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Overview
We recognise that advisers often like to model scenarios that fall outside standard calculations, whether that’s stress-testing a client’s strategy, adjusting for exceptional circumstances, or reflecting a one-off tax event.
To support this flexibility, Holistic Cashflow now includes manual adjustment controls that allow you to override specific auto-calculated amounts while still maintaining the integrity of the overall model.
These controls make it easier to explore “what-if” outcomes, demonstrate the impact of alternative assumptions, and tailor scenarios to match real-world advice conversations.
Manual adjustments can now be applied to:
You can also access a new Age Pension Calculation Sheet, providing a transparent view of how Age Pension values are derived and how any adjustments affect entitlements.
Access
To access manual adjustments, open your scenario in Holistic Cashflow and select the Cashflow tab.
You’ll land on the Overall position by default.
If you’re already working within another area of Cashflow, you can return to the Overall screen at any time to access the adjustment options.
Choose Advanced from the bottom of the right panel to view the Additional Settings window, where you can select the following adjustments.
📌Note
You MUST be on the overall screen for the advanced options to show the manual adjustment options.
Selecting Advanced from different sections will open options related to that section.
Instructions
Individual Tax Adjustment
To adjust your client’s total tax payable or offsets, navigate to Overall > Advanced.
Select Individual Tax – Adjustments from the Additional Settings window.
The adjustment panel will appear at the bottom of the window. Enter the required details in the relevant fields for each tax adjustment type.
➤ Regular – Create ongoing adjustments that repeat over a selected time period.
➤ Lump Sum – Record one-off tax adjustments that apply only in a specific year.
Individual Tax – Adjustments Fields
Type | Select the kind of adjustment
|
Owner | Choose the client or entity the adjustment applies to. |
Amount | Enter the adjustment value (positive to increase tax, negative to reduce it). |
Index Optional | You can apply indexation to automatically increase the adjustment each year:
|
Frequency | Select how often the adjustment occurs. If an annual adjustment of $120,000 is entered with a Yearly frequency, the system converts it to $10,000 per month in the background for consistent monthly modelling. Options:
|
Start / End | Set the period the adjustment applies to. |
Description | Add context (for example, One-off deduction carried forward). |
📌Note
To add multiple ongoing adjustments, select Add New and repeat the process.
When you’ve finished entering details, select Apply Changes from the bottom left of the window to confirm your updates.
Review the impact of the adjustment in the Overall graph or by returning to the Table View for a year-by-year summary.
In the Overall chart, tax adjustments appear under the Tax Payable section, reflecting increases or reductions to the total income tax amount.
In Table View, open the Tax Payable breakdown to see how manual offsets or overrides affect yearly totals.
Any refundable or non-refundable offsets are included in the net tax calculation for each financial year.
Div 293 Adjustment
Div293 is automatically calculated by the system based on the client’s income and concessional contributions.
Use the Div 293 – Adjustments panel to override or disable the Division 293 tax automatically calculated in Holistic Cashflow.
When you apply Regular or Lump Sum adjustments to Div293, the entered amount is added to (or subtracted from) the system’s calculated value.
If you choose to disable Div293, the automatic calculation is turned off. Any subsequent adjustments you enter will then be applied from a base value of $0, as the tax has been fully disabled.
Div293 tax is distributed proportionally across all superannuation accounts that receive concessional contributions within the scenario.
This allows you to model scenarios where the tax doesn’t apply or differs from the standard calculation.
From the Additional Options window, select Div293 – Adjustments.
Scroll to the bottom of the window to access the expanded Div293 options.
➤ Disable Div293 – Use this section to exclude Div 293 tax for specific periods when the client’s income falls below the applicable threshold.
➤ Regular – Create ongoing adjustments that repeat over a selected time period.
➤ Lump Sum – Record one-off tax adjustments that apply only in a specific year.
📌Note
Div 293 adjustments override the system’s calculated amount for the current scenario only.
Disabling Div 293 removes it entirely from that timeframe; re-enable it by clearing the entry and reapplying changes.
You can combine both Regular and Lump Sum adjustments to reflect complex or multi-year scenarios.
Div293 – Adjustments Fields
Type | Select the kind of adjustment to apply.
|
Owner | Choose the client or entity the adjustment applies to. |
Amount | Enter the adjustment value (positive to increase the tax payable, negative to reduce it). |
Index Optional | You can apply indexation to automatically increase the adjustment each year:
|
Frequency | Select how often the adjustment occurs. If an annual adjustment of $120,000 is entered with a Yearly frequency, the system converts it to $10,000 per month in the background for consistent monthly modelling. Options:
|
Start / End | Set the period the adjustment applies to. |
Date (for Lump Sum) | Specify the exact date the one-off adjustment should apply. |
Description | Add context for the adjustment (for example, Exclude Div 293 for income below threshold or Custom adjustment for super contribution surcharge). |
📌 Note
To add multiple adjustments, select Add New and repeat the process for each entry.
When you’ve finished entering details, select Apply Changes from the bottom left of the window to confirm your updates.
Review the impact of the adjustment in the Overall graph or by switching to Table View for a year-by-year summary.
The impact of Div 293 changes is shown under the Tax Payable category in both the Overall and Table View screens.
When Div 293 is disabled, the corresponding amount is removed from the total tax outflow for that year.
Adjusted values entered through Div293 Payable Adjustment are reflected in the client’s overall tax liability summary.
Superannuation Tax – Adjustments
The Superannuation Tax – Adjustments section allows you to manually adjust the tax applied within a client’s superannuation account.
This feature is designed for advisers who need to model scenarios outside of the default calculations, such as adjusting for concessional or non-concessional contribution taxes, accounting for one-off corrections, or testing the impact of alternate super tax rates over time.
By applying these adjustments, you can ensure the model reflects real-world outcomes more accurately while maintaining full visibility across the Cashflow charts and Table View.
From the Additional Options window, select Superannuation Tax – Adjustments.
Scroll to the bottom of the window to access the adjustment panel.
➤ Regular – Create ongoing super tax adjustments that repeat over a selected time period (for example, to reflect an alternate tax rate applied annually).
➤ Lump Sum – Record one-off adjustments that apply only in a specific year (for example, correcting a one-time overpayment or refund).
Superannuation Tax – Adjustments Fields
Field | Description |
Account | Select the superannuation account to which the adjustment applies. |
Amount | Enter the adjustment value. Use positive amounts to increase tax payable or negative amounts to reduce it. |
Index | Optional – Apply indexation to increase the adjustment amount automatically each year. |
Frequency | Select how often the adjustment occurs. If an annual adjustment of $120,000 is entered with a Yearly frequency, the system converts it to $10,000 per month in the background for consistent monthly modelling. Options:
*Use only for Regular adjustments. |
Start / End | Define the timeframe the adjustment applies to. Use this for ongoing adjustments that occur across multiple years. |
Date | For Lump Sum entries, specify the exact date the adjustment should apply. |
Description | Add context for the adjustment (for example, Adjusting for concessional contribution tax variance). |
📌 Note
To enter multiple adjustments, select Add New under the relevant section.
Once all entries are complete, select Apply Changes from the bottom right of the window to confirm your updates.
💡Tip
You can view the impact of Superannuation Tax Adjustments in both the Overall chart and Table View.
You can also record gifts made in the past, and Holistic Cashflow will automatically calculate when the deprived asset is no longer counted under Centrelink’s 5-year deprivation rule.
For example, if your modelling start date is 1 July 2025, you can enter a gifted amount dated September 2022, as long as it falls within the 5-year deprivation period.
The system will recognise this as a historical gift and gradually reduce its impact over the remaining deprivation timeframe, ensuring Age Pension calculations reflect the correct assessable asset value.
In Table View on the main Cashflow screen, the adjusted amounts show under the Superannuation section, allowing you to compare actual and modelled tax outcomes over time.
Government Benefits – Adjustments
Use this area to modify key factors that influence Centrelink benefit calculations, such as marital status, home ownership, and income or asset test values.
You can also trigger recalculations to reflect significant life events (for example, a client’s relationship change or home ownership update).
From the Additional Options window, select Gov Benefits – Adjustments.
Scroll to the bottom of the window to access the expanded adjustment panel
➤ Marital Status – Change the client’s marital status mid-scenario to test how benefits vary between Single, Couple, or Separated by Illness thresholds.
➤ Home Owner Status – Update home ownership to Home Owner or Non-Home Owner to automatically refresh Age Pension limits.
➤ Income & Asset Test Adjustment – Override the auto-calculated income or asset test amounts to model alternate Centrelink outcomes.
➤ Recalculate Income and Asset Test – Trigger a recalculation due to a major event or lifestyle change, such as a property renovation or a move to a principal residence.
Government Benefits – Adjustments Fields
Field | Description |
Marital Status | Select Single, Couple, or Separated by Illness to apply the relevant Centrelink threshold. |
Start / End | Set the period this marital status applies to. Mid-scenario changes automatically refresh Age Pension limits. |
Description | Add context (e.g., Client separated mid-2026 – apply illness test thresholds). |
Home Owner Status | Choose Home Owner or Non-Home Owner to align the client’s Age Pension test thresholds with their situation. |
Date / End | Define when the new home ownership status begins and ends. |
Description | Add a short note (e.g., Purchased new home – moved to Home Owner test from 07/2027). |
Income Test Adjustment | Manually enter income test values to override the default calculated amount. Use this to model alternate earnings or Centrelink assessments. |
Amount | Enter the new value for the income test. Positive increases income; negative reduces it. |
Index / Frequency | Optional – apply indexation to adjust the value automatically each year, or select the frequency (e.g., yearly, monthly). |
Date / End | Define the date range for the override. |
Description | Add context for clarity (e.g., Temporary income supplement for part-time work). |
Asset Test Adjustment | Manually adjust total assets assessed for Age Pension purposes. |
Amount | Enter the total change in asset value (positive to increase assessable assets, negative to reduce them). |
Type | Select the relevant adjustment type (e.g., Financial, Non-Financial, Gifting Impact). |
Date / End | Define the timeframe the adjustment applies to. |
Description | Add a note explaining the reason for adjustment (e.g., Car purchase reducing assessable assets). |
Recalculate Income and Asset Test (Significant change in situation) | Use this to trigger a new calculation when there’s a major life or financial event. Example: Home renovation, sale of investment property, or separation. |
Type / Date / Description | Complete these to document the event causing the recalculation. |
📌 Note
To enter multiple adjustments, select Add New within any section.
Once complete, select Apply Changes from the bottom right to confirm your updates.
💡Tip
Each adjustment directly impacts the Age Pension and Government Benefits charts in Holistic Cashflow. You can view these under the Table View > Age Pension breakdown to see how thresholds, assets, and income tests interact after your changes.
Gov Benefits – Gifting
The Gov Benefits – Gifting section allows you to record any financial gifts made by the client that may affect their Centrelink entitlements.
Holistic Cashflow automatically applies Centrelink’s 5-year deprivation rule, ensuring that gifts above the allowable limits are correctly treated as deprived assets when calculating Age Pension eligibility.
This feature helps you model real-world gifting behaviour and demonstrate how it influences pension outcomes over time.
From the Additional Options window, select Gov Benefits – Gifting.
Scroll to the bottom of the window to access the adjustment panel.
➤ Regular – Create ongoing gifting entries that repeat over a selected time period (for example, annual cash gifts to family).
➤ Lump Sum – Record one-off gift events that occur in a single year, such as a major transfer or donation.
Gov Benefits – Gifting Fields
Field | Description |
Amount | Enter the total value of the gift. Positive values increase the amount gifted. |
Index Optional | Apply indexation if the gift amount changes over time.
|
Frequency | Select how often the adjustment or gift occurs.
If an annual adjustment of $120,000 is entered with a Yearly frequency, the system converts it to $10,000 per month in the background for consistent monthly modelling.
Options:
|
Start / End | Define the period during which the recurring gifts occur. |
Date | For Lump Sum gifts, specify the exact date of the event. |
Description | Add details about the purpose or recipient of the gift (e.g., Gift to child for house deposit – exceeds annual allowance). |
📌 Note
To add multiple gifts, select Add New under the relevant section.
When all entries are complete, select Apply Changes from the bottom right to confirm your updates.
💡Tip
The impact of gifting adjustments is shown under Age Pension and Government Benefits in both the Overall and Table View charts.
Holistic Cashflow will automatically apply the 5-year deprivation rule, reducing assessable assets gradually over that period.
You can review the effect of gifting on the client’s Age Pension under the Age Pension and Government Benefits charts in Holistic Cashflow.
In the Overall chart, gifting adjustments appear as part of the Government Benefits component, showing any reduction in Age Pension due to deprived assets.
Viewing The Age Pension Table
A new Table View is now available for Age Pension.
From the Overall screen, switch to Table View and select Age Pension from the dropdown list.
💡Tip
This helps you explain to clients how gifting affects their Age Pension eligibility and when previously deprived assets will fall outside the Centrelink assessment period.
This provides a detailed, line-by-line breakdown of how the Age Pension is calculated, including how gifts, income, and asset changes are assessed over time.
The Deprived Assets line in the Age Pension sheet shows how each gift is treated under the 5-year deprivation rule, reducing assessable assets year by year.
The Age Pension is also recalculated when special trigger events occur, and these are clearly marked in the Age Pension output.
Trigger events include reaching Age Pension age, retiring, changes in income or assessable assets (including deprivation adjustments), and any manual recalculations initiated by the adviser.
This allows the Age Pension to commence part-way through a financial year, reflecting real-world timing.
We’ve also included month-level detail in the Age Pension view so you can see exactly when each trigger takes effect.
By default, the calculation is applied at the start of each financial year (July). However, if a specific event occurs during the year, such as a client reaching eligibility age, the system will automatically recalculate from that point.
Example
If a client is 68 and their spouse is 66, and the spouse turns 67 in September 2026, Holistic Cashflow will recognise that as a trigger event and adjust the Age Pension calculation from that month onward.
Understanding the Age Pension Table View
The Age Pension Table View provides a detailed, period-by-period breakdown of how Age Pension entitlements are calculated for each client and their partner. By scrolling through the table, you can demonstrate to your clients how different strategies affect their Age pension.
This table includes:
Client Information – Age Pension Table View
Heading | Description |
Home Owner | Indicates whether the client or couple owns their principal residence during that period. This determines which asset test threshold Centrelink applies to the Age Pension calculation. |
Marital Status | Displays the relationship status for each period – Single, Couple, or Separated by Illness (SBI). Changing status mid-scenario updates the Age Pension thresholds automatically. |
Client Qualifying Age / Partner Qualifying Age | Shows the age at which each person becomes eligible for the Age Pension. These values are determined based on current Centrelink age qualification rules and update dynamically as the scenario progresses. |
Client Qualifies / Partner Qualifies | Indicates whether the client or partner currently meets all qualification criteria (age, residency, means test) for Age Pension entitlement. |
Client Retired / Partner Retired | Displays each person’s retirement status in the scenario. Used to determine whether income from employment or business activities should be counted under the Income Test. |
Growth / Franking (where shown) | Reflects the assumed investment growth rate or dividend franking level applied to relevant assets when modelling pension entitlements. |
Baseline (Top Row) | Shows the default client setup before adjustments are applied, including initial marital and home ownership status. This baseline is used to compare changes triggered by events or manual overrides. |
How It Connects to Other Features
Feature | Description |
Gov Benefits – Adjustments | Changes to marital status or home ownership entered in this section flow directly into the Client Information rows. |
Recalculation Events | Trigger automatic Age Pension recalculations when clients reach qualifying age, retire, or experience significant financial or status changes. |
Table View – Monthly Detail | Each recalculation point (e.g., a spouse reaching Age Pension age mid-year) is shown with month-level precision in this table, ensuring accurate timing of entitlement changes. |
This view helps advisers verify exactly when and why Age Pension amounts change, providing full transparency across income, asset, and gifting adjustments.
Gifting Section – Age Pension Table View
Heading | Description |
Gifted Amount (Regular / Lump Sum) | Shows the total gifts made during each period, based on entries entered in Gov Benefits – Gifting. Regular amounts represent recurring gifts, while Lump Sum entries capture one-off transfers. These values reflect the gross amount gifted before any Centrelink thresholds or exemptions are applied. |
Gifted Amount | Displays the total combined value of all gifts (Regular and Lump Sum) recognised in that period. This total is used to test against the 1-Year and 5-Year Centrelink gifting thresholds. |
1 Year Threshold / 5 Year Threshold | Indicates the Centrelink limits for allowable gifting before amounts are treated as deprived assets. |
Deprived | Shows the portion of the gift that exceeds Centrelink’s allowable thresholds and is counted as a deprived asset. This amount remains assessable for Age Pension purposes until the end of the 5-year period. |
Assessed Asset (1Y) / Assessed Asset (5Y) | Represents the total value of deprived assets still being counted within the 1-year or 5-year assessment window. These amounts reduce automatically as gifts age beyond the five-year period. |
Total Assessed | Displays the total value of all deprived assets still active within the 5-year deprivation rule. This total directly impacts Age Pension eligibility by increasing assessable assets and reducing benefit amounts. |
Related Features
Feature | Description |
Gov Benefits – Gifting | Entries from this screen feed directly into the Age Pension table, determining the timing, frequency, and value of gifts. |
Income and Asset Test Adjustments | Works alongside gifting data to update Age Pension entitlements based on total assessable income and assets. |
Recalculation Events | Automatically refresh Age Pension outcomes when major client changes occur (e.g., marital status, home ownership, or qualifying age). |
5-Year Deprivation Rule | Holistic Cashflow applies this rule automatically to determine when previously deprived assets are no longer counted in the Age Pension assessment. |
Calculation and Thresholds – Age Pension Table View
Heading | Description |
Total Assessed | Displays the total value of all assessable assets currently being counted under the Age Pension means test, including any deprived amounts still within the 5-year assessment window. |
Cumulative Assessed | Shows the running total of all assessed assets over time, helping identify when cumulative values exceed Centrelink thresholds. |
Change in Deprived Amount | Indicates whether there has been a change in deprived assets during that period. Yes appears when a new gift or adjustment affects the assessed total. |
Calculation | Groups all Age Pension calculation parameters used for that projection period, including the maximum entitlement and relevant Centrelink thresholds. |
Maximum Pension Payment | The highest possible annual Age Pension payment before any means testing reductions. This serves as the starting point for calculating the payable amount. |
Asset Test Threshold | Shows the asset value limit at which Age Pension begins to reduce under the Asset Test. These values vary depending on marital status and home ownership. |
Income Test Threshold | Represents the maximum income level before the Age Pension is reduced under the Income Test. Regular updates align these values with Centrelink’s published limits. |
Deeming Threshold | Displays the threshold for financial investments subject to deeming rules. Income earned below this level is deemed at the lower rate; amounts above are deemed at the higher rate. |
Thresholds Indexed by AWOTE | Shows the same key threshold figures indexed annually using Average Weekly Ordinary Time Earnings (AWOTE). This reflects projected future changes in Centrelink parameters within the modelling period. |
How It Connects to Other Features
Feature | Description |
Gov Benefits – Adjustments | Changes to marital or home ownership status automatically update the asset and income test thresholds shown in this table. |
Gov Benefits – Gifting | Adjustments made here feed into the Total Assessed and Change in Deprived Amount rows, recalculating pension entitlements. |
Recalculation Events | Trigger recalculations when thresholds change or when clients reach qualifying age or retirement milestones. |
Table View – Indexed Projections | Provides future-year forecasts using AWOTE-indexed thresholds to demonstrate long-term impacts on Age Pension eligibility. |
Assets and Liabilities – Age Pension Table View
Heading | Description |
Lifestyle Assets | Represents personal assets such as vehicles, household contents, and other lifestyle items. These are included in the Asset Test for Age Pension calculations unless specifically exempt under Centrelink rules. |
Non-Super Assets (Ex Direct Property) | Shows all non-superannuation financial assets (e.g., cash, shares, managed funds) excluding direct property holdings. Values entered in the client’s portfolio flow into this section automatically. |
Non-Super Assets (Direct Property Only) | Lists the total value of any investment properties owned outside of superannuation. These amounts contribute to the overall assessable asset total. |
Super Accumulation Assets | Displays the balance of accumulation-phase superannuation accounts. For clients under Age Pension age, these are generally excluded from testing; once both members reach eligibility age, they are included automatically. |
Super Pension Assets | Reflects the total balance of pension-phase super accounts. These amounts are fully assessable under the Asset Test and are also used in deeming calculations for income assessment. |
Loans | Represents liabilities such as investment or personal loans that offset asset values in the Age Pension calculation. Negative values are shown in red to indicate deductions against total assets. |
Manual Adjustment Asset (Included for Deeming) | Displays any asset-level manual adjustments entered in Holistic Cashflow. These are treated as financial assets for deeming purposes and can be used to model unique or irregular circumstances. |
How It Connects to Other Features
Feature | Description |
Assets/Liabilities Tab | Data entered in the main client record flows directly into this section of the Age Pension table, ensuring consistency across projections. |
Gov Benefits – Adjustments | Home ownership or marital status updates influence which thresholds apply to these asset types. |
Holistic Cashflow Modelling | Asset and liability movements are integrated with cashflow projections, showing how changes affect Age Pension eligibility year-by-year. |
Table View – Indexed Thresholds | The values above the asset rows use AWOTE-indexed thresholds to maintain realistic projections of future eligibility. |
Net Assets and Income – Age Pension Table View
Heading | Description |
Net Assets | Represents total assets after deducting liabilities such as loans. Negative values (shown in red) indicate that debts exceed the total value of assets. This figure feeds into the Asset Test for Age Pension eligibility. |
Deemed Assets | Displays total financial assets subject to deeming rules. These include cash, managed funds, shares, and super pension balances. Deeming rates are automatically applied to estimate income from these assets for the Income Test. |
Employment Income – Client / Partner | Shows the gross employment income for each person, drawn directly from their income sources in Holistic Cashflow. If a Work Bonus applies, the adjusted value will be reflected in later rows. |
Net Rental Income | Displays the total net rental income from investment properties. This is included as assessable income under the Income Test. |
Deemed Income | Represents income generated from Deemed Assets. Holistic Cashflow applies the relevant lower and upper deeming rates to estimate the notional income used in Age Pension assessments. |
Manual Adjustment Income | Captures any manually entered income adjustments from the Gov Benefits – Adjustments section. Use this to model irregular or exceptional income amounts. |
Total Income | Sums all income sources (employment, rental, deemed, and manual adjustments) to show the total assessable income for the period. This figure determines whether the Income Test affects Age Pension entitlement. |
Work Bonus Section
Heading | Description |
Employment Income – Client (Monthly Equivalent) | Converts employment income into a monthly amount to assess eligibility for the Work Bonus concession. |
Work Bonus Applied | Displays the amount of Work Bonus applied to reduce assessable income for qualifying clients. This concession is automatically included for eligible recipients. |
Income Assessed (Monthly Equivalent) | Shows the adjusted monthly income figure after applying the Work Bonus. This is the income value Centrelink would use when testing eligibility under the Income Test. |
How It Connects to Other Features
Feature | Description |
Income Tab (Fact Find 2.0) | Employment, rental, and investment income entered here flow directly into the Age Pension income rows. |
Gov Benefits – Adjustments | Manual income overrides or additional adjustments entered in this section feed into the “Manual Adjustment Income” field. |
Deeming Calculations | Automatically determine deemed income from financial assets using current Centrelink deeming rates. |
Work Bonus Logic | Holistic Cashflow applies the Work Bonus automatically for eligible recipients, reflecting the reduced assessable income in this section. |
Work Bonus – Age Pension Table View
Heading | Description |
Income Assessed (Monthly Equivalent) | Displays each person’s employment income after all applicable work bonus offsets are applied. This is the amount that will be included in the Income Test for Age Pension calculations. |
Work Bonus Available | Shows the cumulative total of the work bonus credit available for that period. Credits accumulate over time (up to the maximum cap set by Centrelink) when a client has unused work bonus amounts from prior periods. |
Work Bonus Used | Indicates how much of the available work bonus has been applied in that period to reduce assessable employment income. If no income is earned, this value will remain at $0. |
Work Bonus Remaining | Displays the remaining balance of unused work bonus credit after deductions. This balance carries forward to subsequent periods, continuing to offset future employment income until exhausted. |
Employment Income – Client / Partner (Monthly Equivalent) | Converts annual or irregular employment income into a monthly amount to ensure consistent application of the work bonus over the projection period. Each client’s income and bonus are shown separately. |
How It Connects to Other Features
Feature | Description |
Income Tab (Fact Find 2.0) | Employment income entered here automatically populates the corresponding client and partner rows in this table. |
Gov Benefits – Adjustments | Any manual overrides to income or bonus eligibility applied here are reflected in the work bonus calculations. |
Work Bonus Rules | Holistic Cashflow applies the official Centrelink work bonus logic, including monthly accumulation and the maximum cap. |
Income Assessed for Age Pension | After all work bonus adjustments are applied, the remaining income is used in the Age Pension Income Test to calculate the final payable amount. |
Age Pension Entitlement Calculation – Table View
Heading | Description |
Asset Test Calculation | Displays how the client’s Age Pension entitlement is calculated based on their total assessable assets and the relevant Centrelink thresholds. This test determines how much pension is reduced due to excess assets. |
Assessable Assets | Represents the client’s total assets after deducting any liabilities (such as loans). Negative values (shown in red) indicate that debt exceeds asset value. |
Asset Test Threshold | Shows the maximum asset value allowed before Age Pension payments begin to reduce under the Asset Test. This varies depending on marital status and home ownership. |
Reduction Amount (Asset Test) | Displays the calculated reduction in Age Pension due to asset levels exceeding the threshold. The reduction is applied at Centrelink’s defined taper rate per $1,000 over the limit. |
Pension Rate | Represents the maximum annual pension payment before reductions. Used as the starting point for both Asset and Income Test calculations. |
Estimated Age Pension (Asset Test) | Shows the estimated annual Age Pension amount after applying reductions under the Asset Test. This represents what the client would receive if only the Asset Test were applied. |
Heading | Description |
Income Test Calculation | Displays how the Age Pension entitlement is calculated based on assessable income and the relevant Centrelink Income Test thresholds. |
Total Income | Represents the combined assessable income for the client (including employment, rental, and deemed income). This figure is drawn directly from the Income section of the table. |
Income Test Threshold | The income level at which the Age Pension begins to reduce. This is determined by Centrelink rules and adjusts automatically based on marital status. |
Reduction Amount (Income Test) | Displays the dollar reduction in Age Pension entitlement resulting from assessable income above the Income Test threshold. This amount is calculated using Centrelink’s taper rate per dollar. |
Pension Rate | Displays the maximum annual Age Pension rate before applying reductions. This aligns with the same value shown under the Asset Test calculation. |
Estimated Age Pension (Income Test) | Shows the estimated Age Pension payable after applying income-based reductions. This represents the outcome if only the Income Test applied. |
How It Connects to Other Features
Feature | Description |
Gov Benefits – Adjustments | Manual changes to income, asset, or marital status update these calculations automatically. |
Threshold Indexing (AWOTE) | Both asset and income test thresholds adjust annually based on AWOTE indexing to maintain long-term projection accuracy. |
Recalculation Events | Trigger re-evaluation when qualifying ages, marital status, or gifting adjustments occur. |
Final Age Pension Payable | The actual pension received is determined by comparing both test results – the lower of the two entitlements (Asset Test vs. Income Test) is used as the final Age Pension amount. |
Age Pension Payable and Recalculation Events – Table View
Heading | Description |
Estimated Age Pension (Income Test) | Displays the estimated annual Age Pension payable after applying the Income Test reductions. This represents the final entitlement before splitting between individuals. |
Age Pension Payable Per Person | Shows the total Age Pension entitlement per eligible person. This helps confirm whether one or both clients qualify in the given period. |
Age Pension Payable – Client | Displays the portion of the total Age Pension paid to the primary client. If the client is not yet of qualifying age, this value will remain at $0. |
Age Pension Payable – Spouse | Displays the portion of the total Age Pension payable to the partner once they reach Age Pension age. This amount begins accruing from the qualifying period onward. |
Total Age Pension Payable | Represents the combined total Age Pension payment received by both partners after all reductions from the Asset and Income Tests have been applied. |
Recalculation of Age Pension
Heading | Description |
Start of New Financial Year | A recalculation automatically occurs at the start of each financial year to update Age Pension values based on new indexed thresholds. |
Change in Client Situation | Triggered when there is a significant change in the primary client’s circumstances, such as retirement or a new income source. |
Change in Partner Situation | Triggered when the partner reaches Age Pension age, retires, or experiences a change in income or assets. |
Change in Gifting | Occurs when new gifts are entered or existing gifts pass the 5-year deprivation period, altering assessable assets. |
Change in Employment Income | Activates when employment income starts, stops, or changes, ensuring the Income Test reflects the correct assessable income. |
Change in Home Ownership Status | Occurs if home ownership changes during the scenario (e.g., selling or acquiring a home), which adjusts the asset test thresholds accordingly. |
How It Connects to Other Features
Feature | Description |
Recalculation Events | These triggers ensure Age Pension values remain accurate throughout the modelling period by updating entitlement calculations when key events occur. |
Age Pension Sheet Overview | Use this view to verify timing and cause of Age Pension changes. Each “Yes” indicator marks when a recalculation has taken place. |
Gov Benefits – Adjustments | Changes made to marital status, gifting, or home ownership directly feed into these recalculation triggers. |
Scenario Modelling Accuracy | Enables advisers to identify how and when clients’ Age Pension entitlements change over time due to real-life events or manual adjustments. |
Recalculation of Age Pension – Detailed View
Heading | Description |
Start of New Financial Year | Automatically triggers an Age Pension recalculation at the start of each financial year. This ensures the model reflects updated Centrelink thresholds, AWOTE-indexed rates, and new deeming rules. |
Change in Client Situation | Occurs when the primary client experiences a major change such as retirement, income adjustment, or asset restructure. The recalculation updates both the Income Test and Asset Test results accordingly. |
Change in Partner Situation | Activates when the partner’s status changes – for example, when reaching Age Pension age, retiring, or altering income and assets. This ensures both individuals’ entitlements are accurately modelled. |
Change in Gifting | Triggered when a new gift is added, modified, or when an existing gift moves outside the 5-year deprivation rule window. The system recalculates Age Pension entitlements to reflect the updated asset position. |
Change in Employment Income | Runs when employment income starts, stops, or changes in value, ensuring the Income Test is recalculated using updated work bonus and assessable income amounts. |
Change in Home Ownership Status | Occurs when clients buy, sell, or change ownership of their primary residence. Home ownership directly affects the Asset Test thresholds and is therefore automatically recalculated. |
Change in Marital Status | Updates the scenario when the relationship status changes (e.g., single to couple or separated by illness). The recalculation applies new threshold values and payment rates for the revised household type. |
Manual Trigger | Allows the user to manually force a recalculation of the Age Pension when required – for instance, after complex multi-step modelling changes or manual adjustments. |
Recalculation of Age Pension (Summary Row) | Displays a “Yes” indicator in the period where one or more trigger events caused an automatic recalculation. This helps track the timing of Age Pension updates and their correlation with client scenario changes. |
How It Connects to Other Features
Feature | Description |
Gov Benefits – Adjustments | Changes made in this section (such as marital status, home ownership, or gifting) directly feed into the recalculation logic. |
Age Pension Table View | Each “Yes” under this section marks where a recalculation event has occurred, ensuring full transparency in the Age Pension entitlement timeline. |
Scenario Modelling | Enables advisers to clearly identify when entitlement shifts occur and explain the cause (e.g., reaching Age Pension age or asset changes). |
Manual Adjustments | If advisers apply manual tax or benefit adjustments, triggering a recalculation ensures those changes are reflected accurately in the final pension result. |
Monthly Breakdown – Age Pension Payments
Heading | Description |
Month / Year | Displays each month within the selected projection period. This allows you to see when Age Pension payments are received across the year. |
Age Pension Payable – Spouse | Shows monthly payments allocated to the partner once they reach Age Pension age. Until eligibility begins, this remains at $0. |
Total Age Pension Payable | Represents the combined monthly payment received by both partners. This total aligns with the annual entitlement shown in the earlier table. |
Annual Totals (Bottom Row) | Summarises the total Age Pension received for each financial year. This provides a quick validation point against the annual pension amount under the Asset Test or Income Test. |
Purpose of the Monthly Breakdown
Function | Description |
Payment Timing | Helps advisers confirm whether Age Pension commences partway through the year (e.g., when a partner reaches Age Pension age mid-year). |
Scenario Validation | Provides visibility into periods where no payments are made due to ineligibility, high assessable assets, or income exceeding test limits. |
Cross-Check with Recalculation Events | If recalculation triggers occur mid-year, this view helps verify when the new entitlement values start taking effect. |
Projection Consistency | Confirms that monthly totals roll up correctly into the yearly Age Pension projections in the Overall and Cashflow views. |
Together, these insights provide a complete and traceable record of how Age Pension is calculated within the scenario, ensuring accurate projections and confident client discussions.
Additional Information
Manual adjustments apply only within the current scenario and do not change default system settings.
Use these adjustments for testing, modelling, or “what-if” projections, they are not required for standard calculations.
Age Pension thresholds follow Centrelink’s official parameters and automatically refresh based on family status and asset/income test settings.
For a visual walkthrough, refer to:
➤ Using the Overall Screen