gov.au

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mature age employment Job Network services Mature age job seekers may be eligible for a range of services including Job Search Support; Intensive Support Customised Assistance, Job Search Training; New Enterprise Incentive Scheme; and Employment Preparation to help them find work. Further information about Job Network services is available at www.jobnetwork.gov.au

Employment Preparation Programme Employment Preparation (EP) became available from 1 July 2006 to eligible: mature age people (50 years and over); parents; and carers. EP provides tailored assistance, e.g. training, counselling and mentoring.

Employment services for age pensioners Currently, age pensioners can access Job Search Support services only, which provides the assistance necessary to access suitable job vacancies, as well as providing job search facilities, such as computers, touch-screen kiosks, and phones. From 1 July 2007, age pensioners wishing to return to the workforce were also granted access to tailored assistance and training to help them obtain work through Employment Preparation and detailed training in job search techniques through Job Search Training.

Self-employment for older Australians For some unemployed people self-employment is a viable means of facilitating a return to work. Outlined below are some programs and initiatives that support self-employment.

The New Enterprise Incentive Scheme (NEIS) is a program for people establishing a new business. It provides an allowance for a period of up to 52 weeks to people currently receiving income support, and is open to people who are below age pension age. Since 1 July 2006, mature age job seekers not on income support have also had access to places in the NEIS. Two hundred places are available in the first year and 400 places each year thereafter.

AusIndustry, within the Department of Industry, Tourism and Resources (DITR), delivers a range of business products, including innovation grants, tax and duty concessions, small business services, and support for industry competitiveness.

For further information on AusIndustry visit the website at www.ausindustry.gov.au or ring the hotline on 13 2846. business.gov.au is the Australian Government’s award winning website hosted

by DITR that offers older Australians simple and convenient access to government information, transactions and services to help them plan, start and run a business.

At www.business.gov.au people can also find GovForms, a tool to help them find, manage and complete over 5,500 government forms.

Taxpayers may benefit from a capital gains tax small business concession on the sale of small business active assets. A full capital gains tax concession is available on the sale of small business active assets owned for at least 15 years if the taxpayer is aged 55 or over and retiring, or if they are permanently incapacitated. More information is available by phoning 13 2866 or from the Australian Taxation Office website, www.ato.gov.au/businesses As part of the Government’s Better Super reforms, self-employed persons can claim a full deduction for all contributions to superannuation funds made until age 75, effective from 1 July 2007. The Government co-contribution has also been extended to eligible self-employed persons effective from 1 July 2007.

For further information visit www.ato.gov.au/super or phone the Australian Taxation Office on 13 1020.

JobAccess JobAccess is a web site and free telephone advice service providing employers with help and expert advice on employing people with disability. Employers looking for assistance can phone the JobAccess Advisers by calling 1800 464 800 or visit www.jobaccess.gov.au/joac/home

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health benefits This fact sheet outlines ways in which the Australian Government assists older Australians with health care.

Pharmaceutical Benefits Scheme The Australian Government makes available a very wide range of necessary prescription medicines for the Australian community through the Pharmaceutical Benefits Scheme (PBS). Most medicines available on prescription are subsidised under the PBS, with many costing the Government much more than the price consumers pay.

In fact, the Government introduced a measure to include the actual cost of the medicine on the label. The highest subsidies are made available to those with chronic illness and greatest financial need.

More information on the PBS can be found at www.health.gov.au/pbs

Private Health Insurance Rebate The Australian Government introduced the Private Health Insurance Rebate to help make private health insurance more affordable.

The rebate is equal to 30 per cent of the cost of an appropriate policy with a registered health fund, and is available to all persons who are eligible for Medicare benefits.

The Government has increased the rebate to 35 per cent for people aged from 65 to 69 years, and to 40 per cent for people aged 70 years or more. These increases apply both to individuals who meet these age thresholds and to couples/families where one or more members meet these age thresholds. The higher rebates were made available from 1 April 2005. Further information on the Private Health Insurance Rebate can be found at www.medicareaustralia.gov.au

Medicare Benefits Medicare provides rebates for a range of medical allied health services, including those that support older people and people of any age with a chronic condition and complex care needs. Medicare also provides rebates for voluntary annual health assessments by general practitioners (GPs) for people aged 75 years and over (55 years and over for Aboriginal and Torres Strait Islanders). Rebates for Comprehensive Medical Assessments are also available for residents of aged care homes.

Bulk-billing incentives The Strengthening Medicare Package provides more opportunities for older Australians to be bulk-billed. GPs now receive an incentive for every bulk-billed medical service provided to Australian Government concession card holders. The eligible concession cards are the Pensioner Concession Card, Commonwealth Seniors Health Card and Health Care Card. GPs are still able to decide which of their patients they will bulk-bill.

Safety Net The Strengthening Medicare Package includes the Extended Medicare Safety Net, which covers 80 per cent of out-of-pocket costs for Medicare-eligible medical services provided outside hospital once annual thresholds have been reached.

100 per cent Medicare for GP services The Australian Government has increased the Medicare rebate for GP services for all Australians from 85 per cent to 100 per cent of the Medicare schedule fee. The higher

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health benefits rebate applies to non-referred GP attendances (i.e. consultations) where the patient has not been admitted to a hospital.

Round the Clock Medicare The Australian Government is providing additional funding, in the form of incentives to GPs and grants to GP clinics, to encourage the extension and maintenance of after-hours general practice services.

For further information about the services provided by the Australian Government through Medicare, contact 13 2011 or visit www.medicare.gov.au More information on the grants available to GP clinics can be found at www.health.gov.au

National Vaccination Program for Older Australians People aged 65 years and older are at high risk from influenza and pneumococcal disease and the complications of these diseases. The Australian Government funds free influenza and pneumococcal vaccinations for all Australians aged 65 years and over. Influenza vaccines are given annually, while the pneumococcal vaccination is given as one injection on or near 65 years of age, then a single booster dose five years later. Both vaccines can be given at the same time. GPs or health providers can provide further details about these initiatives.

National Indigenous Pneumococcal and Influenza Immunisation Program The National Indigenous Pneumococcal and Influenza Immunisation Program provides free influenza and pneumococcal vaccines for Indigenous people aged over 50 years, or aged 15 to 49 years and at high risk from these diseases and their complications.

The vaccines are provided through community controlled Aboriginal Medical Services, state/territory immunisation clinics and GPs. More information about the vaccination programs can be found at www.immunise.health.gov.au and www.immunise.health.gov.au/indigenous.htm

Medication Management Reviews Medication Management Reviews enhance the quality of medical care provided to aged care residents, and assist people who are living in their own home to manage their medicines. Residential Medication Management Reviews and Home Medicines Reviews encourage collaboration between GPs and pharmacists in managing the medicines of older Australians by detecting and addressing medication related problems.

People who think they may benefit from a Medication Management Review should speak to their doctor or pharmacist, or call the Pharmaceutical Benefits Scheme Information Line on FREECALLTM 1800 020 613. Further information is also available at www.health.gov.au

Hearing services The Australian Government Hearing Services Program provides high quality hearing services and hearing aids to eligible people with a hearing loss. The objective of the program is to reduce the consequences of hearing loss for eligible clients. For further information, including eligibility criteria, call the Office of Hearing Services on FREECALLTM 1800 500 726, FREECALLTM 1800 500 496 for users of TTY equipment, or visit the website at www.health.gov.au/hear

HealthInsite The Australian Government has developed the HealthInsite website to provide access to reliable and up-to-date information about daily health needs, such as nutrition and lifestyle, and specific information about conditions such as diabetes, cancer, mental health and asthma. HealthInsite is a single entry point to quality information from leading health information providers, including government agencies, peak health organisations, and educational and research institutions. Visit the HealthInsite website at www.healthinsite.gov.au

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support for carers and community care This fact sheet outlines ways in which the Australian Government supports people who have caring responsibilities, and people who require care.

Carer Payment Carer Payment provides income support for people who, because of the demands of their caring responsibilities, are unable to support themselves through substantial workforce participation. Carer Payment is subject to income and assets tests and is paid at the same rate as other pensions.

Carer Allowance Carers may also be eligible for Carer Allowance, which is an income supplement available to those who provide daily care and attention in a private home to a person with a disability or severe medical condition, or who is frail aged. Carer Allowance is not taxable or income and assets tested. It can be paid in addition to a social security or Department of Veterans’ Affairs income support payment.

2007–08 Budget one-off carer bonuses In the 2007–08 Federal Budget the Government provided $394 million for additional support to carers in the form of a lump sum bonus. A payment of $1000 was made to carers who received Carer Payment.

Recipients of Carer Allowance received a payment of $600 for each eligible care receiver. In addition to the $600 Carer Allowance bonus, recipients of Carer Allowance who also received Wife Pension or a Department of Veterans’ Affairs Partner Service Pension received a payment of $1000. The majority of bonuses were paid by 30 June 2007.

Further information For further information on Carer Payment, Carer Allowance or the carer bonuses call Centrelink on 13 2717, or visit www.centrelink.gov.au

Planning for the future of a son or daughter with a severe disability Increasingly, many people with disabilities are experiencing a longer life span and overall better health. For those who are cared for by parents or others, this means they may out-live their carer, or at least live to an age where their carer is no longer able to provide care. Since 20 September 2006, parents or immediate family members have been able to establish a private trust for the future care and accommodation of the person with severe disabilities. Gifts to the trust up to $500,000 are not assessed under the social security gifting rules if immediate family members are of age pension age and receiving income support. More information on this measure is available from www.facsia.gov.au or www.centrelink.gov.au or contact Centrelink on 13 1021.

Commonwealth Carelink Centres Commonwealth Carelink Centres provide a single point of contact to obtain information about community care services, Aged Care Assessment Teams, health services and aged care homes across Australia. Centres maintain comprehensive databases of information about services which operate in their local area, from home nursing or home modification services to meals, transport or aged care homes. For further information call FREECALLTM 1800 052 222, or visit www.commcarelink.health.gov.au

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support for carers and community care National Respite for Carers Program (NRCP) Under the NRCP, the Australian Government provides funds to a range of community organisations to assist family carers to obtain information and other support, including access to short-term and emergency respite.

The NRCP funds the organisations listed below: Carer Associations, which provide carers with access to professional counselling, specialist advice and education and training. Call your nearest centre on FREECALLTM 1800 242 636.

Commonwealth Carer Respite and Carelink Centres, which arrange, directly purchase or subsidise short-term or emergency respite. They also provide information about residential, community and in-home respite care from local support services.

To contact your nearest centre, call FREECALLTM 1800 059 059.

Respite Care Services. There are over 500 NRCP funded carer respite services across Australia, including specialist dementia services. Details can be obtained from local Commonwealth Carer Respite Centres on FREECALLTM 1800 059 059.

Further information on the NRCP is available from www.health.gov.au/acc/carers/ nrcprogm.htm

Community care There are several programs which provide community care to people who wish to, and are able to, remain at home.

The Home And Community Care (HACC) Program provides services which support people who are at risk of premature or inappropriate admission to long-term residential aged care. The program also supports their carers.

Community Aged Care Packages (CACPs) are individually planned and coordinated packages of care for people with complex care needs who would be eligible for low-level residential care.

Extended Aged Care At Home (EACH) are individually planned, coordinated packages of care tailored to help frail older Australians to remain living at home.

Extended Aged Care at Home Dementia (EACHD) are individually tailored packages of care tailored to help older Australians with dementia, who experience difficulties in their daily life because of behavioural and psychological symptoms associated with their dementia.

For further information about these programs call your local Commonwealth Carelink Centre on FREECALLTM 1800 052 222 or visit www.commcarelink.health.gov.au

Grandparents The Australian Government is taking a strong lead in recognising the value and role of grandparents within families and within communities.

Grandparent and other relative carers are eligible for the same family assistance and other payments as parents or foster carers.

This includes Family Tax Benefit and Parenting Payment. In addition, grandparent carers can get concession card coverage for their grandchildren via one of a number of different types of concession cards (e.g. the grandparent’s Pensioner Concession Card, or a foster child Health Care Card).

Grandparents who have primary responsibility for raising and caring for a grandchild may now be entitled to additional support through Child Care Benefit (CCB).

CCB provides help with the cost of approved child care. The CCB work, training and study test has been waived for eligible grandparent carers so they can access up to 50 hours of CCB for each child in approved child care per week.

In addition, an eligible grandparent carer in receipt of an income support payment is able to receive Grandparent CCB, which will cover the full cost of approved child care for up to 50 hours per child, per week.

For more information, telephone the Family Assistance Office on 13 6150, or visit www.familyassist.gov.au

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residential aged care This fact sheet outlines ways in which the Australian Government supports people who live in aged care homes.

This measure applies to all lump sum accommodation bonds, regardless of when they were paid.

Residential care

Residential aged care quality

While the great majority of older people are able to continue living independent lives in the community, residential care homes are available for older people who have complex care needs that cannot be catered for within the home. Over 21,000 new residential aged care places will be made available from 2007 to 2009. There are two main types of residential care: > Low Level Care places are for people who need some help. Mostly, people in low-level care can walk or move about on their own. Low-level care focuses on personal care services (help with dressing, eating, bathing etc.), accommodation, support services (cleaning, laundry and meals) and some allied health services such as physiotherapy. Nursing care can be given when required. > High Level Care places provide functionally very dependent people with 24 hour care either by registered nurses or under the supervision of registered nurses.

The Australian Government has in place a number of quality processes aimed at enhancing life for older Australians in residential aged care services. In order to receive funding from the Government, aged care homes must receive an accreditation from the Aged Care Standards and Accreditation Agency. In addition to this accreditation, an ongoing monitoring process is in place to ensure that standards continue to be met. Both the Australian Government and the Agency undertake visits to aged care homes, including unannounced spot checks.

Many aged care homes offer both types of care. For further information on residential care homes, contact the Aged and Community Care Information Line on FREECALLTM 1800 500 853.

Aged care complaints

Exemption of accommodation bonds from the assets test Since 1 July 2005, accommodation bonds paid by residents in residential aged care have been exempt from the social security and veterans’ affairs assets tests.

The Government’s Certification program is aimed at improving the physical quality of Australian Government subsidised residential aged care buildings. Homes must be certified to access accommodation payments. The Government also requires a Fire Safety Declaration to be completed annually for each home declaring that all state/territory and local government fire safety laws have been met.

The Aged Care Complaints Investigation Scheme is a free service which investigates concerns about any aspect of an Australian Government subsidised aged care service that should be provided to people receiving care.

To contact the Aged Care Complaints Investigation Scheme call TOLLFREETM 1800 550 552. Complaints on TOLLFREETM 1800 500 294 or via its website www.cfc.health.gov.au

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residential aged care Further support The Australian Government is committed to the ongoing reform of the aged care sector and to ensuring that high quality care remains affordable and accessible for all older Australians.

Increased funding: The Australian Government has substantially increased funding for aged care. In 1995–96, expenditure on aged care was $3.1 billion.

By 2010–11, annual Government outlays on aged care will increase to an estimated $9.9 billion: more than a three fold increase.

Streamlined Administration for Better Care Streamlining of the resident classification scale by reducing the eight funding categories to three under a new funding model, the Aged Care Funding Instrument (ACFI). The expected implementation date for the introduction of the ACFI is 20 March 2008.

Innovative programs: The Transition Care Program was created to help older people return home after a hospital stay rather than enter residential care. 2,000 places have been allocated for this program which was jointly developed with states and territories. When fully established, transition care will assist up to 13,000 older Australians every year.

More places: The number of Australian Government subsidised aged care places continues to increase. At 30 June 2006, there were 204,869 operational aged care places.

Greater protection for residents: In July 2006, the Government announced a $90.2 million package of reforms to further protect people in aged care homes from sexual and serious physical assault, taking the total value of the Australian Government’s response to abuse allegations to more than $100 million over four years.

The $1.6 billion Securing the Future of Aged Care for Australians package will further improve aged care services. Elements of this package are: More and Better Community Care > $298 million to increase the number of community care packages. An additional 7,200 packages will be released over the next four years, with a greater emphasis on the provision of high level care in the community. > $113 million to develop the community care workforce, improve quality assurance arrangements, provide 10,000 days of additional community based respite care over the next four years, increase the availability and use of assistive technology, and provide additional support for older people in insecure housing, including the homeless.

More Investment in High Level Residential Care > Aged care providers will receive an additional $847 million in funding for capital over four years, including $578 million in additional government payments to encourage continued investment in more residential high care. > Accommodation payments will be simpler and fairer.

Fairer and Better Residential Care > $394 million to increase Government care payments. > $90 million to make the aged care income test fairer and simpler. > $43 million to provide additional assistance to aged care homes that look after disadvantaged people, including homeless and Indigenous people. Those aged care homes in areas that are difficult to service will get increased assistance from the Government. > $7 million to strengthen financial accountability by applying consistent checks to the key personnel of prospective aged care providers.

For more information, call FREECALLTM 1800 500 853, or go to www.health.gov.au

seniors fact sheet 2007–08

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active seniors This fact sheet outlines ways in which the Australian Government and community programs support seniors who want to be involved in volunteering and other activities.

Older Australians and volunteering Older Australians make an important contribution to our communities by volunteering with local organisations.

According to the ABS, in 2006 over 5.2 million adults volunteered across Australia. It is well known that the work of volunteers makes a tremendous economic and social contribution to our society.

Volunteering helps not-for-profit organisations deliver their services and gives volunteers themselves an opportunity to meet new people, sharpen their skills, and remain active members of the community.

Volunteering information The Australian Government supports volunteers through a number of programs and initiatives. For example, the Volunteer Management Program provides volunteer assistance, training and management support to individuals and not-for-profit organisations through Volunteer Resource Centres across Australia.

Volunteering Australia manages the GoVolunteer website. The website provides referral and placement services for volunteers and support for not-for-profit organisations. GoVolunteer provides volunteers with all they need to find out about volunteer opportunities in all areas, and helps them makes the best match possible between their personal requirements and choice of volunteer work.

If you are interested in finding out more about volunteering opportunities in your local area, contact Centrelink on 13 1021 and ask about the location of your nearest Volunteer Resource Centre or visit GoVolunteer’s website at www.govolunteer.com.au Another initiative is the Australian VolunteerSearch website. This website provides information about volunteering and allows people to search for volunteering opportunities Australia wide. People can also create a profile providing details of types of volunteer work they are interested in and the site will match them to volunteering opportunities. If people are interested in finding out more about volunteering opportunities they can visit VolunteerSearch at www.volunteersearch.gov.au on the internet or on the Touchscreen kiosks located in the premises of Job Network members and Centrelink.

The Australian Government and National Seniors Australia joined forces to encourage Australia’s seniors to volunteer their time, skills and experience to work with remote Indigenous communities. The Senior Volunteers for Indigenous Communities program is about building relationships on the ground and demonstrates the willingness of senior Australians to continue to contribute to society. Any senior Australians interested in volunteering should contact National Seniors Australia on (07) 3233 9131 or visit www.nationalseniors.com.au Overseas volunteering As part of the Australian Government’s commitment to assisting developing countries in our region, organisations such as Australian Volunteers International and

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active seniors Australian Business Volunteers receive funding to recruit, prepare and support Australian volunteers to live and work overseas. > Australian Volunteers International (AVI) AVI is Australia’s largest volunteer sending agency. Every year, AVI recruit, prepare and support hundreds of Australians who volunteer to live, work and learn alongside people in developing countries.

AVI provides much needed technical support through the assignment of volunteers in direct response to locally identified needs, and is committed to long term development outcomes.

For more information on volunteering through AVI, telephone (03) 9279 1788 or visit www.australianvolunteers.com.au > Australian Business Volunteers (ABV) ABV, formerly known as AESOP Business Volunteers, is a not-for-profit volunteer sending agency largely funded by the Australian Government through AusAID. ABV contributes to the Australian Aid Program by providing short-term volunteers who, through sharing their skills and experience, assist businesses and organisations in developing countries to grow and thrive. For more information on ABV, telephone (02) 6285 1686 or visit www.abv.org.au Volunteering through Community Work Coordinators Community Work Coordinators administer the Australian Government initiatives Work for the Dole and Community Work.

Work for the Dole is a work experience program providing structured activities that offer participants the opportunity to positively engage with their community while enhancing their workplace skills. Drought Force is a variation to Work for the Dole which offers participants an opportunity to undertake activities that assist severely drought affected farmers. Community Work supports voluntary work opportunities in approved organisations.

Job seekers aged between 50 and 65 who are receiving Newstart Allowance, recipients of Disability Support Pension and recipients of Parenting Payment (whose youngest child is under 6) may volunteer to participate in Work for the Dole.

People in receipt of an allowance other than Newstart Allowance may also volunteer for Community Work. Participation hours are 150 hours over a six month period.

Work for the Dole projects are available across Australia and may include: > caring for people; > caring for our heritage; > caring for the environment; and > caring for the community.

Work for the Dole participants receive an additional supplement to cover out-of-pocket expenses, and if sufficient hours are completed, both Work for the Dole and Community Work participants may be eligible to receive a Training Credit that can be used to purchase accredited training.

For more information, phone the Employment Services Information line on 13 6268 or visit www.workplace.gov.au

Travelling Seniors The Australian Government provides travel information to help seniors planning a trip overseas. The information is available on the Smartraveller website, the official consular website of the Department of Foreign Affairs and Trade.

Seniors can also order a special travel brochure called For the travelling senior: some tips for a safe and healthy trip by ordering online or contacting their state office. The Smartraveller website provides information to help people stay safe and healthy while travelling.

Topics covered include: > senior citizens cards; > things to consider in regards to your health while travelling; > information on registration and subscription services available through smartraveller; and > dual nationality.

For more information visit www.smartraveller.gov.au/tips/mature_ travellers.html