The 2017 Federal Budget: 5 ways it could affect you

Posted May 16, 2017

Despite this, I can confirm tonight that the Budget is projected to return to balance in 2020-21 and remain in surplus over the medium term.

Labor holds a clear poll lead over the Coalition as Mr Morrison prepares to release his second Budget.

There's no easy way to put this: Australia owes a lot of money.

The Federal deficit will fall to a surplus to $7.4 billion in 2020-2021 from $29.4 billion in 2017-18 and $37.6 billion in 2016-17. Underlying inflation is stuck below the RBA's target band of 2-3 percent with wages crawling at their slowest pace on record.

Total revenue of $444.4 billion, which is estimated to reach 476.1 billion in 2018-19.

I know it's absolutely un-Australian to acknowledge anything a politician does well, or to like a Budget, but this is among the better ones that I've seen over the years.BUT - and yes there's always a but - don't expect to be flush with extra cash.

Yes Virginia, it's Budget overload, there's wall to wall coverage of the Australian Federal government's 2017/18 Budget - before, during and after - its big reveal on the evening of the 10 May 2017.

The school funding reform, dubbed "Gonski 2.0", will replace previous deals made by the Labor government with a single needs-based model.

$61.8 million is locked in for indigenous and regional childcare services.

$216.6 million over four years cut from funding for aged care - a cut of around $1670 per resident per year. The threshold has been dramatically dropped to $42,000 a year, down from $55,000.

Less popular is likely to be a fee hike for university students.

In response the Treasurer claimed the principles in the budget were "very important to the Liberal party" and pointed out that the decision to raise the Medicare Levy to fund the National Disability Insurance Scheme was "a shared commitment" of every parliamentarian.

As for the levy on banks: "We're not going to stand in the way of it".

Morrison said this would "provide transparency about what it really costs to run Medicare and the PBS and a clear guarantee on how we pay for it".

"So that's why we've chose to do something about it".

There'll be an extra $115 million for mental health and an extra $1.4 billion for health research, including $65.9 million specifically for research into childhood cancers. It's a future where the government will drive economic growth, austerity has been replaced by spending, and taxpayers and banks will foot the bill.

The new scheme - modelled on a system in the United Kingdom - will help remove infrastructure obstacles in order to build new homes in areas where demand outweighs supply, particularly in high-density areas of Sydney and Melbourne. They will be able from July 1 to salary sacrifice into their superannuation account, separate from their compulsory superannuation contributions.

There will be tougher rules for foreign investors in the housing market. Currently, the withholding tax is only taken when a foreigner sells a property worth $2m or more.

Infrastructure received a boost with the government injecting up to $5.3 billion into the new Western Sydney airport and $8.4 billion for the 1700km Melbourne to Brisbane inland rail project.