How is the budget impact calculated?

Each scenario is mapped to its actual policy lever. Tax bracket lifts use the marginal-rate gap on the affected band. Super cap lifts use marginal-rate minus 15% contributions tax. HECS indexation freezes save approximately 3% of the outstanding debt. Rent assistance changes apply a 20% lift to the existing annual entitlement. The total is a first-order annual impact, not a discounted lifetime value.

Is this prediction or scenario modelling?

Scenario modelling. The toggles are plausible Budget levers, not announced policies. Tick the scenarios you think are likely and see the combined impact for your situation. Re-run on Budget night with whatever the Treasurer actually announces — most lines start 1 July and are easy to swap in.

Why are some toggle impacts $0 for me?

Some scenarios only affect specific cohorts. The FHSS lift only matters if you're a renter under 40 with super under $100k. The MLS threshold lift only matters if you're in the $101-111k band without private hospital cover. The HECS freeze only matters if you have a HECS debt. The calculator returns $0 for scenarios that don't apply to your inputs.

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Budget Impact Calculator

Toggle hypothetical 2026-27 Budget changes — tax cuts, super caps, HECS freezes, rent assistance — and see your household's $$ impact in real time.

Last verified: 5 May 2026

Reviewed by the Savings Mate editorial team — figures fact-checked against the ATO, Services Australia and ASIC MoneySmart.

What does each Budget line mean for your money?

In 2026-27 the headline tax cut (16% to 15% on income from $18,201 to $45,000) is worth up to $268 a year on its own. The headlines tell you what the Treasurer announced; they don’t tell you whether your household is better off. This tool lets you tick the scenarios you think are coming — tax cuts, super caps, HECS, rent assistance — and see the combined annual impact on your specific numbers, built on the actual ATO and Services Australia formulas, not back-of-envelope.

Salary (gross)

Age

Super balance

HECS debt?

Private hospital cover?Currently renting?

Toggle the Budget changes you want to model

Each toggle is a real policy lever the Treasurer can pull. We costed the household impact for your numbers, not the average voter.

Tax-free threshold lifted to $19,500 (was $18,200)

+$208

Saves 16c × $1,300 = $208 for everyone earning above $19,500.

30c bracket starts at $50,000 (was $45,001)

+$700

Lifts the 30c threshold by $5k, saving 14c × $5k = $700 for everyone earning above $50k.

Stage 4 cut: 30c bracket reduced to 28c

+$1,000

Treasurer announces 2c off the 30c bracket. Saves 2c × (income above $45k, capped at $135k).

Concessional super cap lifted to $32,500 (was $30,000)

+$375

Extra $2,500/yr salary-sacrifice room. Saves marginal-rate − 15% on the extra contribution.

FHSS lifetime cap lifted to $60,000 (was $50,000)

Extra $10k of voluntary super you can release for a deposit. First-home buyers aged 18+ (no upper age limit).

HECS indexation frozen for one year

Saves ~3% of your remaining HECS debt that would have been added at 1 June.

Medicare Levy Surcharge threshold lifted by $10k

If you earn between the old and new threshold and don't have private hospital cover, you save 1-1.5% × salary.

Commonwealth Rent Assistance up 20%

Renters on a benefit (or low-income) get ~20% more rent assistance. Annual lift varies by household.

Net annual household impact

+$2,283

If every box you ticked landed on Budget night, you’d be better off by $2,283 a year.

Where do you stack up? →Read the Budget commentary →Current take-home →

Sourced from

7 primary sources

TR-2025-1Public Ruling
TR 2025/1 — Income tax: deductions for work-related expenses
What employees can deduct as work-related expenses, the substantiation rules, and the new fixed-rate method for working from home.
ATO-Tax-Rates-2026ATO Guidance
Resident tax rates 2025-26 (Stage 3 in effect)
0–$18,200 nil; $18,201–$45,000 16c; $45,001–$135,000 30c; $135,001–$190,000 37c; $190,001+ 45c. Plus 2% Medicare levy.
ATO-HECS-Repayment-2026ATO Guidance
Compulsory HELP/HECS repayment thresholds 2025-26
Repayment starts at $54,435 (1%), scaling to 10% at $159,664+. Repayment income includes taxable income plus salary-sacrificed super and reportable fringe benefits.
ATO-Foreign-Resident-RatesATO Guidance
Foreign resident tax rates 2025-26
No tax-free threshold. 30c on first $135,000; 37c $135,001–$190,000; 45c above. No Medicare levy. HELP/HECS repayments still apply if registered.
ATO-Salary-Sacrifice-EffectiveATO Guidance
Effective salary sacrifice arrangements
Salary sacrifice must be a prospective agreement, in writing, on amounts not yet earned. Can't backdate. Reduces taxable income; sacrificed amounts are taxed at 15% in super (or 30% if Division 293 applies).
ATO-PSIATO Guidance
Personal Services Income (PSI) rules
If more than 50% of contract income is for your skill/labour, PSI rules may attribute income to you personally and limit deductions. Affects contractor and sole-trader take-home calcs.
ATO-Working-Holiday-MakerATO Guidance
Working holiday maker tax rates
Subclass 417/462 visa holders: 15c on first $45,000, then resident rates apply. No tax-free threshold. Employer must register as a working-holiday-maker employer.

General information and estimates only — not financial, tax, or legal advice. Always verify with a licensed adviser or the ATO.

Budget Impact Calculator

What does each Budget line mean for your money?

Toggle the Budget changes you want to model

Sourced from

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