Passport price hike puts Aussie travel plans in a spin: Here's how to dodge passport fee fiasco!
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Attention, Aussie globetrotters and travel enthusiasts! As the federal budget for 2024 unfolds, Australians are being advised to take swift action regarding their travel documents.
With significant changes on the horizon, a major update in passport fees is set to impact those planning international travel.
The upcoming price adjustments have prompted authorities to encourage citizens to renew or apply for passports promptly to avoid the increased costs.
The Australian passport, already one of the priciest travel documents globally, is about to become even more expensive.
As of July 1, 2024, the cost of a 10-year adult passport will leap by 15 per cent, from $325 to a staggering $373.75.
This nearly $50 increase is significant, especially for those of keeping a keen eye on their finances.
Gary Ross Hunter, a travel expert from Finder, gave a word of advice for those with wanderlust: ‘If you’re planning to go on an international trip within the next 12 months and your passport is up for renewal, it’s best to get a new one before July 1 so you can avoid the extra fee.’
The looming price rise is part of the broader economic strategy unveiled in the 2024 Federal Budget, which aims to address the cost-of-living crisis gripping the nation.
Treasurer Jim Chalmers described the passport fee increase as a 'relatively modest' change, necessary to ensure ‘we can resource our systems’.
‘This one-off increase is all about making sure that we can resource our passport systems and make them modern and fit for purpose…especially at a time where there are ongoing threats to people's security and their identity,’ Chalmers stated in December.
According to the Mid-Year Economic and Fiscal Outlook for 2023-2024, the revenue generated from this measure—estimated at $349 million over three years starting from 2024–25—is earmarked for reinvestment into the Foreign Affairs and Trade portfolio, supporting various priorities that align with Australia's international interests.
Despite the financial pressures of inflation and the rising cost of living, Australians have not entirely curbed their travel aspirations. Finder's recent data indicated that many are still booking holidays beyond their means.
In the past year, 15 per cent of survey respondents admitted to planning vacations they couldn't afford, 7 per cent resorted to borrowing money or even going into debt to fulfil their travel dreams, and 4 per cent opted to cancel altogether.
Four per cent of respondents, totalling over 800,000 individuals, reported incurring debt to fund their holiday.
Hunter mentioned that passport fees were just one factor contributing to the rising costs of travel.
‘There are several factors driving up flight costs. Pent-up demand for travel means airlines can get away with charging more,’ he explained.
‘Airlines are also experiencing staffing shortages after dismissing thousands of crew during the pandemic. Increasing costs for fuel are a factor too, and the general rise in cost of living also increases airline input costs for in-flight food.’
However, many are simply foregoing travel as the increasing cost of living ‘put a dent in holiday spending’.
‘Travel is a luxury many cannot justify right now. With rising interest rates and the steep cost of necessities such as food and fuel, discretionary spending inevitably takes a back seat,’ Hunter explained.
‘If travelling is a priority for you, make it an item in your budget and save for it.’
With the recent federal budget announcement, Australians were urged to apply for new passports before a significant price hike takes effect.
As the cost of travel continues to rise, securing a passport now could save you money in the long run.
This comes at a time when global rankings of the most powerful passports were released, sparking curiosity about how Australia's passport compares on the international stage.
Check out the latest rankings and see if Australia makes the cut.
How are you planning to navigate the rising costs of travel and passports? Share your strategies and stories in the comments below!
With significant changes on the horizon, a major update in passport fees is set to impact those planning international travel.
The upcoming price adjustments have prompted authorities to encourage citizens to renew or apply for passports promptly to avoid the increased costs.
The Australian passport, already one of the priciest travel documents globally, is about to become even more expensive.
As of July 1, 2024, the cost of a 10-year adult passport will leap by 15 per cent, from $325 to a staggering $373.75.
This nearly $50 increase is significant, especially for those of keeping a keen eye on their finances.
Australians were urged to renew passports before July 1 to avoid a 15 per cent price increase. Credits: Shutterstock
Gary Ross Hunter, a travel expert from Finder, gave a word of advice for those with wanderlust: ‘If you’re planning to go on an international trip within the next 12 months and your passport is up for renewal, it’s best to get a new one before July 1 so you can avoid the extra fee.’
The looming price rise is part of the broader economic strategy unveiled in the 2024 Federal Budget, which aims to address the cost-of-living crisis gripping the nation.
Treasurer Jim Chalmers described the passport fee increase as a 'relatively modest' change, necessary to ensure ‘we can resource our systems’.
‘This one-off increase is all about making sure that we can resource our passport systems and make them modern and fit for purpose…especially at a time where there are ongoing threats to people's security and their identity,’ Chalmers stated in December.
According to the Mid-Year Economic and Fiscal Outlook for 2023-2024, the revenue generated from this measure—estimated at $349 million over three years starting from 2024–25—is earmarked for reinvestment into the Foreign Affairs and Trade portfolio, supporting various priorities that align with Australia's international interests.
Despite the financial pressures of inflation and the rising cost of living, Australians have not entirely curbed their travel aspirations. Finder's recent data indicated that many are still booking holidays beyond their means.
In the past year, 15 per cent of survey respondents admitted to planning vacations they couldn't afford, 7 per cent resorted to borrowing money or even going into debt to fulfil their travel dreams, and 4 per cent opted to cancel altogether.
Four per cent of respondents, totalling over 800,000 individuals, reported incurring debt to fund their holiday.
Hunter mentioned that passport fees were just one factor contributing to the rising costs of travel.
‘There are several factors driving up flight costs. Pent-up demand for travel means airlines can get away with charging more,’ he explained.
‘Airlines are also experiencing staffing shortages after dismissing thousands of crew during the pandemic. Increasing costs for fuel are a factor too, and the general rise in cost of living also increases airline input costs for in-flight food.’
However, many are simply foregoing travel as the increasing cost of living ‘put a dent in holiday spending’.
‘Travel is a luxury many cannot justify right now. With rising interest rates and the steep cost of necessities such as food and fuel, discretionary spending inevitably takes a back seat,’ Hunter explained.
‘If travelling is a priority for you, make it an item in your budget and save for it.’
With the recent federal budget announcement, Australians were urged to apply for new passports before a significant price hike takes effect.
As the cost of travel continues to rise, securing a passport now could save you money in the long run.
This comes at a time when global rankings of the most powerful passports were released, sparking curiosity about how Australia's passport compares on the international stage.
Check out the latest rankings and see if Australia makes the cut.
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