Federal Budget 2015 / Investment Markets
A guide to the 2015/16 Federal Budget Federal Treasurer Joe Hockey delivered the Abbott Government’s second budget, where the main focus was directed towards small businesses, families and changes to age pension asset test. The Budget also laid out plans which aim to restore confidence in the Australian economy.
It is important to note that the Budget announcements are still only proposed at this stage and need to be legislated.
Changes to pension asset test
Announced in May 2015, the Government has proposed changes to age pension eligibility based on the value of assets that you hold outside the family home. Some wealthier retirees will lose access to the pension as a result of the more stringent asset test thresholds and taper rate for pensions, while others will receive a pension increase.