How the budget impacts your family
This year’s budget has given us help with the cost of living, more incentives to buy a home, a better parental leave scheme, help for apprentices and a lower threshold on the PBS…so good news overall.
Costs of living are rising and the Ukraine – Russia conflict is putting pressure on in particular the cost of petrol which at the moment is taxed at 44.2cents per litre will (for the next six months) be taxed at 22.1c per litre. I don’t know about you but petrol near me is up around 179 to 197.9c a litre so that will be a welcome price drop!!
The low and middle-income tax offset is continuing (yay!!) so those of us earning up to $126,000 receive up to $1080 after we’ve submitted tax returns PLUS $420 for the current year!!! A nice bonus up to $1500 if we are eligible. If your tax payable is less than $1500 you will receive a lower amount.
Eligible concession card holders in April 2022 receive a one-off, income tax-exempt payment of $250.
Small things when you look at them over a year but a handy offset to our current rising costs.
I am more excited about the Home Guarantee Scheme will be extended for those eligible, to 50,000 places for 3 years from the next financial year, and 35,000 a year ongoing. These will include 35,000 guarantees per year for the First Home Guarantee (formerly the First Home Loan Deposit Scheme or FHLDS) and 5,000 places for the Family Home Guarantee, which is a 2% deposit for eligible sole parents and 10,000 places per year to 30 June 2025 for a new Regional Home Guarantee….this looks like a great scheme if you are buying in a regional area and have not owned a home for 5 years, and have 5% deposit…so a couple of schemes to help NON-first home buyers which is welcome change particularly if you are suddenly single.
Paid Parental Leave (which I LOVE) is changing – combining Dad and Partner Pay into Parental Leave Pay to create a single scheme of up to 20 weeks, fully flexible and shareable for eligible working parents as they see fit. This can be taken any time within 2 years of the birth or adoption of a child. Check out the income tests to see if you meet the requirements.
There are small boosts to flood-affected daycare and daycare and schools in rural areas, but additional funding for apprentices including a $5000 cash bonus, and more government-funded university places which were welcomed by that sector, by the looks of things.
Lastly in health, the Pharmaceutical Benefits Scheme is getting a boost and this will mean lower-cost medications for some, and more money for mental health – in particular suicide prevention.
So a yes overall to the budget with much excitement about parental leave and the increase to the home buyers scheme that we really love including additional places for sole parents and people in rural areas.
If you have any questions send us a message hello@cloversolutions.com.au
Phoebe x