Changes to the Australian pension assets test take effect 1 January 2017. Will you be affected?

The change has been necessary because the government has to fund the reductions in tax to the more wealthy and corporations. Treasury will also need to borrow extra to pay for these concessions. The method will not stimulate growth. Wealthy have a habit or hoarding wealth where as those in poverty must continue to spend on essentials to survive. Reduced income to those in poverty will mean much less spent in small business which is the greatest employer. We are heading towards the first recession in 25 years as a result of "drip down economics"

The slogan emphasising growth and more jobs is not an economic plan. A genuine economic plan would have included a true and fair tax reform, long-term resource infrastructure development (Australia by 2030 will become more reliant on food production, the worlds ever growing population) growth in sustainable power technologies, new international trading partners and reductions in garbage going to land-fill.

My apologies to all those people who are or about to suffer greater economic hurt. We will see increased mortgage fore-closures, homelessness, unemployment and continued increase in prison population. (Guess what people do when they cannot make ends meet legitimately.

Federal government's budget included increasing the wealth of the rich and the corporate sector at the expense of the vulnerable and working class. Many of the very wealthy, politicians, Australian and multi-national corporations use an excessively biased taxation laws to funnel enormous money off shore into foreign tax havens. The extra wealth created by the over-generous tax reductions will not create additional jobs nor provide an economic stimulus. It will widen the gap between the very rich and the working class.

The savings from reductions to the aged and disability pensions will not be enough to fund the over-generous tax reductions for the corporate world and the mega-rich. The government will be required to go further into debt to pay for these tax reductions.

Every nation which has used "drip down" economics has failed to grow the economy. Once the largest part of the population lose spending power through bracket creep or loss of pensions we can expect small business the largest employer, will be hurt first. It is so wrong what the current government have done.

On 1 January 2017, the pension assets test used to calculate pensions will change. The assets test thresholds and cut out limits will change. These changes may affect you if you get the Age Pension, Carer Payment, Disability Support Pension, Widow B Pension or Wife Pension.

To receive the full pension, your assets must be less than:

Homeowner Non-homeowner

Single $250,000 $450,000

Couple $375,000 $575,000

Government has misled us on the real unemployment figures, importation of cheap foreign labourers for mining companies and shipping - instead of using 457 bridging visas they cover the number up using temporary resident visas. We have exporting government contracts that are not cheaper.

To everyone that has been misled, I am sorry, you may be faced with harsher circumstances come 17th January 2017.