Centrelink assets test

CopperPheel · Newbie

Centrelink assets test

Tony Bev · Guru

Hello CopperPheel

May I be one of the first to welcome you to the forum

Perhaps this question should be asked when you go to visit the financial adviser type person, at Centerlink
They have made the rules, and they will have the correct answer at their fingertips

The initial person behind the counter, may or may not, even know the correct answer

I do remember from a few years ago that on the Tax sheets, an asset was what it was worth, minus what you owed

Hope that this info is helpful

jade46 · Senior Member

Centrelink value assets at what you would get clear at a fire sale,i/e you want it sold today

Dougwe · Chief one feather

Welcome to the gang CopperPheel, enjoy here and out in the playground.

I think you would be best ask Centrelink, that way you get it right.

Keep Safe on theroads and out there.

woolman · Guru

My experience was it all depends on who does you assessment within Centrelink. We ended up appealing through to the SSAT to get a logical assessment. We had a house that the builder totally stuffed up. Repair costs were more than rebuilding but Centrelink would not accept the experts (quantity surveyors) reports so just valued at full sale value as if complete, stating repair costs on a new house is just normal maintenence. SSAT took 5 minutes to throw Centrelinks claim out the window. Took 8 years though. Good luck on your property. Neil

Rob Mac · Member

Hi Copperpheel

Centerlink assessment of your investment property is the equity of the property. For example, say you know you could sell your property for $300k and your mortgage balance is $200k, then your equity is $100k.

The $100k is what Centerlink will take into calculation as your asset worth. The mortgage is not considered into the calculation.

I have had two meetings regarding the same matter as yours and it is not straight forward.

I suggest you meet with Centerlink to discuss your circumstances as everyone,s asset and financial circumstances are different and it is best that you arrange that meeting to get an informed understanding of your options.

Good luck and have plenty of time and patience when dealing with Centerlink.

Rob

Cupie · Guru

An interesting point about reducing an asset by any outstanding debt relating to that asset.

I wonder if any cash in the bank could be reduced by credit card debt or investments by personal loans.

Where does it stop .. Perhaps the sale value of a property could be reduced by sale commissions & legals etc.

For interest sake I might just call Centrelink for a 'ruling'.

woolman · Guru

If you get a ruling from a Centrelink officer get their nam and id number. You never know when you may need it. Neil

brickies · Guru

Are you all wasting your time the OP posted this 1 35 pm on the 28 th and hasn't been back online since 3 09 pm on the 28 th .

CopperPheel · Newbie

brickies wrote:
Are you all wasting your time the OP posted this 1 35 pm on the 28 th and hasn't been back online since 3 09 pm on the 28 th .

OMG. I didn't realise that I was obliged to log in every 30 minutes. Can you show me where that's set out in the Forum guidelines? I'd hate, just hate, to be doing something unacceptable

CopperPheel · Newbie

Rob Mac wrote:
Centerlink assessment of your investment property is the equity of the property. For example, say you know you could sell your property for $300k and your mortgage balance is $200k, then your equity is $100k.

The $100k is what Centerlink will take into calculation as your asset worth

That's my assessment too, but the assets questionnaire doesn't ask about "net equity". On the other hand it's a questionnaire not a face-to-face interview, so I'm guessing it's self-assessment until challenged

rockylizard · Guru

Gday...

Again, why ask members of a forum something that they will only have experience (and knowledge?) of from their own personal situation or what they heard from a friend of their neighbour's second cousin's nephew's grand daughter. confuse

The only source of correct information will be Centrelink.

Almost any question you need to ask is given at least some coverage within the Human Services website - eg

https://www.humanservices.gov.au/customer/enablers/real-estate-assets

Take the time to read the whole page ... but to assist I have snipped this relevant bit for your information.

Centrelink 01.JPG

THEN actually go to (contact) Centrelink for any clarification or advice on YOUR personal situation/circumstance.

Cheers - John

Aus-Kiwi · Guru

Talk to both your accountant and Centrelink .. To get different ways that works for you .. Your accountant will be like a plan before appointment with Centrelink ..