The Government’s 2021 budget was announced two weeks ago, and National Seniors Australia has subsequently put out a bulletin outlining the following top five wins for Australian seniors:
1. Home Care Packages
The Government has committed a $17.7 billion package in response to the aged care royal commission, including $6.5 billion for new Home Care Packages. This will amount to an extra 80,000 packages for Australian seniors, and while this won’t cover all the current needs, it is a good start.
2. Staff training
The Government announced there will be 33,800 subsidised training places to increase the number of care staff. The Budget also provided $216.7 million over three years to grow and upskill the workforce and enhance nurse leadership and clinical skills through additional nursing scholarships. It will also be used to help recruit aged care workers in regional, rural and remote areas and provide eligible registered nurses with additional financial support.
3. Minimum staffing care time in residential care
The Budget contains $3.9 billion for minimum staffing time in residential care. The Government accepted the recommendation for a minimum staff time of 200 minutes per day (with 40 minutes of this from a registered nurse) and for a registered nurse to be on duty for a minimum of 16 hours per day. This arrangement will commence on 1 October 2021.
4. Expanded eligibility for downsizing contributions to super
The existing “downsizing into super” scheme, which allows people over the age of 65 to downsize their home and put up to $300,000 in proceeds into super, is having its eligibility expanded so that people aged 60 to 64 can also participate in the scheme.
5. Superannuation work test abolished
One of the restrictions on making superannuation contributions has been removed. Currently, Australians between the ages of 67 – 74 who make contributions to superannuation must be working and meet a work test to be eligible. From 1 July 2022, individuals aged 67 to 74 will no longer be required to meet the work test when making, or receiving, non-concessional superannuation contributions or salary sacrificed contributions.
