Allowable income

Press, Volume CX, Issue 32406, 19 September 1970, Page 16

Allowable income

i Sir, —Now that there is so much talk of the need for an increase in age benefits, etc., I, for one, would be quite satisfied with the present amount 1 receive if the extra ; allowable income were either considerably increased or abolished altogether. If a person is quite fit to work, why should he be penalised when there is such a shortage of labour and the cost of living . is so high? If a man and wife are old enough for the benefit they should get it regardless of his earnings.—Yours, etc., AGED. September 7, 1970. [The Minister of Social Se- : curity (Mr McKay) replies: 1 “It is the policy of the Gov- ; ernment to review the income 1 exemptions from time to time t and adjust these as circumstances warrant, and it was ■ in accordance with this policy - that the income exemptions , were increased by $3 a week r from May 14, 1969. An inr crease in the income exempr tions involves additional I social security and war pen- • sions expenditure as a. result ' of those persons on reduced • benefits and pensions becom- . ing qualified for payment at ’ a higher rate, and because of : other persons becoming eli- , gible for benefit or pension ' as a result of the increased . limits. This additional expeni diture does not, of course, ’ benefit those who have little ior no other income apart ■ from their benefit dr pension r and are unable to take em- . ployment. The present in- • come exemptions do afford a , reasonable balance between a , degree of encouragement to . those who are able to supple- . ment their benefit by taking . employment and those who are not. There have, however, been representations on the question of income exemptions to the Royal Commis- . sion into Social Security I which will no doubt make any , appropriate recommendations , on this matter when report- . ing to the Government.”]