Federal Budget 2014 summary

Today Rachel and Debbie travelled to Canberra to attend the Budget lockup and find out what Joe Hockey has in store for older Australians.

It may have been his first Federal Budget, but that didn’t stop him from hitting hard and few Australians have been spared at least some budget pain. For the last couple of weeks we’ve been reading about possible cost savings and revenue raising measures, so let’s find out what is included and what was simply deemed too unpalatable for the Australian public to digest.

Federal Budget 2014 summary

  • Temporary Budget Repair Levy of two per cent on incomes of $180,000 or more, for three years from 1 July 2014
  • Young people will be required to work for the Dole
  • Pensions will be indexed to the Consumer Price Index only, from September 2017
  • Age Pension eligibility age will be raised to 70 by 2035
  • Tighter rules for pensions being paid while outside Australia
  • Indexation freeze on asset and income thresholds for pensions for three years from July 2017
  • Reintroduction of fuel excise indexation from 1 August 2014
  • Introducing a co-payment of $7 for all visits to the doctor and out of hospital pathology and imaging
  • Cessation of the Seniors Supplement after June payment this year (July 1)
  • Lower deeming thresholds to $30,000 for singles and $50,000 for couples combined
  • Thresholds to be frozen for Private Health Insurance Rebate and Medicare Levy
  • Streamlining of government operations by abolishing over 70 bodies, boards, committees and councils
  • Cut of 16,500 public servants
  • Increase in investment in infrastructure to fast track projects considered urgent
  • Establish a $20 billion Medical Research Future Fund
  • Introduce an Emissions Reduction Fund
  • Rephase increase in superannuation guarantee

Written by Debbie McTaggart