Getting approved for the Age Pension, a Commonwealth Seniors Health Card or a Low Income Health Care Card is a big milestone. What many retirees don’t realise is that the paperwork doesn’t stop once the application is accepted. Centrelink expects your details to be kept up to date, and falling behind can lead to delayed payments, reduced entitlements or even debts that need to be repaid.
This article explains what ongoing Centrelink requirements typically look like, and we at MLS Financial can take the load off your shoulders.
Why ongoing requirements exist
Centrelink payments and concession cards are means-tested. That means your entitlement depends on the income and assets you hold, and those can change over time. Investment values rise and fall, income stream payments are adjusted, gifts are made, property is bought or sold, and relationships change. Centrelink relies on you to keep them informed so your payment reflects your true circumstances.
What you may need to keep on top of
- Reporting changes. Changes to your income, assets or personal circumstances generally need to be reported to Centrelink within 14 days. Examples include starting or changing an income stream, receiving an inheritance, selling an asset or a change in living arrangements.
- Income stream reviews. If you receive an account-based pension or another income stream, the details Centrelink holds, such as account balance and payment amounts, need to be updated periodically so your assessment remains accurate.
- Review forms and letters. Centrelink may send review letters or forms asking you to confirm your income and assets. These come with deadlines, and a missed response can result in payments being suspended.
- Health card requirements. Health cards also depend on your income and circumstances, so your details need to be kept current to keep your concessions.
- Regular indexation and rule changes. Payment rates, thresholds and deeming rates are adjusted from time to time, which can change your entitlement even when nothing in your own situation has changed.
The risks of getting it wrong
Most reporting mistakes are honest oversights, but the consequences can still be significant. Underreporting can lead to an overpayment that must be repaid. Failing to report a change that would increase your entitlement can mean you miss out on money you are owed. And ignoring a letter or review notice can interrupt your payments at the time you can least afford it. For many retirees, simply keeping track of what has to be reported, and when, is the hardest part.
How MLS Financial can help
MLS Financial provides specialised support to help clients navigate Australia’s social security system through Centrelink. Our Centrelink service is designed to simplify the process, support compliance and give you confidence that your entitlements are being appropriately managed. Our services include:
- Centrelink applications, including the Age Pension, Commonwealth Seniors Health Card and Low Income Health Card.
- Age Pension administration, so your payment is set up and managed correctly.
- Income stream reviews, keeping your income stream details up to date.
- Ongoing Centrelink reporting, so required updates are lodged on your behalf.
Our process is simple. In the first week, we identify the appropriate Correspondence Nominee and lodge the relevant forms, so letters from Centrelink can also come to us and nothing slips through the cracks. Over the following weeks we prepare and lodge your applications, and then follow up directly with Centrelink to help ensure they are completed smoothly and on time.
Once you are set up, we provide ongoing assistance, including help with letters and administrative tasks, liaison with Centrelink and required updates such as income stream reviews and income reporting. Each year we also complete a yearly review, updating your assets and income and reviewing your existing Centrelink services to make sure everything remains correct.
We offer this support either as an application service, which includes the first year of Centrelink assistance, or as an ongoing service for those who simply want help managing their requirements. If you prefer, you can also use our team on an hourly basis as required. Fees depend on the complexity of your situation, so we provide a quote before we begin.
Take the next step
Centrelink should support your retirement, not add to your stress. For over 20 years, MLS Financial has been a local partner to Australians planning for and living in retirement, guided by our values of service, care and integrity. If you would like help applying for, or managing, your Centrelink entitlements, contact our Penrith team today to speak with one of our advisers.
Written by:
Adrian Guy – BBus (Finance & Economics), MLS Financial
Disclaimer:
This information is general in nature and does not take into account your personal objectives, financial situation or needs. You should consider speaking to a qualified financial planner before making any financial decisions. MLS Financial and Infocus Securities Australia Pty Ltd do not accept responsibility for act