The Family Home Should Be Part Of The Pension Means-Test: Commission Of Audit

The commission of audit will recommend the government include the family home in the age pension asset test (Photo: Getty)

You can’t eat your house. But the commission of audit is expected to recommend including the family home in the assets test for the age pension when it releases its report today.

The report says the Government needs to drastically cut spending in areas such as education and health to return the budget to surplus, and that it could save billions by reducing duplication between state and federal agencies.

According to The Australian, the report also says further billions could be saved by including family homes in the eligibility test for the age pension, as it is unfair for ordinary workers to subsidise welfare for rich people.

The idea has reportedly already been dismissed by senior cabinet ministers — who have instead insisted on cuts to benefits for people on middle incomes — as they think it is politically impossible.

Meanwhile, The Australian says the commission of audit report does not recommend clamping down on negative gearing for investment properties, and that the idea has already been ruled out in the budget, which will be released on May 13.

We will have all the details when the commission of audit report is made public later today.

There’s more here.

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