As we enter a new financial year, Australians are preparing for several significant financial updates.
Some changes will bring welcome boosts, while others may stretch household budgets even further.
Whether you’re working, semi-retired or fully retired, it’s worth knowing what’s coming.
From superannuation tweaks to energy rebates and increased government payments, here’s what you need to know—and how it could affect you.
Superannuation: A boost for your nest egg
Starting July 1, your retirement savings will get a little extra help.
The compulsory superannuation guarantee paid by employers is increasing from 11.5 per cent to 12 per cent of your ordinary time earnings.
This is the final step in a series of gradual increases that began in 2021.
If you’re earning $100,000 a year, that’s an additional $500 going into your super fund annually.
Over 30 years, that could add up to more than $47,000—without accounting for investment returns.
Two more super-related updates worth noting:
- The transfer balance cap—the most you can move into a tax-free retirement account—will rise from $1.9 million to $2 million.
- The maximum super contribution base (the highest salary on which employers must pay the guarantee) will fall from $65,070 to $62,500 per quarter, mainly affecting high-income earners.
Minimum wage: A pay rise for many
The Fair Work Commission has announced a 3.5 per cent rise to the national minimum wage.
This will increase hourly rates from $24.10 to $24.90. For a full-time, 38-hour week, that equates to $948, or $47,626.80 annually.
It’s a modest boost, but one that could help as prices continue to rise.
According to the government, it’s designed to balance cost-of-living relief with economic sustainability.
Paid Parental Leave: More time, more super
Parents welcoming a child from July 1, 2024 will now be eligible for 24 weeks (120 days) of paid parental leave, up from 22 weeks (110 days).
And for the first time, superannuation will also be paid on this leave.
That means an extra 12 per cent of your government parental leave payment will go straight into your super account.
It’s a step forward in addressing the retirement savings gap that often affects women and primary carers.
Centrelink payments: Small increases, big impact
Several Centrelink payments will see increases thanks to standard indexation.
Family Tax Benefit A and B, the Multiple Birth Allowance and the Newborn Supplement will all increase by 2.4 per cent.
Depending on your payment type, this could mean an extra $4.48 to $48 per fortnight.
Income and asset thresholds for the Age Pension, Disability Support Pension and Carer Payment are also going up.
This could allow more Australians to qualify—or receive a slightly higher payment.
Tax changes: No more deductions for overdue interest
From July 1, you’ll no longer be able to claim a tax deduction for interest on overdue tax bills.
This applies to the General Interest Charge and Shortfall Interest Charge.
The government expects to raise an additional $500 million through this change.
For taxpayers, it’s a timely reminder to stay on top of your tax obligations to avoid unnecessary costs.
Energy bills: Up, up and (hopefully) not away
Electricity prices are rising again across multiple states. AGL customers may see annual increases of up to:
- 13.5 per cent in New South Wales
- 7.8 per cent in South Australia
- 7.5 per cent in Queensland
- 6.8 per cent in Victoria
For a typical household in New South Wales, that could mean an extra $300 per year.
To offset the hike, the government will issue a $150 rebate, split into two $75 payments across the next two quarters.
It won’t eliminate the increase, but it should ease the pressure slightly.
Medicare Levy Surcharge: Higher thresholds
The income thresholds for the Medicare Levy Surcharge are increasing. From July 1:
- Singles earning more than $101,000 (up from $97,000)
- Families earning more than $202,000 (up from $194,000)
If you don’t have private hospital cover and earn above these limits, the surcharge applies.
This change could mean some people avoid the surcharge this year. It’s still wise to review your income and cover to ensure you’re not caught out.
Let’s hear from you
These financial changes can feel overwhelming—but they’re easier to manage when we share insights.
Are you likely to benefit from these adjustments? Are you worried about higher energy bills, or feeling reassured by the rise in super and Centrelink support?
Tell us in the comments—your experience could help others navigate the new financial year with confidence.
Also read: Centrelink payments rise for millions from July—how much more will you get?
