EOFY Countdown, Cost of Living Help, New Tax Cuts & BNPL Rule Changes

EOFY Countdown, Cost of Living Help, New Tax Cuts & BNPL Rule Changes

With the end of the financial year fast approaching, there’s no better time to take stock of your financial health and make a fresh start heading into FY25–26.

In This Issue 👇

• Why cost of living remains Australians’ top concern

• Smart money resolutions to kick off the new financial year

• New Buy Now, Pay Later regulations and what they mean for your credit

• How AI tools can help you save on your grocery bill

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Top Worry for Aussies: Cost of Living

But relief could be on the way.

It’s no shock that cost of living pressures are weighing heavily on Australian households. The latest Living in Australia survey reveals that 59% of respondents see inflation and rising costs as their biggest local concern.

With the election now behind us, attention turns to Labor’s strategies for easing these pressures.

Key Measures Include:

• Income Tax Relief:
  Planned cuts to the marginal tax rate for earnings between $18,201 and $45,000 — down from 16% to 15% in FY26–27, and 14% the following year — could put an extra $536 a year into the pockets of everyday Australians.

• Simplified Tax Deductions:
  A new $1,000 automatic deduction for work-related expenses removes the hassle of keeping receipts for many taxpayers.

• Energy Rebates:
  An extra $150 in energy bill assistance is promised for households and qualifying small businesses in late 2025.

Combined with potential rate cuts forecast by economists, there’s reason to hope for a financial breather in the year ahead.

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New Financial Year, New Habits

Four easy wins for your money mindset.

Who says goal-setting is just for New Year’s Eve? July marks a great opportunity to rethink your finances and take small steps toward a healthier money future.

Here are four practical financial goals to consider for FY25–26:

1. Keep Your Budget Alive
   Build a simple budget and revisit it each month. Tracking your income and expenses regularly can highlight areas to cut back and increase savings.

2. Grow Your Emergency Buffer
   Aim for a cushion covering 3–6 months of essential costs. Setting up automated weekly transfers into a separate account can make it easy to build over time.

3. Tackle Debt With Purpose
   Make a list of your debts, rank them by interest rate, and focus on knocking down the most expensive ones first. Less debt = less worry.

4. Define Your Financial Goals
   Whether you’re planning for a holiday, a home deposit, or retirement, get clear on what you want and map out your first steps.

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Buy Now, Pay Later: New Rules Ahead

And why it might affect your credit profile.

As budgets tighten, more Aussies are using Buy Now, Pay Later (BNPL) options — but new regulations could change how these services work.

From 10 June, BNPL providers must hold a credit licence and follow responsible lending rules. That means new customers will need to provide financial details and may face credit checks, with lower spending limits depending on their credit rating.

Current users might not see immediate changes, but it’s worth noting: lenders often factor in BNPL usage when assessing loan applications. Too many transactions or missed payments can hurt your chances of approval.

Planning to apply for a loan soon? Consider pausing your BNPL usage for 90 days to present cleaner bank statements to lenders.

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Let AI Slash Your Grocery Spend

Smarter meal planning, less waste, more savings.

While AI can’t fix inflation, it can make your weekly grocery shop more efficient.

Whether you’re using ChatGPT, Gemini or Claude, try asking:
“Create a weekly meal plan and grocery list for [X] people on [$X] budget, including [dietary preferences].”

You’ll get a customised, budget-friendly plan that limits food waste and curbs impulse buys.

Got random leftovers? Ask your AI tool for a recipe using just what’s in your fridge — and turn those odds and ends into a delicious (and thrifty) meal.