May 12, 2021

Our Insights

Last night the Federal Treasurer handed down the 2021/22 Federal Budget. 

Click here for a summary of the new initiatives.

What has changed?

Some of the proposed changes and initiatives include:

  • Superannution - Work Test: If you're aged 67 to 74 you will not be required to meet the work test to make non-concessional contributions and salary sacrifice contributions to super.
  • Superannuation - Downsizer Contributions: You can make downsizer super contributions if you're age 60 and over.
  • Superannuation - Low Income Earners: If you receive employment income of less than $450 per month your employer will now be required to pay you the superannuation guarantee (SG).
  • Tax - Low and Middle Income Tax Offset - The low and middle income tax offset is to extend to the 2022 financial year with a maximum offset of up to $1,080 for individuals or $2,160 for a couple.
  • Aged Care: Additional support for elderly Australians requiring care either within the home in a residential aged care facility. 

Further Insights

For information on how the proposed Government changes could affect your financial position and the opportunities that may be available, please click here.

What next?

Please be aware these are only proposals and the Budget announcements still need to be passed by both the House of Representatives and the Senate before they become law.

As always if you have any questions, do not hesitate to contact us.

 

*This is general advice only and does not take into account your financial circumstances, needs and objectives. Before making any decision based on this document, you should assess your own circumstances or seek advice from a financial adviser and seek tax advice from a registered tax agent. Information is current at the date of issue and may change.