Budget night 2022 came and went on the 29th of March 2022.
Being an election year, there could be another budget announcement if there is a change in government later this year.
But what are some of the proposed changes that were announced, and which ones affect you?
Cost of living tax offset – this offset is worth $420 for low to middle income earners (up to $126,000) and combined with the existing LMITO (low to middle income tax offset) of $1,080, eligible singles will get a tax break of $1,500 and couples $3,000.
Halving of the fuel excise – this aims to reduce the cost of fuelling up your vehicle by about 22c/L for a 6 month period to help reduce the costs of living to the average household.
To help with the the cost of home ownership, the government will be providing guarantees to help eligible individuals get into the property market with a deposit of 2-5%. The main groups to benefit are:
first home owners
those who haven’t owned a property for 5 years and relocating to regional areas
No significant changes beyond the continuation of the reduced minimum pension drawdown amounts.
Training deductions – ability to deduct 120% of eligible staff training costs
Technology deductions – ability to deduct 120% of eligible business costs supporting the adoption of digital technologies
Changes to PAYG instalments to ease cashflow pressures on small businesses
For more detailed information, please download our budget summary here.
Questions to ask when you’re shopping for a financial adviser
When you are on the lookout for partnering up with a financial adviser, make sure you ask them some of these questions before you commit to anything. AND most importantly that the answers they provide resonate with your unique values and goals.