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The Senior Australians Tax Offset (SATO) can make the first $26,680 a year tax-free for eligible seniors. If you qualify, that tax offset will reduce or eliminate tax on your pension income up to that threshold.

In the situation described, the wife’s part-age pension plus small additional income meant she would pay no tax and would not be required to lodge a tax return. Whether this applies to you depends on your exact income and SATO eligibility.

Yes — in the example given the husband would be entitled to use some of his wife’s unused SATO, which can help reduce his taxable income. Exact rules and amounts should be checked with an accountant.

Public‑sector PSS pensions can be taxable, but you might be eligible for a 10% offset on your PSS pension. Because pension tax rules can be complex, an accountant can confirm whether you qualify and whether you’ll have any tax liability.

While starting investing early helps compounding, the article advises prioritising getting your mortgage under control so you can handle interest rate rises or unexpected income loss. Once your mortgage is manageable, you can consider increasing investments.

It can be reasonable to divert money to investments, but only when your mortgage is sufficiently manageable and you’re comfortable with the risks of rate rises or unemployment. The article suggests assessing your own comfort and financial resilience before cutting repayments.

Continue to accept regular employer super contributions to build retirement savings. Small HECS debts can often be repaid through the tax system (as in the example), so prioritise stabilising your mortgage first and then balance extra investing with debt management.

Because pension and tax situations can be complicated, the article recommends talking to an accountant or other professional adviser. They can assess SATO eligibility, possible offsets (such as the PSS 10% offset), and whether you need to lodge a return.