Question: Can you please explain the Centrelink gifting rules? My sister rang Centrelink and was advised she could give as much money as she wants to her children (she will probably receive some from our mum in the next 10 years, which she wants to share with them) before reaching the government age pension age (she is eligible for the age pension) and that this won’t affect her eligibility for the full age pension. It will only affect it if she gives gifts to her children after she is already receiving the age pension.

I can’t quite understand that because if I apply that advice to myself, it doesn’t seem fair. I am a self-funded retiree (but not yet pensionable age) and never intend to access the age pension, unless one of us lives to be 100. It doesn’t make sense to me that we could give our children almost all our money just before reaching pensionable age and then collect the pension from the government. Is the Centrelink advice correct or have I taken it too far? Ross.