Don't spend too quickly

Now that the Reserve Bank has reduced the rate by a total of 1.75 basis points, when will the government reduce the deeming rate for pensioners?

The Federal Government has said a lot about banks passing on the rate reduction but they have left the deeming rates at four per cent and six per cent.

Very few safe areas of investment are currently offering these rates.

The Federal Government should immediately reduce the deeming rate.

With the co-payment on PBS prescriptions due to rise in January, along with a higher safety net value, plus doctors increasing their co-payments, I strongly urge pensioners not to spend the $1400 Christmas bonus too quickly.

You will need a lot more money in the New Year.

Robert Lambert, Umina Beach