Calculate assessable income including deemed income

Reference no: EM132753226

Question: Dame Nellie, a 67 year old widowed retiree wants to apply for a Centrelink payment. Over the past 5 years, she has gifted $50,000 of her savings to her children. She earns $10,000 per year working part time as a wedding singer and owns an investment property, with a mortgage of $10,000 outstanding, which earns $12,000 per year in rental income. She has an account-based super fund balance of $140,000. She owns the home that she lives in, and has the following assets:

Asset Total Asset Value

Investment property $260,000

Share Portfolio $20,000

Bank Savings Account $17,000

Car $6,000

Funeral Bond $13,000

Furniture $10,000

Jewellery $3,000

a. Calculate assessable income, including deemed income.

b. Calculate the pension using the income test based on assessable income.

c. Calculate the pension using the assets test based on assessable assets

Reference no: EM132753226

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