Coronavirus $750 bonus stimulus package

It is hard to deny that we are experiencing some hard times, what’s more disturbing and warring is that nothing of the kind really happened in the past, or at least not to that extent, therefore we do not know how to handle this strange situation about Coronavirus. Empty shelves in stores and tumbling markets are a good example of our panic reaction. 

Fortunately, Australian government this time is acting relatively fast and now has introduced a one-off bonus payment to over 6.5 million Australians. This is part of the Coronavirus stimulus package in order to assist people in need as well as stimulate the economy. 

How much will you receive as a Coronavirus bonus payment?

The amount each eligible recipient will receive is $750.00 that will be paid to your registered bank account automatically. You are not required to do anything. 

Who is eligible for a $750.00 Coronavirus stimulus bonus?

Over 6.5 million people will receive the bonus including 2.4 million pensioners.

If you receive any of the following payments, you will receive the bonus:

• Age Pension
• Disability Pension
• Carer Payment
• Wife Pension
• Widow B Pension
• Parenting Payment
• ABSTUDY
• Austudy
• Newstart Allowance
• Bereavement Allowance
• Youth Allowance
• Partner Allowance
• Farm Household Allowance
• Sickness Allowance
• Special Benefit
• Widow Allowance
• Family Tax Benefit A
• Family Tax Benefit B
• Double Orphan Pension 

Other people eligible for the $750 bonus payment are holders of the following cards:

• Pensioner Concession Card
• Commonwealth Seniors Card
• DVA Gold Card

You will also receive the bonus payment if you are a registered recipient of any benefit from Department of Veterans’ Affairs (DVA)

Keep in mind though, that if you are eligible under two or more types of benefits listed, you will only receive one bonus. It is one payment of $750.00 per person as per above listed eligibility. 

This Coronavirus bonus payment will not count as an income under Income Test for Centrelink payments and it is tax exempt. 

Payments are to be distributed to Australians by the end of March, beginning of April the latest. 

This is a very good news for people who are doing it tough and good news for our economy.  But please spend your money wisely. Include it in your budget, don’t do “comfort spending”. If you don’t plan to spend money immediately, keep it in high-interest bank account. 

By: Katherine Isbrandt CFP®
Money Strategist & Retirement Planner
Principal of About Retirement