Minor Pathfinder release (Technical update to super, Age Pension and HELP debt threshholds, update to default cash rates)

3 July 2019

Legislated increases to super, pension and HELP debt thresholds for 2019

This change will apply to all results in all cases that are solved on or after 4 July 2019 (irrespective of the case creation date).  If your scenario was solved before 4 July, you can update your results by clicking 'Start solve' again (for more information, see How to check when your results were created).

The following updates have been made to Pathfinder to reflect legislated increases in thresholds for 2019/20:

  • Maximum superannuation contribution base for 2019/20 is $55,720 (up from $54,030 in 2018/19).
  • The Lower limit for the Pension deeming rate increases to $51,800 (singles) and $86,200 (couple) for 2019/20.
  • The Income test for the age pension:
    • Single starts to reduce at $174 per fortnight
    • Couple starts to reduce at $308 per fortnight.
  • The Assets test for maximum pension increase to:
    • Single home owner $263,250
    • Single non home owner $473,750
    • Couple home owner $394,500
    • Couple non home owner $605,000
  • HELP Debt repayment threshholds have been updated for 2019/20 financial year onwards

Update to cash rates in assumptions

This change will apply to all cases that are created on or after 4 July 2019.  Cases created before this date will be unchanged.

In light of the recent cash rate change by the RBA, cash rates have also been updated:

For more details on our assumptions, please see Optimo Financial Default Assumptions.

ItemField Old value (%pa)New value (%pa)
Cash accounts
CashInterest rate %pa1.251
Fixed Interest > Term depositInterest rate %pa1.251
Shares/Managed fund (direct or in SMSF) - Profile
Cash (Trust)Interest rate %pa1.251
Cash (direct)Income %pa1.251
SecureIncome %pa1.251
Superannuation investment option returns - Profile
Cash (Trust)Accumulation phase1.06250.85
Pension phase1.251
Cash (direct)Accumulation phase1.06250.85
Pension phase1.251
SecureAccumulation phase1.06250.85
Pension phase1.251