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On The Road With MHIA: The Coast With The Most! Lower North Coast!
4th December 2024
Times are tough! The 2024 Federal Budget was recently revealed and introduces several measures aimed at addressing inflation as well as social issues across Australia. As land lease homeowners it is crucial to understand how these changes might impact your financial situation and lifestyle. We are going to unpack the wins and challenges faced by land lease homeowners.
While we would encourage you to read through the actual budget itself we understand that it could be a fairly time-consuming task. We went ahead and hand-picked the important points which we believe will have the greatest impact on our customers day to day living. Understanding the budget can help you make better financial choices and stay on top of your lifestyle.
One of the significant wins for land lease homeowners is the introduction of a $300 rebate on energy bills. Starting from July 1 2024 over 10 million households including those in land lease communities will benefit from this rebate. This measure is designed to alleviate the rising cost of living by directly reducing household expenses.
For land lease homeowners who are also pensioners the budget brings good news. The government has announced a five-year freeze on PBS medicine costs and the continuation of the deeming rate freeze. These measures can help manage your healthcare costs ensuring that eligible pensioners in land lease communities can afford their essential medications without financial strain (7NEWS).
Although land lease homeowners own their homes and lease the land some homeowners may still benefit from increased Commonwealth Rent Assistance. The budget has allocated $1.9 billion to increase the maximum rate by 10%. This change aims to provide additional support to those facing rental pressures within the community (Forbes Australia) (Yahoo Finance).
Many land lease homeowners may be semi-retired and may still be involved in businesses in a reduced capacity or even still own a business they no longer work in. The budget’s provision for a $325 energy rebate for small businesses and the extension of the $20000 instant asset write-off may provide financial relief and investment opportunities for those still in business (Forbes Australia) (Yahoo Finance).
Despite advocacy for higher welfare payments the budget was very targeted with its welfare increases specifically providing $2.2 billion to improve aged care. For land lease home owners who rely on these benefits the unchanged or minimal rate increases may not keep pace with inflation and rising living costs. This lack of adjustment can strain the financial resources of those dependent on welfare (7NEWS) (Yahoo Finance).
If you’re a grey nomad this one will sting. The budget does not provide any relief at the pump maintaining the current soaring prices for petrol. For land lease home owners planning to hit the road for travel and leisure this means continued high fuel expenses. The absence of a decrease in the fuel excise impacts the overall cost of living and commuting costs for those in remote or less accessible places which is more often than not where land lease communities are located (Yahoo Finance).
While land lease home owners are not normally considered students some have committed their leisure time to pursuing new educational avenues. While there are benefits in terms of student debt relief and changes in HECS-HELP indexation the overall educational expenses including those not covered by government provisions remain a burden worn by the students themselves. This could effect whether you choose to learn that new skill at TAFE or University as support options become limited.
The 2024 Federal Budget presents a mixed bag for land lease home owners. While energy rebates healthcare benefits and small business support offer significant relief limited welfare increases and high fuel costs pose ongoing challenges. Understanding these budgetary impacts can help land lease home owners plan their finances better and advocate for necessary changes to improve their living conditions. Stay informed and proactive to make the most of the benefits while navigating the challenges effectively.
For more detailed information on the budget you can visit the full articles on Forbes Australia, Yahoo Finance, and 7NEWS.