Who are the winners in this year’s federal budget?
In this article, we will look at the federal budget winners and losers and what impact they will have on you.
We start this year’s federal budget winners and losers with women. This year’s budget contains many developments for women, including a substantial overhaul to the government’s Paid Parental Leave (PPL) program. Instead of offering two special payments, two weeks of “Dad and Partner Pay” and 18 weeks of “Parental Leave Pay”, — the two will now be combined, allowing parents to choose how they want to take their leave.
This change is a major win for working mothers who struggle to balance work and family obligations. The new program will allow them to take time off more easily and receive payments that are more in line with what they would have received under the old system. The plan claims that the shift will create a more powerful incentive for dads to take parental leave.
The government is also adjusting the program so that single parents can use the entire 20 weeks of leave. Given last year’s ABS estimate that 81% of single parents are women, it’ll undoubtedly benefit potentially thousands of women.
According to the government, the new PPL plan will take effect in March 2019. Before then, the government said it would engage and consult with stakeholders. The expense of the adjustments is set at $346.1 million over five years in the budget.
However, what’s not included in the change is any superannuation payment for PPL – something advocates have been pushing for to close the gender gap in retirement savings. When it comes to women’s health, the government has already announced some key budgetary measures.
The budget also includes a new measure, listing Trodelvy, a chemotherapy drug used to treat a rare form of breast cancer, on the Pharmaceutical Benefits Scheme, saving some women hundreds of dollars. It will spend $58 million over the next four years on assisting women with endometriosis — including $16 million for specialised clinics in each.
Tests for numerous ailments, such as cystic fibrosis, spinal muscular atrophy, and fragile X syndrome, can range from $250 to $450. Under Medicare (in most cases), they will be free starting November 2019. The government’s budget pledges $1.3 billion over the next six years toward a wide variety of measures and programs
It’s also committing $54.6 million over the next five years to the Keeping Women Safe in Their Homes program, aiming to provide women with technology to check whether their abusive partners have been reported to the police.
There’s been an increase in the number of women who have been subjected to technology-based abuse like having their phones tracked or having hidden cameras installed in toys in their homes. The funds will be allocated to various initiatives that assist women who have endured domestic and family violence in removing spyware from their phones and computers, as well as sweeping their homes for
While the government’s announcements promise additional cash for various initiatives, advocates and experts have long urged significant and long-term investment in the sector. According to Women’s Safety NSW, the sector needed $1 billion per year in funding to meet frontline services.
It was unhappy with the budget’s lack of specific measures to address “violence, abuse, and discrimination” experienced by women and girls with a disability, according to the peak organisation run by and for ladies with a disability. Contact Imgrams Accounting to discuss how the federal budget winners and losers will impact you.
To assist with the rising cost of living, low- and middle-income earners will receive an extra $420 back in their taxes. The government’s low- and middle tax offset continues for another year, which means some people could get up to $1,500 back at tax time. The payments are expected to cost the government around $11.2 billion and will go to around 10 million people.
Mr Frydenberg said before the budget that the government’s assistance would be “temporary and targeted” rather than ongoing. Go to the bottom of the story and use our tax calculator to determine how much you’ll receive in tax.
Contact Imgrams Accounting to discuss how the federal budget winners and losers will impact you.
Next in this year’s federal budget, winners and losers are welfare recipients. People on the JobSeeker payment, pensioners, carers, veterans, job seekers, and other eligible concession cardholders will get a one-time payment of $250. There has been no change in the amount of money low- and middle-income individuals will receive per week. Last year, the government boosted the wage by $25 per week at the cost of $9 billion over four years. Contact Imgrams Accounting to discuss how the federal budget winners and losers will impact you.
There’s a tax break on the way for farmers who make money selling carbon credits. In return for supporting the government’s net-zero by 2050 target, the Nationals got one of these measures as part of their deal. The modification permits taxing carbon farming income like other primary sector income. Otherwise, most of the budget’s plans focus on improving exports and getting tough on multinationals. Contact Imgrams Accounting to discuss how the federal budget winners and losers will impact you.
Ken Wyatt, the new Minister for Indigenous Australians, has made a major promise to increase the number of Aboriginal and Torres Strait Islander rangers. nThe federal government will invest $636.4 million to create an anticipated 2,000 additional ranger positions by 2028 in rural and remote areas of Australia. The new cash will also help.
The Country Needs People campaign has long called on the government to expand the indigenous ranger workforce significantly, and the announcement is a “worldwide” response. According to the campaign’s executive director Patrick O’Leary, the funding will assist traditional owners in “building and rebuilding” their communities due to climate change. Contact Imgrams Accounting to discuss how the federal budget winners and losers will impact you.
Refugees are big winners in this year’s federal budget winners and losers. The government has kept the humanitarian program’s cap at 13,750, the same as previous years. Different places for Afghan nationals have been made available by announcing extra visas. The budget for the next four years totals $665.9 million to provide additional 16,500 immigration opportunities for Afghans fleeing from the Taliban. In January, Immigration Minister Ahmed Hussein said the government was committed to bringing in more refugees.
The State Department also vowed to continue the Yazidi women and girls’ resettlement program, with $24 million pledged over four years to aid it.
The plan includes several proposals targeting refugees, including $2.6 billion over five years.
According to the International Organisation for Migration, Australia will grant at least 30,000 Afghan refugees refuge over the next four years. As for Ukrainians fleeing conflict, Mr Morrison unveiled a plan last month to allow individuals on temporary humanitarian visas to remain in Australia for three years.
Around 5,000 Ukrainians who were given other visas to come to Australia — including student, holidaymaker, skilled migrant and family reunion visas – will have greater security and be allowed to work, study and use Medicare.
Mr Morrison said the government “hadn’t set a limit” or cap on how many Ukrainians it would give visas to.
The government has also committed $9.2 million to continue existing youth support services for another year and $1 million over five years to establish a Human Rights Advocacy Program. Contact Imgrams Accounting to discuss how the federal budget winners and losers will impact you.
The biggest win in the federal budget winners and losers list. The government is reducing the fuel excise — the flat tax charged on each litre of petrol by half to decrease gasoline costs. The Ukrainian conflict has boosted oil prices, and some drivers have had to pay more than $2.20 a litre for petrol. When motorists fill up their tanks, they will save 22 cents per litre due to the excise cut.
The Australian Competition and Consumer Commission (ACCC) will be keeping an eye on fuel prices to ensure that the cut to the petrol excise is passed on to drivers rather than utilised by shops to make a bigger profit. If retailers deny passing on the tax reduction and making petrol cheaper, “we will not hesitate to take enforcement action,” according to the ACCC Chairman Rod Sims.
The excise cut will also benefit heavy vehicle operators, who use more diesel and petrol. The Australian Trucking Association (ATA) has welcomed the move, saying it will “improve the competitiveness of Australia’s trucking industry.”
Farmers are another group that will benefit from fuel excise reduction. Diesel is a key input for many agricultural operations, so a cut in the excise will help to reduce costs. The National Farmers’ Federation (NFF) has welcomed the move, saying it is “a positive step.”
Even if the excise was reduced temporarily, some state and federal MPs had recommended it would not lead to immediate relief at the pump. It would just assist drivers and cost billions of dollars in lost revenue.
Regardless, Mr Frydenberg and the government have cut the excise by half. Contact Imgrams Accounting to discuss how the federal budget winners and losers will impact you.
Regional Australia needed to be a winner in this year’s federal budget winners and losers; with billions of dollars set aside for what the Deputy Prime Minister has dubbed as “nation-building infrastructure projects,” Regional Australia gets a substantial sugar blast in this budget. The Nationals leader Barnaby Joyce stated there will be $7.1 billion invested over 11 years to develop a new ‘Energy Security and Regional Development Plan.’
$1.3 billion will go towards co-investment with states and territories and private companies in everything from port and road upgrades to dam and logistics hubs in northern and central Queensland, the Hunter in New South Wales, the Northern Territory, and the Pilbara region of Western Australia. There’s also $2 billion for a new national Water Infrastructure Development Fund’ to help unlock water resources and improve irrigation.
$844 million is set aside for the Roads of Strategic Importance program, which will upgrade key freight routes such as the Bruce Highway in Queensland and the Princes and Pacific Highways in New South Wales. Contact Imgrams Accounting to discuss how the federal budget winners and losers will impact you.
Great Barrier reef
The Great Barrier reef is a much-needed winner in the federal budget winners and losers list. It had been announced previously, but the budget includes the billion dollars that the government mentioned earlier this year for the Great Barrier Reef. Most of the money will improve water quality, with a smaller amount set aside for reef management and research. Following a warning from the UN’s environmental body last year that it intended to designate the reef as
The $1 billion will be dispersed over nine years and administered by the Environment Department in tandem with the Great Barrier Reef Marine Park Authority, with funds distributed through local communities, businesses, and traditional owners. However, some experts slammed the expenditure, arguing that if global carbon emissions aren’t reduced, it will be for naught.
Cyber security is a well-deserved winner in the federal budget winners and losers list. The Australian Signals Directorate (ASD) will receive $9.9 billion in funding to strengthen our cybersecurity and intelligence capabilities over the next ten years. It’s called REDSPICE (Resilience, Effects, Defense, Space, Intelligence, Cyber). At ASD, it will lead to the creation of 1,900 additional jobs.
In the budget, the government clarifies that the money will be used to improve Australia’s ability to defend itself and some of its most important infrastructure from cyber attacks and combat them. The government has issued warnings about potential cyber assaults from China and Russia, urging firms to update their networks to resist any future assaults better. Contact Imgrams Accounting to discuss how the federal budget winners and losers will impact you.
Recycling is another big winner on the federal budget winners and losers list. The budget has set aside $60 million for better recycling technology to handle soft plastics like bread bags and chip packets. It’s a component of the government’s much larger $250 million recycling initiative, which aims to discover innovative solutions to make the waste collection more efficient. The $60 million will support “advanced plastic recycling technology” and enable soft plastics recycling.
This is great news for the environment, as it will help reduce the amount of waste that ends up in landfills. It’s also good news for businesses, as it will create new opportunities for recycling companies. Contact Imgrams Accounting to discuss how the federal budget winners and losers will impact you.
Who are the losers in this year’s federal budget?
The first loser in the years federal budget winners and losers are tax evaders. This is a loser that most people are probably ecstatic about – the government has created a multi-agency task force to investigate tax avoidance by multinationals, large public and private organisations, trusts, and wealthy individuals. The Australian Tax Office will receive more than $600 million in funding to monitor those groups over the next three years. The budget predicts that this will result in an extra $4.8 billion in tax revenue being collected.
This is a great development, as it will help ensure that everyone pays their fair share of taxes. It’s also a sign that the government is serious about cracking down on tax evasion. Contact Imgrams Accounting to discuss how the federal budget winners and losers will impact you.
Draught beer retailers
Draft beer retailers are another big loser in this year’s federal budget winners and losers list. The federal government was expected to reduce the excise or tax on draft beer by half, but there was no change in the budget. It’s something the Brewers Association of Australia has been asking for as a means to assist pubs and hospitality businesses that are suffering due to the epidemic.
However, industry experts argue that it’s a step that would upset health organisations and other distillers who have previously voiced health concerns and argued that the proposal gives one part of the alcohol business an advantage.
The Women’s Weekly said the tax cut was both “sexist and classist,” warning it would disproportionately benefit men. According to Spirits and Cocktails Australia, their studies found that only around 10% of women reported drinking beer regularly, implying that the tax cut would primarily benefit males.
Last year, the government provided $255 million in tax relief to small brewers and distillers. Contact Imgrams Accounting to discuss how the federal budget winners and losers will impact you.
Nobody wants wages to be on the federal budget winners and losers list. In addition, real wages are not expected to rise until later this year at the earliest due to higher-than-anticipated inflation. According to the Treasury, the inflation rate was anticipated to be 2.75% at the end of last year, and the actual result was 4.25%.
Despite current price increases, the budget expects inflation to level off and wages to accelerate by the decade. Contact Imgrams Accounting to discuss how the federal budget winners and losers will impact you. Contact Imgrams Accounting to discuss how the federal budget winners and losers will impact you.
A very unfortunate loser in this year’s federal budget winners and losers list is renewables. There is no funding for renewable energy generation projects in the budget. Instead, the government will invest around $250 million over five years to support investment in low-emission technologies such as hydrogen. The making of hydrogen to be a fuel source creates emissions now, and while projects are being proposed and developed, it’s impossible to know how long it’ll
It’s also providing $148.6 million in funding over five years to boost investment in “affordable and dependable power” by giving $84 million over those five years for community microgrid projects in rural and regional areas of Australia.
The government’s investment in some of its key climate change initiatives, such as the Clean Energy Finance Corporation (CEFC) and Australian Renewable Energy (ARENA), is expected to drop by 35% over the next four years.
The budget predicts that investment will rise from $2 billion per year to $1.3 billion by 2025-26. However, the government’s Long Term Emissions Reduction Plan comprises additional policies outside CEFC and ARENA.
Contact Imgrams Accounting to discuss how the federal budget winners and losers will impact you.
This information is general and has been prepared without considering your objectives, personal or business circumstances, financial situation, or needs. Because of this, you should, before acting on this information, consider in consultation with your adviser its appropriateness, having regard to your objectives, personal or business circumstances, financial situation and needs.