We’re here, folks. It’s the end of the financial year, and while most people take this date as a sign they need to get moving on their tax return (we can help with that), that’s not the only significant event come this time of year. July 1 signifies the start of a new financial year, which means new budgets are set in place (ask for a pay review), and new laws will be rolling out, too.
If you’re wondering what’s set to change across Australia come July 1, here is a list of some of the more notable laws coming into effect as of the new financial year.
New financial year changes: What’s on the way?
Minimum wage in Australia is going up
In somewhat encouraging news, the Fair Work Commission has confirmed that Australia’s minimum wage would be getting a (slight) increase of 5.75 per cent as of July 1, 2023.
Starting from the new financial year, “the National Minimum Wage will be increased to $882.80 per week or $23.23 per hour,” the Commission’s website reads.
Energy prices are set to go up
In far worse news, The Australian Energy Regulator (AER) confirmed electricity prices would increase by between 19.6 per cent and 23.9 per cent in NSW, SA and south-east Queensland as of July 1, 2023. Small business owners will also be hit with an increase of between 14.7 per cent and 28.9 per cent, depending on region, in the new financial year.
A new energy relief bill will come into effect
On the flip side to the above, come July 1, there will be some people who can access relief from increased energy costs. We wrote all about that here.
The program is rolling out differently in different states and territories, so what people may receive is not exactly straightforward.
One thing to note, however, is that if you’re eligible (that is, you’re either receiving Centrelink payments or are a small business), the savings should automatically come out of your electricity bills in the new financial year.
The super guarantee rate is increasing
Another positive change coming in the new financial year is that your super rate will go up. As of July 1, employers will be required to pay their staff super at a rate of 11 per cent (this is up from 10.5 per cent). More on that via the ATO, here.
The rate is set to increase incrementally until it hits 12 per cent in 2025.
Paid parental leave is changing
Per the Services Australia website, paid parental leave is set to change as of July 1.
“Parental Leave Pay and Dad and Partner Pay are combining into one payment. It will increase from 90 days (18 weeks) to 100 days (20 weeks),” the website reads.
Parental Leave Pay can be used until a child turns two. This can be shared between parents, and there is the option of taking days at the same time if needed. Single parents, however, will be able to take the full amount of leave.
More on that new financial year update here.
There are some changes for homeowners and renters in certain states
In NSW, first-home buyers will be happy to hear that they are now exempt from stamp duty charges on properties valued up to $800,000 as of July 1.
And in Queensland, renters will be pleased to know that rent increase frequency has been capped at once a year as of this new financial year.
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