New financial year, new costs: how to stay ahead and protect your hip pocket

A range of changes will take effect from Tuesday, 1 July, as the new financial year brings updates to policies, prices, thresholds and eligibility rules.

A range of changes will take effect from Tuesday, 1 July, as the new financial year brings updates to policies, prices, thresholds and eligibility rules.

Whether it’s first home buyers aiming to enter the property market, workers getting a boost to their super or parents receiving parental leave pay, the new rules will see some people better off financially.

Conversely, electricity price hikes and the end of the temporary $20,000 instant asset write-off for small businesses, among other state-based changes, could see some Australians face higher costs.

We have compiled a list of major changes below.

Road rule changes

Australia’s road rules have had an overhaul, with significant changes set to come into effect this week, bringing tougher penalties to motorists caught breaking the rules.

Starting July 1, 2025, every driver will be impacted by both national level and state-specific rule changes, all aimed at enhancing road safety and reducing fatalities.

Here’s a breakdown of what’s changing state and nationwide:

Nationally

AI-powered surveillance cameras will begin monitoring drivers for mobile phone use behind the wheel. The cameras can also be used for seatbelt detection.
Those caught holding or using a mobile phone behind the wheel will face pricier penalties plus four demerit points.

Queensland

Registration and fine increases. A 3.4% rise across vehicle rego and common offences like speeding and mobile phone use.
Illegal mobile phone use fine will increase from $1209 to $1250.
End of freeze on registration and fines previously in place until September 2025.
Lower speed limits from 50km/h to 40km/h in pedestrian-heavy areas, including parts of the Hervey Bay Esplanade.

New South Wales

All penalties, fees and charges will increase by 3.2% in line with Consumer Price Index. Harsher penalties will also apply for not wearing a seatbelt. The illegal mobile phone use fine will increase from $410 to $423.
Ticketless parking fines have been scrapped. Councils must now leave physical infringement notices on vehicles.
Photo evidence is now required for parking offences and must be available to Revenue NSW.
Average speed cameras on major highways (e.g., Hume and Pacific) will now monitor cars and motorcycles, not just heavy vehicles.

Victoria

Expanded slow-down rule (Rule 79A): Drivers must now reduce speed to 40km/h when passing more types of vehicles with flashing lights — including breakdown, roadside assistance, and incident response vehicles. Fine up to $961, or $346 will be issued for non-compliance.

Western Australia

Multiple speed limit reductions: between Margaret River and Prevelly: reduced to 60km/h. Sealed roads west of Bussell Highway, reduced to 70km/h. Bayview Drive (Gracetown), now 60km/h. Augusta town centre and surrounds: dropped to 40km/h in pedestrian areas.

South Australia

Slow-down rule extended. Drivers must reduce speed to 25km/h when passing recovery and breakdown vehicles with flashing amber lights, even on multi-lane roads. Fines: Up to $1648 and seven demerit points.

Northern Territory

Speed limit changes, both increases and reductions: Stuart Highway (Emerald Springs), increased from 80km/h to 100km/h. Chung Wah Terrace to Wickham Point Road, new limit of 80km/h. Wickham Point Road to Channel Island Bridge: now 90km/h.

National changes – the wins

Minimum wage to rise: the National Minimum Wage and award wages will increase from 1 July by 3.5%, raising the minimum hourly rate to $24.95 and benefiting up to 2.9 million workers

The superannuation guarantee rises from 11.5% to 12.0%: employers will be required, from 1 July, to pay all eligible employees a minimum of 12% of their pre-tax wage into their super. After 12 years of incremental rises, this is the last scheduled rise for the super guarantee.

Increases to some Centrelink payments: millions of Australians will see their Centrelink payments rise from 1 July by 2.4% as part of the government’s latest indexation update. The increase will apply to a wide range of support payments including the Age Pension.

Extension of the electricity rebate: the federal government will extend this rebate by $150 for households and small businesses, applied, in most cases, in two instalments from 1 July and 1 September.

Changes to HELP debt repayments: the repayment threshold for HELP debt is slated to rise from 1 July from $54,435 to $67,000. This is in addition to the government’s promise to reduce HELP debt by 20%. These changes have not been legislated, however, the government has said it will be a priority when Parliament resumes on 22 July.

Cheaper home batteries: the government’s Cheaper Home Battery Program starts, offering a discount of around 30% on eligible small-scale battery installations.

Paid parental leave changes: Parental Leave Pay will increase to 24 weeks from 1 July for eligible families, with more flexible partner and shared leave options. The government will also pay super on these payments from 1 July, while the eligibility threshold increases to $180,007 for individuals with a family cap of $373,094.

Medicare levy surcharge thresholds increase: Australians who earn over a certain amount, who don’t have adequate private hospital cover, have to pay the Medicare levy surcharge. This threshold is increasing, which means for a single person they can earn up to $101,000 without having to pay the surcharge.

Home buyer reset: the allocation of spots under the Home Guarantee Scheme resets with another 50,000 places for the financial year. This includes 35,000 places for first home buyers (with a promise from the government to uncap these places), 10,000 places for regional buyers and 5,000 places for single parents.

$10k for apprentices working in housing construction: from 1 July eligible apprentices will receive $10,000 in incentive payments, on top of their wages to help encourage more people into the housing construction industry.

Changes to income thresholds for Skilled Migrant visas: the minimum salary requirements for Skilled Migrant visas will rise from 1 July by 4.6% to keep pace with average Australian wages and help prevent the undercutting of local workers.

National changes – the losses

Electricity prices to rise in NSW, Vic, SE Qld, SA and ACT: default electricity prices will rise on 1 July by over 9 per cent, in some cases, for households on default electricity plans.

Boosted instant asset write-off to end: the boosted instant asset write-off will end on 30 June, reducing the immediate tax deduction limit from $20,000 to $1,000, affecting many small businesses and tradies who used it for purchases like work vehicles.

ATO interest deductions end: in the new financial year, businesses will no longer be able to claim income tax deductions for general interest charges or shortfall interest charges imposed by the ATO.

Postage prices to rise: Australia Post is expected to increase prices from 1 July for domestic and international parcels, mail services, and ID products, alongside product changes and service discontinuations.