Federal Budget Summary 2016 – 17


The Hon Scott Morrison MP handed down his first Federal Budget on the 3rd of May 2016. There were modest changes to income tax rates and Centrelink rules but significant, and largely negative, changes to superannuation.

Of most concern is that a number of the superannuation changes are retrospective and hence impact existing and established retirement plans. Normally changes apply from the date of announcement, and any existing arrangements are allowed to continue under the rules which were applicable when they started.

Please note, all the announcements still need to pass through Parliament; until then they can be viewed as merely a statement of intent.  In addition, the devil is always in the detail, and the details aren’t yet fully known. (more…)

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Where To Now For Financial Planning Industry?

Mathias Letter 1

Yesterday I received this letter from the Minister for Finance, Mathias Cormann. It is in response to some feedback I provided to the government earlier in the year.

I recall attending a Financial Planning Association function a number of years ago and it had been arranged to have two sessions; one with Federal Liberal representatives and one with Labor and Greens representatives. Despite the date being set by the Labor representatives not one of them turned up; they all gave apologies. There were six Liberals in the first session and only Scott Ludlam, from the Greens, in the second session. Credit to Scott for turning up – it’s this reason I was happy to see him get re-elected. (more…)

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