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> qualification for an age pension at 67 >only household expenses between age ~40 and 67 need to be budgeted for Pension is $20k/year. You're an Aussie, so yo
by ux-app 10y ago
> qualification for an age pension at 67
>only household expenses between age ~40 and 67 need to be budgeted for
Pension is $20k/year. You're an Aussie, so you know how incredibly high our cost of living is. 35cents/kWh for electricity (!!) 3x what some places in the US pay + the insane prices we pay for groceries, gas, entertainment, vice taxes etc.
Unless you have supplemental income from investments you will be straddling the poverty line on the Australian pension. I've seen pensioners mend shoes with gaffer tape.
This all assumes that the pension system stays solvent which is not guaranteed. Already there is talk of lifting retirement age to 70+
> I live in a cheap place in Australia
You're probably comparing to other places in Australia (east coast?). Relative to other countries, unfortunately, there is no cheap place in Australia.
- incompatible 10y agoI could live in Europe, but I'm not convinced it would be cheaper. Australia may be more expensive for some things, but there are also savings. Health insurance would be desirable or compulsory in some countries. Not every country has a decent tax-free income allowance like Australia (19k or so), and some even charge a wealth tax. My housing costs are actually reasonable, renting in a city of ~20k with a high unemployment rate. Since my income is so low, my partner can still qualify for Centrelink benefits. Petrol? Don't own a vehicle. Vice taxes? My only vice is an Internet connection. My entertainment is an Internet connection .. frugal all round. The lifting of the pension age to 70 and beyond is potentially an issue.