Generally there are no issues with giving away your money to family, friends or charities, but if you currently receive or expect to qualify for a pension or other allowance bear in mind that Centrelink does apply limits to how much you can gift. These limits are designed to prevent people from making gifts to reduce their income and asset position for the sole purpose of qualifying for or increasing their pension or allowance. In this animation you’ll find out more about how the gifting rules work.
Remember, if you are planning on making a sizeable gift, it’s a good idea to check with your financial adviser first to assess the impact on your financial situation and any Centrelink payments you receive. Gifting to registered charities could also give you additional tax deductions .