Budget 2018: 3 Things To Expect

May 8, 2018

Jaz Harrison

Jaz is a Staff Writer for Rask. She is a keen investor who loves to thoroughly poke holes in an investment idea before it has a chance of making it into her portfolio. Jaz invests for the long-term and doesn't sweat the small stuff. She strongly believes that empowering people with knowledge is the best way for them to take charge of their finances, which is exactly the approach she takes with her own money and investments.

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Budget 2018 will be released at approximately 7.30pm (AEST) on Tuesday 8 May 2018 by Treasurer Scott Morrison.

UPDATE: CLICK HERE TO SEE THE LATEST ON BUDGET 2018

According to Treasury figures, the Aussie budget has improved enough for the government to increase spending in several areas.

Here are three things we can expect from Budget 2018, according to media reports:

1. LITO Increase

The low-income tax offset (LITO) is expected to increase and provide extra benefits of around $10 per week to low and middle-income households.

The income range to receive LITO looks set to increase to an upper cap of $90,000 from its current $66,667 and the maximum offset will be boosted from $445 to $1,000.

2. Pension Improvements

Rumours are circulating that a scheme will improve the ability of people above the pension age to borrow money against the value of their home.

The government will also increase funding for thousands of more home care packages. Pensioners will also be able to earn more without their pension being affected.

3. Melbourne’s Infrastructure Boom

Melbourne is a big winner in an infrastructure bonanza.

It’s estimated $5 billion will go towards a rail line to Melbourne Airport.

A further $475 million will be used for a rail link to Monash University, one of Australia’s largest and most prestigious universities, and $225 million to extend the Frankston line to Baxter — a further two stops.

What Else?

We expect to get more than this in tonight’s Budget because the government of the day likes to keep something back as a surprise. Either way, household budgets appear to benefit from the expected announcements.

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