Age Pension Calculations - Income Test

Joseph (age 69) and Klarina (age 67) are Age Pensioners.

Their assets & liabilities are:

Asset - owner	Value $	$ Liability
Home - joint	800,000	20,000
Savings - Joint	30,000
House contents - joint	10,000	Nil
Car - Joseph	25,000	Nil
Car - Klarina	15,000	Nil
Account-based pension* - Joseph	250,000	N/A
Account-based pension* -Klarina	200,000	N/A

* pays 5% pa and both commenced in July 2019

Required:

Showing your workings:

1. Calculate their Age Pension under the Income Test (show workings)
2. Explain what will be their actual entitlement given the results under the Assets and Income Tests.