Can I call Centrelink for Financial Advice?

Many Aussies may wonder if they can call Centrelink for financial advice. However, the answer is no. While Centrelink can provide information and factual answers to your questions, they are not licensed or qualified to consider your personal circumstances and give recommendations. 

It’s essential to understand that Centrelink officers are not financial planners, and they have limited knowledge of financial matters beyond the policies and procedures related to Centrelink payments. Therefore, they cannot provide the tailored financial advice that you may require. 

Similarly, while the Australian Taxation Office (ATO) can provide information on tax-related matters, they are not tax accountants. Their expertise is limited to tax policies and procedures. If you need advice on how to structure your investments to minimise your tax liability, then you should seek advice from a qualified accountant or financial planner. 

It’s also important to note that people often ask if they can get free financial advice from Centrelink. While Centrelink does offer a Financial Information Service, which provides education and information on financial matters, this service is not intended to be a substitute for professional financial advice. The service aims to help you make more informed decisions about your finances and can be a useful starting point for understanding financial matters. 

In conclusion, while Centrelink can provide you with information and factual answers to your questions, they are not qualified to provide personalised financial advice. If you need advice on managing your finances, investing, or minimising your tax liability, it’s best to seek help from a licensed financial planner or accountant.

Financial Adviser for Aged Care: Why You Need One

Aged care can be a difficult and confusing topic to navigate, especially when it comes to finances. That’s why it’s important to have an Aged Care financial adviser or proper Aged Care Specialist who can help you make the best decisions for yourself or for your loved ones. Here, we will discuss some of the reasons why you need a financial adviser for aged care. 

One of the most important reasons to have a financial adviser for aged care is because they can help you navigate the complex aged care system. There are many different options available, and it can be difficult to understand all of the terminologies and make the best choices without professional guidance. A financial adviser can help you understand your options and make the best decision for your individual circumstances. 

A good financial adviser can also be a valuable resource for finding government assistance programs and other financial assistance programs that you may be eligible for. This can be especially helpful if you are facing a tight budget or unexpected expenses. These can often have nothing to do with regular “Financial Planning”, such as Superannuation, Shares, etc, and have more to do with the maze of the Centrelink, Aged Care and Aged Pension system. 

An Expert Aged Care financial adviser can also help you protect your assets and estate from being used to pay for aged care costs. They can assist you in setting up a trust or investments that will cover the cost of your care, ensuring that you have peace of mind as you age. This is a very important consideration, as it can help you keep your financial stability and independence. 

If you are aged or have a loved one who is aged, it is important to seek out the advice of a specialist Aged Care financial adviser or specialising in Retirement Village Financial Strategies. They can help you navigate the complex aged care system and make the best choices for your individual circumstances. They can also help you plan for the future, ensuring that you and your loved ones are taken care of. 

Gifting Deprivation: Centrelink Aged Care Give Money Away?

Can I give or gift money to my family?

Gifting Deprivation: The simple answer is yes but be careful of the financial consequences.
The rules around gifting for aged care are in line with pension rules around gifting (deprived assets). Any gift you make in excess of $10,000 in a financial year and $30,000 in the five years prior to entering aged care will be assessed as an asset and deemed to earn income.

This assessment will impact the calculation of Gifting Deprivation:
– Your pension entitlement
– Determining if you are eligible to be a low-means resident
– The amount of accommodation payment you can be asked to pay
– The amount of means-tested care fee you will be charged.
-Entitlement to apply for Hardship down the track.

You are expected to use your own resources to look after yourselves and gifts will reduce your available resources. Therefore, the government limits how much you can give. Amounts gifted above the allowable limits are “deprived assets” and assessed as financial assets. This excess is included in the assets test and income test (under deeming rules) for five years from the date of the gift.

In a typical scenario, Rosa gifted $20,000 on 01 May to her daughter.
This reduced her bank account by $20,000 but $10,000 is added back as a deprived asset for five years.

Caution should be advised before gifting any money using a Power of Attorney document or when the capacity of the donor is in any question.

If you have any questions, consulting with an Aged Care Expert is a great way to learn more about your best options. Get in touch with one of our Aged Experts for a discussion.