How the 2014 Federal Budget will affect you

How the 2014 Federal Budget will affect you

We take a look at how the 2014 Australian Federal Budget could affect you.


  • Medicare co-payment – For most Australians this will mean the end to free GP visits with most having to pay an extra $7 on each visit to the doctor. This has been capped for pensioner and children at $70 per year
  • Petrol excise – If you drive a motor vehicle then you will be paying more for petrol. The freeze on the petrol excise will be lifted and will now be increased every 6 months at the rate of inflation.
  • Your mortgage – Talk to your mortgage broker, but the good news here is, mortgage interest rates will stay relatively low and may even be reduced to record lows.


  • Unemployment benefits – People under 30 will now have to wait six months for any benefits
  • Newstart – Those unemployed under 25 will be paid Youth Allowance instead of Newstart
  • University fees – These will most likely increase as the university fee structure is deregulated.

Older Australians / Pensioners

  • Pension age – The pension age will rise to 70 by 2035 (this will not affect any Australians born before July 1, 1958)
  • Payments – Pension payments will rise at a slower rate as they will be indexed to the consumer price index (rather than the average male wage)
  • Assets and income tests – From 2017, the assets and income test thresholds will be frozen for three years
  • Pensioner entitlements – Many pension entitlements will be reduced or abolished
  • Older workers – Employers will gain financial incentives to employ those who are aged over 50.

Public Servants

  • Job losses – 16,500 government jobs will go, including 4,700 employees from the ATO.


  • Family Tax Benefit – The payments for this will remain at current levels until July, 2016
  • Tax Benefit A – There will be an income threshold set at $94,316. Only families with four or more children will receive the benefit
  • Tax Benefit B – From 2015, this benefit will cease when the youngest child turns six. The income test on this will also be lowered from $150,000 to $100,000 per household
  • School Kids Bonus – This will be scrapped completely, meaning a loss of $410 or $820 per child, per year
  • Paid Parental Leave – This has been greatly reduced from the original idea – being capped at $50,000 per annum – and will be introduced at the very earliest July, 2015.


  • Exports – Companies will receive financial assistance to access export markets
  • Grants – Grants will be available for manufacturers moving into “growth” areas
  • Mining – Energy and resources sectors will be encouraged to explore for new mineral deposits


  • Defence spending will increase two per cent (of GDP) per year within the next decade
  • A new medical resource fund will be set up (in part paid by the Medicare co-payment)
  • Infrastructure spending will increase by $50 billion. This will be earmarked for roads, rail, ports and airports over the next seven years.

How do you feel about this budget? Does it directly affect you or someone close to you?

Posted in Banking Education

How to reduce or eliminate your bills

How to reduce or eliminate your bills

Bills are expensive. And they seem to get worse each month. Personally, they account for about 20% of my total income. That’s one dollar in every five which goes towards a bill. That’s too much!

Your say: What percentage of your income goes on bills? Let us know in the comments below.

So, trying to reduce or eliminate as many bills as possible can be a smart way to lower your costs and have more money for yourself.

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Posted in Saving Money

Why I bought a vending machine

Why I bought a vending machine

This article is by staff writer Justin.

I am always looking for ways to generate some extra money and, while researching vending machines for the lunch room at work, I decided to see if it would be a profitable venture. Here is what I found out.

The great thing about vending machines is they fall into that area known as passive income. That is, income you earn while doing something else.

The machine

I purchased a second-hand machine that holds soft drink cans, chocolates and packets of chips (what they call a combo machine). Second-hand, you can pick one up for around $2,000; the machines with all the bells and whistles can be in excess of $15,000.

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Posted in Making Money

Is Motherhood selfish or selfless?

Is Motherhood selfish or selfless?

This article is by staff writer Amanda.

So my eldest child went to camp for the first time today.

He has been away from home before, but he has only ever been in the care of family – except for the odd sleep over at a friend’s place – and what I found amazing was how quickly I transitioned back into ‘that mother’.

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Posted in Better Living

Do you really need a car?

Do you really need a car?

Owning a car is seen as an Australian dream – a rite of passage that every teenager experiences. But does it need to be that way? Do young people in Australia need to own a car?

There are a lot of reasons some people need to own a car, but for those who are living in the city or nearby, having a car could be an expense they could do without.

Before we look at the advantages of not owning a car, we need to look at how you would get around without one.

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Posted in Better Living, Saving Money

7 Reasons to get out of debt (and 4 ways to get it done)

7 Reasons to get out of debt (and 4 ways to get it done)While debt can be a part of life for most people, there are both good and bad forms of debt.

No-one really likes having debt, but knowing the different types and how to manage them may save you money and give you a better lifestyle.

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Posted in Debt Relief

10 Ways to stay cool this summer without air con

10 Ways To Stay Cool This Summer Without Air Con

It seems to be just getting hotter and hotter each summer. And this one is no different.

And while turning on your air conditioner is the easiest way to stay cool, you may want to hold off due to rising power bills, or you simply may not have air con at home.

Here are 10 ways you can stay cool this summer without air con and beat the heat:

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Posted in Better Living

5 Extreme ways to reduce your debt

5 Extreme Ways to Reduce Your Debt

Personal debt is a serious problem for some people. And a serious problem sometimes needs an extreme solution.

While these 5 ways to help you reduce your debt levels may not be for everyone, they could go a long way to reducing some people’s debt levels and give them a better lifestyle.

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Posted in Debt Relief

How to send money overseas

How To Send Money Overseas

With the world getting smaller and more people travelling and living overseas, it is becoming common for people to send money out of the country.

There are two common ways to transfer money overseas:

  1. Telegraphic Transfer
  2. Draft

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Posted in Banking Education

External transfers – where does your money go? (secrets revealed)

External Transfers – Where Does Your Money Go?

Have you ever wondered what happens to your money once you transfer it?

I am sure you have used internet, phone or mobile banking to make a transfer to another financial institution. But have you ever wondered what happens to the money you send, and why it takes a day to get to the other person?

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Posted in Banking Education


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