When downsizing backfires for retirees

By George Cochrane
Updated May 16 2017 - 9:53am, first published April 20 2017 - 2:44pm

???My wife and I are 69 and 68 respectively. We recently downsized and as a result we made a net gain of some $300,000, but combined with our assets and a relatively modest share portfolio of some $70,000, mostly Telstra, we exceeded the $375,000 limit and Centrelink subsequently cancelled our part pension and concession card. We have since applied for a Commonwealth Health Card. Fortunately, I am in receipt of a CPI-linked State Super pension, but we still miss those extra dollars, not to mention the various concessions that came with it. How would you advise us to invest the above mentioned funds? My accountant advised leaving it in the bank until we know what impact the Trump presidency has on the global financial scene and I tend to agree with him. However, the return is small and the temptation is either a conservative managed fund or more blue-chip shares. C.B.

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