WE HAVE an investment property worth $450,000 producing rent of $22,500 a year. Our own home is valued at $650,000 and we have combined superannuation annuities of $720,000 and cash savings of $324,000. I earn $4000 a year, my wife $36,000 and she also receives a Commonwealth superannuation pension of $34,000. Would we be entitled to a part pension and, therefore, access to the national health card? If we both ceased working, would this assist in qualifying for any entitlement? Considering my wife has $234,000 in term deposits and a ''working'' account, would part of this money be better invested elsewhere, as currently it is taxable at the marginal rate? P.R.

I assume you are over the age-pension age of 65 for men and, currently, 64½ for women, in which case money in superannuation is counted by the Centrelink means tests.

Married homeowners can have assets up to $1,018,000, excluding the house, before the part pension disappears, or income up to $65,572.

Given you have investments of $1.5 million over and above your house, you are well above the limit, while your assessable income of more than $115,000, excluding your non-taxable annuity income, puts you above the income test limit. The Commonwealth Seniors Health Card is available to self-funded retirees earning up to $80,000 but you are well over that, too, even though it ignores your superannuation annuity income.

Spreading the deposit guarantee

Referring to your recent column: ''If your aggregated balance of at-call and fixed-term deposits with an institution is less than or equal to $250,000 it will continue to be guaranteed after February 1 under the Financial Claim Scheme.'' I have two queries: 1. If I have a joint account with my wife then is the guarantee for $500,000? 2. If my aggregated balance is over $250,000, then is the guarantee nil or is it on the first $250,000? K.R.

Yes, you could spread your term deposits to remain less than $250,000 with each ''approved deposit-taking institution'', or ADI, and thus retain the guarantee. And yes, with joint accounts, each account-holder is entitled to a guarantee up to the Financial Claims Scheme cap of $250,000. Each person's share of the account will be added to any deposits held in their name and the $250,000 cap will be applied to the total for each, i.e. $500,000 for a couple with a joint account if you have no other accounts with that ADI.

And yes again, if you have a total of $280,000 in your name, the first $250,000 is guaranteed and you would have to sue the liquidator for your remaining $30,000.
