What Aussies can expect from the new financial year
The first of July will see changes across laws, taxes and rules — here’s what to look out for in New South Wales and across Australia
The start of a new financial year always brings with it a lot of change. New laws, tax changes and updates to city infrastructres across Australia. Some will be for the better, while others will hit the hip pocket — putting more strain on the family budget.
From superannuation to shopping — this year’s new financial year changes will affect us all.
“(There are)always winners and losers and you can only hope that you’re on the winning side,” Money Magazine’s Editor, Effie Zahos said.
From July 1, older Australians can use the proceeds from selling their family home to top up their super.
Those aged 65 or over can make an after-tax contribution of up to $300,000 — but don’t act before doing your research.
“Do take care, because if you’re doing that just to put money into your super, you may miss out on some of your pension,” Zahos said.
Aussies also need to be prepared to pay more for council rates — which will go up by at least 2.3%
Inflation will see the cost of driver’s licences and tolls increase, including the M2, M7, Cross City and Lane Cove Tunnels and Eastern Distributor.
On the plus side, some parking fines in Sydney will be slashed by 25%.
The beginning of the new financial year will bring in more money for our country’s lowest paid workers — more than two-million people will take home an extra $25 a week.
If you’ve just received a pay-rise, or are expecting one in the next financial year, take note. There’s tax relief on the way for some, with the 32.5% tax bracket raised from $87,000 to $90,000.
And those earning between $37-$90,000 will get a maximum offset of $530.
There’s also good news for expectant parents. From next month, pregnant women can get the whooping cough vaccine — for free.
But if you’re an avid online shopper — keep in mind that if you buy something online from overseas – and the cost comes in at under $1,000 — you’ll be slugged GST.
Some of the changes are arriving early. From next Wednesday, don’t forget to take reusable bags with you to the supermarket, with big Aussie supermarket Woolworths bringing forward its nationwide ban on plastic bags. Supermarket giant Coles will stick to July 1.
And, with just over a fortnight to go.. the advice from experts such as Zahos is to be prepared.
“Always take a look and see can you get a better deal,” Zahos said.