Stage 3 of your epic retirement plan
Answer one assumption question at a time. These details help Pension Pilot estimate bridge-years pressure, Age Pension means-test pressure, and the assumptions to check before using the report as an educational snapshot.
Does Person 1 expect passive income from age 67 each week?
Passive income such as rent, annuities, investment income, or overseas pensions can affect Age Pension income-test pressure.
Does Person 2 expect passive income from age 67 each week?
For couples, both people’s passive income can affect the household Age Pension estimate.
At what age does Person 1 wish to retire?
This tells the report when Person 1 wants to stop work. It is separate from when super drawdowns begin.
At what age does Person 2 wish to retire?
This tells the report when Person 2 wants to stop work. It is separate from when super drawdowns begin.
Will Person 1 keep working after Age Pension age (67)?
If so, enter roughly how much Person 1 will earn per week. Work income after 67 can reduce the Age Pension through the income test, though Work Bonus rules soften the impact — this helps estimate the entitlement accurately.
Will Person 2 keep working after Age Pension age (67)?
If so, enter roughly how much Person 2 will earn per week. Work income after 67 can reduce the Age Pension through the income test, though Work Bonus rules soften the impact.
Does Person 1 want to draw super from retirement or age 67?
Choose whether the report should start super drawdowns from the retirement age entered above, or wait until Age Pension age.
Does Person 2 want to draw super from retirement or age 67?
Choose whether the report should start super drawdowns from the retirement age entered above, or wait until Age Pension age.
How much should Person 1 draw from super each year before pension age?
This amount tests whether super can cover the gap between stopping work and Age Pension eligibility.
How much should Person 2 draw from super each year before pension age?
This completes the second person’s bridge-years drawdown assumption.
For the assets test, what financial assets do you have outside of your super balance?
Include financial assets outside super that are subject to Age Pension deeming, e.g. bank accounts, term deposits, shares or managed funds. Do not include cars, boats, caravans or household contents (there is a separate question for those) or the family home if homeowner rules apply.
What is the current value of personal-use assets like cars, boats and caravans?
Include the market (second-hand) value of vehicles, boats, caravans and household contents. These count under the Age Pension assets test but are not deemed for income-test purposes. Pension Pilot’s report assumes these decline in value by 10% a year from your retirement age onward (based on the ATO’s general approach to depreciating personal-use assets like motor vehicles), since Centrelink does not apply automatic depreciation — you will need to update Centrelink yourself as values fall.
What lower deeming rate should the report use?
Use the current lower deeming rate for Age Pension estimates unless you are deliberately testing a different scenario.
What higher deeming rate should the report use?
Use the current higher deeming rate for financial assets above the lower deeming threshold, or adjust it only for scenario testing.
What annual administration cost should be allowed for super?
Enter the estimated yearly administration cost for the super account as a dollar figure. This annual cost reduces the balance available for future income and drawdowns.
What annual super return percentage should the report test?
Enter the annual return percentage you want the report to model for super, rather than relying only on a default growth-rate assumption.
What age should Person 1’s report run to?
Use 100 as a default if you want a long retirement timeline. This controls how far the projection runs.
What age should Person 2’s report run to?
This controls the second person’s projection end age. Use 100 as a simple first-pass default.
Stage 3 assumptions saved.
Your report inputs are ready. Continue to the payment page when you are ready.