Mar 26, 2025

The 2025 Federal Budget provides cost of living relief through tax cuts, lower power bills, reduced co-payment for medicines and other measures

Note: These changes are proposals only and may or may not be made law (unless stated otherwise).

 

 

Key proposals at a glance

• All taxpayers will receive modest tax cuts starting from 1 July 2026.
• Eligible Australian households and small businesses will receive an additional energy rebate of $150.
• The general co-payment for Pharmaceutical Benefits Scheme medicines will reduce to $25 for individuals who don't hold a concession card.
• All families will be eligible for at least 72 hours per fortnight (three days per week) of subsidised childcare without having to satisfy the activity test.
• Concessions will be applied to reduce student debts and repayments.
• The 'Help to Buy' program will be expanded to include higher income and property price caps.

 

Further Insights

For information on how the proposed Government changes could affect your financial position and the opportunities that may be available, please view the highlights of the budget or watch this brief video.

 

What next?

These proposed changes are subject to review and may or may not be enacted into law. If you have any questions or concerns, we're here to help. Please don't hesitate to reach out 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.

 

Important information and disclaimer

Sources: www.budget.gov.au

Important information and disclaimer © 2025 IOOF Service Co Pty Ltd. All rights reserved. The information in this communication is factual in nature. It reflects our understanding of existing legislation, proposed legislation, rulings etc as at the date of issue, and may be subject to change. While it is believed the information is accurate and reliable, this is not guaranteed in any way. Examples are illustrative only and are subject to the assumptions and qualifications disclosed. Whilst care has been taken in preparing the content, no liability is accepted for any errors or omissions in this communication, and/or losses or liabilities arising from any reliance on this communication