Can you access this “gold” savings card?

The Commonwealth Seniors Health Card is often considered the gold standard of concession cards.  It was first introduced in 1994 in order to give low income retirees who didn’t qualify for the Age Pension access to  similar Commonwealth concessions as the holders of the Pensioners Concession Card (PCC).

Since then access has been increased and benefits widened to make this card an extremely valuable adjunct to self-funded retirees’ retirement income.

Essentially, it is a concession card which allows holders to access cheaper health care as well as a range of discounts, as long as the holder has reached Age Pension age.

Below we list the conditions which apply to this card, the top level benefits and how the income test works. It is worth noting that there is no assets test on the CSHC however deemed income on account based pensions is included in the income assessment.

What is the Commonwealth Seniors Health Card worth?

It really depends upon your personal situation, but the savings on the medical safety net and Pharmaceutical Benefits Scheme (PBS) are worth about $2500 per annum for singles, double that for couples, before all the other benefits kick in. That’s what earns this card its gold standard status.

But it’s both surprising and interesting that only 420,000 of Australia’s 1.9 million self-funded retirees – just 22% – have received this valuable card. There are many reasons why this might be so:

  • the 18-page application is incredibly detailed,
  • people don’t know it exists, or
  • assume that their assets will knock them out.

Don’t join those who are missing out. Check your eligibility today.

Eligibility conditions include:

  • Age Pension age or older
  • meet residence rules
  • not be receiving a payment from Centrelink or the Department of Veterans’ Affairs
  • supply a Tax File Number (or have submitted a notice of Non Lodgement to the tax office as evidence that you are exempt from having to do lodge a tax return)
  • meet identity requirements
  • meet the income test.

Benefits:

Commonwealth  benefits include:

  • cheaper medicine under the PBS
  • bulk billed doctor visits (depending upon your doctor)
  • a refund for medical costs when you reach the Medicare Safety Net.
  • You may also get the Economic Support Payments such as the ones paid during the Covid pandemic

Extra benefits:

Your state or territory government and local council may apply a discount to some or any of these expenses:

  • electricity and gas bills
  • property and water rates
  • health care costs, including ambulance, dental and eye care
  • public transport fares
  • recreational activities
  • Mail charges
  • Stamp duty

Income test for the Commonwealth Seniors Heath Card

The criteria for the Commonwealth Seniors Health Card income test is reviewed and updated on 20 September each year in line with the Consumer Price Index. So if you are not eligible right now you may be in the future.  This test considers both your:

  • adjusted taxable income
  • a deemed amount from account based income streams.

To meet the income test, from 20 September 2021, you must earn no more than the following:

  • $57,761 a year if you’re single
  • $92,416 a year for couples
  • $115,522 a year for couples separated by illness, respite care or prison.

Add $639.60 per year to these amounts for each child in your care.

As mentioned above, no assets test is applied.

why not check your eligibility for the Commonwealth Seniors Health Card on our free eligibility calculator