Prepare your wallets: Here are several changes in the new financial year

As the calendar flips to July, Australians expect a mix of financial shifts that could impact their daily lives and long-term savings.

From tax cuts to energy bill adjustments and even the cost of staying connected via the internet, the new financial year brings with it a raft of changes.

Here is a comprehensive guide on what to expect and how to prepare for the changes coming in for the next financial year.


Tax time tweaks

The much-anticipated stage 3 tax cuts are rolling out, and it promises to leave more pocket money each payday.

Unlike one-off tax rebates, these cuts could reduce the amount of tax withheld from your salary, effectively boosting take-home pay.

This could mean extra money for weekly shops, medical expenses, or even spoiling the grandkids.


compressed-tax time.jpeg
The much-anticipated stage 3 tax cuts will take effect today, 1 July. Image Credit: Shutterstock/Roman R


Minimum wage boosts

For those still in the workforce, including seniors who work part-time, the minimum wage is on the rise.

A 3.75 per cent increase translates to an additional $33 per week for full-time workers, which could ease the pinch of rising living costs for many.


Enhanced paid parental leaves

For new grandparents supporting their children through parenthood, paid parental leaves are extended by two weeks, up to a total of 22.

This increment will benefit new parents and provide additional support to extended families often involved in child-rearing.

Superannuation guarantee uplift

In a move that will benefit retirement nest eggs, the superannuation guarantee will increase from 11 to 11.5 per cent.

This mandatory contribution from employers to your super fund means you'll be saving more for retirement without extra work.

Energy bill relief and price adjustments

The government's $300 energy bill relief will manifest as quarterly rebates of $75, automatically applied to bills.

Additionally, most Australians will see a decrease in energy bills due to new default market offers.

However, South-East Queensland residents could face a slight increase.


Rent assistance and welfare payment increases

To alleviate the housing affordability crisis, Commonwealth Rent Assistance will increase by 10 per cent.

This is a significant boost for those renting in the private market.

Furthermore, a range of welfare payments, including pensions, will see an increase through quarterly indexation, which could provide relief against inflation.

Engineered stone ban and housing targets

For those planning some home renovations, engineered stones have been banned after health risks due to crystalline silica.

The government's housing targets are now aiming to address the housing crisis by boosting the supply of new homes, eventually leading to more affordable housing.

Navigating NBN price changes

On the less positive side, wholesale NBN price increases could mean many will face internet bill increases.

While some plans may decrease in price, review your current plan and consider shopping around for alternatives.

You can also negotiate with your current provider to ensure you're getting the best deal.


Passport price hike

For those planning overseas trips, passport fees are increasing.

A 10-year adult passport now costs $398.

A new fast-track fee was also introduced for expedited processing, which is handy for last-minute travel plans.

As we navigate these changes, it's crucial to stay informed and adjust your budget accordingly.

Whether it's a slight increase in your internet bill or a welcome tax cut, preparing will help you make the most of your finances in the new financial year.

Remember, if you need clarification on how these changes affect you or need advice on managing your finances, feel free to seek professional guidance.
Key Takeaways

  • Stage 3 tax cuts have come into effect, which means working Australians will take home more of their salary every payday thanks to income tax reductions.
  • The minimum wage also increased by 3.75 per cent, giving a pay rise to Aussies.
  • A variety of welfare payments will increase due to quarterly indexation, including the Commonwealth Rent Assistance, which rose by 10 per cent.
  • There will be a $300 rebate for household energy bills to help counter the cost of living. However, NBN prices and passport fees also increased.
Are you prepared for the changes in the new financial year? Share your thoughts and money-saving strategies with us in the comments below.
 
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what about aged pensioners? I get less that $1000/fortnight to cover everything. Phone rebate, electricity rebate don't cover much. Groceries, home maintenance costs, fuel to shop, no holidays, free volunteering as an outing no events.
 
Just another visual of the never ending saga of the dog chasing his tail, where everything just keeps on going up.

The wonders of Albo, Chalmers, Bowen & "Dong" wont be happy until they "Bury" the lot of us with their misery with which they bestow upon us. This is of course with the help of the complete & utter "Dill Bill" greens.

"Wot" a pack of rat bags we have.
Obviously you are a Noalition person and that’s your choice. However, you are wrong about the Greens. They have turned around and are now just Liberals in disguise or haven’t you been listening?
 
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Just another visual of the never ending saga of the dog chasing his tail, where everything just keeps on going up.

The wonders of Albo, Chalmers, Bowen & "Dong" wont be happy until they "Bury" the lot of us with their misery with which they bestow upon us. This is of course with the help of the complete & utter "Dill Bill" greens.

"Wot" a pack of rat bags we have.
Even with the other mob in control, it will still be the same dog chasing his tail. Everything will still keep going up in price. Learn from history.
 
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A 10% increase in rent assistance is useless when your rent goes up a minimum of 10% and some owners hike it up even more, $33 dollars extra in your pay won’t go far in your food bill or for your fuel. The government needs to do something significant to assist the average family and pensioners not give with one and either they take with the other or someone else does!!!!!
 
"Furthermore, a range of welfare payments, including pensions, will see an increase through quarterly indexation, which could provide relief against inflation." Says the article.
Could the author please list which payments have quarterly indexation as I am not aware of any.
 
Granted that the ALP is pathetic, but the LNP since Howard has proved dangerously damaging to AUstralia. As for the Greens, until Don Chipp died, the Democrats were more useful than either.
The LNP has been terrible for Australia as they only look after their big multinational donors not the Australian people. The ALP has moved that way too but not as far as the LNP has.
 
I am not impressed, there is nothing for pensioners who rely on the pension and can't work.
 
My beef is the increase in electricity! This is the biggest rought ever. We got solar, cheaper electricity, yes, I have to say it is and grateful we did it (Paid it off) but why every year it goes up and the feed-in tariffs go down????
In fact it is so frustrating when you receive the letter from the supplier who advises of the increase and then said go to the government sites to view other suppliers to see if they can offer a better deal! This is a joke, there all the same or it's a minimal option for 1 year and then we have to go down the same road.
I wish we didn't get the government $300, because it definitely isn't worth the early increases. Another thing I'm peeved off with is why we can't get a loan or a credit card, they have a house with a small mortgage and a car valued at $18,000 and an excellent credit score but no. I need it for medical and dental and can't get a $6000 loan. Been on the net ended up getting scammed through St. Vincent de Paul, they got into mygov and changed my bank details but was lucky the government and Centrelink noticed and we stopped it, now I'm frightened to do anything on line.
Watch out there. 😒
 
Not a whole lot of joy there for pensioners, is there???? Where do they think we can get the extra money just to exist? Most of us are too old and unable to work. Our costs have gone up by way more than we have seen rises to our pension. This was the very worst Budget for Pensioners, thanks to this thoughtless Government. All for the workers and nothing for us. Even the $300 for electricity is $200 less than last year, but I just got a letter detailing increases to my gas and electricity We're just going backwards....
Amen! I could not agree more.:(:(:(
 
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Not a whole lot of joy there for pensioners, is there???? Where do they think we can get the extra money just to exist? Most of us are too old and unable to work. Our costs have gone up by way more than we have seen rises to our pension. This was the very worst Budget for Pensioners, thanks to this thoughtless Government. All for the workers and nothing for us. Even the $300 for electricity is $200 less than last year, but I just got a letter detailing increases to my gas and electricity We're just going backwards....
My health insurance takes a quarter of my pension.
 
I receive the paltry amount of $153.50 per fortnight for caring for my husband. It would cost the government a darn sight more if he was put into care. I receive a Carer's Allowance not a Carer's Pension.

I and many others are in the same boat - the government relies on the fact that you will just keep on your caring role. We are in our early seventies and often the carer is not very fit either. I worry about the future and how we will cope if either of us gets worse.
My step daughter works as a carer, I think she told me their basic pay rate is around $32/hr, she is casual and gets more like $45/hr.
Meanwhile the government pays a carer allowance of $153.30 PER FORTNIGHT , equals about five hours of basic care a fortnight.
If a person only needed five hours a fortnight care you wouldn't even qualify for the carer allowance. I'd like to know how they come up with this paltry amount.
The Carer Payment per fortnight would not even cover the cost of one day in a nursing home.
Carers save the government a fortune and are very under valued.
 
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I and many others are in the same boat - the government relies on the fact that you will just keep on your caring role. We are in our early seventies and often the carer is not very fit either. I worry about the future and how we will cope if either of us gets worse.
I could not agree more, I was getting $119:80,carer"s allowance until my partner passed away; We wear receiving age pension & N.D.I.S. pension of $850:70 each; Now I receive $ 1238.:70 to pay rent etc!!Great government ever; I think not.👎👎👎
 
Tax cuts are much harder to verify than the past 2 assistance tax refunds which we saw go into our bank accounts, making it hard to trust what they're "giving" us & i daresay for someone under the tax free threshold or very low income mean nothing!

Super guarentee, how does this effect casual employees?

$300 energy bill only for Concession card holders, not those who earn only a fraction too much to get a card??

And NBN hike is devastating as I'll most likely have to disconnect as my wifi/nbn is already a luxury in my budget without another price increase! Aussie only recently increased & I'm already on cheapest plan I'm led to believe...

Not really anything here in this article for me (63yo earning around $5-600 per week & no concession card), to get excited about, can't wait til I'm 67yo & elligible for a pension & concession card! :(

Hopefully helpful for others here!
I pay $15/28 days for unlimited calls and texts and 18g of internet with Amaysim.
I have a lap top with which I use a USB, I load $150 of credit which is good for 12 months.
I find this is adequate for me and works out to around $30/month.
I have been with Amaysim for many years now but I think their new rate is $22/28 days for 20g.
 
Reply to Cheezil...Get out of NBN for a start!
My husband used to work for the PMG...when it was that name.We are pensioners.
When NBN started, he read up about it and said NO!
We have a plan with Telstra .We make very few phone calls as we email people, rather than phone them.
Our SET monthly bill is $77. It covers 2 wireless modems and a landline.We also use Aldi sims for a fraction of their usual cost. This includes tv.

We have never had a breakdown with any of it...while our next door neighbours with NBN are out for days at a time.
Hope this helps you.
I have never been on NBN, when Telstra went private I switched to Amaysim and now have phone and internet, which includes TV streaming for $75 per month. On your birthday with them they add some GBs to your account they are very friendly and willing to help with any internet related problems.
 
And the Politicians get a big fat pay rise just before the election. Paying people to keep him in power. Not much left for anyone else.
 
So, we get $75 per quarter relief on energy, would that exxplain why my gas bill went up $73+ this month even though I used less but they say I used more? Gas is only used for hot water, I turned off the heating when I got a $440 bill for 2 months because I was told I needed the heating on, using the reverse cycle aircon does fine, if I feel too cold I wrap up with a cardigan and and a throw.
This might be in the wtong spot but I'm in too much pain right now to be bothered 😕
 
Please also be even-handed - Remember the "wonders" of NSW Premier Baird, who promised that our power bills would go down after 'privatisation' due to competition between suppliers... We ordinary people are doomed as politicians from all sides boost the incomes of their mates.
It was never going to happen given the production costs of electricity, the government did not want to be responsible for electricity costs because subsidies were costing them big time plus s nearly all networks structures were run down and needed massive repairs, Western Australia is I think the only network that is not fully privatised but still managed to keep prices down, when things are privately owned profit is the key achievement, power should never be privatised.
 
Just another visual of the never ending saga of the dog chasing his tail, where everything just keeps on going up.

The wonders of Albo, Chalmers, Bowen & "Dong" wont be happy until they "Bury" the lot of us with their misery with which they bestow upon us. This is of course with the help of the complete & utter "Dill Bill" greens.

"Wot" a pack of rat bags we have.
But not as bad a pack of rat bags as we had with the last lot or have you forgotten the millions they gave to their mining mates or the policy to keep wages low?
 
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And the Politicians get a big fat pay rise just before the election. Paying people to keep him in power. Not much left for anyone else.
The problem with all these pay rises, be it wages, pensions or something else is that they are all percentage based. That means the gap between the haves and have nots grows bigger each time. It needs to change to become a flat increase for all instead of a tiny one for struggling pensioners and low wage earners with a huge one for those already on big money.
 
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