Tax time is just around the corner, and for millions of Aussies, it could mean a very welcome boost to the bank balance.

According to new research from comparison site Finder, more than 10 million Australians are expecting a tax refund of $1,500 or more after 1 July—a much-needed financial lifeline as the cost of living continues to bite.


Finder’s survey reveals that nearly half (47 per cent) of taxpayers are anticipating a refund this year, with the average payout sitting at a tidy $1,519.

That’s a whopping $15.3 billion set to flow back into the pockets of everyday Australians—money that could make a real difference for those feeling the pinch.


It’s no secret that the past few years have been tough on the hip pocket. Since early 2020, inflation has soared by more than 20 per cent, and the consumer price index hit a peak in 2022, with prices rising 7.8 per cent in just 12 months.

With groceries, petrol, and utilities all costing more, it’s no wonder so many of us are counting on a tax refund to help make ends meet.

For many, this annual cash injection isn’t just a nice bonus—it’s essential.


Finder’s research found that almost one in four people say their tax refund is 'very important' to their financial health, while 41 per cent say it’s 'somewhat important.'

In fact, more than three-quarters of those expecting a refund consider it a priority for their household budget.

Women, in particular, are feeling the strain. Nearly two in five women surveyed said the refund was critical for their financial wellbeing, compared to just 24 per cent of men.

This highlights the ongoing gender gap in financial security, especially for older Australians who may have taken time out of the workforce or are living on a fixed income.

Finder’s head of consumer research, Graham Cooke, has some sage advice for anyone lucky enough to receive a refund this year: use it wisely.

'Many households living month-to-month will be particularly keen to access these funds,' he said.

'For those struggling with the rising cost of living, a cash boost will offer some necessary financial reprieve.'

Of course, not all news is good news. About one in five Aussies are expecting a tax bill instead of a refund this year, while 35 per cent of survey respondents said they don’t pay any income tax at all.

If you’re in the group facing a bill, it’s a good idea to plan and budget for the payment to avoid any nasty surprises.

To maximise your tax refund, it’s essential to claim all the deductions you’re eligible for.

If you’re over 60, standard deductions may include work-related expenses (if you’re still employed part-time or casually), certain medical costs, charitable donations, self-education expenses, and fees related to managing your tax affairs.

It’s always worth speaking to a registered tax agent or using the ATO’s online resources to double-check what you can claim.

With tax time fast approaching, now’s the perfect moment to get your paperwork in order and start thinking about how you’ll use your refund.

Whether you’re planning to pay off debt, save for a holiday, or cover the rising cost of groceries, every little bit helps.
How do you plan to use it? Have you noticed the cost of living going up in your area? We’d love to hear your thoughts and tips—share your experiences in the comments below.

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