Pensioners' savings accounts to get a boost

Pensioners, including those with high interest savings, will be pleased to hear they are to receive a rise in the state pension.

Some 3.3 million people are expected to benefit from the increases, which will be an extra $70.83 per fortnight for those on the maximum rate.

This will take the total payment to $671.90.

Meanwhile, couples will receive an additional $29.93 every two weeks, taking their income to $1,013 per fortnight.

Although their next instalment will include a utilities and telephone allowance, this is soon to be replaced by a new pension supplement.

Community services minister Jenny Macklin said this was the most significant pension reform in 100 years.

Commenting on the development, she said: "Recognising that single pensioners don’t usually share household costs, the Pension Review found that the relativities between singles and couples needed to be adjusted."

When it comes to retirement, women receive less from their superannuation funds, compared to men, according to research from the Association of Superannuation Funds of Australia.

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