Pressure on Government to overhaul age pension as growing number of baby boomers leave workforce Photo: Wendy Walters does not have much superannuation and says she could not live without the age pension. (ABC News: Chris Gillette) The Federal Government is coming under pressure to make changes to the age pension, as a growing number of baby boomers are expected to leave the workforce over the next decade. Key points: The Federal Government is reviewing the deeming rate used to calculate how much income pensioners are earning from assetsBy 2029, it is predicted the government will be required to spend an additional $9 billion on the age pensionEconomist Chris Richardson says the pension age should be lifted and the family home should be means tested Analysis by the Parliamentary Budget Office (PBO) predicts an ageing population will require an increase in government spending of $16 billion by 2029. More than $9 billion of that will be on the age pension. "The age pension is eminently affordable, but we can and we should do stuff better," Deloitte Access Economics' Chris Richardson told 7.30. Mr Richardson said the PBO analysis strengthened the case for further raising the pension age, which is currently at 66 years. In 2023 it will become 67 years. "If we're going to live a lot longer, well chances are we're going to have to work a bit longer to pay for the bits when we're not working," he said. Photographer Roger Arnaud, 64, thinks raising the pension age is a terrible idea. He is finding it hard to get full-time employment, does not have a lot of superannuation and is planning to take the pension as soon as possible. "There's a lot of people who've moved to over 60 and they're never going to find work again." Photo: Roger Arnaud hopes to get the pension as soon as possible. (ABC News: Chris Gillette) Review of 'deeming rate' used to calculate pension With record low interest rates there is pressure to widen pension eligibility by easing the means test. The Government is reviewing the so-called deeming rate used to calculate how much income pensioners are earning from their assets. This deeming rate has not changed in more than four years. "Should they reduce it? I think they should," Gold Coast pensioner Julie-Anne James said. Photo: Julie-Anne James says she knows many women who do not have a lot of super. (ABC News: Chris Gillette) Ms James does not have a lot of super and she knows many women in a similar situation. "We just survive. We earned lower super, lower wages," she said. The pension helps her live an independent life, and she is looking forward to helping care for her grandchildren. "I don't think all of us do live the life we want to live. We don't have a choice, it is what it is." Photo: Wendy Walters says she only has enough super to live on for about six years. (ABC News: Chris Gillette) Bundaberg retiree Wendy Walters worked in the community care sector and now has a relatively small superannuat
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Pressure on Government to overhaul age pension as growing number of baby boomers leave workforce Photo: Wendy Walters does not have much superannuation and says she could not live without the age pension. (ABC News: Chris Gillette) The Federal Government is coming under pressure to make changes to the age pension, as a growing number of baby boomers are expected to leave the workforce over the next decade. Key points: The Federal Government is reviewing the deeming rate used to calculate how much income pensioners are earning from assetsBy 2029, it is predicted the government will be required to spend an additional $9 billion on the age pensionEconomist Chris Richardson says the pension age should be lifted and the family home should be means tested Analysis by the Parliamentary Budget Office (PBO) predicts an ageing population will require an increase in government spending of $16 billion by 2029. More than $9 billion of that will be on the age pension. "The age pension is eminently affordable, but we can and we should do stuff better," Deloitte Access Economics' Chris Richardson told 7.30. Mr Richardson said the PBO analysis strengthened the case for further raising the pension age, which is currently at 66 years. In 2023 it will become 67 years. "If we're going to live a lot longer, well chances are we're going to have to work a bit longer to pay for the bits when we're not working," he said. Photographer Roger Arnaud, 64, thinks raising the pension age is a terrible idea. He is finding it hard to get full-time employment, does not have a lot of superannuation and is planning to take the pension as soon as possible. "There's a lot of people who've moved to over 60 and they're never going to find work again." Photo: Roger Arnaud hopes to get the pension as soon as possible. (ABC News: Chris Gillette) Review of 'deeming rate' used to calculate pension With record low interest rates there is pressure to widen pension eligibility by easing the means test. The Government is reviewing the so-called deeming rate used to calculate how much income pensioners are earning from their assets. This deeming rate has not changed in more than four years. "Should they reduce it? I think they should," Gold Coast pensioner Julie-Anne James said. Photo: Julie-Anne James says she knows many women who do not have a lot of super. (ABC News: Chris Gillette) Ms James does not have a lot of super and she knows many women in a similar situation. "We just survive. We earned lower super, lower wages," she said. The pension helps her live an independent life, and she is looking forward to helping care for her grandchildren. "I don't think all of us do live the life we want to live. We don't have a choice, it is what it is." Photo: Wendy Walters says she only has enough super to live on for about six years. (ABC News: Chris Gillette) Bundaberg retiree Wendy Walters worked in the community care sector and now has a relatively small superannuat
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