Overview

• From September 20, the lower deeming rate rises from 0.25% to 0.75% and the upper rate from 2.25% to 2.75%.
• Thresholds are set at $64,200 in financial assets for singles and $106,200 for couples, with amounts above those deemed at the higher rate.
• Indexation on the same date will lift age, disability and carer payments by nearly $30 a fortnight, affecting more than five million recipients including over 2.5 million age pensioners.
• The higher deeming rates will increase assessed income from savings and term deposits, meaning some retirees will see reduced pension entitlements even as base payments rise.
• Future rate advice will come from the Australian Government Actuary, the minister retains final decision-making power, rates remain below pre-pandemic levels, and pension outlays are expected to fall.