What the Budget means for the economy and investors...
Last night's Federal Budget contained only a few surprises as many of the measures had already been legislated pr pre-announced. The main winners were lower income earners, families and the elderly. Below is a summary of the budget measures ('Budget Wrap') plus two videos from Dr Shane Oliver which discuss the implications from and economic and market perspective. The main proposals which may affect you, our client, include
(1) the deferral of higher contribution caps for individuals aged 50 and over - in other words, everyone will be limited to $25,000 in concessional contributions for 2012/13;
(2) reduced tax concession on concessional contributions where annual income exceeds $300,000;
(3) the company tax rate cut has been abandoned;
(4) a range of means testing arrangements for social security benefits.
If you have any questions regarding the budget, don't hesitate to contact me personally. Rick Maggi