From retirementessentials.com.au: Deeming is a method used by Centrelink to assess income for the Age Pension by applying standard rates to financial assets, regardless of actual income earned from those assets.

Lorraine’s case illustrates how deemed income can reduce her Age Pension despite her modest real earnings, highlighting the potential impact of changes to deeming rates on pension payments.

To optimise retirement income, retirees are encouraged to review their financial situations and consider strategic adjustments to manage assessable assets.