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    All the changes coming to Australia in the new financial year on July 1

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    • All the changes coming to Australia in the new financial year on July 1

    The new financial year is here – and that means a string of huge changes.

    Today is an important mid-year milestone, bringing with it many major changes such as new laws and regulations, fees and charges, and taxes and benefits.

    Here’s what you need to know.

    Super changes

    From today, Australian workers will benefit from a boost to their superannuation.

    The permanent 0.5 percentage point rise in the Superannuation Guarantee rate, from 10 per cent to 10.5 per cent, will increase most employees’ super balance at retirement by around 3 per cent.

    For the average Australian worker, that means roughly an extra $15,000 at retirement.

    For example, a recent school leaver who starts their career at a local grocery store where they work their whole career until reaching the Age Pension age of 67 will retire with an extra $15,500 as a result of the permanent 0.5 percentage point increase.

    A 40-year-old construction worker who retires at 60 due to the physical demands of their job and accesses their super until they are eligible for the Age Pension will have an extra $7,800 more at retirement.

    A statement from Treasurer Jim Chalmers said Friday’s increase was “just another step on the way to a legislated 12 per cent rate by 2025”.

    “When the full increase is achieved, it will deliver an extra $76,000 to the typical Australian worker in retirement,” the statement read.

    Cash boost for 1.4 million families

    More than 1.4 million Australian families will get a welcome increase to family payments from July 1 in a bid to ease cost of living pressures.

    Under the change, the Family Tax Benefit (Part A and B) Centrelink payments will rise, with households with a child under the age of 13 getting an increase to the Family Tax Benefit Part A by up to $204.40 over 2022-23.

    For those with a child aged 13 and above, the payment will reach a maximum of $255.50, while those who are entitled to Family Tax Benefit Part B will see an increase of up to $164.25 per year for families with a youngest child under five.

    Families on Family Tax Benefit Part B with a youngest child aged five to 18 will receive up to $116.80 more per year.

    Centrelink shake up

    A huge Centrelink overhaul is coming, meaning big changes ahead for those on the JobSeeker program.

    From July 1, recipients who are required to complete the process of mutual obligations in order to receive welfare payments will be moved onto a points-based activation system (PBAS).

    Those impacted will have to receive 100 points and do a minimum of five job searches per month to secure payment.

    There is a list of more than 30 tasks and activities that each carry their own individual points value, with attending a job interview worth 20 points and a completing a job application worth five.

    The PBAS will replace the current system where jobseekers are required to apply for 20 jobs every month.

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