PENSION WITHOUT POLITICS

At Budget time every year, and at every election, Australia’s Age Pensioners take an unwarranted political and social pounding.

They are accused of being an intolerable burden on younger taxpayers who are concerned that most pensioners may be welfare cheats.

The cynical aspect of it all are that their accusers are mostly tax evaders who constantly cry out for more corporate welfare such as tax cuts, subsidies and low interest rates.

Nevertheless, the fact is that the Age Pension today amounts to a payout of 45 billion dollars a year, a figure that will double by 2030 as more Australians grow older and take a lot longer to die.

The question for us all is how we finance it without sending oldies to the gas chambers as some fascists would like to do.

We can start by taking an objective look at the current situation and work out how to turn it into a positive.

The Age Pension is indisputably inadequate, very close to the poverty line, and has been for a long time. Continue reading “PENSION WITHOUT POLITICS”

Century of Age Pension guessing

Andrew Fisher and Alfred Deakin met at the Melbourne Club for lunch in 1908 to agree on legislation that would give Australians an Age Pension for the first time. The figure that they chose for the initial pension was the amount they reckoned the government could afford, not what pensioners actually needed.

Since then, every government has calculated the pension the same way. Its time for us to work out what it should actually be. The best way to do it will be to establish an independent Age Pension Authority and do it with a unanimous bipartisan vote of Parliament. Continue reading “Century of Age Pension guessing”