In our Federal Budget analysis we summarise the key features announced on Tuesday. As widely anticipated, this year’s budget contained spending cuts, tax hikes and other measures to counteract the long-term effects of an ageing population. Treasurer Joe Hockey said that all Australians would be asked to help with the heavy lifting, and he delivered on his promise.
Please follow this link to read the Federal Budget. http://eread.com.au/quinn/3310
Budget at a glance:
1. The budget deficit is forecast to fall to $29.8 billion next year and $2.8 billion by 2017.
2. Retirement age to be lifted to 70 by 2035 and tighter eligibility for certain pension benefits.
3. Eligibility will also be tightened for family assistance, Newstart and Disability Support Pensions.
4. Major spending on infrastructure investment and medical research over the next decade.
The government is planning tax increases for wealthy Australians, a cut to the corporate tax rate and a return to a balanced budget by the end of the decade.
Please contact us if you wish to discuss any of the points raised in the Quinn Financial Planning Newsletter.