The Pension Loans Scheme is a federal government initiative to help Australian retirees to supplement their income. Many Australian retirees have the bulk of their assets tied up in residential property. They are often said to be asset rich but cash poor.
Australian property prices have had a strong record of growth over the past three decades, and many Australian retirees have benefited from that growth by seeing the value of their residential homes rise considerably. However, being asset rich but cash poor during retirement can pose problems for retirees in terms of meeting their daily living expenses.
The Pension Loans Scheme enables retirees in Australia to liquidate their assets by getting a voluntary, non-taxable, fortnightly gove…
Read the full article at: https://www.sharecafe.com.au/2020/09/02/understanding-the-pension-loans-scheme/
