OLDER Australians received considerable mention in Scott Morrison's 2018 federal budget but it's fair to say the blatant pre-election moneyfest still fell far short of the heralded "budget for baby boomers".
For most seniors it will make little difference in their standard of living.
In fact, for those living on or below the poverty line, the budget provides no light at the end of the tunnel.
There is no increase in the age pension to ease the cost-of-living burden for full and part-pensioners, no increase in commonwealth rent assistance and no increase in the desperately inadequate Newstart Allowance, which is the only welfare payment many out-of-work seniors rely on as they wait to reach pension age.
And while the treasurer and his Liberal Party colleagues spruik their generosity to the older sector, seniors' groups are scratching their heads and wondering what the hype is all about.
Combined Pensioners and Superannuants Association's Paul Versteege said promised funding of $190 million over five years on employment training programs for mature-age jobseekers "ignores the misery of tens of thousands of older Australians having to live on $40 day".
It was a sentiment echoed by welfare organisations, with the Australian Council on Social Services saying it was "shameful that the government has chosen to ignore the overwhelming consensus to help people on the lowest incomes, by increasing the woefully inadequate Newstart and student payments as a matter of priority".
The Benevolent Society was disappointed the government did not discuss ageism in the workplace while expecting or even encouraging people to work longer and retaining its policy to increase the pension age to 70. "For some people working until 70 years of age is just not possible and this decision will force them onto other payments such as Newstart," it said.
Most organisations welcomed an increase in the work bonus from $250 to $300 a fortnight.
The work bonus was introduced in September 2009 as an encouragement for older people to remain in the workforce. It currently allows a person on an age pension to earn $250 a fortnight from employment in addition to the income test, which allows an age pensioner to earn $168 a fortnight from various income sources.
Some retirees may be able to improve their living standards with the planned extension of the pension loans scheme to include full age pensioners.
The scheme allows home owners to borrow from the government against the value of real estate and receive a fortnightly payment up to $17,787 per couple, per annum depending on a person's age, the value of their property and the rate of pension they receive.
However, Mr Versteege said home equity release was a last resort option for older people to raise money and take-up would probably remain small, while the Benevolent Society's Kirsty Nowlan said the myth that all older Australians owned their own homes lived on in the budget.
"Those relying on the age pension are struggling in private rental," she said. "This budget does nothing to assist their financial position.
"A government that was serious about addressing financial distress amongst older Australians would be increasing the commonwealth rent assistance and helping them get into subsidised social housing.
"The government has tried to frame this as a budget for older Australians, said but around 250,000 households relying on the age pension are living in private rental accommodation. Trying to pay rent and meet the cost of living on the age pension is the greatest creator of poverty among older Australians."
More support
CORNERSTONE of the government's budget for older voters is its More Choices for a Longer Life package, which it says will "support older Australians to live longer and be better prepared, healthier, more independent and connected to their communities".
The package includes more funding for the care for some of our most vulnerable citizens - an extra 14,000 high-level home care packages over four years at a cost of $82.5 million and $1.6 billion for a further 13,500 residential aged care places and 775 short-term care places.
While welcoming the initiative, lobby groups expressed concern that the increases failed to meet the shortfall of people waiting for help.
Dr Nowlan said the home care package increase would not help the 60,000 people who had no package or the 44,000 people on lower level packages than they required.
"No one should have to wait for this critical assistance," she said. "Once people are assessed as being eligible and in need, they should have a package ready to go."
Advocacy group National Seniors had called for double the number of level three and four home care packages. "There are still tens of thousands of people waiting for the level of home care they need and it seems that will remain the situation for some years to come unless more money is put into this vital area," said chief advocate Ian Henschke.
Budget key points:
- Increase in the work bonus from $250 to $300 per fortnight
- 14,000 high level home care places over the next four years; 13,500 new residential care places and 775 short-term restorative places to be made available where they are most needed, plus $60 million for capital investment
- $40 million to support aged care providers in regional, rural and remote areas for urgent building and maintenance works
- More than $105 million to improve access to culturally safe aged care services in remote Indigenous communities
- $50 million over two years for a Better Quality of Care program to assist residential aged care providers to transition to a new quality standards framework
- $82.5 million over four years for mental health services for people in residential aged care facilities
- $5.3 million over four years to develop technological solutions to support people living with dementia to better manage their care
- $32.8 million for palliative care in residential aged care (contingent on states matching funding)
- $61.7 million to improve the My Aged Care website and simplification of forms required to apply for aged care services
- $32.8 million to improve palliative care for those in residential aged care
- $22.9 million for local sports organisations to assist older people to take part in physical activity
- $10,000 in Restart wage subsidies for employing people over 50 and $2000 to upskill mature aged workers
- An extension of the pension loans scheme to include full age pensioners
- $253.8 million over four years to fund the Aged Care Quality and Safety Commission which will begin operations at the beginning of next year.