I have a mortgage with my wife, whom I'm separated from, on which we still owe $150,000.
She will be inheriting $150,000 whilst on the careers pension and intends to pay off the mortgage in full. Will this inheritance effect her careers payments and are there any other tax issues I should be concerned about?
Secondly her aunt who is a pensioner and whom she is a carer for wants to sell her property and give us what's remaining, approximately $200,000 to purchase a bigger house so she can live with us (instead of giving it all to us in her will ).
Will this affect the aunt's pension? And will receiving money from two separate sources and using it all to purchase a house to live in affect my wife's careers allowances?
If your ex-wife has a mortgage on her home now and she uses the $150,000 to pay it off there should be no effect on her pension. If your aunt makes you a gift of money she is limited to $10,000 a year with a total of $30,000 over five years.
Therefore, depending on her circumstances, her pension may well be affected. It may be possible for the aunt to build a granny flat at your own residence and thus get around the gifting provisions.just keep in mind that the laws in this regard are extremely complex and you should take expert advice before taking any step. My book Aged Care Who Cares covers this in detail.