FEDERAL BUDGET

Budget aimed at cost of living

June 2024 Treasurer Jim Chalmers has described helping Australians with the cost-of-living crisis as the government's "number one priority". Amid persistent inflation and a slowing economy, it's no surprise that the issue was top of the government's federal budget agenda — so much so it was in the title: Cost-of-living help and a future made in Australia — with $7.8 billion earmarked for relief on top of the already announced changes to the stage 3 tax cuts. "It’s a responsible budget that helps people under pressure today and invests in the promise and potential of the more prosperous future we can make together," Mr Chalmers said as he handed down his third budget. So what exactly is in the budget to help Australians feeling the pinch? Here's a super quick guide to the cost-of-living relief. We already knew this was coming, but the reworked stage 3 tax cuts are the centrepiece of the government's relief measures. Everyone who earns more than the $18,200 tax-free threshold per year will get a tax cut, which means more than 13.6 million Australians will be better off. For the 8.2 million tax-payers who earn between $45,000 and $135,000 a year, this means tax relief of bet-ween $804 and $3,729 come July. Power bill rebates are coming Every household will receive a $300 rebate on their electricity bills throughout the year from July 1 and 1 million small businesses will get a rebate of $325. In practical terms, this means Australians who pay their electricity bills quarterly will see a $75 discount on each of their bills over the coming financial year, at a cost to the budget of $3.5 billion. The credits will be delivered in the same way as the relief announced in last year's budget, in which $500 was paid out but only to certain eligible groups, like pensioners and households receiving government support. The government expects the rebate to directly reduce headline inflation, rather than adding to the pressures. Rent assistance is going up In good news for nearly 1 million low-income house-holds receiving the Commonwealth Rent Assistance payment, the maximum rate is set to increase for the second year running by a further 10 per cent. Medicine will be cheaper Medicines listed on the scheme will be capped at a maximum cost of $31.60 and no concession card holder — who make up six-out- of-10 prescriptions on the PBS — will pay more than $7.70 for their medication until 2030. Extra support for pensioners The government also said, it will adjust the income test, in order to help around 876,000 income support recipients - including around 450,000 age pensioners — who rely on income from their investments as well as government payments to "manage cost of living pressures".

Greek Tribune Adelaide, South Australia