Author Topic: The budget  (Read 566 times)

marty998

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The budget
« on: December 07, 2017, 04:21:18 AM »
Starting a thread here because... I need one to penn some thoughts.

It's December. Which means it is MYEFO time. I will be amazed if the Government can actually deliver a budget update, considering how distracted they are with various other embarrassing things like not being validly elected.

Curious to know if the budget trajectory is improving or not. It's really getting to the point where serious tax reform needs to be implemented. Shockingly unfair that gainfully employed people pay 34.5% tax on every dollar above $37,000, and 39% tax on every dollar above $87,000. Bracket creep is starting to bite!

It's a lot of cash to be handing over to the government every pay cycle. Come on Malcolm, time to fix it... broaden the base and cut the rates for everyone.

happy

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Re: The budget
« Reply #1 on: December 20, 2017, 04:00:03 AM »
Following the thread to keep up to date. I have a low information diet, so don't expect anything too startling from me.
Organisations starting with National are currently out of favour with me, NBN, NDIS...enormously inefficient.
Journalling at Happy Aussie Downshifter

marty998

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Re: The budget
« Reply #2 on: December 20, 2017, 04:13:04 AM »
I forgot I started this. Apparently there was a budget update a couple of days ago....

Deficit is predicted to be lower than forecast and and maybe there will be tax cuts on the way.

They say we'll start paying off the debt in 2020/21.... by about $10 billion? At that rate it'll take 60 years to pay off the national debt....


marty998

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Re: The budget
« Reply #3 on: January 05, 2018, 12:39:27 AM »
http://www.news.com.au/finance/money/costs/new-laws-and-changes-that-will-affect-australia-from-january-1-2018-and-beyond/news-story/85825f4092834190a292a828aacb7c3d

Government payments and other changes in effect from 1 January. Article might be behind a paywall - I googled my way to finding it.

Not a lot that would affect most people I'd imagine.

Eucalyptus

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Re: The budget
« Reply #4 on: January 06, 2018, 02:37:42 AM »
The freeze on University spending will probably bight into me unfortunately. Uni (all of them...) is already under severe budget strain, apparently... my contract is coming up in a few months for renewal. Hmm. :-(

"New homeowners will not be able to claim the cost of inspecting and maintaining rental properties as tax deductible. The change was designed to reduce the pressure of housing affordability in the 2017-18 budget"

This strikes me as a partial move towards the Labor policy of stopping negative gearing on new investment properties! Haha! Negative gearing still there for interest and depreciation, which are normally the major items for an investor each year.

"The $12,000 special duty on imported used vehicles will be axed"

Which politician(s) has a mate who is a dodgy used car importer??? Can't be many/hard to trace...

"From July 1 2018, the government has introduced an incentive for over-65s to downsize their homes, and make super contributions up to $300,000, outside the usual non-concessional (after-tax) contributions cap"

This is potentially a big one for some people on this forum and  their FIRE plans. Could be a big one for a lot of Australia retirees. Encouraging them to downsize will mean a massive reduction in burden on Pensions, and encourage more environmentally friendly living. I think its a good move in general. Of course many people already do downsize so in some ways its actually just reducing tax income for no extra benefit....

The new Child Care Package is a small benefit to me. Unfortunately its coming when my child is moving from really expensive childcare to school and OSHC. Oh well. Still a few more $ in my pocket each week. And its just plain tons simpler, the current system is an absolute mess (seriously who thought of that in the first place?!?!?!).

Thanks for sharing Marty :-)