Changes to lifetime income streams
6 June 2019
From 1 July 2019, there are new means test rules for lifetime income stream products.
For lifetime income stream (LIS) products purchased from 1 July 2019, changes to the means test rules mean:
- we’ll assess the value of an asset at a minimum of 60% of the purchase price
- we’ll assess 60% of the payments made from the lifetime income stream as income.
If your client is under Age Pension age and their payments haven’t started yet, all LIS products they purchase:
- with savings may be subject to deeming
- with superannuation money may be exempt from means testing.
We’ll continue to assess all LIS products purchased before 1 July 2019 under the exisiting rules.
Read about the More Choices for a Longer life – finances for a longer life measure for more information.
Page last updated: 6 June 2019