Client Situation
During a routine review, an Intrepid Wealth client raised concerns about cash flow in retirement and asked about increasing withdrawals from their self-managed superannuation fund (SMSF). The client believed this was their only option, as they had always assumed they were ineligible for the Age Pension due to receiving a defined benefit income stream following the death of their spouse and owning a property worth over $3 million.
The Intrepid Wealth Approach
As part of Intrepid Wealth’s holistic review process, our adviser conducted a deeper assessment of the client’s overall financial position—not just their superannuation. This included reassessing the treatment of the defined benefit income stream under Centrelink rules and reviewing the client’s assets against Age Pension thresholds.
Our analysis confirmed that the defined benefit income stream (a police pension) was exempt from Centrelink’s income assessment and that the client’s assets were below the upper asset test limit. As a result, the client was eligible for a part Age Pension—something they had not previously expected.
The Outcome
With this new information, the client—with support from their family—successfully applied for the Age Pension. The application was approved, providing approximately $10,000 per year in additional income.
This outcome reduced the need to draw additional funds from the client’s superannuation, helping their retirement savings last longer. Establishing the Age Pension also means the most complex part of the process is complete, providing greater certainty and flexibility for the future.
Why This Matters
This case highlights the value of proactive advice and a detailed understanding of Centrelink rules. Assumptions can lead to missed opportunities, and a fresh, expert review can make a meaningful difference to retirement outcomes.
If you’re unsure whether you’re receiving all the benefits you’re entitled to, Intrepid Wealth can help you explore your options with clarity and confidence. Click here to contact us.
