What changed on 1 July 2023

Employers & business

• Superannuation guarantee increases to 11% from 10.5%

• National and Award minimum wage increases take effect.

• The minimum salary that must be paid to a sponsored employee - the Temporary Skilled Migration Income Threshold - increased to $70,000 from $53,900.

• Work restrictions for student visa holders reintroduced to 48 hours per fortnight.

• The cap on claims via the small claims court procedures for workers to recover unpaid work entitlements increases from $20,000 to $100,000.

• Energy Bill Relief Fund for small business kicks in – it will apply to your energy bills if you meet the criteria.

• Sharing economy reporting to the ATO commences for electronic distribution platforms.

Superannuation

·       Superannuation guarantee increases to 11%

·       Indexation increases the general transfer balance cap to $1.9 million.

·       Minimum pension amounts for super income streams return to default rates.

·       SMSF transfer balance event reporting moves from annual to quarterly for all funds.

For you and your family

·       The new 67 cent fixed rate method for working from home deductions – make sure you have a record of when you work from home. The ATO won’t accept a simple “I work from home every Wednesday” x 8 hours calculation.

·       Access to the first home loan guarantee expands to “friends, siblings, and other family members.”

·       The Medicare low income threshold has increased for 2022-23.

·       The child care subsidy will increase from 10 July 2023 for families with household income under $530,000. See the Services Australia website for details.

·       New parents able to claim up to 20 weeks paid parental leave.

Access the age pension increased to 67 years of age.